Houston Mayor Proposes Balanced $7B FY 2026 Budget

Houston Mayor John Whitmire has proposed a $7 billion budget for fiscal year 2026, aiming to eliminate a projected $300 million deficit without raising taxes or fees, though future increases are not ruled out. The plan prioritizes public safety with a potential 10% police pay increase this year and a five-year contract to raise police salaries by 36.5% through 2029. Cost-cutting measures include retiring over 1,000 city employees through voluntary buyouts and implementing external audit recommendations to improve efficiency. Nearly $500 million is allocated for drainage and street repairs, the most in recent years. The budget will undergo a month-long city council review and public hearings before approval. Whitmire highlighted the challenge of diminished federal funding while pledging to streamline city operations and protect key services.