The Levelland City Council held its regular meeting on Sept. 8 to consider annual service agreements, ordinances, the proposed FY26 Budget and other subjects. There was also a public hearing on the proposed tax rate for fiscal year 2025/26.
The City of Levelland submitted for discussion the adopted budget for the fiscal year beginning Oct. 1 and ending Sept. 1, 2026. The balanced budget serves as a framework to deliver essential services, citizen’s needs, address infrastructure demands and implement city council priorities for the upcoming year and reflects adjustments made to address inflationary pressures, capital demands and fiscal sustainability.
The annual budget comprising expenditures and funds is approximately $27.9 million with a breakdown that includes general fund, $11.5 million; cemetery, $0.38 million; debt service, $0.83 million; special revenue funds, $0.37 million; capital financing funds, $0.7 million; utility funds, $7.5 million; wastewater improvement, $3.07 million; water improvement, $0.24 million; Levelland Community Development Corporation (LCDC), $0.96 million; and Levelland Economic Development Corporation ((LEDC), $2.4 million.
During the public hearing, one person spoke up in opposition of the proposed 2025/26 budget which is set to raise more revenue from property taxes than last year’s budget by $274,816, a 4.00 percent increase from last year. Of that amount, $86,093 is tax revenue that would be raised from new property added to the tax roll this year.
In other business, the council approved the annual services agreement with the Levelland Chamber of Commerce for the upcoming fiscal year. The agreement includes assistance with reviewing applications and administering the Hotel Occupancy Tax Fund, event marketing and coordination, general services, and operation of the Keep Levelland Beautiful program. The Chamber will make quarterly reports to the city regarding the programs and activities in the agreement and will work with the city auditor to make books and available. Additionally, the Chamber will provide a copy of the budget to the city for the contract period.
An agreement with the Texas Department of Transportation (TxDOT) was approved by the council for the Fiscal Year 2026 Routine Airport Maintenance Program. The TxDOT Aviation Division has an annual grant program targeted towards routine maintenance and improvement items for qualified airports for such items as airport pavement, signage, drainage, approach aids, lighting systems, terminal building and other infrastructure. The matching grant has increased the total amount available to $100,000 and will reduce the local match to 10 percent. The agreement must also be approved by Hockley County.
In other business, the council approved a request for payment from AMERESCO for $359,793 for the water meter project which was contracted in October 2024 by the city. Additionally, a payment to MH Civil Constructors, Inc. was approved for $1,016,118 for the new 1.8 MGD Wastewater Treatment Plant according to a May 2025 contract with the city.
The council approved Ordinance 1098 regarding a City of Levelland request to amend Article 4.900 “Food Establishments” for the regulation of grease traps and interceptors for food establishments, adding section 4.912 “Installation and MaintenanceRequirements for Grease Interceptors” to protect the sanitary and treatment systems. The Texas Department of Environmental Quality (TCEQ)regulates and requires grease traps and provides the criteria and overall requirements.
The council considered and approved action on a tax resale for property located at 1604 Houston St. in Levelland after completing competitive bidding. The property sold for $1,000 to Richard and Tammy Reyes with the stipulation that the property be brought up to code within six months.
In other action, the council approved a replat request to accommodate the construction of Take5 Oil Change and 7Brew Coffee. Red Sky LCC requested the resubdivision/replat and also to change the name of the resubdivision to Levellatte Reserve.