A major infrastructure overhaul for downtown San Angelo is expected to dominate Tuesday’s City Council meeting, where members will consider awarding a $13.2 million construction contract for the next phase of the Chadbourne Street revitalization project.
The proposed work—Phase B—would be awarded to Reece Albert, Inc., contingent on approval from the Texas Department of Transportation.
This phase of the project includes roadway and pedestrian improvements from Beauregard Avenue, north to 6th Street, continuing the design and elements established in Phase A.
According to documents published by the city under project ES-03-25, the work will encompass roadway reconstruction, new sidewalks and pedestrian elements, traffic signal and streetlight replacements, and installation of new landscaping and streetscape amenities such as benches, trash cans, and bicycle racks.

The city has already allocated funding for the project through a combination of sources:
- Intergovernmental Funds: $4,010,324
- Tax Increment Reinvestment Zone (TIRZ) Fund: $1,772,779
- 2024 Streets Certificate of Obligation Fund: $7,505,140
In another agenda item, council members will vote on whether to allocate up to $1.8 million in matching funds to participate in the Emergency Watershed Protection (EWP) Program through the National Resource Conservation Service. The funds would allow the city to purchase properties and undertake related activities to mitigate future flood risks. City officials have stated in past meetings that this is a proactive move to protect flood-prone areas and prevent costly damage in future storms.
Council is also set to approve new contracts and organizational changes to the city’s tourism and economic development operations. One agenda item seeks ratification of the termination of the City of San Angelo Development Corporation’s (COSADC) agreement with the Chamber of Commerce, replacing it with a new one-year contract not to exceed $476,000.
Meanwhile, the Destination Marketing Organization (DMO)—tasked with promoting tourism—may receive council approval for a new contract to manage Hotel Occupancy Tax (HOT) revenues. The funds are designated for eligible marketing activities to boost local tourism.
On the financial front, council will hold public hearings and second readings on two significant ordinances– One being the proposed 2025-26 city budget, which totals over $5.7 million more in property tax revenue than the prior year—a 9.7% increase. Of that, nearly $862,000 would come from newly added properties.
The other ordinance sets the ad valorem tax rate that supports this budget. Both items are expected to generate public comment due to their impact on local taxpayers.
Another item to be considered is a budget amendment for the current fiscal year, which would authorize one-time spending on projects and equipment, as well as short-term debt issuance. Finance Director Tina Dierschke will present both the current-year amendment and next year’s full budget package.
The meeting begins at 8:30 a.m. Tuesday in the McNease Convention Center South Meeting Room, 501 Rio Concho Drive. The meeting is open to the public.


