Harlingen advances FY2026 budget on first reading; tax-rate components set for record vote

The Harlingen City Commission advanced the citybudget for fiscal year 2026 on first reading after a presentation from finance staff outlining revenues and expenditures. The proposed FY2026 budget lists projected revenues of $119,595,005.78 and proposed expenditures of $117,000,534,130.

Commissioners identified priorities in the budget including accelerated drainage work, compensation considerations for police, and support for airport operations. The first-reading action was taken as a record vote. The commission also recorded separate votes on tax components: it set the maintenance-and-operations rate at 0.458038 per $100 of assessed value and the interest-and-sinking (debt) rate at 0.068022 per $100. Those component votes were recorded; the combined rate reported in the record was 0.52606 per $100, an effective 3.33% increase compared with the adopted rate baseline discussed in the meeting. Commissioners noted that continued growth in sales tax revenue and new construction were factors enabling a lower tax rate trend while still funding services.

The commission scheduled the required second and final reading of the tax ordinance for Sept. 3 and directed staff to publish the required caption for the ordinance and prepare the record vote documentation.

Quote from the meeting: “This represents a lot of hard work,” said a commissioner during the budget presentation, thanking city staff for the budget workshops that produced the proposal.

The commissionrecord shows broad support for the budget and the tax-rate components; Commissioner Frank Morales recorded a dissent on the broader tax-rate discussion.