City Adopts Balanced Fiscal Year 2027 Budget

Published on September 17, 2026

The budget focuses on essential services and community priorities.

SAN ANTONIO (September 17, 2026) – City Council today approved a balanced $4.4 billion budget for Fiscal Year 2027 that protects essential and legally required services while advancing priorities identified by City Council and the community. The plan balances FY 2027 and FY 2028 while keeping San Antonio financially strong. 

Like many cities, San Antonio faces rising costs, declining property values and state limits on local revenue growth. These conditions left the City with a projected shortfall of nearly $158 million through FY 2028.

The adopted budget addresses the shortfall through a balanced combination of spending reductions, new and adjusted fees and other revenues, and available property-tax capacity. Over two years, the plan includes nearly $90 million in spending reductions, $34.8 million in new or adjusted fees and other revenues, and $90.2 million in available property-tax capacity.

The City’s property-tax rate will increase from 54.159 cents to 56.288 cents per $100 of taxable value. The average homeowner with a homestead exemption will pay approximately $2.95 more per month in City property taxes. At the same time, the City will provide $156.4 million in property-tax relief through its homestead and other exemptions.

The property-tax capacity is available because the City did not use the full amount allowed under state law during the previous two years.

After all adjustments, General Fund revenue is projected to grow by 5.2%, while expense growth is held to 4.3%. The budget continues major investments in public safety, streets, housing, homelessness, animals, senior and human services, parks, libraries and economic development. 

The plan projects almost $49 million in General Fund balance at the end of Fiscal Year 2028 to help address potential financial challenges in FY 2029. 

“Even in a challenging environment, this balanced budget is responsibly focused on our community’s top priorities,” said City Manager Erik Walsh. “It reflects the sound financial management that our residents expect by making almost $90 million in careful reductions, protecting essential services, and continuing to invest in our community’s future.”

Major Investments by Priority Area

Homelessness and Affordable Housing

The proposed budget includes $30.8 million for homeless services. The funding supports a new approach to recurring encampments and completion of the City’s Shelter and Housing Framework.

The budget does not move forward with the low-barrier shelter plan in its current form. Instead, $9 million in interest earnings from housing bonds will be used to expand emergency shelter capacity and to improve a day center.

The budget also includes $37.7 million for affordable housing. The funding will support rental assistance, 497 home repairs, 419 new or preserved affordable homes and down-payment assistance.

Infrastructure

The budget includes $129.8 million for street maintenance, supporting 1,979 projects and covering 534 miles. It also provides $12.8 million to build 12.8 miles of sidewalks and repair another 8.7 miles.

To reduce pressure on the General Fund, $7.3 million in eligible street projects will be funded through the capital budget without reducing the overall street-maintenance program. 

The budget also includes $600,000 to speed up the design of neighborhood and capital projects and $1.4 million for quick-build street projects, traffic-signal technology, speed studies and a test program for rail-crossing alerts.

Public Safety

The General Fund budget includes $676.5 million for the Police Department and $451.2 million for the Fire Department.

SAPD will add 49 officers. This includes 27 officers for the airport’s new terminal. Funding equivalent to 22 vacant park police positions will be transferred to SAPD to create 22 officer positions. The department will have a total of 2,957 officers. 

SAPD will also reduce costs by $5.4 million through lower overtime, administrative savings and eliminating six civilian support positions.

The Fire Department will add nine firefighter positions, bringing its uniformed staff to 1,889. It will reduce costs by $3.7 million through more efficient use of overtime and leave.

Animal Care Services

The General Fund budget includes $38 million for Animal Care Services.

A new veterinary hospital will open during the fiscal year, supported by $1.9 million and 10 additional positions. ACS expects to perform 42,959 surgeries, a 5.2% increase.

The department expects 88% of animals to be placed or released alive and plans to respond to 98.5% of the 51,330 critical calls it receives in FY 2027.

Senior and Human Services

The Human Services General Fund budget is almost $33 million.

The budget maintains senior center hours from 7 a.m. to 7 p.m. and funds operations at the new District 1 Multigenerational Center and the renovated Ella Austin and Kenwood community centers.

Two part-time nutrition sites with low participation will close: South San and Harlandale Briar. Both sites are within five miles of a full-service senior center that provides more services at a lower cost per participant.

Parks and Libraries

The General Fund includes $71.1 million for Parks and Recreation. The budget supports maintenance of nine additional miles of greenway trails, three miles of walking loops and 158 acres of parkland. It also includes $3.8 million for shade structures at 12 playgrounds.

Libraries will receive $58.1 million from the General Fund. The budget supports the Carver Branch Library expansion, safety improvements, new furniture and equipment, and the replacement of 164 public computers.

Both departments will reduce costs by adjusting programs with lower participation and moving eligible expenses to other funding sources.

Economic Development

The budget continues investments that support job creation, private investment, and long-term economic growth. The budget includes $5.6 million for new investments through the Economic Development Incentive Fund. 

Continued Investment Through Restricted Funds

The Airport Fund totals $185.9 million. Construction of the new 850,000-square-foot terminal is approximately halfway complete and remains within scope, on schedule and on budget for completion in FY28.

The budget also includes $54.1 million for Development Services and $171.6 million for Solid Waste. 

The Solid Waste budget includes $3.1 million for the Starcrest Transfer Station, a waste-transfer and disposal facility. It also includes a monthly increase of 75 cents for garbage-cart service and 25 cents for the environmental fee. 

Increased or Adjusted Fees

The budget includes approximately $34.8 million in new or adjusted fees and other revenues over two years. These targeted changes help cover the cost of services and reduce pressure on the General Fund.

Learn more about the budget