Liberty Hill council adopts FY 2025–26 budget, sets no-new-revenue tax rate and approves several executive-session actions

The Liberty Hill City Council on Aug. 27 adopted a budget for fiscal year 2025–26 and ratified a property tax rate built around the city’s no-new-revenue calculation.

Council moved to adopt Ordinance 2025-032 making appropriations for the fiscal year beginning Oct. 1, 2025; the measure passed on a 6–0 roll-call vote. Finance staff said the budget moves several capital items into the capital improvement program (CIP), removed duplicated recurring expenses across funds and was prepared under city direction to hold the tax rate at 'no new revenue.'

Council then approved Ordinance 2025-033 to levy ad valorem taxes at the no-new-revenue rate of 0.469407 per $100 valuation. Finance staff read the breakdown for the adopted rate as 0.304358 per $100 for maintenance and operations and 0.165049 per $100 for debt service; council carried the measure unanimously.

Votes at a glance

- Ordinance 2025-032, Fiscal Year 2025–26 budget: motion passed 6–0 (roll call recorded). - Ordinance 2025-033, Ad valorem tax rate (0.469407 per $100 valuation): carried unanimously.

In other business, council unanimously approved amended bylaws for the Liberty Hill Economic Development Corporation. Staff led modest edits that removed duplicative language about city bookkeeping, clarified the auditing process and added a requirement that the EDC adopt financial policies annually 'in accordance with federal, state, and local laws and applicable regulations.' A council member described the changes as bringing the EDC into alignment with city practice.

Appointments and planning commission

Following a recommendation from the Planning and Zoning Commission, council considered two candidates to fill Place 4. After discussion and an interview-based preference expressed by several council members, the council appointed Tyler James to P&Z Place 4 for the unexpired term ending Oct. 31, 2026; the vote was recorded as 4–2. Council also clarified that Commissioner Tim Anderson's Place 5 term will expire after a full term on Oct. 31, 2027; that clarification passed unanimously.

Executive-session outcomes

After a closed session that council said addressed personnel, economic development and real-property matters under the Texas Government Code, council returned to open session and voted on several items: it directed the city manager to share with staff the actions council will take to address concerns raised (item 10A); approved a performance agreement for 'Project Crayon' (item 10B); approved a 5.72% salary increase for the city secretary effective Sept. 1, 2025 (item 10C); and authorized the city manager to hire a right-of-way agent to secure rights of entry and acquire easements for the South San Gabriel wastewater interceptor project (item 10E). Council recorded those motions and the votes as passed.

Why it matters

The budget and tax-rate votes set the city's fiscal direction for the coming year while the EDC bylaw changes, P&Z appointment and easement and economic-development approvals clear administrative and permitting hurdles tied to growth and downtown revitalization efforts. The Project Crayon approval and right-of-way work signal continuing municipal involvement in economic-development projects that include real-property negotiations.

What’s next

Copies of the adopted ordinances will be filed as required. Council scheduled future actions related to commission appointments and ongoing implementation; several items referenced upcoming meetings and follow-up by staff.