Katy homeowners would see a small property tax cut under a rate the City Council is scheduled to adopt Monday, Sept. 28.

The proposed rate of $0.420 per $100 of assessed valuation is a half-cent drop from the current $0.425 rate. For the median-valued homestead, that translates to a $6.70 decrease, bringing the estimated annual city tax bill from $1,559.34 to $1,552.64, according to a taxpayer impact statement in the meeting agenda.

The rate still needs a final vote.

It also exceeds the no-new-revenue rate of $0.407051, meaning the city will collect more in total property taxes than it did last year. The proposed FY 2026-27 budget raises $1,508,112 more in property tax revenue than the current budget, a 5.8% increase. Of that, $241,066 comes from new property added to the tax roll.

All five council members voted in favor of the proposed rate at the Aug. 24 meeting: Mayor Pro Tem Gina Hicks, Johnston Dietz, Paul Follis, Michael Meihls and Paula Taylor. Mayor Dusty Thiele was present and did not vote.

The council held a public hearing on the budget Sept. 14 and postponed action to the Sept. 28 meeting.

More than $2 million in infrastructure bids

Three infrastructure contracts are also on the agenda:

• Sanitary sewer rehab: $383,385 to Bull-G Construction of Houston, with a total project cost of $441,785 including contingencies and engineering.
• Snow Goose Trail Phase 1: $1,164,627 to Castillo Aranda of New Caney for civil improvements, with a total project cost of $1,570,979. Funding comes from Parks Permanent Improvement Bonds, Series 2022. The project also requires an interlocal agreement with the Brookshire-Katy Drainage District.
• Paving and drainage: $496,018 to AAA Asphalt Paving of Pinehurst, with a total project cost of $520,818 including contingencies. Separate engineering proposals with ARKK Engineers cover Tubular Drive roadway improvements and Katy West drainage and paving work.

Zoning, MUD bonds and development items

The council will hold a public hearing on a proposed amendment to the Katy Court Planned Development District (PDD), which would add roughly 3.43 acres to the existing district. The City Planning and Zoning Commission recommended approval Sept. 8.

Katy West Municipal Utility District, also known as Fort Bend-Waller Counties MUD No. 2, is seeking council authorization to issue up to $16,675,000 in unlimited tax bonds.

Three Katy Development Authority (KDA) items round out the agenda:

• An easement acquisition on Morton Road for up to $83,534 for the Morton Road Widening Project.
• A traffic signal at Katy Hockley Cutoff and Heritage Drive for up to $366,597.
• A road improvement agreement with Pederson Road Town Center-139 for the Texas Heritage Marketplace for up to $175,000.

The meeting begins at 6:30 p.m. at Katy City Hall, 901 Avenue C. Residents can attend in person or watch the livestream at cityofkaty.com/live.