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Colleyville Crime Control & Prevention
3,878,893 4 ,162,684 7.3%
District (CCCPD) Operating
Hotel Tax Fund Operating 285,827 260,439 -8.9%
Miscellaneous Special Revenue Funds
1
315,732 323,962 N/A
1
Operating
Capital Improvement Projects 22,434 ,494 23,472,628 4 .6%
Total $ 86,852,661 $ 94 ,476,616 8.8%

Municipal government is a service business, and the predominant expense category in the
Budget is always personnel and the associated salary and bene{t expenses. Personnel costs
comprise 31.4% , or $29.7 million, of the FY 26 net Budget. Personnel costs in the Budget are
9.2% more than the prior year's budget due to merit-based salary increases, compensation
study implementation, and healthcare cost increases. The increase in personnel costs
accounts for most of the increase in each operating budget noted above.
The largest portion of the budget is the General Fund operating budget at $31.3 million or
33.1% of the FY 2026 budget, a 7.7% increase. Debt Service accounts for just 1.8% , or $1.7
million, of the net budget. The Debt Service 9.9% increase is attributable to the new
replacement Engine Truck the City is purchasing for the Fire Department.
Proper ty and Sales Tax
Taxable property values increased 2.8% for the 2025 tax year, when compared to the 2024
certi{ed values. The total FY 2026 proposed tax rate is $0.311931 per $100 taxable value,
versus the 2025 rate of $0.276204 . While an increase was required to balance this budget, it
was partially offset with the 7% increase to the 14% homestead exemption. This offset
resulted in a net decrease in property taxes for residential homestead property (assuming
no change in other variables).

Sales tax has been a growing source of revenue for the City over the last several years. Sales
tax revenues help offset the amount of property tax revenue that is required for operations.
The City ’s sales tax remains strong. The budget includes sales for the General Fund at $5.3
million in revenue. When combined with the Colleyville Economic Development
Corporation ($2.65 million) and Colleyville Crime Control and Prevention District ($2.75
million), the total Colleyville sales tax revenue is $10.7 million.
User Fees and Charges
Customer water and wastewater rates are comprised of two components: base rate, or the
City ’s associated utility costs; and the volumetric rate, or the pass-through rate charged by
Trinity River Authority for actual consumption. For Fiscal Year 2026, Colleyville will
implement updated water and wastewater base rates to address the increasing operating
costs of the City's water distribution and wastewater collection system. These adjustments
are necessary to cover in|ationary costs, rising chemical costs, insurance, personnel, and
other essential operational expenses. The average residential user will see their base bill
increase by $1.67 per month. It is important to note that these changes apply to the base
rates, and the cost of water used is billed separately as a direct pass-through from the City ’s
water and wastewater service provider, Trinity River Authority (TRA).

In addition to the water rate adjustments, the City will increase the drainage utility rates to
support much-needed capital improvements. For residential properties, the drainage rate
will increase by $2 this year, from $12 to $14 per month. Non-residential properties will also
see an increase, though the speci{c amount will vary depending on the property. These
adjustments are necessary to fund essential drainage infrastructure projects and to ensure
the long-term sustainability of the City's drainage system.

Employee Staf{ng

FY 2025-2026 Annual Budget | Colleyville Page 11