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Yahoo
a day ago
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Austin expected to approve $6B+ budget, triggering property tax rate election
AUSTIN (KXAN) — After hours of public comment and debate Wednesday, Austin City Council is likely to approve its budget for next fiscal year, including setting a tax rate, on Thursday. All but one member of the dais has indicated they support a property tax rate high enough to trigger an election in November (TRE). PREVIOUS: Austin mayor 'disappointed' with cost of some tax rate election proposals 'Nobody enjoys paying more taxes, but we do enjoy our parks—we do need to drive on our roads. There are crucial, essential things a city has to do, and the cost of doing those things has risen,' Austin City Council Member Ryan Alter said. How much will the city ask for in a tax rate election? Some Austin city council members and the mayor indicated Wednesday they were not comfortable going above 5 pennies in the below scenario. Previously, the council was considering anywhere from the city manager's proposed base budget to 8 pennies. As the graph indicates, at 5 cents, a tax rate election would mean the average homeowner's property tax bill goes up by $302.14 annually, $197.92 of that from the TRE. That does not include rates. What would you get for it? City council members so far seem to almost unanimously agree that more money is needed to fully fund the Homeless Strategy Office's $101 million plan, for parks, public safety and some social services. Staff brought forward a base tax rate election proposal Wednesday, which included some funding for the Homeless Strategy Office's (HSO) plan, the housing trust fund, Emergency Medical Services programs, funding for parks, public health, sidewalks and funding for overtime at the Austin Fire Department. 'I wanted to make sure that we have the appropriate overtime for our fire department. I am not in favor of changing our staffing models,' Austin City Council Member Paige Ellis told KXAN of her priorities. She brought forward an amendment on that issue. Austin firefighters push back against proposed budget's staffing requirement changes That base proposal was amended Wednesday, and council members will continue to add to it or take away from it on Thursday. Some amendments included reinstating funding for police oversight, fully funding the homelessness plan and adding additional funding for a homeless navigation center. 'Addressing the needs from public safety, whether that's EMS needs or fire needs, looking at things including library funding, the list goes on and on,' Austin City Council Member Ryan Alter said of early amendments made. Austin's homeless strategy office identifies $101 million needed for new strategies to address issues Austin City Council Member Marc Duchen said Wednesday, while he thinks these are important services, he does not support a tax rate election as high as 5 cents and will be voting against items that raise the property tax rate. Previous coverage Aug. 14: Austin budget discussions underway, property tax election all but certain Aug. 12: Get up to speed with the latest tax rate election proposals Aug. 8: Austin mayor 'disappointed' with some tax rate election proposals Aug. 5: Austin leaders lay out initial tax rate election proposals Aug 1: Texas cities, counties may face new limits on raising property taxes July 15: Austin leaders concerned budget cuts too much from community needs July 12: Austin City Manager TC Broadnax releases proposed $6B+ budget What is a tax rate election? Because of a 2019 state law, taxing entities cannot raise the property tax rate more than 3.5% from the year prior without triggering a TRE. After City Manager TC Broadnax released his proposed budget, which sat at that 3.5% voter approval rate and would not trigger an election, council members and the mayor started proposing alternatives that cut less services but also add to your property tax bill. That increase in the property tax rate would ultimately trigger a tax rate election in November. The body started discussion on Wednesday, and while the vote is expected to happen Thursday, it may take until Friday to officially vote on the budget and tax rate. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. Solve the daily Crossword
Yahoo
06-08-2025
- Business
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Austin city council signals a tax rate election is coming, but for how much?
AUSTIN (KXAN) — Tuesday, the group of Austin city council members who sit on the Audit and Finance Committee voted to recommend a tax rate election to the full council next week when the body votes on its property tax rate and budget. Because of a 2019 state law, taxing entities cannot raise the property tax rate more than 3.5% from the year prior without triggering a tax rate election (TRE). That's where the city manager's base budget sits right now — at the 3.5% rate allowed without triggering a TRE — which would still mean a total monthly increase of $18.18 per month or $218.16 annually for the 'average' ratepayer and taxpayer. Austin budget building: Your council member's concerns, priorities heading into work sessions Because of significant budget challenges this year, including a dip in sales tax revenue and cuts at the federal level, some Austin city council members and the mayor are considering a tax rate election that would raise your property taxes more than that proposed base budget. Now that a tax rate election has been recommended to the full council, as is part of the city's new tax rate election policy, here's what each council member is proposing be in that ask of voters: Proposal A: $485.36 more for average rate payer and homeowner Mayor Pro Tem Vanessa Fuentes (D2) and Austin City Council Members Jose Velásquez (D3), Chito Vela (D4) and Ryan Alter (D5) are proposing a 6.75 cent tax increase, the most costly proposal, which they say will do the following, in-part: Fund the city's plan to combat homelessness 'by including 'upstream' elements that keep people housed or quickly get them back into housing' Expand the city's affordable housing programs Take a 'significant step' toward better maintaining parks You can read the full proposal here. That 6.75 cent tax increase, if approved by voters, would tack roughly $267.20 onto the city manager's proposed base budget. That means in total, the average homeowner and rate payer would spend $485.36 more next year. Proposal B: $445.02 more Austin City Council Members Krista Laine (D6), Mike Siegel (D7), Paige Ellis (D8) and Zo Qadri (D9) are proposing a 5.75 cent tax increase scenario that 'responds to demands to protect public health programs, improve emergency response, provide shelter and support for people experiencing homelessness, and invest in climate resilience,' the group wrote. Austin firefighters push back against proposed budget's staffing requirement changes 'We have also prioritized sidewalks and parks maintenance, access to pools, restoring funding to the Office of Police Oversight and the Housing Trust Fund, library resources and reentry workforce development and much more. Finally, like our colleagues, we are prioritizing caring for our civilian employees and ensuring future cost of living increases,' they continued. That proposal — at the 5.75 cent tax increase — would cost the average homeowner $226.86 on top of the city manager's base budget, according to a scenario chart provided by city of Austin staff. In total, and if approved by voters, that proposal would ultimately cost the average homeowner and ratepayer $445.02 more next year. You can find that proposal — and what would be funded by it — laid out here. Mayor Kirk Watson proposal: $356.70 more Watson is proposing a less significant rate increase, but still advocating for a tax rate election. The mayor is proposing a 3.5 cent tax increase, which would raise the average homeowners property taxes by $138.54 over the city manager's base proposal. In total, that proposal would result in $356.70 more for the average ratepayer and homeowner. Travis County considering higher tax rate allowed after flooding disaster The mayor's additions would cover the Homeless Strategy Office's funding plan, adds money for park maintenance and wildfire mitigation. You can find Watson's proposal here. 'It doesn't do all that I would like to see us be able to do in terms of funding services, and it also adds to the tax burden. But my hope is it offers voters a balanced way to preserve some important services while minimizing the damage on our affordability efforts,' Watson wrote. No tax rate election Austin City Council Member Marc Duchen (D10) is so far the only member of the body who has indicated he is against a tax rate election outright — citing concerns about affordability. But he also indicated he would be willing to compromise on a less significant TRE. 'If there was an interest on the dais, I would explore a compromise and support a modest one or two cent TRE that includes priorities that I believe we can all agree on, including public safety, parks, wildfire mitigation, and preserving a healthy reserve fund. I welcome any collaboration on this. However, what I heard…was 'go big or go home'. And when presented with a 5+ cent ($200+) TRE I fear Austin taxpayers will tell us to 'go home,'' Duchen said. Duchen encouraged the city to look at necessary cuts. You can read more from Duchen on his proposed plan here. No signal yet from Council Member Natasha Harper Madison Harper Madison hasn't indicated where she may fall on a tax rate election, but her staff did highlight three amendments the council member is leading on, including two amendments that would provide one-time funding for the Safe Alliance 'which has lost millions of dollars' in federal and state funding. How much could the city of Austin raise your property tax bill this year? 'One is for $250,000 in unmet needs at the City of Austin's Family Violence Shelter to be operated by The SAFE Alliance…The other is for unmet needs at The SAFE Alliance for the operation of safety net housing for youth aging out of foster care with no alternative living arrangements,' Sharon Mays, Harper Madison's chief of staff said. The third amendment is for utility relief for nonprofits. Mays said that amendment adds $250,000 in one-time funding for Austin Water and $250,000 for Austin Energy 'to subsidize or reimburse the utility costs of nonprofit shelters and housing providers.' Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. Solve the daily Crossword
Yahoo
28-05-2025
- Business
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Inside Austin's Agenda: Behind the scenes of last week's ‘cap and stitch' vote
AUSTIN (KXAN) — On Wednesday's episode of Inside Austin's Agenda, host Grace Reader will sit down with Austin City Council Member Ryan Alter to talk about last week's vote to commit $104 million to the Texas Department of Transportation (TxDOT) for the roadway elements of 'caps and stitches' over TxDOT's I-35 project. Those 'caps and stitches' are decks over the highway that may eventually support parks, trails, and community spaces. The funding committed Thursday will support caps between Cesar Chavez Street and Fourth Street, between Fourth Street and Seventh Street and between 11th Street and 12th Street. It also covers two stitches, which are thinner than caps, in north Austin. Parks over I-35: Austin city council agrees on $104M for roadway elements Alter was part of a sub-quorum of council members pushing for as many of those 'caps and stitches' as possible. He presented several ideas in the days leading up to the vote to encourage his remaining colleagues to consider voting for additional highway covers. We will discuss the behind-the-scenes of how that compromise was reached and the public meeting laws the city council has to follow when it's divided into sub quorums, like it was last week. Inside Austin's Agenda is live every other Wednesday at 3 p.m. Watch every episode at the top of this article, on Facebook, and YouTube. You can find previous episodes here. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
23-05-2025
- Business
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Austin City Council votes to fund columns for 3 park decks, 2 ped bridges over I-35
Following weeks of rare infighting fueled by a major budget crunch, the Austin City Council on Thursday approved $104 million to pay for columns to support three large decks and two pedestrian bridges over parts of Interstate 35 near downtown. While the 8-2 decision, with one abstention, was limited to funding for the support structures, it also served as a de-facto vote on the scope of the city's long-planned effort to physically reunite historically segregated East Austin with the heart of the city by covering a soon-to-be lowered I-35 with parks, walkways and other amenities. That's because the Texas Department of Transportation needs to know by months' end how many decks and bridges to account for as it prepares to lower and expand I-35 through Central Austin. As previously envisioned, the project included six park decks and two pedestrian bridges. The plan approved Thursday accounts for three caps, from Cesar Chavez to Fourth streets; Fourth to Seventh streets; and 11th to 12th streets, as well as two 300-foot pedestrian bridges, or "stitches," near 41st Street along the Red Line train path. The downsizing was the result of a major compromise. Ahead of the vote, the 11-member council was nearly evenly split on how many caps and stitches it should build. One camp had pushed for funding only two decks, citing the city's worsening financial outlook, while another camp had pushed for at least four. Council Member Ryan Alter was in the latter group but voted in favor of the slightly downsized plan. "What we ultimately approved is a significant investment and opportunity in not only bridging east and west, but creating meaningful spaces for people to come and enjoy," Alter said in an interview after the vote. Council Member Paige Ellis voted in favor, too, but only after her motion to pay for support structures for two caps and two stitches failed 5-6. 'This may feel like an episode of Family Feud, but we're all really fighting for the same green future,' she said. The two 'no' votes came from Council Members Marc Duchen and Krista Laine. Council Member Mike Siegel abstained. All cited concerns with the cost of the project. "The city of Austin is holding all of the financial risk of cost overruns when we all know they are coming," Laine said. "It's wild." The city is facing a $33 million budget deficit and also expecting to lose a $105 million federal grant that would have paid for one of the caps. The total project cost, accounting for the reduced number of caps, was not immediately available Thursday. With all six caps and both stitches, the estimated price tag had been $1.4 billion. The sentiments expressed during the public comment period mirrored the split on council. Many residents and groups said they wanted columns for some or all of the caps funded, saying it was an investment for future generations of Austinites. "This is one of those 'yes and' moments," said Jim Walker of the Cherrywood Neighborhood Association. "You're going to have to address the urgent needs and meet these big, multigenerational moments when they arise. They don't come very often." But others weren't so sure. Several local advocacy groups and residents opposed the plan, saying that money was needed for other more immediate needs like affordable housing, similar to the concerns of the dissenting council members. "This is not the time to put a down payment on a project that the people of Austin cannot afford," Barbara McArthur, a district 7 resident, said during public comment at Thursday's meeting. This article originally appeared on Austin American-Statesman: Austin council votes to fund columns for 3 decks, 2 bridges over I-35
Yahoo
29-01-2025
- Business
- Yahoo
City of Austin set to update long-term housing goals with federal grant
AUSTIN (KXAN) — The City of Austin could take another swing at its long-term comprehensive housing goals. The Housing Department applied for and received a nearly $7 million federal grant to help do it. Austin City Council is expected to vote on the acceptance of that grant Thursday. The money will go toward several housing initiatives, including preservation of affordable housing near the planned light rail line, prioritizing building near high-opportunity areas and updating the Strategic Housing Blueprint. The city of Austin and Austin Housing Finance Corporation also pitched in roughly $21 million to do that work, according to council documents. In 2017, Austin City Council set forward lofty housing goals and created a guiding document, called the Strategic Housing Blueprint. 'It measures every single district in terms of how much housing has each district produced in relation to how much the scorecard says it should. It also breaks down by income level,' Austin City Council Member Ryan Alter has previously said. 'And unfortunately we're not doing very well on pretty much any of these metrics.' Every year HousingWorks Austin collects data to show how close the city is to meeting those goals, called the Strategic Housing Blueprint Scorecard. The 2022 Strategic Housing Blueprint Scorecard — which is the most recent — marks the halfway point in the city's comprehensive plan. Awais Azhar, the executive director at HousingWorks Austin, says he thinks the blueprint needs a revamp with a focus on housing in high-opportunity areas — for example near schools and work — housing near transit, reaching people at the lowest median family income levels and working to integrate the needs of the Homeless Strategy Office (HSO). 'All of our affordable housing programs have been focused on 50% median family income or lower for rental or 80% median family income or lower for ownership. So that's roughly for a two person household that's [at] $80,000,' Azhar said. 'Even if you're at $100,000 or $90,000 or if you're at $110,000, it's increasingly hard for people to purchase homes in our central city so that's another conversation we need to have.' The city's Housing Department has previously said the revamp is necessary because of how much the city has changed since the blueprint was adopted in 2017. 'Some ways the city has changed include, the rising cost of living, responding to the COVID-19 pandemic, adding a coordinated homeless strategy, and land development code legal challenges,' a spokesperson wrote. KXAN asked the city's Housing Department whether this grant would be impacted by a recent announcement that federal grants may be halted and reevaluated. We didn't hear back by the deadline. We also asked the city of Austin about whether there are federal grant approvals on this week's council agenda that will need to be postponed. City Manager T.C. Broadnax said generally of the potential for a pause in federal grants that the city is 'aware of the memo from the federal Office of Management and Budget and are currently assessing its impact. We are compiling a total amount of grant funding for all City of Austin programs that could be affected.' Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
