PRESS RELEASE
City Council Passes Mayor's FY 2026 Budget
Efficiency, Prioritization and Common-sense Solutions Position City For Stronger Financial Future
June 4, 2025 -- Today, Houston City Council voted 14–3 to pass my Fiscal Year 2026 budget -- a $7 billion plan that reflects a reset in how City Hall works for the people of Houston.
My administration spent the past year preparing for this moment. Since taking office in January 2024, we’ve been transparent about the City’s significant budget challenges. In May, we proposed a balanced FY26 budget grounded in fiscal responsibility, service delivery reform, and a commitment to restoring trust in local government.
Key highlights of the approved budget include:
- $122 million in strategic cuts with no reduction in city services
- Pay raises for police, fire, and municipal employees
- Unprecedented investments in public safety
- $184 million dedicated to streets and drainage improvements
- A $12 million boost to the Budget Stabilization Fund
City Council overwhelmingly passed Mayor Whitmire's FY 2026 Budget
Guided by the EY Efficiency Study, we realigned operations, tightened spending, and made tough but necessary choices. The result is a budget that puts Houston on stronger financial footing and delivers real improvements -- especially for communities that have long been underserved.
The new fiscal year begins July 1, 2025. This budget marks a turning point for our city -- and a new chapter in building a stronger, more accountable, and more resilient Houston.
I have voted on many budgets in my career. It's always easy to find fault. Anyone can be a critic and politicize a budget. I am proud of the budget. We were told we couldn't do it, we couldn’t balance it, by our political critics. We ignored and went forward. We have a lot of work to do. This is a giant step, but we need to now talk to Houstonians going forward about what type of city they want to live in.