Heriberto Perez
EL PASO, Texas (KVIA) — The City of El Paso held a special session today, during which the mayor, council members, and city staff proposed reducing the property tax rate for Fiscal Year 2026.
Lowering the tax rate doesn’t mean El Pasoans will pay less in taxes, because property taxes have continued to rise. The decrease in the tax rate will be $0.759649 per $100 of valuation, which the city says is the lowest rate in a decade.
“Lowering the tax rate while continuing to provide stable, high-quality services reflects our commitment to strong financial stewardship,” said City Manager Dionne Mack. “Our focus remains on delivering consistent, reliable services to the community while managing resources responsibly.”
The city also reported that the average taxable value of a home in El Paso increased from $209,718 to $221,191, leading to an average tax bill increase of $83 per year, or about $7 per month, despite the reduction in the tax rate.
Key Budget and Tax Highlights:
Lowest Tax Rate in Over a Decade: Reduced from $ 0.761405 to $ 0.759649, including a lowered debt service rate.
Debt Reduction: The city’s outstanding debt continues to decrease, with a projected drop of $100 million compared to FY 2025—continuing a multi-year trend of responsible debt management and refinancing.
Tax Relief for Seniors and Individuals with Disabilities: The Over 65/Disabled exemption willincrease from $42,500 to $45,000, providing additional savings to over 57,000 homesteads.
Investments in Public Safety and Infrastructure: The budget includes increasing staffing forpolice officers, firefighters, and 911 Communications, adding two new fire stations, a new health clinic, and maintaining $10 million for street resurfacing, along with additional allocations for facility repairs and park improvements.
Restored Funding for Key Services: The proposed budget partially restores funding for vacant positions and facility improvements that were previously cut due to past fiscal constraints.
The city will also host a series of budget hearings:
August 12, 2025 – Public Hearing on the Proposed Tax Rate
August 18, 2025 – Public Hearing on the Proposed Budget
August 19, 2025 – City Council Vote on Budget and Tax Rate Adoption
El Pasoans can learn more about the proposed budget and its impact here.
More updates in later newscasts.
Click here to follow the original article.