**Where the money comes from** The proposed budget projects $69.4 million in general fund revenue, a slight increase from last year. The biggest sources are: - Property taxes: $28.5 million (about 41% of the fund). That’s up more than $2 million from FY 2025. - Sales taxes: $23.7 million, holding steady compared to last year. - Franchise fees (utility, cable, and service charges): $5.4 million. The tax rate stays at $0.61 per $100 of property value, the same as FY 2025. But total collections rise by 6.4%, mostly thanks to new properties added to the tax rolls as the city grows. **Where the money goes** Most of the city’s general fund spending focuses on basic services and safety. Proposed allocations include: - Police: $20.9 million, or nearly 28% of the general fund. - Fire: $19.3 million, about 26% of the fund. - Streets: $8 million, about 11%. - Parks and Recreation: $4 million, around 5%. In total, public safety alone takes up more than half of the city’s general fund budget. **What’s changing from last year** Public safety spending is growing. The police budget is set to rise from $18.7 million this year to $20.9 million, while the fire department’s climbs from $16.5 million to $19.3 million. Street funding is also increasing, from $6.7 million to $8 million. Parks and Recreation will see a big dip, from $5.9 million this year to $3.95 million. Overall, the general fund will spend $75 million, up about 10% from estimated spending in FY 2025. Even with those increases, the city plans to draw down reserves slightly, leaving an estimated $31.7 million balance at the end of FY 2026 compared to $37.3 million this year. **Other major expenses** Beyond the city’s general fund, several areas stand out. The water and wastewater utilities are major pieces of the budget, covering everything from production and treatment to system upkeep. The Community Development Fund supports the Civic Center, Sports Complex, and beautification projects around town. **The bottom line** Waxahachie’s proposed 2026 budget reflects a growing city trying to keep up with demands for police, fire protection, and better streets — while still putting money into parks, tourism, and utilities. The tax rate isn’t changing, but with rising property values and new construction, the city expects to collect millions more in revenue to fuel that growth.