The Colony unveils $161 million preliminary budget, proposes half‑cent tax cut; public hearing set

City Manager Tim Miller presented the City of The Colony’s preliminary FY2025–26 budget on the council’s regular meeting, outlining a $161 million all‑funds plan and a proposed half‑cent reduction in the city tax rate (from 0.635 to 0.63 per $100 valuation).

Miller said the administration used a zero‑based budgeting approach this year, reviewing every line item and trimming capital requests to roughly 30% of prior submissions. Key revenue figures included a projected $47.17 million in property taxes and conservative adjustments to sales tax receipts. The proposed budget shows about $83.6 million in general‑fund revenue and maintains planned transfers among funds.

Miller described targeted additions and constraints: two new positions (a fire inspector and a police CID sergeant), a blended 4% compensation adjustment overall, continued investment in public safety equipment and recurring operational costs such as body‑camera replacements. He said roughly $9 million of the $17 million in capital requests would require new bonding while the rest could be paid from existing project balances.

Asked about homeowner impact, Miller said the average home valuation used in the presentation would translate to modest savings from the half‑cent cut — roughly $11 for a quarter‑cent and $22 for a half‑cent in the example offered — and noted the city represents a portion of a homeowner’s total tax bill depending on school district and other taxing entities.

Council opened and closed the required public hearings on the budget and on a tax rate not to exceed $0.63 per $100 valuation. The council announced that it will vote on the tax rate and related budget items on Sept. 2, 2025, at 6:30 p.m. at Colony City Hall.

Miller and councilmembers said further adjustments remain possible before final adoption and encouraged colleagues and residents to submit questions in advance of the Sept. 2 vote.