Bexar County is navigating a challenging financial landscape, yet County Manager David Smith has assured residents that he does not intend to propose a property tax rate increase. This decision comes despite a projected $145 million deficit for the Fiscal Year 2028-2029.

Fiscal Challenges Ahead

Speaking at a State of the County event hosted by Metro SA Chamber, Smith emphasized the fiscal challenges, comparing the current situation to the 2008 housing crash. The county relies heavily on property tax revenue, which is expected to decline this year. Despite having reserves, the county is preparing for a tough budget process.

Smith stated, “I can tell you it’s not my intention to propose a budget that has a property tax rate increase. Hasn’t happened in 30 years. I don’t want to be the first to do it.”

County and City Budget Strategies

Bexar County Judge Peter Sakai, who will be leaving office at the end of the year, is tasked with addressing the budget gap alongside the county commissioners. They will also need to decide if any programs funded by the American Rescue Plan Act (ARPA) can be sustained through other means.

Sakai acknowledged that some service cuts are inevitable, stating, “We have to balance our budgets, and so we will ask that all these positions that get — especially those created by the federal funding, ARPA money — will have to come back, and we’ll have to see what the return of investment is on those particular positions and those allocations.”

He emphasized the importance of maintaining public safety and addressing basic needs such as food security, housing, and economic development.

Meanwhile, the City of San Antonio is also facing a budget shortfall and is considering both cuts and a potential increase in property tax rates. Both the county and city fiscal years run from October 1 through September 30.

Original reporting: San Antonio, TX News (HLL/CB) — read the source article.