Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Budget Tax topic
No spam. Unsubscribe anytime.
Amarillo council adopts 2025–26 budget first reading and sets tax rate at $0.43070, prompting public hearings
Summary
Council approved the first reading of the FY2025–26 budget and voted to set the voter-approval tax rate at $0.43070 (a 15.3% change in the tax rate). Staff said the rate funds police, fire, street projects and wastewater design; the council scheduled public hearings on the final budget and tax rate.
Amarillo City Council completed the first reading of the fiscal year 2025–26 budget and set a proposed property tax rate that staff said is the voter-approval tax rate required to fund the adopted service level package.
Finance staff presented a proposed total city budget of about $557 million for the October 1, 2025–September 30, 2026 fiscal year. Highlights staff called out included funding for one additional school-liaison police officer and one firefighter, salary increases (4% for police, 3% for fire, and a 2% civilian merit pool), approximately $30 million in streets projects, funding to begin design on wastewater facility improvements (supported by $25 million in anticipated grants) and restoration of the TMRS retiree COLA to 70% of the formula used before 2011.
On revenue, Finance said the proposed budget projects roughly $538.7 million in revenues, including sales-tax and property-tax increases compared with the current year and grant proceeds for wastewater design. Staff explained that property-appraisal changes and prior-year reductions in the tax rate after large valuation growth influenced the proposed tax rate; State law limits how much the M&O portion may increase without voter approval.
Council conducted the required record vote and set a proposed rate of $0.43070 per $100 of assessed value (43.07¢). Staff explained that for a Potter County median homestead ($142,000 referenced in the required taxpayer impact notice, and adjusted county values), the increase would be roughly $4 per month on a $100,000 home and about $106.89 for an average Randall County homestead after comparing last year’s rate and assessed value. Council scheduled two public hearings for Sept. 16: one on the budget and another on the property tax rate, and second readings are planned before final adoption. Notices required by state law were posted and include a taxpayer-impact statement reflecting median values and the change in tax burden.
Council approved the budget ordinance first reading and separately recorded a vote on the tax-rate motion; both items will return for final readings and public hearings required by state statute.
Staff said more detailed budget materials are posted at amarillo.gov and encouraged residents to review the proposed budget and attend the Sept. 16 public hearings.
