Montgomery County homeowners will pay more in county property taxes after the Commissioners Court voted 3-2 on Tuesday, Sept. 8, to adopt a $546 million budget for fiscal year 2027.
The increase hits Woodlands-area residents directly. The Woodlands is unincorporated, meaning the county budget is the primary taxing authority for services residents in other communities might get from a city government.
The new tax rate rises to $0.3860 per $100 of assessed value, up from $0.3770. For a median homestead valued at $270,349, that adds $25.39 per year in county taxes, according to the county's budget document.
County Judge Mark Keough framed the increase in monthly terms, saying at the Sept. 8 meeting that the median homeowner's tax bill would rise between $2 and $3 a month, as reported by ABC13.
The $546.8 million spending plan is about $38 million more than the prior year's $508 million budget. The county's budget document estimates the new rate will generate $17.5 million more in property tax revenue, a 4.94% increase over last year.
The adopted rate sits above the no-new-revenue rate of $0.3706 but well below the voter-approval rate of $0.4136.
Where the money goes
The biggest spending drivers include a 5% cost-of-living raise for all non-law enforcement county employees, totaling about $8.1 million in salaries and benefits. The budget also funds the partial second year of a law enforcement pay parity effort with the City of Houston and Harris County, with more than $3 million set aside for competitive wages.
Law enforcement and corrections account for 45.5% of the total budget at $248.5 million.
New positions include 24 full-time and two part-time hires across law enforcement, building maintenance, justices of the peace and information technology. The budget also funds a new 523rd District Court and support staff.
Why the county says it needs the money
Precinct 3 Commissioner Ritch Wheeler, whose district includes The Woodlands, said the county's rapid growth forces spending that residents elsewhere would expect from a city.
"The fact of the matter is that we're providing services that most people would normally associate with a city, but those cities have other revenue streams the county doesn't have," Wheeler said at the meeting.
Wheeler noted that more than 80% of Montgomery County is unincorporated. That's one of the highest rates in the state.
Still, Wheeler objected to the across-the-board structure of the 5% employee raise. He said his "fundamental problem" was philosophical: pay raises should motivate better performance, not be distributed uniformly.
The court includes County Judge Mark Keough, Commissioner Robert C. Walker of Precinct 1, Commissioner Charlie Riley of Precinct 2, Wheeler and Commissioner Matt Gray of Precinct 4. Which two members voted against the budget was not identified in ABC13's report or available county records.
The budget also includes a $4.8 million contribution to the county's Capital Improvement Plan and increased spending on cybersecurity and software renewals. The county's estimated population now tops 763,000, a 1.8% increase.
