Round Rock council approves land purchase, construction contracts and sets maximum proposed tax rate

The Round Rock City Council on Aug. 14 approved a slate of infrastructure, budgetary and utility actions, including the purchase of 2.5 acres for a new fire station, contract amendments for the Old Settlers athletic performance center and a formal step to set the city’s maximum proposed property-tax rate for FY2026.

Fire Department: Staff reported the city will purchase 2.5 acres of a 38.86-acre parcel near Universal Boulevard and Seton Parkway for Fire Station No. 11, at a purchase price of $489,078. The council voted to adopt the resolution authorizing the mayor to execute the purchase agreement.

Old Settlers buildout and athletic complex: City project staff presented a construction update on the Old Settlers multipurpose complex, including the athletic performance center (package 3C) and related GMP amendments. Presenter Chad described schedule and connectivity improvements and said the athletic performance center is scheduled to open in April 2027. Council approved the GMP amendment and the guaranteed-price amendment to the construction-manager-at-risk agreement with Spa Glass Contractors, Inc.

Budget and tax rate: Finance staff (Kevin) told the council the city’s proposed maximum property-tax rate for tax year 2025 is 37.2¢ to fund the FY2026 budget; that rate represents a 2.4¢ increase over the no-new-revenue rate, with 1.5¢ attributed to voter‑approved bond debt service and the remaining 0.9¢ to public safety additions (10 police officers and 6 firefighters). The council set a public hearing on the tax rate for Aug. 28 and adopted the resolution setting the maximum proposed rate.

Water and utilities: The council approved a five‑year amendment with the city of Georgetown to supply an additional 250,000 gallons per day; Round Rock staff said the water will be wheeled through Georgetown to supply Liberty Hill through existing intergovernmental arrangements and that the amendment runs through Dec. 31, 2030. Public-works staff described the city’s long-term capacity planning and said the agreement does not put Round Rock at risk of losing required capacity for its residents.

Other approved items: Council approved engineering contracts for street rehabilitation (Smyres Lane and County Road 122), design services for the Deepwood Drive extension (including bridge work and multiuse path), a contract for Stone Oak pump-station modifications, supplemental AECOM floodwall study funding for the East Regional Wastewater Treatment Plant, and other routine budget and procurement resolutions. Most motions passed on unanimous roll-call votes.

Quotations and context: Finance director Kevin summarized revenue trends and noted the city maintains higher liquidity in August to cover roughly $32 million in annual debt service. On the tax-rate increase, Mayor Morgan urged residents to contact state legislators about proposed changes to state law that could limit municipalities’ ability to set rates.

What’s next: Several items require later administrative steps (e.g., design plans, construction bidding and contract execution). The public hearing on the proposed tax rate is set for Aug. 28; additional construction approvals and contract awards will return to council as design and bidding proceed.

Sources: Presentations and votes at the Aug. 14, 2025 Round Rock City Council meeting. All vote tallies and dollar amounts are taken from staff presentations and roll-call results recorded in the meeting transcript.