Proposed sales tax vote raises questions in the county

By Anthony Collins

LPR Editor                        

   Voters in Caldwell County will head to the polls on May 2, 2026, to decide on a proposed sales and use tax that could impact funding for local emergency services. The measure, tied to Emergency Services District No. 5 (ESD 5), is already raising questions about how much money it would bring in.

   Right now, Texas has a base sales tax of 6.25%. Local governments, including cities, counties, and special districts, can add up to another 2%, which brings the maximum total to 8.25%.

   In places like Lockhart, that cap has already been reached. The local portion is split between the city and the county. Cities like Martindale collects 1.25%, Caldwell County is .5%, and ESD 3-A collects .25%. and Luling also collect their share receiving 1.5% and Caldwell County receiving .5%. So, if you’re shopping in Lockhart, you’re already paying the full 8.25%, and that wouldn’t change under this proposal.

   The new measure would allow for up to an additional 1.5% sales tax, but only in areas outside city limits that haven’t already hit the cap. Even though it mostly affects those unincorporated areas, everyone in the county still gets to vote on it.

   It’s also worth noting that some emergency services districts already receive a portion of local sales tax, sometimes as much as 0.5%. That can limit how much room there is for any new tax in certain areas.

   One of the biggest questions is how much revenue this would really generate? Most of the shopping in Caldwell County happens in cities like Lockhart, where the sales tax is already maxed out. 

That means those purchases wouldn’t bring in any additional money for ESD 5, which could limit the overall impact of the proposal.

   The election itself is set for Saturday, May 2, 2026. As of now, many parts of the county are already at the 8.25% combined sales tax rate, which includes the 6.25% state tax and a 0.5% county tax, with the rest going to cities and other local entities. The proposal would only apply in areas that still have room under that cap.

   County commissioners have also proposed keeping the property tax rate for 2025–2026 the same as last year.

   Results will be available after the election, and in the meantime, residents may want to take a closer look at the proposal and think about what it could mean for both their wallets and local emergency services.