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3w ago

Austin Council Weighs November Tax Rate Election After Committee Endorsement

This week’s vote will determine whether voters decide on a 3.5 to 6.75 cent hike to plug a $33 million deficit in the city’s next budget.

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Overview

  • The Audit and Finance Committee, including Mayor Kirk Watson, unanimously recommended a tax rate election this November to cover a projected $33 million budget shortfall.
  • Council is scheduled to vote this week on the final 2025 budget and on whether to ask voters to approve a property tax hike exceeding the 3.5% state cap.
  • A 6.75¢ increase championed by Mayor Pro Tem Vanessa Fuentes, Jose Velásquez, Chito Vela and Ryan Alter would fund homelessness prevention, affordable housing and park maintenance.
  • Council Members Krista Laine, Mike Siegel, Paige Ellis and Zo Qadri back a 5.75¢ proposal to bolster public health programs, emergency response, homelessness services and climate resilience.
  • Mayor Kirk Watson supports a 3.5¢ hike to fund the Homeless Strategy Office, parks maintenance and wildfire mitigation, while Council Member Marc Duchen warns that larger increases could trigger voter rejection or require deeper budget cuts.