Frisco debates raising municipal rate amid regional divergence
Frisco officials are considering a proposed municipal property tax rate of 44.1289 cents per $100 of taxable value for 2026, a move that would represent the city's first increase since 2017. The proposal comes as the City of Dallas prepares to adopt another lower municipal rate — 69.78 cents — continuing a multi-year pattern of reductions there.
The widening gap between Dallas and fast-growing northern suburbs has prompted debate among local officials and residents about tax competitiveness, public services and the long-term fiscal strategy for Frisco. The comparison was highlighted earlier this week after Dallas City Councilwoman Cara Mendelsohn posted the proposed rates on social media, noting the disparity and questioning why residents continue to relocate north.
"In Frisco, they're debating raising property taxes to 44.10/$100 of value. In Plano, the proposed rate is 43.96. In Dallas, we're contemplating a rate of 69.78 and can't figure out why residents and businesses keep moving north." — Cara Mendelsohn
How Frisco compares to neighboring cities
Looking at municipal portions of property tax rates (city-only rates), the 2026 proposals show a clear separation between Dallas and its suburbs. The numbers in play for 2026 are:
| City | Proposed municipal rate (cents per $100) |
|---|---|
| Dallas | 69.78 |
| Frisco | 44.1289 |
| Plano | 43.76 |
| McKinney | 41.7876 |
Analysts and local officials point out that comparing only the municipal rate does not equate to a homeowner’s full tax bill. Property owners also pay levies for school districts, counties, community colleges and other taxing entities, which together determine total property tax obligations.
Local consequences and considerations
For Frisco residents, the proposed increase to roughly 44.13 cents would mark a policy shift after nearly a decade of steady municipal rates. City leaders must balance several pressures when deciding whether to raise the municipal rate:
- Maintaining services and infrastructure in a rapidly growing city
- Managing long-term debt and capital projects
- Keeping Frisco competitive with neighboring suburbs for residents and businesses
- Responding to public sentiment on taxes and spending priorities
City officials have not released a full line-by-line projection of how the proposed rate would translate into average homeowner increases. The municipal portion is only one component of a tax bill; school districts and county rates will also shape the final numbers Frisco taxpayers receive.
Regional context and political implications
The contrast with Dallas — which is pursuing its 11th consecutive year of municipal rate reductions under the proposed 69.78-cent rate — fuels a political narrative used by some elected officials to underscore the suburbs’ attractiveness. One analysis in circulation this week noted Dallas’ proposed rate is roughly:
- 58% higher than Frisco’s proposed municipal rate
- 60% higher than Plano’s proposed municipal rate
- 67% higher than McKinney’s proposed municipal rate
Those comparisons, however, reflect only the city portion of property-tax levies and do not account for overlapping taxing jurisdictions. Frisco’s own tax breakdown shows how multiple layers factor into a resident’s total obligation; for properties on the Collin County side of Frisco, the current city rate stands at 42.5517 cents, alongside county and college levies.
City council meetings and budget workshops scheduled in the coming weeks will be the principal forums for debate. Frisco residents concerned about the proposal should watch the council calendar for public hearings and budget documents that spell out revenue needs and planned uses for any additional funds.
As rates are finalized across the region, the difference in municipal levies will remain a talking point for officials and voters weighing growth, services and affordability in the Dallas-Fort Worth metroplex.
