San Angelo City Council Advances Budget

SAN ANGELO, TX – The San Angelo City Council on Tuesday approved financial items, including the first reading of the 2025-2026 budget and property tax rate, along with funding for flood recovery, new 911 recording equipment, and human resources software.

911 Recording System

Council approved a $93,870.60 contract for 911 recording equipment through Equature Recording Solutions, funded from the general capital projects fund. Sgt. John Bouligny, SAPD Communications Director, said recorders must be replaced every five years and the new system will consolidate call and radio traffic recordings. The Concho Valley Council of Governments covers the regional portion of the cost.

Human Resources Software

The council approved a $44,000 amendment to the Central Square agreement to purchase a Human Resources Information System from vendor UKG. HR Director Veronica Sanchez said the system will eliminate paper forms and allow employees to access promotions, salary, and benefits in one platform.

Airport Tax Note

A $1.11 million tax note, Series 2025, was authorized to help fund a south taxi lane at San Angelo Regional Airport. Finance Director Tina Dierschke said the note, maturing in August 2026 at 3.5% interest, will be paid from existing debt service funds and will not raise the city’s tax rate.

2025-2026 Budget

Council held the first reading and public hearing of the 2025-2026 operating budget, which increases property tax revenue by $5.7 million, a 9.7% rise over last year. Of that, $861,795 will come from new properties added to the tax roll. The budget funds police training and software, fire department overtime and equipment, an additional animal services officer, software upgrades, retiree insurance, and 5% raises for employees.

The adopted property tax rate for 2025-26 is $0.7947 per $100 valuation, up from $0.7544 the previous year. The new no-new-revenue tax rate is $0.7246, while the voter approval tax rate is $0.7947. The debt tax rate rose to $0.1637 from 0.1294.

The total amount of municipal debt obligations secured by property taxes is $119,035,000.

Council also ratified the property tax revenue increase in a separate roll-call vote, which passed unanimously.

Because this was the first reading, the budget and tax rate will return to council for final adoption at a later meeting.

Property Tax Rate

Council also approved the first reading of an ordinance setting the property tax rate at $0.7947 per $100 valuation, an increase of $0.0403. Officials said the rise is primarily due to the Coliseum bond issue and remains below the 4.7-cent increase projected when voters approved the bond.

North TIRZ Incentives

Council approved $75,000 in North Tax Increment Reinvestment Zone funding for paving and safety improvements at a new gymnasium at 216 W. 5th St. The property owners will provide a $13,925 match.

In addition, council adopted a resolution setting aside $1 million in North TIRZ funds for commercial and multifamily properties affected by the July 4 flood. Up to 72 properties are eligible to apply for up to $55,000 each within a 90-day window, with no matching funds required.

Other Business

Consent agenda approvals included easements, a parking encroachment, amendments to airport leases, firefighter gear purchases, banking services, rezoning in the Lasker Addition, a planned development update at 50 E. 43rd St., and budget amendments for health insurance claims, flood response, and other programs.

Executive Session and Appointments

In closed session, the council discussed business prospect negotiations, real estate deliberations at 7409 Knickerbocker Road, and tracts totaling more than 680 acres.

Council also appointed William Kitch to the Parks & Recreation Advisory Board and Jennifer Juarez to the Planning Commission.

All action items passed unanimously, 7-0.