Waco manager proposes flat $649.8M FY26 budget, holds tax rate amid lower certified property values

City Manager Bradley Ford presented the Waco City Council with a proposed $649,800,000 fiscal 2026 budget that preserves the current property tax rate at 75.5¢ per $100 of valuation and includes a $134.2 million capital improvement program.

The proposal, outlined at a July work session, holds the tax rate constant after certified values fell short of preliminary estimates and directs $2,300,000 in surplus to balance the general fund. "We are proposing a structurally balanced budget," Ford said, adding the plan includes an estimated $20,300,000 investment in personnel compensation and benefits.

Why it matters: certified property values released in July were substantially lower than the preliminary figures the city used in budget planning, creating an immediate estimated $4,000,000 shortfall in general-fund maintenance and operations. Finance staff told the council they expect the gap to be covered this year because departments identified more than $32,000,000 in operational efficiencies, but cautioned the revenue pressure could persist in future years.

Colin Booth, the city's managing director of finance, reviewed third-quarter results and year-to-date collections that feed the FY26 plan. "Our total revenue budget for the general fund is $217,600,000. We've collected $178,200,000, so that's good…