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Denton City Council adopts FY2025‑26 budget, tax rate and a package of zoning, franchise and fee measures

5776467 · September 16, 2025
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Summary

On Sept. 16 the City Council approved the FY2025‑26 budget, a property tax rate of 0.59542, mobility and zoning changes, utility rate updates and multiple fee schedule updates; several other items require future steps or multiple readings.

The Denton City Council on Sept. 16 adopted the city’s fiscal year 2025‑26 budget, set a combined property tax rate of 0.59542 per $100 valuation, and approved a set of zoning, franchise and fee ordinances in actions recorded during the regular evening meeting.

Budget and taxes - Council adopted the FY2025‑26 budget and capital improvement program covering Oct. 1, 2025–Sept. 30, 2026 and related measures. The council approved the budget appropriation and ratified the budget in separate votes. - Council adopted a combined property tax rate of 0.59542 (maintenance & operations 0.33478; debt service 0.26064). Staff said the average residential tax bill would increase about $78 per year and the average utility bill would increase about $73 based on proposed utility rate changes.

Utility rates and fees - The council approved the manager’s proposed utility rate changes: a 3% increase in water rates and an 11% increase in wastewater rates for fiscal 2026; no base rate change for electric or solid waste was adopted. Council also approved updates to solid waste, police, fire, library, parks and training‑center fee schedules.

Land use, special permits and mobility - Planning and zoning actions approved: a mobility plan amendment reclassifying portions of Eagle Drive, Avenue A and Wilshire Street from secondary arterials to collectors near the UNT campus (approved 7–0). - Council rezoned roughly 68 acres in the I‑35/Loop 288/Highway 77 triangle to a Planned Development General Office (PD‑GO) with overlay design standards for landscaping, screening and loading (approved 7–0). - Council approved a 1‑year extension to a specific use permit (SUP) that allows the Olivo Apartments multifamily project to remain valid until Oct. 24, 2026; the extension passed 4–3. Staff said civil engineering plan review is underway but the applicant is not yet substantially under construction.

Franchise and other items - Council began the three‑reading process to grant a nonexclusive natural gas franchise to Universal Natural Gas LLC (first reading/ordinance introduction on Sept. 16); the assigned franchise territory covers parts of Hunter Ranch and Legends Ranch and the ordinance requires a 5% payment of gross receipts to the city and an obligation by the company to extend service to a future park.

Administrative votes - Council approved a package of fee schedule updates across multiple departments, including library, police training range, fire department and parks and recreation.

Ending: Most measures passed unanimously; the SUP extension vote was 4–3 and the Universal Gas franchise requires additional readings and the company must file an acceptance letter within 60 days. Several items approved tonight (budget, rate changes, fee schedules) will have operational consequences for FY2026 service delivery and billing.

Votes at a glance: see actions array for formal motion text, movers, seconds and vote tallies.