FORT WORTH, Texas — Tarrant County College is serving more students, awarding more credentials and strengthening the region’s workforce, even as state funding changes and declining taxable property values create new financial challenges.
The TCC Board of Trustees today approved a balanced $429.4 million operating budget for fiscal year 2027, effective Sept. 1. The budget protects teaching and learning, prioritizes high-demand workforce programs and maintains TCC’s commitment to affordability while responding to a shifting revenue environment.
Trustees also proposed a 2026 ad valorem tax rate of 12 cents per $100 valuation, up from the current TCC rate of 11.228 cents. The proposed rate will prompt a public hearing before trustees consider final adoption Sept. 10, in accordance with the timeline established by Texas law.
“For more than 60 years, Tarrant County taxpayers have invested in this College and the people it serves,” Board President Jeannie Deakyne said. “We take seriously our responsibility to return that investment through affordable education, a skilled workforce and opportunities that strengthen families and our community. That responsibility is at the heart of every decision we make.”
The proposed tax rate comes at a time when TCC is producing strong results for students and the community but receiving less revenue than anticipated from traditional funding sources.
“Tarrant County College is stronger than it has ever been,” Chancellor Elva LeBlanc said. “More students are choosing TCC, more are earning degrees and credentials, and we are preparing more people for careers that strengthen our region. Our challenge is to sustain that success in a funding environment that has not kept pace with the results our students are achieving.”
“We will continue to invest in programs that lead to good jobs and manage every taxpayer dollar responsibly.”
Success brings new funding challenge
Through House Bill 8, Texas changed the way it funds community colleges, tying state dollars to measurable student outcomes, including credentials earned in high-demand fields, successful university transfers and dual credit completions.
TCC and other Texas community colleges have produced significantly more of those outcomes than projected. As a result, the money required to cover the outcomes exceeded the amount available, prompting adjustments to the state funding formula.
For FY 2027, TCC expects to receive $59.6 million through the formula — approximately $4.1 million less than anticipated.
“The challenge is not that TCC is producing fewer results. It is the opposite,” Chief Financial Officer Pamela Anglin said. “We are delivering what we promised.”
The state funding change is one of several factors affecting College revenue. Tuition and mandatory fees are frozen through 2027, and TCC’s certified taxable property values declined from approximately $322 billion last year at this time to $283 billion this year.
Earlier this year, TCC also reversed planned fee increases that would have generated more than $9 million in additional revenue, keeping tuition and mandatory fees flat for students.
The FY 2027 budget represents a 3.5% increase from the current year. TCC’s zero-based budgeting requires expenses to be justified based on College priorities and student needs. TCC also continues to review programs in response to Tarrant County workforce needs and pursue operational efficiencies Collegewide.
The budget provides a 2% salary increase for full-time employees and absorbs an 8% increase in employee health insurance costs.
Understanding the proposed tax rate
TCC’s certified net taxable property values declined by approximately $39 billion this year, reflecting increased exemptions, limits on taxable values, valuation appeals and reduced assessed valuations.
The proposed 12-cent rate has two components. The maintenance and operations rate, which supports day-to-day operations, would increase from 9.628 cents to 10.55 cents per $100 valuation. At the same time, debt service would decrease from 1.6 cents to 1.45 cents.
The overall proposed rate would exceed TCC’s no-new-revenue rate of 11.211 cents but remain below its voter-approval rate of just over 12.5 cents.
The proposed rate would add $7.72 annually for every $100,000 in taxable value compared with the current rate. For a Tarrant County home with a taxable value of $350,000, the annual increase in TCC property taxes would be $27.02.
TCC also provides a local residence homestead exemption equal to 1% of a home’s appraised value, with a minimum exemption of $5,000.
Investing in students and Tarrant County
Even as TCC manages a more constrained funding environment, the College continues to make significant investments in students, families and the regional economy.
TCC annually waives $15.5 million in dual credit tuition for Tarrant County high school students and supports 18 Pathways in Technology Early College High School (P-TECH) programs, 15 Early College High Schools, and dual credit offerings at 102 high school campuses.
The College also continues to invest in high-demand programs and workforce pipelines. Among its newest initiatives are its first bachelor’s degree, the Bachelor of Applied Science in early childhood education and teaching; a new Associate of Applied Science in air traffic control, pending approval by the Southern Association of Colleges and Schools Commission on Colleges; and expanded career pathways supporting industries such as aviation, advanced manufacturing, automotive technology, cybersecurity, education, film production, healthcare, information technology and public safety.
Those investments are producing benefits beyond TCC campuses. The College generates an estimated $2.3 billion in annual economic impact while helping local employers develop the skilled workforce needed to support the region’s continued growth.
About Tarrant County College
Tarrant County College serves nearly 100,000 students each year, offering accessible, affordable pathways to in-demand careers and university transfer. Across multiple campuses and TCC Connect — a fully online learning option — the College partners with more than 1,200 employers to help build the workforce that drives North Texas forward. Bold Steps. Better Futures.