PILLAR: Fiscally Sound
AGENDA DATE: September 16, 2026
COUNCIL DISTRICT(S): N/A
DEPARTMENT: Budget and Management Services
PRIORITY: N/A
______________________________________________________________________
SUBJECT
Title
Final reading and adoption of the appropriation ordinance appropriating funds for the FY 2026-27 City of Dallas Operating, Capital, and Grant & Trust Budgets - Not to exceed $5,972,586,745 - Financing: General Fund ($2,043,558,000), General Obligation Debt Service Fund ($525,445,418), Capital Funds ($1,303,383,186), Enterprise/Other Funds ($1,572,074,751), Internal Service and Other Funds ($308,668,220), Grants, Trusts, and Other Funds ($211,774,101), and Employee Retirement Fund ($7,683,069)
Body
BACKGROUND
In accordance with the Charter of the City of Dallas and prior to August 15, the City Manager recommended a budget to the City Council for the upcoming fiscal year. The fiscal year will begin on October 1, 2026, and end on September 30, 2027.
The budget for Internal Service Funds is included in this action because the funds require budget appropriation for spending. The budget for Internal Service Funds is not included in the budget overview in the budget document or budget briefing materials to prevent the revenues and expenditures from being counted twice in citywide totals as funding is moved from one city fund to another. For example, when a department purchases fuel through Equipment and Fleet Management, it would not be accurate to record this as a citywide revenue and expenditure, as the money is simply moving from one city fund to another.
Additionally, the budget for the Employee Retirement Fund (ERF) is not included in the budget document or briefing materials. The ERF budget is reviewed and approved by the ERF Board of Trustees who are responsible for administering the Fund in accordance with the Dallas City Code, Chapter 40A.
The City Manager presented the recommended annual budget for FY 2026-27 on August 11, 2026. The appropriation ordinance includes City Manager revisions and amendments that received support from the majority of City Council members through the straw poll process on September 2, 2026. The City Council approved the first reading and appropriation ordinance for the proposed FY 2026-27 Operating, Capital, and Grant & Trust Budgets by Resolution No. 26-1372. This action is the final reading and adoption of the appropriation ordinance for the FY 2026-27 budget.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
The City Council was briefed on the “City Manager’s Recommended Biennial Budget for FY 2026-27 and FY 2027-28” on August 11, 2026.
On March 25, 2026, the City Council authorized a public hearing to be held on August 25, 2026, to receive comments on the FY 2026-27 Operating, Capital, and Grant & Trust Budgets by Resolution No. 26-0535.
On August 25, 2026, the City Council held a public hearing to receive comments on the proposed FY 2065-27 Operating, Capital, and Grant & Trust Budgets.
On August 25, 2026, the City Council authorized a public hearing to be held on September 16, 2026, to receive comments on a proposed tax rate by Resolution No. 26-1305.
The City Council was briefed on FY 2026-27 & FY 2027-28 Budget Amendments on September 2, 2026.
On September 2, 2026, the City Council approved additional amendments and the first reading of the appropriation ordinance for the proposed FY 2026-27 Operating, Capital, and Grant & Trust Budgets by Resolution No. 26-1372.
FISCAL INFORMATION
General Fund $2,043,558,000
General Obligation Debt Service Fund $ 525,445,418
Capital Funds $1,303,383,186
Enterprise/Other Funds $1,572,074,751
Grants, Trust, and Other Funds $ 211,774,101
Subtotal: $5,656,235,456
Internal Service and Other Funds $ 308,668,220
Employees’ Retirement Fund $ 7,683,069
Subtotal: $ 316,351,289
Grand Total: $5,972,586,745