The data show that local tax revenues are exploding at rates that far exceed the legitimate need for more money. Let’s look at how this plays out in San Antonio.
From 2015 to 2024, San Antonio’s population grew by less than 4 percent while inflation increased by 32 percent. Yet over the same period, the city’s total property tax levy rose from $442.2 million to $804.4 million—an increase of nearly 82 percent.
How does San Antonio justify this massive tax increase when the population barely grew? Local officials will never directly address this question.
What they will talk about is tax rates. And this is where the deception comes in.
San Antonio lowered its rate by roughly 4 percent during this period. However, this statistic obscures the more significant driver of revenue growth: soaring property valuations.
Taxable values increased by more than 90 percent over the decade. Because property tax liability equals the rate multiplied by assessed value, even a slightly lower rate can produce dramatically higher collections when valuations surge.
This dynamic allows municipalities to falsely claim they are “lowering taxes” while homeowners experience steadily rising bills. Rather than adjusting rates downward in proportion to rising values, cities effectively capture valuation growth as windfall revenue.
A more responsible approach would consistently apply a “no-new-revenue” tax rate, automatically lowering the rate as values rise so total collections remain stable absent clear justification. Additional increases, if truly needed, could then be tied transparently to population growth or inflation.
Recognizing these concerns, Governor Greg Abbott has advanced reforms aimed at limiting local revenue growth and providing homeowner relief. Without structural guardrails, however, local governments will continue to raise taxes, undermining claims of meaningful tax relief.
Brian Phillips
Chief Communications Officer
