The City Council of Keene, Texas, convened on July 24, 2025, for a budget workshop focused on the Fiscal Year 2026 budget. Key discussions centered around the alignment of projected revenue and expenses, with council members expressing concerns about maintaining financial stability amid anticipated growth.

During the meeting, a council member highlighted the importance of ensuring that revenue increases, driven by new residential developments, align with rising expenses. The member emphasized the need for a careful balance, stating, "If it's tipping in the wrong direction, well then... we’re probably gonna not enjoy that." This sentiment underscored the council's commitment to fiscal responsibility as they navigate the city's growth.

Another council member reiterated the significance of the property tax rate, currently set at 0.834134, which funds many city projects. They noted that last year's projections indicated a revenue of approximately $3.2 million, which is substantial for a small city. The member suggested a potential increase in the tax rate to 0.82 to capture additional revenue, which could provide a buffer for future expenses.

The council acknowledged that while they aim to address urgent needs, not all projects could be funded immediately. They plan to prioritize essential items as they develop a comprehensive budget strategy. The discussions reflect a proactive approach to managing the city's finances while preparing for growth and ensuring that city employees have the necessary resources to perform their duties effectively.

As the council continues to refine the budget, they will receive detailed line-item information in the coming month, which will aid in making informed decisions about funding allocations. The workshop concluded with a commitment to transparency and careful planning as Keene moves forward into the next fiscal year.