The City of South Padre Island’s proposed FY 2025‑26 budget outlines how the city plans to raise revenues—primarily through a 13.67% property‑tax increase ($1.34 million), sales‑tax collections, and hotel‑occupancy taxes—and how it will spend the money on services, personnel costs, capital projects, and debt service. It lists the total property‑tax rate for the year (0.262159 $/100 valuation), the city’s outstanding debt ($23.3 million), and the major expense categories such as a $344,091 cost‑of‑living adjustment, $1.5 million for health‑insurance, $1.33 million for general services, and $3.58 million in debt‑service payments.
| Property tax increase (amount & percent) | $1,344,581 (13.67%) |
| Total municipal debt principal | $23,295,000 |
| Projected sales tax revenue | $4,058,849 |
| Hotel occupancy tax revenue to fund city projects | $11,853,599 |
| Total debt‑service payments for FY 2025‑26 | $3,578,143 |
| General Services operating budget | $1,331,341 |
| Citywide cost‑of‑living adjustment (COLA) | $344,091 |