Consider and take appropriate action regarding Ordinance O-17-26, an ordinance of the City Council of the City of Kaufman, Texas, making appropriations for the support of the City; appropriating money to a sinking fund to pay interest and principal on the City’s indebtedness; approving and adopting the annual budget of the City of Kaufman, Texas for the 2026-2027 Fiscal Year, including the Budget for the City of Kaufman Economic Development Corporation; providing for emergency expenditures and e

Staff Report & Agenda Item Details

In accordance with the City Charter and State Law, the FY27 Proposed Budget was filed with the City Secretary's Office on July 17, 2026, and updated on July 31, 2026. A public hearing for the budget was held on August 17, 2026. The total FY27 Budget is $26,885,800.00, excluding Grant and CIP Funds, and is balanced for all funds. A budget is balanced when ongoing revenues cover ongoing expenditures, and the use of surplus funds is limited to one-time capital costs. FINANCIAL CONSIDERATIONS: Adoption of the annual budget constitutes the proposed revenues and expenditures as approved by the governing body for the fiscal year. This budget will raise more total property taxes than last year’s budget by $684,185.45, 10.01%, and of that amount, $325,290.77 is tax revenue to be raised from new property added to the tax roll this year. The FY27 General Fund budget includes a Maintenance and Operations (M&O) tax rate of $0.5350332, which is an increase of $0.0000988 from the FY26 M&O tax rate. The Debt Service Fund budget includes an Interest and Sinking Fund (I&S) tax rate of $0.2239168, which is a decrease of $0.00014188 from the FY26 I&S tax rate. The total tax rate for FY27 is $0.7589500, which is a decrease of $0.0000500 from the FY26 total tax rate of $0.7590000. KEDC FINANCIALS: The proposed annual budget for the Kaufman Economic Development Corporation was presented to the Board of Directors of the KEDC and approved on August 11, 2026. Anticipated Total Revenues: $850,000 Budget Breakdown: Staffing & Contracted Staff: $317,225 Kaufman Commerce Park Debt Service: $192,000 TxDOT Debt Service: $100,000 Hampton Inn Infrastructure Grant: $100,000 Matching Grants: $75,000 All Other Items: $95,775 TOTAL BUDGET: $880,000

This motion is scored as RESTRAINS_GOVERNMENT (Impact Weight: 8.9/10). Under the Bastiat Liberty Watchdog Index, voting YES on measures that cap or reduce ad valorem tax burdens, expand taxpayer exemptions, retire debt early, enforce competitive bidding caps, or remove regulatory/zoning barriers to private property rights earns a positive Pro-Liberty score.