Friendswood council publishes proposed tax rate to fund FY2026–27 budget, schedules public hearing

The City of Friendswood directed staff to publish a proposed ad valorem tax rate tied to the draft FY2026–27 budget so the public can weigh in before final adoption. City manager Murad Kabir presented the budget drivers that staff said make the increase necessary: rising debt service for previously voter-approved projects, personnel and benefits costs, growing contract service expenses and the city’s desire to fund a $500,000 annual severe-weather reserve in case federal disaster reimbursements fall short.

Murad Kabir said, “We have a $129,000,000 budget, a 129,400,000 to be exact. 25% of it comes from property taxes for the entire budget.” He told council the city faces roughly a 4½‑cent revenue gap relative to the no-new-revenue rate after certified values and legislative changes, including House Bill 9, and recommended publishing a proposed rate for the statutorily required notice and public hearing process. A motion to publish a proposed rate near 55.9723¢ per $100 valuation was moved by speaker 3 and seconded; council authorized publishing the number and set a public hearing for Sept. 14, 2026.

The presentation included a line-by-line explanation of restricted and carryover funds. Murad described limits on reassigning capital project funds and noted that roughly “51% of our budget can’t be touched,” meaning debt- or contract-restricted capital funds. Council members split between those urging acceptance of the increase to avoid cutting services and those urging further scrutiny of spending and audit figures before final adoption. The council emphasized the next steps: publish the proposed rate for notice, hold the Sept. 14 public hearing, and consider final adoption at the legally required date.