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Houston to implement a $5 administration fee, other countermeasures to help close growing budget deficit

Houston Mayor John Whitmire announced May 5 that the city will implement three new measures to help close a projected $209 million budget deficit for fiscal year 2026-27.

The overview: The three new measures include:

  • Declaring the Solid Waste Department a municipal utility under Texas state law
  • Implementing a $5 administration fee for all homeowners
  • Creating a right-of-way water fee

Together, these measures are projected to provide approximately $200 million in general fund relief, effectively closing the projected FY2026-27 budget gap, city officials said.

Something to note: The upcoming changes do not include raising taxes.

Final takeaways: These changes do not address the city’s FY 2025-26 budget deficit, which ends in June and currently sits around $174 million, largely due to overtime costs for public safety departments.

Houston will start its new budget season May 5 with a five-year forecast. Budget workshops will follow throughout the month, with FY 2026-27 set to begin July 1.

 
On The Business Beat
Island Grill founder Faysal Haddad to pass business to his children 

For the past 26 years, Island Grill has operated as a family-run restaurant serving Mediterranean-American flavors across Houston. 

What’s new: Founded by Faysal Haddad and his wife, Maria, Island Grill operates out of Rice Village, Tanglewood, Spring, Memorial and Downtown Houston. 

Haddad has run the restaurant with the help of his three children, Grace, Michael and Sophie, and announced his children will step into leadership roles, according to company representatives. 

What they offer: Island Grill’s menu features family recipes with Syrian influences, such as falafels and the Hanover plate, which includes grilled walnuts, sautéed onions, tabbouleh, hummus and a meat of the customer’s choice.

  • 2365 Rice Blvd., Houston

 
Latest News
Bellaire City Council closes speed hump project on Braeburn Drive

Bellaire City Council voted unanimously during a May 4 meeting on the final approval of two speed humps installed on 5400 Braeburn Drive, making the installation permanent. 

How we got here: City Council had previously approved the installation of the speed-calming measures in June 2025, after 80% of the property owners on the 5400 block of Braeburn Drive signed a petition requesting that three speed bumps be added.

After 19 property owners signed the petition and City Council approved the $7,637 project, which was paid for by the residents, it became part of Bellaire’s Neighborhood Traffic Improvement Program. 

What’s new: During the May 4 meeting, city officials shared that speed data collected by the police department shows vehicular speeding on the block of 5400 Braeburn Drive decreased from 29.1% to 10.1% after two speed humps were installed. 

After holding the May 4 second public hearing where residents shared feedback, City Council gave final approval for the speed humps to become permanent. 

 
Around Town
12 events to celebrate Mother's Day in Greater Houston

From Mother's Day brunch to markets, there are several events to celebrate Mother's Day in the Greater Houston area.

Mother's Day Downtown Conroe Sip & Stroll
This event is designed to pamper mothers with a shopping experience featuring local vendors with handcrafted gifts, jewelry and seasonal finds. The first to arrive will be given a free, limited edition Mother's Day tote bag.

  • May 9, 10 a.m.

  • Free

  • 213 North Thompson St., Conroe

Mother's Day Once Upon a Tea
The Tomball Methodist Church is holding a Mother's Day event with refreshments, games, a flower bar and kids' activities.

  • May 9, 10 a.m.-noon

  • $20 (per person over 18 years old)

  • Tomball Methodist Church, 1603 Baker Drive, Tomball

Mother’s Day Edition screening
Rooftop Cinema Club is celebrating Mother's Day with several screenings including "Mamma Mia!" and "Gilmore Girls."

  • May 10, 5 p.m. ("Mamma Mia!’", May 12, 7 p.m. ("Gilmore Girls")

  • $19.75-$27

  • Uptown Houston, 1700 Post Oak Blvd., Houston

 
Latest Education News
51K low-income students to receive Texas Education Freedom Account funding

More than 53,000 students will be invited to join Texas’ education savings account program this week, the state comptroller’s office said May 4.

The details: Families will be notified by email between May 4-6 if they were awarded funds in the second round of the Texas Education Freedom Accounts program, per a news release from the comptroller’s office.

To date, nearly 96,000 students have been selected to participate, with these students set to receive about $820 million of the $1 billion state lawmakers allocated for the program, an agency spokesperson said. Of the 53,000 second-round awardees, over 51,000 are from low-income families. The other 2,000 students accepted this week were found to qualify for disability-related funding, the agency said.

The background: Families accepted to the TEFA program will receive state funds to send their children to private schools or homeschool them for the 2026-27 school year.

Proponents of the new program have said it will expand educational opportunities, while critics have expressed concerns that the program will unfairly benefit students already enrolled in private schools.

 

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