San Antonio proposes cuts to economic development budget, keeps 0% loan and corridor leadership program

San Antonio’s Economic Development Department on Tuesday outlined a proposed fiscal year 2026 budget that reduces general-fund support while preserving targeted small-business programs and continuing incentives for business recruitment.

Brenda, the city’s economic development director, told the City Council during the budget work session that the department’s proposed general fund for FY26 is $8,900,000 — a 19.8% reduction from the FY25 adopted general-fund total. She said restricted funds total $9,700,000 and that overall staffing would drop from 42 to 40 positions.

The proposed reductions occur amid continued work to implement the Economic Development Strategic Framework that the council accepted in October 2022, Brenda said. “I’m incredibly grateful for their efforts day in and day out,” she said of department staff while previewing the spending plan and specific program changes.

Why it matters

City leaders said the changes refocus limited general-fund dollars while maintaining tools that officials said support business retention, corridor revitalization and company attraction.

What’s in the proposal

- The draft budget eliminates a $1,400,000 line that previously funded a small-business construction grant program (a one-time…