Texas Attorney General Ken Paxton has taken action against cities considering tax increases. A law from 2025 restricts cities from raising certain taxes if they do not meet financial requirements. Cities that do not comply may face investigation. Over 100 cities have been notified that they cannot raise taxes above a certain rate. Further details on this development are available from the original source.

Investigations into cities that have allegedly broken this law are ongoing, with some cities having been under review since October 2025.

The action affects many cities, with more information on the specifics available from the source.