City Budgets 101

City budgets can seem complicated, but the big picture is actually pretty straightforward. I'm one of the few residents that like to dig into the city budget and ask questions during budget season. Not only understanding the city budget but being able to communicate it to residents in a strait forward manner is something I feel all city council members should be able to do.

For FY2026, the City of Cedar Park’s total budget is about $215M. Most of the revenue comes from a few main sources:

 - Property taxes (0.36%, about 20% of your total property tax bill)- a little under half is used to pay for our debt, the remainder funds the General Fund

 - Sales taxes (2%) - This is split half to the General Fund and half to Community Development, Economic Development and stormwater programs

 - Other tax - this is mostly things like hotel occupancy tax and goes into the general fund

 - Service fees (water, waste water, trash) - Almost all this is going back into paying for your city services with a small amount going to admin costs in the general fund.

 - Licenses/permits, misc - These are franchise fees for companies operating within the city (Atmos, PEC, etc), business and developer fees for city services, fines/rental fees, donations, etc

On the spending side, the largest portion goes to the General Fund, which pays for core services residents rely on every day. That includes police, fire and emergency management, streets and public works, parks, the library, and other city services.

Public safety alone makes up the biggest share of that spending, reflecting the city’s focus on keeping Cedar Park a safe place to live.

City budgets are ultimately about priorities and how we invest in the services and infrastructure that keep Cedar Park a great place to live, work, and raise a family.