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Austin Budget Squeeze: Garbage Tax vs. Lights

Thursday, June 25, 1953 regular
  • Budget Shortfall Sparks Inventory Debate:

    The council grappled with a $161,000 shortfall in the Electrical Capital Account, debating whether to reduce city inventory to free up funds for potential pay raises. A motion to cut inventory was ultimately defeated.
  • Concerns Over Spending Pace:

    Council members expressed apprehension about the rate of city spending, noting that almost 40% of the annual budget was spent in the first five months, prompting discussions on controlling vacancies, overtime, and contract work.
  • Public Pushback on Garbage Tax:

    Former Mayor Miller spoke, urging the council to drop any plans for a tax on garbage collection and instead suggested increasing light utility rates as an alternative way to generate needed revenue.

Full Transcript

Roll Call: 532 532 CITY OF AUSTIN. TEXAS MINUTES OF THE CITY COUNCIL CITY OF AUSTIN, TEXAS Recessed Meeting of the Special Meeting (June 25, 1953) June 25, 1953 2:00 Ρ.Μ. Council Chamber, City Hall The Meeting was called to order with Mayor McAden presiding. Present: Councilmen Long, Pearson, Thompson, White, Mayor McAden Absent: None Councilman Thompson brought up the Electrical Capital Summary for further discussion and inquired about it in that there were items costing more than anticipated and that the Electrical Capital Account is $161,000 short. The City Manager explained there would be no money to transfer over by reducing the inventory; that the Department to break even would have to reduce the inventory; that the inventory would have to be watched carefully in order not to run too low. The reduction in inventory was discussed thoroughly, Councilman White thinking it would not hurt the City to pull it down; Councilman Pearson believing that it would not be wise to do it. Councilman Long thought it possibly could be pulled down to $511,000 and there would be $20,000 more money. Councilman Thompson did not agree. He thought the Administration and Council should try to find all it could from the budget to put the pay increase in effect; then whatever increase in taxes that would be necessary to maintain the budget next year could be made; that the Administration did not feel safe in taking money out of the Electrical Capital Account. Councilman Long believed by studying the projects that would not be completed or might be in the planning stages; by checking the number of city employees and freezing the vacancies, that they could get by the next six months without increased revenue; and at the time a new budget is adopted, a tax rate would have to be set; and if an increase were needed, she would be just as courageous in voting it. Councilman Long then moved that the estimated inventory be reduced to $511,423.00 by the end of December 31st. The motion lost for lack of a second. The list of vacancies was discussed. Councilman Thompson stated it looked as though in spite of the vacancies that have occurred in the first five months, in this same period 38.7% of the $5,625,000 had been spent; and 5.33 533 CITY OF AUSTIN. TEXAS if it continued that way, the whole amount of the budget would be spent. Discus sion was held on amount of overtime; amount diverted for contract work, seasonal and part-time employees. Former MAYOR MILLER spoke briefly, asking that the tax on garbage col lections not be considered, and that the increase might not be found in the budget but suggested to raise the light rates. The Council recessed until Wednesday, July 1, 1953, 9:30 Α.Μ. ATTEST: Blain City Clerk erk APPROVED: Mayor