Houston Mayor John Whitmire has unveiled a $7.5 billion budget proposal that includes a new trash administrative fee and changes to utility charges. City officials say the plan aims to reduce the deficit, but Controller Chris Hollins is raising concerns about its impact on residents and transparency.
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Houston Mayor John Whitmire unveils his $7.5 Billion budget proposal to the public. – Houston Mayor John Whitmire has officially unveiled a $7.5 billion budget proposal aimed at addressing the city’s growing deficit, but the plan is already drawing sharp criticism and raising questions about fees, spending priorities, and long-term financial stability.
“Thank you everyone for being here. This is a special day,” Whitmire said as he introduced the proposal. The budget includes a $5 monthly trash administrative fee, along with a new right-of-way charge for water and wastewater utilities. City leaders say the changes are part of a broader effort to stabilize Houston’s finances and modernize how services are funded.
But Houston Controller Chris Hollins is pushing back strongly, calling the proposal financially risky and warning it shifts costs onto residents.
“This budget shifts costs onto working families. It hides the price tag of city services, and it puts Houston on a dangerous financial path,” Hollins said. At the center of the debate is the trash fee, which the mayor’s office says is required as solid waste services transition into a utility model under state law.
Officials say the fee is intended to start at five dollars per month, generating roughly $24 to $25 million annually.
“First of all, state law says you cannot provide a utility, which solid waste is becoming, without a charge. It could have been $2. We did the very minimum of 5,” Whitmire said. City officials emphasize the fee would remain at five dollars for the first two years, with any future increases requiring City Council approval.
“It would create a $24M revenue the first year. We keep it at five the next two years and then council, and future budgets will determine where we go from there,” Whitmire added. The proposal also includes funding for five police cadet classes and eleven firefighter cadet classes, along with overtime allocations for public safety departments.
“The overtime in this budget reflects the demands on the department. We’re in different times than we were just a few short years ago,” Whitmire said.
“Pop-up protests are very frequent. Large protests, like ‘No King. ’ We must have overtime for our fire and police. ” City leaders also say $31 million is earmarked for drainage improvements as part of broader infrastructure investments.
Meanwhile, the right-of-way fee would apply to Houston Water and Wastewater operations, aligning them with other utilities already paying to use city rights-of-way.
“Electricity, natural gas, cable TV utilities, all of those are paying the right-of-way fee already,” said Finance Director Melissa Dubowski. “This is really just bringing in that last utility to modernize how we charge that fee. ” Dubowski added that the changes are part of a broader effort to stabilize Houston’s long-term finances, projecting a reduced, but still significant, deficit in future years.
City projections still show a potential hundreds of millions dollar gap in future fiscal years, but officials say the proposal helps make that shortfall more manageable. Despite the mayor’s confidence, Hollins remains unconvinced. Hollins says key financial assumptions have not been fully shared and warned the city is being asked to “trust” projections without enough transparency.
“We don’t pass budgets on trust,” he said. “This morning he said that he balanced last year’s budget with efficiencies. When Stevie Wonder can see that our savings account has hundreds of millions of dollars fewer right now than it did at this time last year. ” The budget now moves into a lengthy review process.
Department heads will present their funding requests throughout May, followed by committee hearings and possible amendments. A final City Council vote is scheduled for June 3, with the new budget taking effect July 1 if approved. Gage Divin is a photojournalist at KPRC, where he’s always chasing the next big story — whether it’s on the field or breaking in real time. Gage is passionate about capturing moments that matter and telling stories that make a difference.
His work has earned multiple honors, reflecting his dedication to both the craft and the communities he covers. Man accused of murdering pregnant wife in Houston Heights in 2024 flees to Italy ahead of trialSpirit Airlines shutdown is driving up airline ticket pricesPopular parking lot in Downtown Houston to be demolishedHouston Texans host annual charity golf tournamentHouston mayor proposes new $5 monthly ‘administrative fee’ tied to trash service starting next yearTiny reporter, big energy: Pearland’s 10-year-old resident covers hail storm live
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