First reading and public hearing of an ordinance fixing and levying ad valorem taxes for the current tax year for the use and support of the municipal government of the City of San Angelo, Texas, for the 2026-2027 budget year; providing for the assessment and collection thereof; providing for when the tax shall become due; providing when the tax shall become delinquent; providing for exemptions; p

Staff Report & Agenda Item Details

This item is the first public hearing and introduction of the ordinance to levy property taxes for the tax year 2026. In addition to approving the proposed rate, the ordinance also establishes that taxes are delinquent on February 1, 2027. No changes are proposed to the existing exemptions, including continuing the 20% homestead exemption available to property owners on their primary residence. The tax rate is proposed at 0.7947 per $100 valuation and remains flat from Fiscal Year 2026. This will set the maximum rate that City Council can adopt. The proposed rate will be below the 3.5% cap that would've allowed Council to increase from the prior year's tax rate by 0.0195 per $100 valuation. The proposed tax rate will be applied as follows: For maintenance and operations in the General Fund: 0.6238 For maintenance and operations in the Street Infrastructure fund: 0.0072 To pay annual interest and maturities and create debt service funding to discharge outstanding bonded indebtedness of the City of San Angelo: 0.1637 The total tax rate for the aforementioned purposes is: 0.7947 This year’s proposed tax rate does exceed the no-new-revenue tax rate, but does not exceed the voter-approved tax rate. The associated additional notices and actions are required for this ordinance. Council will set and adopt the tax rate and tax rate ordinance at the September 15, 2026 regular meeting.

This motion is scored as EXPANDS_GOVERNMENT (Impact Weight: 9.3/10). Under the Bastiat Liberty Watchdog Index, measures that increase tax rates or fee schedules, issue new debt or Certificates of Obligation, expand regulatory/zoning restrictions on private land use, or authorize unbudgeted spending expansions reduce an official's Freedom Score when voted YES (and reward dissenting NO votes).