City of Palmview Adopts 2025-2026 Fiscal Year Budget

Posted on September 23, 2025


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PALMVIEW, Texas -The Palmview City Council has unanimously approved the 2025-2026 Fiscal Year Budget, as presented by City Manager Michael Leo. This significant fiscal plan, valued at $13.7 million, was unanimously ratified during the City Council’s regularly scheduled meeting on September 15, 2025.

The newly adopted budget ensures the maintenance of acceptable service levels across all departments, with a pronounced emphasis on public safety and ambulance services, drainage and infrastructure, and employee retention.

Public Safety comprises 52.4% of the General Fund expenditures with 25.9% dedicated to Police and 26.5% to Fire/EMS.

  • Fire/EMS Expansion: The budget funds two new positions for the Fire/EMS service, ensuring enhanced emergency response capabilities.
  • Employee Compensation: All city employees, except for those in Fire and Police departments, will receive a 3% cost of living adjustment. Fire and police personnel will benefit from step and grade pay adjustments, supporting fair compensation practices.

A notable enhancement in the budget is the increase of nearly $26,000 dedicated to providing comprehensive health insurance for all full-time employees. This new plan offers:

  • $0 co-pay
  • $0 medications
  • $0 deductible
  • $0 hospitalizations

These benefits are designed to ensure that employees retain more of their earnings, contributing to overall job satisfaction and retention.

Palmview’s primary revenue streams are Sales and Property Taxes, EMS collections, and grants. In 2025,  Palmview was awarded more than $3 Million in grants allowing the city to do more for the community.  Grants are a great way for cities to expand their operational budgets.  They help fill the gap between a city’s funds and needs.

The adopted tax rate for this fiscal year is set at 0.5879 cents per $100 assessed valuation, which remains one of the lowest rates in the Rio Grande Valley. This low tax rate reflects the city’s commitment to maintaining affordability for its residents while supporting essential city services.

City Manager Leo says the 2025-2026 Fiscal Year Budget reflects Palmview’s dedication to improving public services and employee welfare, while maintaining financial good judgement and low tax rates for its community.

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