The Clute City Council held a special meeting on August 7, 2025, to discuss the city’s budget and financial outlook, focusing on several key issues including revenue projections, grant funding, and potential changes to garbage services.

During the meeting, officials reported a revised budget that reflects a decrease in projected ad valorem revenue due to lower than expected property valuations. The city initially anticipated a taxable value of over $1 billion, but recent evaluations have adjusted this figure down by nearly $30 million. This adjustment has led to a proposed increase in the tax rate, moving from 4.6500 to 4.7175, which translates to an increase of approximately $0.15 per $100,000 in property value.

Despite these challenges, the city has seen some positive developments. Chief of Police successfully secured a $120,000 grant for license plate readers, which has allowed the city to reintegrate a utility vehicle (UTV) into the budget for emergency services. The UTV will be multipurpose, serving various public safety departments.

The council also discussed the ongoing evaluation of garbage services, presenting two options: maintaining the current in-house service or outsourcing it after a six-month transition period. Both options are projected to have negative financial impacts, and further analysis will be conducted before a decision is made.

In terms of overall revenue, the city is projected to finish the current year with approximately $12.8 million, with a slight increase expected for the next year. The Emergency Medical Services (EMS) department is performing particularly well, exceeding revenue expectations from insurance and Medicaid collections.

The meeting concluded with a commitment to refine budget numbers and prepare for further discussions in upcoming workshops. The council aims to ensure that the budget aligns with the city’s financial realities while addressing community needs.