The city of Marble Falls is zeroing in on a budget for the 2026-27 fiscal year, with numbers expected to remain similar to this year’s budget, except for a property tax increase aimed at addressing debt payments. 

The first reading of the budget will take place during a public hearing at 6 p.m. on Tuesday, Aug. 18, at Marble Falls City Hall, 800 Third Street. The budget and tax rate will not be adopted at this meeting. The adoptions and final reading are scheduled for another public meeting on Sept. 15. 

See the entire proposed 2026-27 Fiscal Year budget here. Compare it to the 2025-26 Fiscal Year budget here.

The city is proposing a budget for the coming fiscal year with about $41.04 million in expenditures, which is less than the current year’s projected $41.53 million in spending. 

These expenses would be partially funded by a proposed new tax rate of $0.5800 per $100 of taxable property value, which is about 8.41 percent higher than the current year’s rate of $0.5350. 

“The entire increase in the rate is attributable to debt service,” reads the message from City Manager Caleb Kraenzel in the proposed budget packet. 

The debt he is referring to is mostly to cover payments and interest on the city’s new wastewater treatment plant, a second fire station to cover the south end of the city, the new Avenue N bridge, downtown improvements, and other capital projects. 

In total, the city projects that it will bring in about $40.85 million in revenues, mostly from property taxes, utility payments, and sales tax.

Marble Falls relies heavily on sales tax to support its annual budgets, with a projected $10.8 million expected for the 2026-27 Fiscal Year, a near 2.5 percent increase from the current year’s expected sales tax revenue of $10.54 million. 

dakota@thepicayune.com