Texas city weighs budget that would add $86 to tax bills, and raise utility rates 13%

In Alvin, Texas, homeowners could soon be paying more to stay in their homes and keep up with monthly utility bills.

City officials presented a proposed budget earlier this month that would raise both property taxes and utility costs.

Here's what to know

According to The Alvin Sun, under the spending plan city staff delivered, the city would levy 70.0635 cents in property tax for every $100 of taxable value in 2026-2027, compared with the current 68.5-cent rate.

That figure sits more than 4 cents above Alvin's 66.0463-cent no-new-revenue rate, the level that would bring in roughly the same total property tax revenue as the previous year based on updated property values.

Based on the staff proposal, the owner of an average Alvin home would owe $86.60 more over the year. The average home value is rising from $206,031 to $215,567, which comes out to about $7.22 more per month, the Sun reported.

The City Council set the upper limit for the tax rate through a record tax vote. The final rate can still be lowered during the remainder of the budget process, but it cannot go above that ceiling.

More background

Taxes are only part of the picture under the proposed budget. Alvin households would also face a 13% increase in utility rates if the plan is approved.

Monthly water bills would rise across usage tiers. The Sun reported the residential base charge for 2,000 gallons would move from $27.15 to $30.68. Customers using between 2,000 and 7,000 gallons would pay $7.83 per 1,000 gallons instead of $6.93, while usage above 7,000 gallons per month would be billed at $11.98 per 1,000 gallons rather than $10.60.

Sewer service is also slated for higher charges. The residential base 2,000-gallon sewer charge would go from $42.08 to $47.55, and the volume charge would increase from $6.93 to $7.83 per 1,000 gallons.

Garbage collection costs are expected to rise as well.

A tax-rate public hearing is tentatively scheduled for later this month.

A separate public hearing on the full budget is scheduled in September during the same City Council session when both items are expected to be voted on, the Sun reported.

Even if the final rate is set below the current ceiling, the proposal shows how quickly housing-related costs can climb when taxes, water, sewer, and trash charges all increase at the same time.

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