Months of presentations on how to address a shortfall of $27 million and keep up with rapid growth, culminated in a vote on Tuesday evening to raise the Alamo Colleges District tax rate for the first time in more than a decade.
The unanimous vote by the Alamo Colleges Board of Trustees effectively increases the current tax rate by 0.0175 cents — from $0.149 to $0.16665. Trustees had to repeat the motion to increase the rate several times hoping to avoid any legal issues.
That’s an 8.76% increase in the rate.
A tax rate increase of that size does not require voter approval, only a board supermajority.
For homeowners, the increase will result in a $37 annual increase for homes valued at $270,000, the current median home value, or $48 more annually for a home valued at $320,000.
That same evening the trustees held a mandatory public hearing on the proposed increase during which community members had a chance to learn more about the proposal, ask questions or voice concerns.
No one signed up to speak during the Tuesday meeting, and there was no discussion among trustees.
The board ended the 2025-26 academic year knowing a tax rate increase would be necessary to close the $27 million gap. The shortfall was attributed to the district’s enrollment growth outpacing revenue by more than three times.
The district relies on property taxes to fund nearly half of its revenue, with state funding and tuition making up the bulk of the other half.
Enrollment growth across the district’s five colleges — San Antonio College, Palo Alto College, St. Philip’s College, Northwest Vista College and Northeast Lakeview College — has also outpaced official projections.
District leaders initially expected to reach at least 95,000 students this fall, according to a June presentation. But by August, fall student enrollment projections had risen to surpass 100,000 students.
As of Monday, less than a month into the fall term, the total headcount was 99,712 students enrolled across the district, an increase of more than 11,000 students since the Fall of 2025.
“More than 100,000 learners are counting on the Alamo Colleges District to help them reach their education and career goals,” said Chancellor Dr. Mike Flores in a prepared statement. “This investment will allow us to maintain the level of service our community expects, prepare more people for high-demand careers and support our region’s continued economic growth.”
Enrollment wasn’t the only pressure point for the district’s budget. Officials also presented sudden changes to the state revenue, which is expected to fall short by at least $16.6 million, as well as property value losses of $3.5 billion and a statewide tuition freeze.
Without enough revenue to balance the budget, officials warned student support services would likely be scaled back or could disappear. In the current budget these kind of services include AlamoBOOKS+ at a cost of more than $22 million and AlamoPromise at $7.5 million.
The San Antonio Report partners with Open Campus on higher education coverage.
