New Houston budget does not raise taxes, but 'everything's on the table' next year

Nick Natario Image
Wednesday, May 15, 2024
Houston mayor unveils budget with no tax hikes or fees
Houston mayor unveils budget with no tax hikes or feesAfter saying the City of Houston was broke, Mayor John Whitmire unveiled a new budget that he says doesn't increase taxes, fees, or cuts in services.

HOUSTON, Texas (KTRK) -- Despite calling the city broke, Mayor John Whitmire unveiled his first proposed budget, which doesn't call for an increase in taxes, fees, or cuts in services.

MAYOR'S $6.7B BUDGET

After laying out a grim financial picture, some wondered what it would mean for Houston Mayor Whitmire's first proposed budget. On Tuesday, he had a message.

"The 2025 budget will not raise your taxes, and it will not reduce services," Whitmire said.

Despite the city's financial struggles, Whitmire said the $6.7 billion budget doesn't need new revenue sources. He said it's because they're using nearly $200 million in federal COVID relief money and are finding new ways for departments to operate.

"Things are in place to get through 2025 without raising taxes through efficiencies and collaboration," Whitmire explained.

FIREFIGHTERS RECEIVE INCREASE, WHILE OTHERS REDUCE

Leaders said some of the efficiency savings can be found in department budgets. Several of them could be getting less money.

The parks department would receive $3.7 million less, solid waste would get $5.3 million less, public works would get $700,000 less, and housing and community development would receive about $560,000 less than the previous year.

Not everyone is getting less money, including firefighters. The mayor struck a deal this year to give firefighters backpay and 10% raises next year.

In his proposed budget, the fire department receives an increase of around $40 million. The police department receives nearly $3 million more, the health department receives $1.7 million extra, and the mayor's office would receive about $111,000 more than last year.

HPD leaders said they'd like 2,000 more officers. But that's not in this proposal. Instead, it funds 375 new cadets. Whitmire said he's asking other agencies to work with HPD.

"We need their helicopters," Whitmire explained. "We need their forensic labs. We're going to have force multipliers by collaborating with the other agencies."

"EVERYTHING'S ON THE TABLE" FOR NEXT YEAR'S BUDGET

Whitmire said the city faced a $160 million deficit when he took office. That's why he's using nearly $200 million in federal dollars for this year's budget, which will not be there next year.

"Everything's on the table," Whitmire said. "We're going to listen to Houstonians. We're going to see where the cost savings have gotten us, and then we're going to make tough decisions."

Some ideas city leaders have floated are creating a trash fee, a utility fee, and extending the parking meter times. This wouldn't be for this upcoming budget but the following year.

On Tuesday, when ABC13 asked Whitmire for specifics, he said, "You've been around. You know them. We don't have time to list them, but all of the above."

Whitmire also said they plan to hire a company next week to find additional savings within the city.

"Each department will be examined," Whitmire explained. "For example, I don't believe every department needs a press person."

WHAT HAPPENS NEXT AND HOW YOU CAN WEIGH IN

The proposal now moves to city council. A number of workshops will take place, including one starting on Wednesday.

The council must approve a budget by the end of next month.

To hear from Houstonians, you don't have to go to city hall. Four budget town halls will take place in different areas around the city, and there's a survey Houstonians can fill out as well.

This is a proposal that Whitmire says is a good start, but he knows next year will be harder.

"I inherited a mess on many fronts, and it's time to go work," Whitmire said.

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