Friendswood homeowners will pay more in city taxes starting in fiscal year 2026-27 after the City Council voted to set a tax rate one penny above the no-new-revenue rate.

The council voted 6-1 on Monday, Sept. 14, to adopt a rate of $0.52483 per $100 of home valuation, Community Impact Newspaper reported. Council Member Randy Hale cast the lone dissenting vote on the tax rate.

In a separate 5-2 vote, the council passed an amended $128.8 million budget for the fiscal year. Council Members Hale and Trish Hanks voted against the spending plan.

The adopted rate landed well below where budget talks started. Staff had initially proposed a rate roughly four cents higher than the current rate, according to an August Community Impact report. The final rate is $0.03488 lower than that initial proposal, according to city documents.

For a Friendswood home valued at $460,000, the annual city tax bill under the new rate will be $1,931.42.

$1.7 million in cuts

To bring the rate down, the council approved $1.7 million in budget amendments before the final vote. The cuts trimmed the overall budget from $129.4 million to $128.8 million.

Among the items removed: $600,000 for a fire and EMS variable refrigerant flow establishment, $500,000 in deferred maintenance and $500,000 for a severe weather reserve. The council also cut $150,000 for special election services, $28,400 for the economic development division, and $17,500 for recodification services. A $48,000 line item for Christmas in the Park was transferred to the Friendswood Downtown Economic Development Corporation rather than eliminated.

The amendments also added a $150,000 salary for a new deputy city attorney position.

Split on the dais

The vote split the council. Mayor Mike Foreman voted for both the budget and the tax rate but said the cuts amounted to deferring problems for future leaders.

"I'm sad to see this because I think it's important that we do this investment for our city, like the vehicle replacement," Foreman said at the Sept. 14 meeting. "But I get it, we're trying to pass a budget, we're trying to pass a tax rate up here."

Hale, who voted against both measures, thanked staff for their work trimming the budget but said he wanted deeper reductions. He said he would have preferred to pass the no-new-revenue rate.

The lower tax rate is expected to reduce city revenue by $2 million for the fiscal year, partially offset by a $300,000 increase in projected sales tax revenue.