Most cities, counties, and school districts are right now in the process of adopting budgets and determining tax rates for the next fiscal year. In some cases, these local decisions will increase the cost of government and put upward pressure on property tax bills.
Given the very real prospect of tax increases, now is the time for Texans to learn what’s happening in their communities and get involved in the decision-making process—while there’s still time. Doing so could mean the difference between affordability and out of luck.
To illustrate what may be at stake, consider the city of Irving.
According to the city’s Notice of Public Hearing on Tax Increase, the average Irving homeowner’s tax bill may soon rise by 8.44%, or $151.57 more per year. Should this happen, the city’s total tax burden will grow from $1,796.32 this year to $1,947.89 next year.
The reason for this proposed tax increase is the city’s unwillingness to lower its tax rate in response to rising property values. For the coming year, city officials have suggested keeping the tax rate unchanged, at $0.5891 per $100 of value, despite the fact that the average homestead’s taxable value is expected to climb by 8.44%. The city has discretion in the tax rate-setting process, but appears unready to use it to properly balance rates and values.
In an ideal world, city officials would reject the proposed tax rate and adopt the no-new-revenue (NNR) tax rate instead. The NNR rate is the tax rate that would effectively hold tax receipts constant and “giv[e] homeowners and businesses a chance to catch their breath.” For FY 2026, the NNR rate is $0.53857 per $100 of value or approximately 5-cents less than what is currently being considered.
A formal hearing and discussion on the city’s tax rate will occur shortly, per its public notice.
- A Public Hearing on the Proposed Tax Rate will be held on Aug. 28, 2025, at 7 p.m. at Irving City Hall, 825 W Irving Blvd.
- A Public Hearing on the Proposed Tax Rate will be held on Sept. 4, 2025, at 7 p.m. at Irving City Hall, 825 W Irving Blvd.
