The Houston City Council voted 15-1 to approve a $7.5 billion budget for fiscal year 2027, a spending plan that creates a new $5 monthly trash fee and restructures how the city funds solid waste operations. It also includes a series of council-driven amendments totaling millions in redirected spending.
“Houston is a strong city. It got stronger today,” said Mayor John Whitmire in a press conference. “It lays the foundation for Houston to be on a sound financial footing going forward. It certainly is not the final solution, but it certainly addresses our basic services, our finances, and our public safety. You don’t raise property taxes when people are concerned about affordability. That’s been repeated as we travel across Houston, presenting this budget.”
Council Member Edward Pollard cast the lone dissenting vote, citing years of overspending and no evidence that the pattern would change, while Council Member Tiffany Thomas was absent.
“Over the last two fiscal years, our city has faced the largest budget deficits in the city’s history,” Pollard said. “When we asked the mayor after the first budget on how we were going to correct the overspending problem, his response was, ‘Trust me.’…What’s the point of going through this entire process if we overspend by so much? Are we getting better streets, more affordable housing, less homelessness, better trash collection, stronger infrastructure? The answer is no.”
The Houston People’s Budget coalition, which has been opposing the trash fee, walked out in protest when the budget passed.
Revenue
Five dollars is not small.
— Defender Network (@defendernetwork) June 9, 2026
Houston’s proposed trash fee could help the budget, but families feel every added bill. Share your take. What makes a city fee feel fair?@whitmire_john@CGHollins@salliealcorn@PollardforHTX@salinasforhtxhttps://t.co/c1gxUYqZnh pic.twitter.com/a4fG9CKapF
The General Fund totals $3.2 billion and is anchored by two new revenue strategies projected to generate roughly $220 million in relief and reduce the projected deficit.
The first is the $5 monthly solid waste administrative fee per household. locked at that rate for FY2027 and FY2028, with a cap of $25, requiring council approval for any future increase. The fee will appear on August water bills. The second transfers a right-of-way rental fee from the Combined Utility System to the General Fund, capped at 5% of gross CUS revenues. It funnels $104 million into the general fund.
Opinions on the budget
City Controller Chris Hollins, who had toured neighborhoods opposing the budget, certified it, but clarified that it was not a “stamp of approval” but a mathematical calculation that means the City can pay its bills for the next 12 months.
“This budget deserves an ‘F’ for transparency and accountability,” Hollins said after the budget passed. “It’s disappointing that Council approved a budget that repeats deficit spending, pushes the City closer to minimum reserve thresholds, and shifts more costs onto working families.”
Whitmire pushed back, saying the budget represented hard-won cooperation among council members.
“They knew that no budget is perfect,” he said. “It’s easy to vote no on a budget. You can always find something you don’t like,” he said, noting the city had reduced the size of government by 2% this year and addressed excesses to balance the budget.
Several council members described their yes votes as difficult but necessary.
Council Member Amy Peck, whose amendment locked the trash fee at $5, said the safeguards built into the ordinance were what brought her around.
Council Member Tarsha Jackson said the communities she represents need urgent attention.
“District D has waited too long for basic services, fair investment, and real delivery,” Jackson said. “This budget is not perfect, but perfect cannot become the enemy of progress. For too long, communities like Sunnyside, South Park, South Union, Third Ward…and other neighborhoods across District B have been asked to be patient while problems around them got worse.”
Amendments that passed
Council members reshaped significant portions of the budget through amendments.
Council Member Julian Ramirez (At Large, Position 1) secured $216,000 to fund a fourth crisis call diversion position at the Houston Emergency Center, projected to handle 4,800 additional calls and save $1.3 million by reducing police responses, along with $115,000 for a licensed therapist to ride with HPD on crisis calls.
“Oftentimes, these calls do not involve a crime necessarily or a health emergency. Many people call because they just don’t know who else to call, or they’re at the end of their rope,” Ramirez said. “What they really need is to talk to someone about their problem.”
He also co-sponsored a requirement for quarterly departmental reporting on overtime and discretionary spending overages.
”Houston is a strong city. It got stronger today. It lays the foundation for Houston to be on a sound financial footing going forward. It certainly is not the final solution, but it certainly addresses our basic services, our finances, and our public safety. You don’t raise property taxes when people are concerned about affordability. That’s been repeated as we travel across Houston, presenting this budget.”
Mayor John Whitmire
Council Member Alejandra Salinas (At Large, Position 4) won unanimous approval to redirect $3 million from Houston Public Works management consulting to illegal dumping enforcement, including CCTV cameras at chronic dump sites, additional solid waste workers, and expanded legal disposal hours.
“Today’s vote is a major win for neighborhoods that have been demanding action on illegal dumping for years,” said Council Member Salinas. “Illegal dumping is a serious public health, drainage, safety, and quality-of-life issue that the city must prioritize. This $3 million investment to combat illegal dumping puts real resources behind cleanup, prevention, and enforcement so no Houston neighborhood is left behind.”
She also amended the city code to make the trash fee eligible for assistance through the city’s Water Aid to Elderly Residents (W.A.T.E.R.) Fund, which helps low-income, elderly, and disabled residents pay utility bills. The council will vote on this measure in the upcoming weeks.
Council Member Mario Castillo secured $75,000 to continue the LGBTQ+ Economic Empowerment Coordinator position, $500,000 for BARC animal shelter operations, $500,000 for dead tree removal, and a Solid Waste Fee Affordability Bridge Program through the W.A.T.E.R. Fund.
Several council members expressed concern about tapping the Combined Utility System, the fund that supports water and wastewater infrastructure, but ultimately voted yes after being reassured that no water projects would be delayed.
“This budget is smart,” said Council Member Sallie Alcorn, who chairs the Budget and Fiscal Affairs Committee. “Charging the CUS an additional $200 million causes us all concern. The health of our water and wastewater system is paramount.”
She assured Houstonians that the city will comply with bond commitments and obligations, and the CUS reserve funding will not be depleted over the next few years.
