Carrollton City Council voted to adopt the City’s annual budget at Tuesday’s Council meeting while approving a reduced property tax rate for the 13th year in a row.

The Fiscal Year 2027 budget, beginning October 1, lowers the property tax rate from 0.537500 to $0.537000 per $100 assessed value, the lowest rate since 1989. The City’s Senior and Disabled Exemptions will remain at $110,000.

The average homestead market value is $419,401 with an average taxable value of $339,580. Based on this rate, taxes on the average homestead with the 20 percent homestead exemption and applicable value caps will be $1,824, a $72 decrease from the Fiscal Year 2026 amount of $1,896.

The City’s overall strategy for managing the City’s infrastructure includes utilizing a combination of capital debt and paying for certain capital improvement projects on a pay-as-you-go basis. Taxes used for pay-as-you-go capital improvements are classified as Maintenance & Operations, regardless of the size of the project. More than $118 million in capital infrastructure for projects multi-year in nature is planned for Fiscal Year 2027. 

New stormwater fees will also begin October 1. The fee, which will follow a tiered structure, will be applied to Carrollton utility customers’ monthly bills. Approximately 80 percent of residential properties will fall into Tier 2 at a rate of $7.25. Carrollton joins many other North Texas cities that have implemented stormwater fees, including Addison, Coppell, Farmers Branch, Lewisville, Plano, and more.

In November 2025, City Council unanimously approved the ordinance establishing a stormwater fund, providing a dedicated revenue source for maintenance and improvement of the City’s stormwater drainage system. The fund’s associated fee will also support critical capital improvement projects, such as drainage infrastructure, channel improvements, flood mitigation, and dam enhancements. For more information, including FAQs on the new ordinance, visit Utility Customer Service

Sanitation service fees will also see a slight increase from $26.30 to $27.36 for Carrollton solid waste customers. The adjustment for base services is due to contractual increases with Republic Services, the City’s solid waste provider.

For more information on the City’s adopted annual budget and property tax rate, visit cityofcarrollton.com/finance and cityofcarrollton.com/taxes.

FY27 One Sheet Summary