By JACQI LEYVA-HILL
Special to the PRESS
Port Isabel commissioners voted Aug. 25 to advertise a proposed 2026 property tax rate of $0.790416, matching the total rate used in 2025, after reviewing the city’s fiscal year 2027 budget and tax rate during a workshop.
City Manager Jared Hockema told commissioners the current budget draft projects an approximately $203,000 citywide surplus based on maintaining the existing total tax rate.
Hockema said increased property valuations have helped absorb most of the city’s additional debt-service requirements. He said approximately two cents remained associated with the additional debt service and estimated those two cents would amount to roughly $97,000 in additional revenue. Hockema estimated the difference for the average homestead under the tax-rate scenarios discussed at approximately $23.
The proposed budget also includes employee compensation adjustments. Hockema proposed a 3% increase for employees who did not receive an increase during the current fiscal year, as well as an additional targeted increase for police officers.
Under the proposed salary schedule, Hockema said the starting salary for Port Isabel police officers would be approximately $52,000. He told commissioners the figure represents base pay and does not include overtime.
The proposal also includes a pay and title adjustment for one police department employee. Hockema said the employee’s duties have expanded over the years and proposed changing the position to department administrator to reflect those responsibilities.
Hockema said the proposed compensation adjustments would reduce the projected $203,000 surplus to roughly $50,000 if included in the budget. He said staff would continue reviewing revenues and potential expenditure reductions to provide a larger budget cushion. Hockema also said he believed the proposed salary schedule would bring the city’s lowest wage to approximately $15.59 per hour.
Following the workshop, commissioners considered an Old Business item calling for discussion and potential action to advertise a proposed tax rate. The commission approved advertising the $0.790416 rate by recorded vote. The action was to advertise the proposed rate and did not constitute final adoption.
The agenda listed six closed-session items, including pending litigation styled Fuentes et al. v. City of Port Isabel & Hockema and James Traya, Jr. v. City of Port Isabel Police Department & John Ramirez. Other listed matters included pending or contemplated litigation related to hotel-motel tax collection, two matters involving city-owned property and possible release of the city’s extraterritorial jurisdiction. Commissioners did not enter closed session on any of the listed items and instead moved to adjourn the meeting.
Hockema identified Sept. 8 as the first hearing date in the city’s continued consideration of the tax rate. Under the city’s regular meeting schedule, Sept. 8 is also the next regular commission meeting date at 6 p.m.