Commission adopts FY2026 budget but keeps tax rate steady after residents call increases painful

The Brownsville City Commission voted Tuesday to adopt the fiscal year 2026 budget and to ratify increases in property-tax revenue certified by the appraisal district, but it stopped short of adopting the higher voter-approval tax rate staff originally proposed.

Finance Director Steven Hughes presented the FY2026 proposal and described an overall budget that uses projected growth in property and sales tax, and which includes transfers to enterprise funds and investments in compensation and service levels. Staff said the voter-approval rate — the tax rate that could be adopted without an election — would be 0.613629, but the commission later voted to maintain the city’s current rate, 0.603504.

During the public hearing several residents described the practical effect of rising property tax bills. Belinda Lagarza told the commission she is a working parent worried about cumulative tax increases: “Every year… the taxes have been increasing. It’s very difficult for somebody like myself that’s just a mother with 2 kids,” she said. Marie Erasuris said a percentage point translates into significant increases when appraisal values rise.

Commissioners and staff emphasized trade-offs: officials want to preserve pay and staffing levels, deliver roads and drainage projects and provide matches for federal and state grants while minimizing the burden on low-income residents. Staff and Commissioners identified outreach steps — including better notice for hearings and assistance with homestead exemptions — to help residents understand how assessments, exemptions and tax rates interact.

On roll call the commission approved the FY2026 budget (motion passed by roll call) and separately ratified the increase in property tax revenue required by state law. Later, after further discussion and public comment, the commission voted by roll call to keep the tax rate at 0.603504 rather than adopt the 0.613629 voter-approval rate.

What’s next: staff will provide supplemental materials at the second reading with precise dollar impacts if the commission asks to revisit revenue assumptions, and commissioners signaled intent to expand community outreach about exemptions and the appraisal process.