Crockett council directs staff to build 10% cost-of-living adjustment into FY2027 draft budget

Crockett city staff recommended a 10% cost-of-living adjustment for all city employees and the council voted July 20 to direct that the pay change be included in the FY2027 draft budget.

John, a city staff member who led the budget presentation, said the COLA would cost about $448,000 in total, hitting the general fund for roughly $338,000 and the utility funds for about $109,000. "I'm asking for 10% COLA across the board," John said, adding that the proposal would raise the average homeowner's city tax bill by about $75.71 per year and increase the typical monthly water bill by about $1.35 and sewer by about $1.65 if the council chose to fund part of the cost through rates.

The staff presentation emphasized that the draft figures were based on estimates from the appraisal district and did not include potential new-construction revenue. John told the council the budget as presented did not assume new construction and that certified values expected later in the week could change the projections.

Council members debated fiscal tradeoffs: some said the COLA was needed to retain employees and keep services running, while others raised concerns about long-term debt and whether taxpayers could absorb rate or tax increases. One council member said interest payments approaching the next fiscal year appeared large; staff replied that some figures cited were out of context and not factual.

After discussion, a council motion to include a 10% COLA in the draft budget, paired with a 0.0796 tax-rate adjustment and several capital purchases, was moved, seconded and carried. The motion gives staff direction to prepare a draft budget reflecting those choices and to publish the draft for the required public-notice and hearing process ahead of the August meetings.