Politics
Texas Law Caps Corpus Christi Property Tax Revenue Growth at 3.5 Percent Annually
Corpus Christi property owners face a 3.5 percent annual cap on tax revenue growth under the state law, producing bills that differ from those in San Antonio and Houston.
How we reported this
The Texas Property Tax Limitation Law caps yearly increases in city property tax collections at 3.5 percent beginning with fiscal year 2026. The measure applies to Corpus Christi and 42 other Texas municipalities that rely on property taxes for more than 40 percent of general fund revenue.
Why the cap takes effect now
State lawmakers passed the limitation during the 2025 session after local governments recorded double-digit revenue growth in the prior two years. Corpus Christi officials must submit their 2026 tax rate calculation to the Texas Comptroller by July 31, the same deadline facing San Antonio and Houston.
Residents will see the change on tax statements mailed in October. A home appraised at 250000 dollars in Corpus Christi would generate an estimated 5250 dollars in city taxes before the cap adjustment, while an identical property in San Antonio would be calculated under that city separate appraisal district rules.
Budget numbers and next steps
City budget documents list property taxes at 312 million dollars for the current year, or 45 percent of the 693 million dollar general fund. Under the new limit the maximum new revenue from this source would reach 323 million dollars for 2026. The council plans a public hearing on the rate on August 12.
Local advocates note that the cap does not alter Nueces County appraisal values or school district levies, which remain outside the municipal limit. The legislation states that any city exceeding the 3.5 percent threshold must call a voter election before adopting the higher rate.
City staff will present the final tax ordinance to the council on September 9. If approved the new rates take effect January 1 2027.