San Antonio officials present proposed $4 billion FY2026 budget, create new Department of Capital Delivery

City of San Antonio budget staff on Thursday presented a proposed FY2026 budget of about $4 billion and described a reorganization that creates a new Department of Capital Delivery to manage the city’s large bond and capital program.

The presentation, given to the Planning Commission by Susana Taydom, the city’s budget director, and Mike Shannon, director of the new Department of Capital Delivery, outlined a spending plan that staff said would increase roughly 2.2% over last year and would preserve the current property tax rate. Taydom said the total proposed budget for 2026 is about $4 billion and described strategies used to balance an earlier projected shortfall.

Taydom said the general fund in the proposal would be roughly $1.69 billion and highlighted reductions in civilian positions and other cost-savings as part of the balancing plan. "We started with a two-year deficit in the general fund but we have balanced the budget by reducing spending and reallocating project savings," Taydom said.

The nut of the proposal, presenters said, is a two-part approach: (1) reorganize and better target capital delivery by creating the Department of Capital Delivery, and (2) set operating priorities that include homelessness services, public safety and infrastructure maintenance. "The idea is for it to…