Wichita Falls City Council members on Tuesday held a public work session on a proposed 2026 budget that would raise more money from property taxes while lowering the tax rate.
They also heard about possible alternatives to a proposed increase in utility bills.
The proposed $252.7 million budget for fiscal year 2026 represents a $10.7 million increase from 2025.
Chief Financial Officer Stephen Calvert told councilors the Wichita Falls tax rate is 24% lower than comparable Texas cities — some of which are proposing rate increases.
“And we’re proposing a decrease,” he said.
Mayor Tim Short asked, humorously, “How can that be when social media says we pay more than everyone else?”
The additional revenue comes from an average 3.5% increase in property values over the past year.
Calvert said the average tax levy on a typical property owner is 3.1% higher, which translates into a $2.68 monthly increase in taxes.
The city will hold a public hearing on the budget and tax rate at 8:30 a.m. Aug. 19 in the Seminar Room of the Multi-Purpose Events Center, 1000 Fifth St.
Calvert said the council will vote to adopt it on Sept. 2. The city’s fiscal year begins Oct. 1.
The proposed budget also calls for an increase in water and sewer rates by 2%.
But Calvert said an alternative could be paying off some capital debt that’s expiring soon, and using the savings to neutralize the proposed increase or even reduce the rates.
“We’ve got flexibility,” Calvert said. “This particular item we’re looking for council guidance on.”
Public Works Director Russell Schreiber told the City Council that rolling off the debt could provide an opportunity to use the savings on needed improvements before incurring more debt soon to build Lake Ringgold.
Calvert presented a slide that showed Wichita Falls water and sewer rates are lower than many comparable cities.
Short repeated, “How can this be? According to social media, we have the highest water rates in the state of Texas.”
Calvert said the posters often use old or incomplete data.
The proposed budget anticipates flat sales tax revenue for 2026.
Calvert said proposed raises for city employees will help the city catch up with other cities.
Human Resources Director Christi Klyn said police fire pay is 18% behind peer cities while hourly positions are 10 percent behind, salaried positions are 5% behind and director level positions are 10 percent behind.
This article originally appeared on Wichita Falls Times Record News: Wichita Falls City Council hears possible alternatives to utility rate hikes
Reporting by Lynn Walker, Wichita Falls Times Record News / Wichita Falls Times Record News
USA TODAY Network via Reuters Connect
