The Fort Worth City Council has approved a budget of $3.33 billion for the 2027 fiscal year and a property tax increase.

According to a press release from the city, the council made the unanimous decision Tuesday evening to increase the budget by $241 million from the previous year. The increase in population, with over 1 million people living in Fort Worth currently, helped shape the 10.81% increase in budget.

City Council also directed the vote to include the restoration of programs that were slated to be reduced. This includes the PetSmart satellite adoption center in the Alliance area, a low number of restored employee positions to avoid service-level impacts, and employee Pay for Performance increases between 4 and 4.5% by April 2027. The cost to restore the positions and services was $4.09 million.

Fort Worth City Council also approved a 2026 tax year rate of $0.70565 per $100 valuation, which is an increase of just over three cents from the current tax rate, according to the press release. On average, residential property in Fort Worth has decreased by $13,616, meaning that even with a higher tax rate, the average property bill decreases by just over $8 from the previous year.

The press release states changes in the property tax landscape can be attributed to several factors:

Growth is not translating into increased values and property tax revenues, largely due to a new reappraisal plan implemented by the Tarrant Appraisal District, which has not reappraised residential property since 2024.

Property tax protest volume is increasing every year.

The potential exists for additional changes at the state level, creating uncertain conditions for budget forecasting.

The funds from the increased property tax rate will go to support the General Fund for operational needs, officials say. The PayGo component of the tax rate will remain the same, meaning sustained cash will be used for infrastructure improvements. The debt service rate will also remain unchanged in order to fully support future bond capacity.

Additionally, increased resident charges for stormwater, water and wastewater, solid waste, and the environmental services, will be used to pay for the cost of service. City Council states this will be an average of $7 per month in the coming year.

Fort Worth’s new fiscal year begins on Oct. 1., 2026.