1. City Council got its first look at the FY2027 trial budget on Thursday. Inside it: the first proposed property-tax rate increase since 1993. The catch—it balances the budget for the next two years, but raises rates to do so and even maxing the rate doesn't close the structural gap the city's been warned about for years. It’s worth noting that the trial budget treated the overwhelming majority of city spending as untouchable, which would make significant cuts very difficult if council continues to signal an unwillingness to increase property taxes. We're watching because this is the first hint at what the city could cut, because council may push harder to avoid a rate hike, and because the numbers could be revised as the budget review process continues into August.
   
   Read The Civic's full coverage of the trial budget council session by Jarrett Whitener here.
   

2. City staff gave council a Project Marvel update Wednesday. The city aims to lock down roughly $91 million in downtown land purchases by the end of the year, including the site where the new arena will eventually be built. Staff still have to finalize financing, leases, and construction timelines, even as Mayor Jones pushes for Michael Dell to cover the city’s share of the arena bill (an awkward request considering previous interactions with the Spurs part-owner). We're watching because Project Marvel is a complicated, multi-step plan and remains a political controversy. Each step must be executed properly to avoid disrupting the whole project, or its scope. See the cooling plant debacle that nixed the Project Marvel hotel plan. If too much of the overall plan is disrupted, the outcome could look nothing like the entertainment district promised, and taxpayers are still on the hook for the arena.

3. Saying it needs more time, city council narrowly voted to reconsider a SAWS rate hike in October. In a 6-5 vote Thursday, members delayed the water utility's proposed rate hike until October, after a long session spent hammering CEO Robert Puente over a lack of trust, construction delays, and the 16 billion gallons SAWS lost last year. The meeting was contentious: as Jalen McKee-Rodriguez asked Puente, why does SAWS only have a plan to fix its problems now that it needs the money? But the delay doesn't make things any cheaper—Puente warned that pushing projects into 2027 will only raise costs, and the eventual rate increase with them. We're watching because the real question is whether the next few months translate into any sort of reform at SAWS, or just produce a bigger bill in October with nothing changed.

The Reframe

Alamo Colleges District plans to increase property tax rate to balance budget (SA Report) → Nearly every municipal organization defaults to asking for more money rather than cutting spending. Facing a deficit, Alamo Colleges' first move isn't to cut or reform, but to raise the tax rate. This as the city's trial budget leads with the first property-tax-rate increase in 33 years while holding cuts to a minimum, CPS passed a budget which initially assumed a rate increase, and SAWS just asked for a substantial water-rate hike. For a public institution, billing the taxpayer more is the path of least resistance, and there's always a reason the spending can't be cut. The job of forcing the question falls to our elected officials, and this week, to its credit, City Council appeared entirely unwilling to support the city's tax increase without seeing departmental cuts and voted 6-5 to delay SAWS's rate increase. The institutions will always reach for more revenue; someone has to make them consider the alternative.

VA Secretary swings through San Antonio, talks about fast-tracking new hospital (SA Report) → Forget politics, any senior official should be welcome in San Antonio—and the VA Secretary doubly so. VA Secretary Doug Collins came to tour the existing Audie Murphy Veterans Hospital and push a brand new VA hospital—$30 million for land acquisition is already in this year's federal budget—toward the finish line. San Antonio is a natural fit for this project, but natural fits can still lose out when cities give officials a reason to look elsewhere. San Antonio should be courting substantive visits from anyone and everyone in Washington, and refusing to let national politics decide who it does business with. We’re in a political environment where cities sort themselves by party and officials show up only for friendly crowds, so it’s important to be the kind of city that every administration wants to invest in.

San Antonio ranks among nation’s top three markets for first-time buyers as inventory climbs (Business Journal) → A real victory for San Antonio, but affordability is not prosperity. Zillow ranks the San Antonio metro third in the country for first-time buyers—most big cities are simply much more expensive than we are. But, again, affordability isn't prosperity. San Antonio is still one of the most impoverished big metros in the country, and cheap rent doesn't fix that, it just makes it more comfortable. The cities that actually provide opportunity aren't the absolute cheapest ones; they're the ones building economies that throw off capital, corporate headquarters, and high-wage jobs at a meaningful scale. Look at Houston—Houston is the one Texas metro poorer than we are, and it’s nearly as cheap as San Antonio (its cost of living running a mere 3% higher.) With all their poverty, they have 27 Fortune 500 headquarters to our two, and 36 Fortune 1000 headquarters to our four. Which city do you think will generate more opportunity (and tax revenue) for its residents?

The Pick

Our weekly recommendation for what’s going on in San Antonio

This week we have two for you: both are on Wednesday, June 24th, and both are aimed at making you a more informed resident.

Runways to Rockets

CNTR/CTY and Tech Bloc close their Emerging Industries Series with a panel on aerospace: the defense, air-mobility, and space sectors already supporting thousands of local jobs. Held at Port San Antonio, one of the economic powerhouses of the city.

Free, but register. 4:30–6:30 p.m., Boeing Center at Tech Port, 3331 General Hudnell Drive. Register here.

Mayor’s Monthly Town Hall

Nearly everything in this brief—the property tax increase, the cuts council wants to see, the delayed SAWS hike—will be argued over the next three months, and this is where you can ask your questions to the person at the center of it. Mayor Jones takes questions at her monthly town hall, alongside District 4’s Councilman Edward Mungia.

RSVP encouraged, not required. 6–7 p.m., Robinette Community & Senior Center, 1423 S. Ellison Dr., Bldg. 2. RSVP here.

Thanks for another week. Follow us on your platform of choice: X/Twitter, LinkedIn, Instagram, and Facebook. Story tips and reader notes go to our reporter Jarrett Whitener at jarrett@thecivic.com, and my inbox is always open.

A particular thanks to our Charter members, whose continued generosity allows us to operate.

As noted above, we published our first news story this week. It went out by email notification this time, but in the future we will only highlight them in the weekly newsletter to minimize the number of emails you receive from us each week.

Enjoy your weekend and see you Tuesday.

- Philip Reichert
Editor, The Civic

1. City Council will be briefed on a trial budget for 2027 next Thursday. Inside it, the first proposed property tax rate increase since 1993. The city's own forecast shows a $131 million gap by 2028 that deepens to $264 million by 2031, and even maxing out the rate to its highest level since 2007 only raises about $53.8 million, while new police and fire costs alone add $77.2 million to the next budget. Our chart tells the longer story: the budget has more than doubled in twenty years, and the looming fiscal crunch was forecast, repeatedly. Despite this, council kept spending anyway. We're watching because trial budgets are the skeleton for proposed budgets, and this will be the first clue as to what gets meaningful cuts. Our full case for meaningful reductions in the city budget runs next Tuesday.

2. SAWS lowered the ask for its rate increase. After a review by city public utilities staff, the possible rate increase on the average residential bill could rise $3.91 this year instead of the $4.47 SAWS proposed, and the projected monthly increase by 2029 drops from $18.51 to between $14.80 and $16.92. It’s great that savings were found, however meager, but we wish this kind of review was the default posture rather than something a rate request triggers. Worth noting: Councilwoman Marina Alderete Gavito (D7) asked when the independent audit of SAWS would be done and CEO Robert Puente said it was in progress but rates needed to be increased as soon as possible. So ratepayers fund a multibillion dollar capital plan first and find out how well SAWS spends its money second, while the city weighs its first property tax increase in 33 years and CPS asks for its own increase. We’re watching because this sets rates through 2029 and will reveal how each member weighs today's bills against tomorrow's infrastructure.

3. San Antonio’s students rebounded on the STAAR & Judson ISD froze pay. The 2026 end-of-course results reversed last year’s decline with area passing rates improving in four of five subjects. Algebra I jumped more than seven points to roughly 80%, and South San Antonio ISD gained 18 points a year after dropping seven last year. The numbers aren’t all good—45% of area students scored a zero(!) on expository composition. But then there’s Judson ISD: voting Monday to freeze cost-of-living raises, stipends and retention bonuses for every employee, against a $35 million deficit that has already closed several schools and cut over 500 positions. The fiscal situation will likely get worse before it gets better. But what about student outcomes? We’re watching because those outcomes are hugely important for San Antonio’s future, and the ISDs will all likely have to learn to do more with less.

The Reframe

San Antonio mayor warns Spurs fans in New York to ‘stay vigilant’ ahead of Game 4 (SA Current) → Weak response from Mayor Jones. The Mayor isn’t wrong, but telling residents to “walk in groups” and “look after one another” is little more than a safety PSA. Spurs fans—maybe San Antonians—were chased through Midtown and attacked. Where is the announcement that the Mayor is working with Mayor Mamdani's office and the NYPD, that security commitments are in place around the arena and the watch parties, and that she'll hold them to it? Even the team isn’t safe—fans hurled eggs at Wemby outside the team hotel. Mamdani called the behavior unacceptable, but a statement doesn’t help keep visiting fans safe. The series comes back to San Antonio on Saturday, and visiting fans can expect a better & safer welcome here.

San Antonio apartment rents fall 3.3% as more than 70% of properties offer concessions (Business Journal) → The most effective tool we have for lowering housing costs is increasing supply. Surprise! Rents drop and San Antonio gets more affordable when supply beats demand. The article frames falling rents as a headwind for the market, and for landlords it is. For renters, however, it’s relief: rents are down 3.3% over the past year, and more than 70% of properties are offering some concessions, typically a month or two of free rent. There is no program in the city’s budget that could cut rents citywide by over three percent, but supply did. Important detail: less than four thousand units remain in the pipeline, and rent growth could resume once supply dwindles. If we want relief to last, we have to keep building.

Our Lady of the Lake University (OLLU) students can earn bachelor's degrees in three years (Express-News) → A creative attempt to differentiate in an economy with multiple small universities. Context is king, here: OLLU's enrollment has fallen precipitously in recent years, from around 2,900 students in 2019 to about 1,800 in 2025. OLLU changed the product entirely, cutting required credit hours for certain majors from about 120 to under 100 and the cost of a degree by 25%, to compete on time and price. San Antonio has multiple small local colleges and differentiation is likely the only path to survival for some. Still, expect others to release new and creative ways to attract more students.

UFL owners' decision to exit SA a costly fumble (Business Journal) → The UFL is gone for a reason. There's an arrogance in calling this a fumble when the league knew our attendance numbers when they left. The San Antonio Brahmas drew more than eleven thousand fans per game for a team that went 1-9—only two UFL teams beat that this season—but the owners knew it when the decision was made. "Right from the jump, Mike (Repole) challenged us on venues, to think smaller, more quaint," the league's president said. They looked at strong attendance in a cavernous dome and decided it wasn't worth staying. Maybe the bet fails—league-wide attendance is down and the move may well haunt them, these leagues are notoriously difficult business models anyway. But declaring it their “fumble” skips the truth.

The Pick

Our weekly recommendation for what’s going on in San Antonio

San Antonio Food Bank Urban Farm Tour

Though everyone may be focused on the Spurs, here’s something that you can do nearly any Thursday or Saturday (space dependent.) The San Antonio Food Bank runs a guided tour of its 25-acre urban farm—the largest in Texas, according to them—complete with greenhouses, fruit trees, rain-catchment cisterns, a commercial teaching kitchen, and the warehouse that moves 95 million pounds of food a year. It’s a big piece of civic infrastructure, and there are even ongoing volunteer opportunities.

Book through Delve Experiences, spots fill quickly. Or better yet, go volunteer. Located at 5200 Historic Old Hwy 90. $15; kids 3 and under free.

Thanks for another week. Follow us on your platform of choice: X/Twitter, LinkedIn, Instagram, and Facebook. Story tips and reader notes go to our reporter Jarrett Whitener at jarrett@thecivic.com, and my inbox is always open.

A particular thanks to our Charter members, whose continued generosity allows us to operate.

If something here landed, the most useful thing you can do is forward it to someone who should be reading.

Enjoy your weekend, go Spurs go, and see you Tuesday.

- Philip Reichert
Editor, The Civic

1. Texas leads the country in Fortune 500 headquarters. San Antonio just “lost” one. The new Fortune 500 list is out, and Texas now tops every state with 57 headquarters, passing California. It’s a genuine accomplishment for the state—but look at how we got there. The current multi-year story is one of relocations: companies like Tesla, Oracle (and soon-to-be listed SpaceX) and others planting their flags elsewhere in the Texas triangle. None came to San Antonio. Meanwhile we went from three Fortune 500 companies to two. Valero and USAA remain; Rush Enterprises dropped to just outside the top 500. It’s not a perfect measure of prosperity, but it’s worth noting. We’re watching because it’s the whole argument in miniature: a rising Texas tide doesn’t automatically lift San Antonio.

As a reminder, here’s our weekly column on what a Virginia-based Fortune 500 company, Boeing, has built at Port San Antonio.

2. Data centers are expanding around San Antonio. Denver-based Tract is developing three campuses covering more than 3,500 acres, representing over 5,220 megawatts of planned power capacity, stretching from the South Side through Medina County toward Austin. Brant Bernet, an executive vice president at CBRE, puts it plainly: “Texas is going to be the number one data center market in the world.” We’re watching because data centers, and the water and power they consume, are becoming an increasingly politically charged issue, and that argument is coming to San Antonio’s local politics. It’s also why we’re publishing an investigation into San Antonio’s water security later this month.

3. The eighth staffer leaves the Mayor’s office. Policy advisor Sophia Alejandro’s last day was May 29, making her the eighth departure from Mayor Jones’s office since she took office a year ago. Two chiefs of staff and a deputy chief of staff are among the others who have left. Turnover happens in any administration but this many departures in such a short time period is a clear pattern. We’re watching it because continuity is necessary for competence—it is hard to govern properly when your staff keeps leaving.

The Reframe

Passenger traffic at San Antonio International keeps falling (Aviation Dept.) → "Economic uncertainty" is a strange explanation when Austin is doing great. SAT is down nearly 6% in April year-over-year and 4.4% so far in 2026, extending its first annual decline since the pandemic. The airport cites "economic uncertainty” but that economy covers Central Texas too, and Austin-Bergstrom is up 2.77% in January and set new monthly records in February and March. Same region and headwinds, opposite results.

San Antonio businesses shoot to score big during NBA Finals (KENS5) → A national broadcast window like this is an asset, and there’s no sign anyone is running it as one. San Antonio is certainly celebrating the Finals. But look at what’s visible: the watch parties, the pep rally, and the River Walk bridge art are the Spurs organization and its partners. The most visible contribution from the City has been the Mayor trading churros with Charles Barkley on the pregame show. Pleasant enough, but not a real strategy. This run is probably too late to fully leverage but deep playoff runs will be recurring, and a national audience is a recurring asset. The city should establish a standing task force now, with all major stakeholders, to have a marketing plan in place for the next time so San Antonio can capitalize on the attention.

San Antonio dog bite cases rise despite $15 million budget increase for Animal Care Services (SA Current) → No city with major ambitions should carry a reputation for a dog problem. Despite a $15 million increase in the ACS budget, dangerous-dog cases rose 73% between FY2024 and FY2025, dismissed cases jumped 53%, and bite and scratch cases climbed from 3,090 to 3,810. The department points to new changes showing some improvement, and that’s great. But "dangerous dogs" should not be a problem residents and visitors associate with San Antonio. No one expects that of a major American city. It's the kind of reputation that quietly undercuts every pitch we make.

A 54,000-acre Hill Country ranch will become Texas' second-largest state park (TPWD / Texas Tribune) → One of San Antonio’s strongest assets continues to be its access to Texas itself. The state acquired nearly 54,000 acres in the Hill Country—canyons, limestone cliffs, river frontage on the West Nueces, a 30-acre spring-fed lake that will open as Silver Lake State Park, second in size only to Big Bend Ranch. The future park is located about two hours west, within day-trip distance. Worth saying amid a week of fiscal concerns and staff exits: one of the underlooked categories where San Antonio quietly beats its rivals is access to Texas, the place. The Alamo, the River Walk, the greenway trails, and soon a 54,000-acre state park within driving distance. That's a real competitive asset.

The Pick

Our weekly recommendation for what’s going on in San Antonio

The Orchestra San Antonio: Summer Tales

If you’re looking for something to watch this weekend other than the Spurs, the Orchestra San Antonio closes out the week with Summer Tales at the Tobin. The dramatic music from Carmen, a graceful cello showcase from Tchaikovsky, and Scheherazade, Rimsky-Korsakov's lush retelling of the 1,001 Nights stories. Guest conductor José Luis Gómez leads, with young cellist Cameron Renshaw as the soloist. Show up at 6:30 for the pre-concert talk, where the musicians walk you through what to listen for, a nice primer if a symphony isn't your usual weekend.

Saturday, June 6, at the Tobin Center for the Performing Arts (100 Auditorium Circle). Doors at 6, talk at 6:30, music at 7:30. Tickets start at $27.

Thanks for another week. Follow us on your platform of choice: X/Twitter, LinkedIn, Instagram, and Facebook. Story tips and reader notes go to our reporter Jarrett Whitener at jarrett@thecivic.com, and my inbox is always open.

A particular thanks to our Charter members, whose continued generosity allows us to operate.

If something here landed, the most useful thing you can do is forward it to someone who should be reading.

Enjoy your weekend, go Spurs go, and see you Tuesday.

- Philip Reichert
Editor, The Civic