Midland’s Property Taxes Remain Among the Lowest in West Texas for 2024

By Josiah Carrasco

MIDLAND, TEXAS — Once again, Midland residents can expect to enjoy some of the lowest tax rates in West Texas, thanks to the Midland City Council's recent approval of the 2024 fiscal year budget and tax rates. In a city that continues to grow rapidly, the City of Midland is focused on maintaining affordable property taxes while meeting the demands of infrastructure and public safety improvements.

On Tuesday, the Midland City Council gave the green light to the General Fund budget and tax rate for the second year in a row, ensuring that property tax rates continue to decrease despite the city's expansion. The approved budget reflects the city’s commitment to key priorities, with a focus on maintaining a safe and secure environment and strengthening infrastructure.

A Budget for Growth and Safety

The newly approved General Fund budget for Midland stands at $176.339 million, marking an increase that aligns with the city's expanding needs. Over 55% of this budget is dedicated to ensuring public safety, in line with one of the city’s six strategic goals: to “set the standard for a safe and secure city.” This allocation includes funding for police, fire services, and emergency response, as well as other safety-related programs that ensure Midland continues to thrive as a secure place to live and work.

Additionally, $25 million from the General Fund has been earmarked to achieve another critical council goal: to “strengthen and sustain infrastructure.” This allocation will address necessary improvements and expansions to roads, utilities, and other key city assets that serve the rapidly growing population.

The budget increase is also designed to support City staff, with a significant portion going towards cost-of-living adjustments and pay progression. More than half of the general fund increase will go to pay raises and adjustments, ensuring the City can retain and attract quality employees as it continues to grow.

Continued Decline in Tax Rates

Despite the increase in the overall budget, Midland homeowners will see a reduction in their property tax rate. For the second consecutive year, the Midland City Council has approved a decrease in the tax rate, setting it at 34.8862 cents per $100 valuation, which represents a reduction of 64 tax basis points over the past two years.

This lower tax rate means that a homeowner with a property valued at $300,000 will pay approximately $1,045.99 in annual property taxes to the City of Midland. The City’s portion of the total property tax bill only accounts for 23% of the average total tax bill, which is still lower than many peer cities across Texas.

To put this into perspective, Midland ISD's tax contribution is significantly higher, making up 36 percentage points more of the average property tax bill. In fact, the City of Midland trails all mid-size cities in West Texas in terms of tax payments and continues to maintain a lower tax rate than other comparable cities in the state.

Comparisons with Peer Cities

When comparing Midland’s tax rates with other cities in West Texas, Midland residents are benefiting from a significantly lower tax burden. The City’s tax bill trails peer cities such as Abilene, Amarillo, Lubbock, San Angelo, and Odessa, making it one of the most affordable in the region. This low tax rate is especially noteworthy given the rapid growth and infrastructure demands Midland faces as its population continues to increase.

Historically, Midland has prided itself on keeping taxes low while still providing essential services to its residents. The city’s ability to balance infrastructure development, public safety, and affordability is a reflection of sound fiscal management and a dedication to community needs. With the continued reduction of tax rates, Midland remains an attractive place for both homeowners and businesses looking for a community with a high quality of life and low cost of living.

A Commitment to Responsible Growth

As Midland continues to grow, the City Council’s focus remains on ensuring that the city’s infrastructure and public services can keep up with the demands of a growing population while still maintaining an affordable tax burden for residents. The Council’s decision to lower tax rates for the second consecutive year highlights the City’s commitment to responsible growth, ensuring that the cost of living remains manageable even as the city expands.

With a strong emphasis on public safety and infrastructure, the 2024 budget reflects the City’s dedication to improving the quality of life for all Midlanders. Residents can expect enhanced services, improved infrastructure, and continued affordability as Midland moves forward.

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Based on a press release by the City of Midland.