=By Edmond Ortiz
The recently passed Fiscal Year 2026 budget for Terrell Hills contains raises for city employees, and a jump in expenses for the fire and police departments.
What you should know
City Council voted Dec. 8 to adopt a $7.4 million general fund budget for the upcoming year, a rise from the $6.6 million estimated final 2025 budget that the council approved last year. Terrell Hills’ fiscal year runs Jan. 1 to Dec. 31.
The town’s new budget features $2 million for the fire department, an increase from the department’s $1.9 million budget adopted for 2025.
The new budget also provides $1.82 million in police department expenditures, a jump from $1.59 million approved last year.
Additionally, the 2026 budget reflects a $1.2 million transfer to the city’s capital improvement fund to cover future street projects. The city also plans to provide a 4.50% cost of living adjustment for staff.
Also of note
Terrell Hills is entering 2026 with a property tax rate of 35.7 cents per $100 valuation, an increase from the 35.4-cent rate that was effective for 2025.
City officials project receiving $8.3 million in general fund revenue in 2026, a rise from the $8.1 million that local leaders projected collecting in 2025.
Local officials attributed the general fund revenue increase to new construction or remodeling of existing properties, and to growing property values.
