FREEPORT, Texas — Freeport homeowners could see the city’s property tax rate drop this year — but that does not necessarily mean their tax bill will go down.
The Freeport City Council is scheduled to consider a proposed 2026 property tax rate of $0.499186 per $100 of taxable value during its Sept. 8 meeting, according to the council agenda.
That would be lower than the current rate of $0.514210 per $100, a decrease of about 2.9%.
But the city’s own taxpayer-impact estimates show the annual city tax bill on an average homestead could still rise by about $38.
Lower Rate, Higher Estimated Bill
Freeport’s taxpayer-impact statement compares several possible tax-rate scenarios.
Under the current fiscal year, the city lists an estimated average homestead tax bill of $587.62.
At the proposed $0.499186 rate, the estimated bill would rise to $625.89, an increase of $38.27, or roughly 6.5%.
The reason is relatively simple: a tax rate can go down while a property owner’s tax bill goes up if taxable property values increase enough.
The city’s proposed FY 2026-27 budget projects $409,000 more in General Fund property tax revenue, based on preliminary property values from the Brazoria Central Appraisal District.
Freeport Has Been Lowering Its Tax Rate
The proposed rate would continue a multi-year decline in Freeport’s property tax rate.
City financial records show the rate stood at $0.60 per $100 valuation in 2022 and 2023, fell to $0.533000 in 2024, $0.514967 in 2025 and $0.514210 for the current fiscal year.
If council adopts the proposed $0.499186 rate, it would mark the first time in recent years that Freeport’s rate has fallen below 50 cents per $100 valuation.
Other Tax Rates Are on the Table
The city’s official 2026 tax-rate notice lists a no-new-revenue rate of $0.444922 and a voter-approval rate of $0.487316 per $100 valuation.
The Sept. 8 council agenda identifies the higher $0.499186 de minimis rate as the proposed rate under consideration.
Under the city’s estimates, the no-new-revenue rate would result in an average annual city tax bill of approximately $557.86, while the voter-approval rate would produce an estimated bill of about $611.01.
Budget Includes New Jobs, Vehicles and Capital Projects
The proposed FY 2026-27 budget includes several changes beyond property taxes.
Among them are a 3% salary increase for city employees, new positions in parks, streets, IT, recreation and community development, and an 18.4% increase in health insurance premiums.
The budget also includes funding for three new police vehicles, an ambulance, police camera upgrades, street and drainage projects, waterline improvements and a $1.5 million City Hall project funded through the Port Settlement Projects Fund.
Council Set to Vote Sept. 8
Freeport City Council is scheduled to hold public hearings and consider adopting both the FY 2026-27 budget and the 2026 property tax rate during its Sept. 8 meeting.
Until council votes, the proposed tax rate and budget are not final.
For individual homeowners, the exact amount owed will depend on their own taxable property value, exemptions and other factors — meaning some residents could see a larger increase, a smaller increase or even a decrease.
Gulf Coast Times will continue following Freeport’s budget and tax-rate process as council moves toward final adoption.