Budgets in major cities across Texas, including El Paso, are growing faster than increases in population and inflation.
A new study from the Texas Public Policy Foundation (TPPF) found that increases in local spending between 2015 and 2025 have resulted in higher costs for residents and continued government expansion, exacerbating an already devastating affordability crisis.
The TPPF is a self-described conservative think tank with a mission to promote and defend liberty, personal property and free enterprise.
"Despite billions in property tax relief provided by recent state legislatures, Texans’ property tax bills continue to increase due to unrestricted spending at the local level," wrote John Bonura, policy analyst for TPPF's Taxpayer Protection
Project, in a report. "The Texas Legislature should use its authority to apply spending limits to local government similar to those to which the state is subject."
The report provides multiple examples of municipal and government's overspending at the expense of taxpayers, including Austin's decision last year to spend $1.1 million redesigning the city logo while simultaneously threatening to cut emergency services after the failure of Proposition Q, which would have raised the city’s property tax rate by more than 20%.
El Paso, which approved its Fiscal Year 2027 budget Tuesday, Aug. 18, is among the cities where spending outpaces its population and inflation (P&I) — the 2027 budget is expected to come in at $1.405 billion compared to $1.368 billion last year, an increase of roughly $37 million.
Dallas had the largest gap between its P&I measurement and its budget growth with a 37% difference, while Lubbock saw the slowest growth in spending versus P&I, with its spending growing 16% slower than its P&I growth.
"The state of Texas has four constitutionally mandated spending limits and one enshrined in statute," Bonura wrote. "If the state is subject to these limits, there should be no reason why local taxing entities should not operate within them as well."
Budget growth in El Paso, El Paso County
Spending in the city of El Paso grew from $839 million in 2015 to $1.3 billion in 2025, representing an annual average growth rate of 4.26% year-over-year, according to the report.
During the same period, the city's population grew from 674,061 in 2015 to 680,148 in 2025, for an annual average year-over-year increase of 0.09%. Inflation rose from 237 in 2015 to 321.94 in 2025, amounting to an annual average increase of 3.13%.
Those numbers put the city's P&I measurement at 3.22% combined, meaning that the city's spending has outpaced P&I every year over the last decade.
While El Paso's budget has outpaced P&I, city Chief Financial Officer Robert Cortinas cited collective bargaining agreements for the El Paso police and fire departments among the top drivers of rising costs, along with unfunded property tax cuts made at the state level.
Public safety ($371 million), quality of life ($88.9 million) and infrastructure spending ($74.9 million) continue to make up the biggest portion of El Paso's budget, coming in at roughly 70%.
In El Paso County, the disparity is even greater.
Spending in El Paso County grew from $312 million in 2015 to $585 million in 2025, representing an annual average growth rate of 6.62% year-over-year.
During the same period, the county's population grew from 844,314 in 2015 to 879,329 in 2025, for an annual average year-over-year increase of 0.41%. Inflation rose from 237 in 2015 to 321.94 in 2025, amounting to an average annual increase of 3.13%.
Those numbers put the county's P&I measurement at 3.54%, meaning that the county's spending has outpaced P&I every year over the last decade.
For Gov. Greg Abbott, the numbers in the TPPF report are a call to action ahead of the upcoming 2027 Texas Legislative session.
“When it comes to property taxes, Texans’ message is clear: the current status quo is unacceptable and reform is long overdue," Abbott said in a TPPF news release. "That is why the 90th Legislative Session will be the property tax reform session. We will advance bold, enduring solutions to deliver real property tax relief for Texans. With the conservative leadership and policy expertise of the Texas Public Policy Foundation, we will rein in runaway local government spending and empower Texans to keep more of their hard-earned money."
Adam Powell covers government and politics for the El Paso Times and can be reached via email at apowell@elpasotimes.com.
This article originally appeared on El Paso Times: El Paso spending outpaced inflation, growth as public safety costs rose
