LOCAL GOVERNMENT

Tom Green County taxpayers will see a lower county property tax rate next year — but the county will still collect more in property taxes.

The Tom Green County Commissioners Court on Tuesday approved a fiscal year 2027 budget that will raise $2.05 million more in total property tax revenue than the previous year’s budget, an increase of 3.88%.

The court also approved a lower tax rate of $0.46825 per $100 of taxable value, down 0.25 cents from the proposed rate of $0.47075 and the county’s fiscal year 2026 rate.

The apparent contradiction comes down to the difference between the county’s tax rate and its overall taxable property base.

The county’s fiscal year 2027 no-new-revenue tax rate is $0.45090 per $100 of taxable value. Because the adopted rate of $0.46825 is higher than the no-new-revenue rate, the budget is considered a property tax increase under state law — even though the tax rate is lower than last year’s.

“Because the no-new-revenue is the tax rate, we’re increasing it above that, and so that’s why we have to word it that way,” Commissioner Rick Bacon said during the meeting. “Even though we’re lowering the tax rate from previous, it’s still above what the no-new-revenue rate is. That’s what makes it so confusing.”

Of the $2,047,930 increase in property tax revenue, $850,723 will come from new property added to the county’s tax rolls this year, County Judge Lane Carter said.

The adopted rate is divided between a $0.42044 Maintenance and Operations rate and a $0.04781 Interest and Sinking rate.

Commissioners Make Final Budget Changes

Before adopting the budget, commissioners considered a series of changes to the proposed fiscal year 2027 spending plan.

Carter presented the court with adjustments made since the proposed budget was initially prepared, including salary increases, additional legal expenses, Sheriff’s Office staffing changes and several one-time expenditures.

The largest operating change was a $1,500 salary increase for employees in the S1-S9 and C classes, along with associated benefits. The increase adds $357,630 in expenses, with the general fund covering most of the cost.

The budget also adds $400,000 for Felony 1 assigned counsel because district courts are increasing the flat fee from $750 to $1,500. The fee for a second or additional charge on the same case will increase from $250 to $750.

At the Sheriff’s Office, the county removed one deputy position and reclassified a lieutenant position as a captain, reducing expenses by $68,306. The changes also add a telecommunicator position at a cost of $59,937.

The county’s one-time general fund expenses were adjusted to include:

• $90,000 for repairs to the Mullings Crossing culvert.
• $100,000 for an economic development program with Howard College, funded through unclaimed capital credits received from the Comptroller’s Office.
• $150,000 for a countywide salary survey following a large number of employee reclassification requests.
• A $21,500 reduction in Constable Precinct 1 equipment funding for in-car video equipment, reducing the request to a one-year cost of $6,000 instead of the previously requested five-year cost.

The county also updated revenue and expenditure lines for grants accepted by the court and adjusted grant expenses to account for increased Texas County and District Retirement System rates.

On the revenue side, commissioners reduced projected tax revenue by $282,566 to reflect the lower tax rate.

The budget also reflects a $41,999 decrease in revenue from the City of San Angelo related to its contribution toward the mental health and crisis intervention units.

After the changes, Carter said the county’s current analysis showed a projected operating loss of $395,496.

“That is everything that has been worked on since the proposed budget … and reflecting in the current analysis that we have presented to us showing a $395,496 operating loss,” Carter said. “With that proposed decrease in the rate.”

Commissioners approved the proposed budget changes, 3-2.

The court then adopted the fiscal year 2027 budget in a 4-1 vote.

Commissioners unanimously ratified the property tax increase reflected in the budget before approving the fiscal year 2027 tax rate.