Most cities across the Rio Grande Valley reported higher sales tax allocations through April compared to the same period in 2025, according to data from the Texas Comptroller of Public Accounts.
The gains signal continued economic activity across the region, though growth varied widely by market, with larger cities maintaining the strongest revenue base and smaller communities seeing more volatility.
Sales and use taxes are a key economic indicator — not just for retail stores, but also the value of material used in construction projects. The state collects the taxes and distributes allocations back to municipalities, where they help fund operations and economic development efforts.
While city population was a common indicator for the scale of sales tax revenue, there were some outliers.
Despite being the second largest city by population, McAllen has long led the Valley with the largest sales tax revenue base, which is on track to surpass $100 million this year.
In 2024, McAllen had 148,700 residents while Brownsville had 191,900.
During the first four months of the year, McAllen collected more than $36.4 million in sales tax revenue, up 6.8%.
Meanwhile, Brownsville, the Valley’s largest city, collected $21.8 million in sales taxes during the same time frame, up 4.2%.
Edinburg, with a population of 108,700 residents as of 2024, collected $13.7 million in sales tax revenue between January and April — up 4.4% over the year.
Likewise, the city of Mission, despite having a larger population than Harlingen and Pharr, with 88,500 compared to 72,200 in Harlingen and 81,100 in Pharr, lagged behind in sales tax revenue.
Mission generated about $10 million in sales tax revenue, a decline of less than 1% over the year.
Harlingen collected $12.8 million in sales tax revenue, up 6.8% over the year.
Pharr collected $10.8 million in revenue, up 4.6% over the year.
Weslaco, with 43,800 residents, saw growth slow to less than 1%, with sales tax revenue reaching $7.2 million.
The city of San Juan, with 37,300 residents, grew its sales tax revenue by 8.8% over the year to $2.6 million.
Nearly a dozen cities across the Valley saw double-digit growth in sales tax revenue — but Port Isabel stands out.
The city, which had 5,200 residents as of 2024, grew by 43% over the year to $1.6 million.
Meanwhile, the nearby community of South Padre Island, which has about 2,000 residents, saw growth of less than 1% over the year to $1.28 million in sales tax revenue.
Smaller communities were among the few that saw a decline in sales tax revenue, with Rancho Viejo down less than 1%, Granjeno down 1.1%, Rio Hondo down 2%, La Joya down 3.5%, and Palm Valley down 4.5%.
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