Georgetown adopts $1.38 billion FY2026 budget, levies 35.3¢ property tax rate; council approves package of utility and development measures

Georgetown City Council on Aug. 26 approved the city’s fiscal year 2026 budget and separately ratified a property tax revenue increase before adopting a property tax rate the council said will be 35.3 cents per $100 of assessed value.

The council voted 6–0, with District 7 absent, to adopt an ordinance approving the FY2026 budget, which staff presented as $1,380,000,000 in revenues and $1,360,000,000 in expenses and that allocates roughly 52% of spending to capital projects. Budget manager Myra Cantu told the council the capital program includes $513,000,000 (rounded) in the water program and that the package includes staffing additions and other department changes.

Cantu said the proposed tax levy is lower than the city’s voter-approval rate but will generate more property-tax revenue because of increased assessed values. Cantu described the separate “ratify property tax revenue increase” vote as required by state law: “This vote is required by state law,” she said, explaining the council must acknowledge the budget will raise more property tax revenue than the previous year. Council later adopted the tax rate in a separate record vote 6–0.

Why it matters: The budget sets the city’s spending and capital program for Oct. 1, 2025–Sept. 30, 2026, and the separate ratification and rate votes comply with state legal requirements for transparency about tax revenue increases. The council also took multiple ordinance votes tied to rates and fees that will affect utility customers and development activity.

Key budget and tax details - Adopted FY2026 budget (first reading adopted Aug. 26; second reading scheduled Sept. 9). Staff stated total revenues of $1,380,000,000 and expenses of $1,360,000,000 with capital representing 52% of expense. The water capital program was presented at about $513,000,000. - Staffing: staff presented a total of 70 staff positions in the budget lineup, described as a net change of about 60.5 positions after reclasses and reductions. - Tax rate: Council adopted a tax rate described in the meeting as 35.3¢ per $100 of assessed value (record vote: Districts 1–6 yes, District 7 absent). Staff presented an example that the average homestead taxable value of $403,000 would increase the Georgetown share of taxes by about $14 annually (the city’s portion only).

Votes at a glance (motions taken during the Aug. 26 meeting) - Appointment: Approval of appointment of Audrey Capra Schnitz as assistant city attorney, start date 09/08/2025. Motion made and seconded; vote: passes (not roll-called in the record excerpt). - Ordinance adopting FY2026 annual budget. Motion approved by record vote: 6 yes, 0 no, District 7 absent; outcome: approved. - Resolution ratifying the property tax revenue increase reflected in the FY2026 budget. Motion by Mayor Pro Tem Pitts; second by Councilman French; outcome: approved unanimously. - Ordinance levying the property tax rate for tax year 2025 at 35.3¢ per $100. Motion by Mayor Pro Tem Pitts; second by Councilwoman Parr; record vote: 6 yes, 0 no, District 7 absent; outcome: approved. - Electric rate ordinance (first reading): ordinance amending multiple sections of Chapter 13 related to electric service rates. Motion to approve as read; outcome: approved (first reading). - Ordinance amending miscellaneous utility account fees and charges (chapter 13.04, article 7). Motion approved; outcome: approved. - Ordinances amending water and sewer schedules and tap/meter fees (first readings). Motions approved (first reading); outcome: approved. - Creation and related actions for Georgetown Village Public Improvement District No. 1: first-reading actions to adopt the FY2026 service assessment plan and assessment roll (public hearing opened and closed; first reading approved).

What the council did not change in this meeting - The council completed first readings and approvals required by the advertised public hearings and set second readings where required (for example, the budget and tax rate second reading is scheduled for Sept. 9).

Speakers (sources used in this report) - Myra Cantu, Budget Manager, City of Georgetown (presented the budget overview) - Mayor Pro Tem Pitts (council motions; role referenced in the record vote) - Councilwoman Parr (second on the tax-rate motion) - Councilman French (second on the tax-revenue ratification) - Robin (City Secretary; read the roll for record votes)

Authorities cited in the meeting - Chapter 102 of the Texas Local Government Code (ordinance caption read by staff when adopting the budget) - State law requirements for separate votes on ratifying tax revenue and levying tax rates (cited by staff during the tax votes)

Clarifying details (as presented in the meeting) - Public hearings: the budget and tax-rate public hearings were opened and closed on Aug. 26; first-reading votes occurred the same evening; second readings are scheduled for Sept. 9 (6 p.m.). - Example taxpayer impact: staff presented the average homestead taxable value of $403,000 and estimated an increase of about $14 per year for the Georgetown portion of the bill; staff emphasized this is the city share only.

Community relevance - Geographies affected: City of Georgetown; impacts tied to city utility customers and property owners. - Impact groups: property taxpayers, utility customers, residents near capital projects such as water infrastructure.

Ending The council completed the legally required public hearings and first-reading votes needed to adopt the FY2026 budget and levy the tax rate; several rate and fee ordinances advanced on first reading and other development and administrative items were approved. Second readings and additional public hearings are scheduled on Sept. 9 and subsequent meetings where required. The council’s official minutes and ordinance texts will provide full legal language and final dollar figures when posted.