Property taxes are on the rise again following the approval of the city’s 2027 budget, though not as much as originally forecast.
The El Paso City Council on Tuesday, Aug. 18, voted 6-2 to approve the Fiscal Year 2027 budget, which includes a property tax rate of 0.798 cents per $100 in value, a slight decrease over the 0.809 cents proposed in July. City Reps. Alejandra Chavez, Josh Acevedo, Deanna Maldonado-Rocha, Ivan Nino, Art Fierro and Chris Canmales voted to approve the new budget while city Reps. Cynthia Boyar-Trejo and Lily Limon voted against.
The rate approved Tuesday is expected to increase annual property tax bills on the average home by $105.
The lower rate was adopted after five City Council members — city Reps. Alejandra Chavez, Cynthia Boyar-Trejo, Ivan Nino, Art Fierro and Lily Limon — repeatedly refused to support the higher rate.
Adopting the lower property tax rate increase results in a $6.4 million decrease in the overall budget. That loss of funding will be made up by slashing previously approved increases. Cuts include $700,000 for a street and park lights program, $1 million to upgrade the Animal Services Department’s fleet, and a $4 million drop in the proposed contingency fund, from $7.8 million to $3.8 million.
The approved budget also allocates $78,000 to a public spay-and-neuter clinic.
While short of what was proposed and approved in July, the budget approved Tuesday still funds pay raises for city employees and provides wiggle room for the collective bargaining agreement still to be finalized with the fire department’s union.
What’s in the budget?
The proposed budget comes in at roughly $1.4 billion, an increase of 1.7% over the 2026 budget, due to rising costs related to maintaining existing services, public safety operations, infrastructure obligations, contractual costs and millions in voter-approved bonds.
Following is a breakdown of some of the key points in the approved budget:
Public safety remains the biggest piece of the General Fund budget at roughly $371 million, though that investment could rise in coming months once the city finalizes its collective bargaining agreement with the El Paso Fire Department’s union.
“We know any tax increase affects household budgets, and we took that concern seriously throughout this process,” City Manager Dionne Mack said in a news release. “The city identified nearly $27 million in recurring savings before asking residents for additional revenue. This budget maintains essential services while providing targeted financial capacity for public safety.”
Adam Powell covers government and politics for the El Paso Times and can be reached via email at apowell@elpasotimes.com.
This article originally appeared on El Paso Times: El Paso approves 2027 budget, property taxes rise $105 a year
Reporting by Adam Powell, El Paso Times / El Paso Times
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By Adam Powell, El Paso Times | USA TODAY Network
