Garland staff previews $1.1 billion consolidated FY 2026 budget; general fund proposed at $257.2 million

City staff presented a summary of the proposed fiscal year 2026 consolidated budget during the Garland City Council work session on Sept. 2, describing the proposal and the next steps for hearings and adoption.

A staff presenter said the FY 2026 consolidated budget is proposed at about $1.1 billion and includes the general fund, debt service, utility and enterprise funds and grant funds. The proposed general fund is $257.2 million, “an increase of $10.3 million over the prior year,” the presenter said. The presenter also reviewed the schedule of public hearings and noted a final public hearing on the proposed tax rate would occur at the regular meeting later that evening.

The presenter outlined upcoming actions for the regular meeting, including consideration of ordinances to adopt the budget and tax rate, ratify property tax revenue assumptions and adopt rate and fee changes associated with the budget. Staff also said it will bring a proposal early next spring to realign the debt‑service and operations & maintenance (O&M) tax rates to seek long‑term sustainability for the general fund and to support employee compensation planning.

When asked whether council had submitted further questions since the August briefing, staff said they received one follow‑up from a councilmember related to capital project prioritization and how removing a project would affect available funding for merit/compensation increases. Staff replied that debt‑service tax revenue cannot be used to fund personnel costs and that the deadline to submit a proposed O&M tax-rate increase for voter consideration had passed on Aug. 18 for the November 2025 ballot.

The presentation closed with staff asking for any final direction; no substantive amendments were requested at the work session. Staff will carry the proposed budget to the regular session for required hearings and ordinances later the same evening.