City Council Budget Meeting Transcript – 7/16/2026 Title: ATXN-1 (24hr) Channel: 1 - ATXN-1 Recorded On: 7/16/2026 6:00:00AM Original Air Date: 7/16/2026 Transcript Generated by SnapStream ================================== Please note that the following transcript is for reference purposes and does not constitute the official record of actions taken during the meeting. For the official record of actions of the meeting, please refer to the Approved Minutes. [10:00:08 AM] Well good morning everybody, I’ll call to order the Austin city council meeting for this work session on July 16th, 2026 at 10:00 in the morning. We have a quorum of the Austin city council present, and we have a new sound system. So it sounds a little weird to me, but that's. We'll get used to that, won't we? The this is a work session. It'll be our first work session on the budget. I want to say a couple of things. One is I want to say that last week council member Ellis, who now sits over here, she had a birthday. So let's wish her a happy birthday. For those that don't know, seated next to her is council member Velazquez. And I believe that we are celebrating his birthday by having this meeting next week. Next week. Okay. >> Council agenda. And I'm so thankful that we. >> Yeah, July 23rd works out. Yeah. Good. Well, we want we wanted to make sure it was a special gift, but let's start let's start celebrating it now. Yeah. That's right. Anyway, so this is the first meeting after we have had a little bit of [10:01:09 AM] break from meetings. What I want to do is run through a couple of things. One is I want to run through the schedule that we're going to have with regard to the budget, as councilmember Velasquez just pointed out, next week we will have a work session on the 21st. That will be a work session like we do in anticipation of a regular schedule, schedule, regularly scheduled council meeting. And that will be on the 23rd. But we also have a series of meetings that are set up that we can discuss the budget. The public can see the budget, and the public will have opportunity to comment on the budget. So let me just walk through a little bit of that. Of course, today's July 16th, and we will have a budget presentation on the proposed budget, and it'll relate to all departments. On Wednesday, July 22nd, beginning at 10:00 in the morning. We're going to hold another work session and it will include the city strategic priority discussion on the city's strategic strategic priorities related to community [10:02:10 AM] health and sustainability, homelessness and housing and social services ctrtracts. On Tuesday, July 28th, again 10 A.M. We'll have another work session and it will address items related to economic and workforce development, mobility and critical infrastructure, and issues related to high performance in our government. On Thursday, July 30th at 10 A.M. We will begin a work session that is focused on public safety and any final strategic priorities. We will also, on that day, July 30th at 3:00 pm, we will have a public hearing on the budget and we will hear public comment related to the maximum tax rate on that date. We will set the maximum tax rate. And I want everybody to understand that setting the maximum tax rate is [10:03:10 AM] a requirement that the city council needs to follow. Under the Texas state's truth and taxation process, in which the city's governing bodyublicly declares the maximum property tax rate it will consider in the upcoming budget process. And it has to be done by a vote of the governing body. So we will begin that day at 10 A.M. We will have the briefings, but we will also have a public hearing at 3:00 that day. And that day we will set the maximum tax rate on Tuesday, August 4th at 10:00. We will have we he tentatively scheduled a budget work session in case there's a need for some additional time. If we have final questions that need to be worked through, or we're going to try to address some sort of specific topic of interest, we may not need that date, but it is scheduled, so we'll have that on that date. However, we're requesting that we set [10:04:10 AM] the goal of council filing proposed budget amendments and budget. If by Tuesday, August 4th at 6:00 pm, that will give us some time for all the council members to see them. It will also give some time, hopefully, for the financial staff to look at those and create any fiscal notes. I'll give more information to council. It's on the message board, but there'll be more information about how you can file your budget amendments, proposed budget amendments and how you can file your proposed I as we go along on Thursday, August 6th, we will have another council work session that begins at 10 A.M. That will be when we discuss those potential budget amendments and when we discuss the. Ifc on Wednesday, August 12th, Thursday, August 13th and Friday, August 14th, we are scheduled so that we can vote on the budget. So. Wednesday, [10:05:12 AM] August 12th. Thursday, August 13th and August 14th. We will also during that time have a tax rate, public hearing, utility rate hearings and budget and tax adoption as I've just indicated. So that's the schedule in a nutshell. I will do this over and over again so that members of the public have more than one opportunity to hear me kind of lay that out. It is also on the message board by from a memo that I've put on the message board in case anybody wants to go to that and look at that as well. We're getting ready to start. And the way we're going to go today is we will have the people that have signed up to give public comment. First, we will hear from the speakers, and then we will go to the presentation from our financial staff. One thing that I would point out to council is that one of the things we're going to try, maybe experiment with a little bit is in the past couple of [10:06:15 AM] years, the number of questions and answers on the on the q&a board has gotten to where it takes a whole lot of staff time. There's a lot of redundancy in those questions there, a lot of give back and forth, back and forth. And so one of the things that we're going to experiment with is if you can ask your questions here in these work sessions, what we'll do and, and keep in mind that you may have a lot more questions than other council members. Keep in mind, keep that in mind. What I'm going to try to do is I will try to keep time on that, and we'll do like we've done in the past, where we'll rotate probably with ten minutes, a ten minute question and answer period, and then go to the next council member. But with the idea that we will come back to somebody if they haven't gotten their questions answered. So with T unless there's questions now of me on how we'll we'll conduct this or any [10:07:17 AM] comments that anybody wants to make regarding what I've just laid out. We'll go to our speakers and I don't see any any. So I'm going to turn to the city clerk and ask you to help walk us through this. >> Thank you. Mayor, we'll start with item one, calling remote speakers first. Nadia. Barbo. >> Hi, this is Nadia Barbo from moms demand action dream together 2030 and I'm a resident of district one. Today I want to emphasize the importance of fully funding the city's investment in community violence. CVI programs to reduce gun violence. We cannot reduce these programs by the amount proposed on Friday. We need to expand our investment. This work saves lives. Community violence intervention and prevention is an evidence based practice which is undertaken by many cities throughout the country, and [10:08:18 AM] Austin has done a great job of this in the recent years. Driving down our homicide from, I believe, 90 and 2021 to 55 last year. We can continue driving that number down with an investment in this upcoming budget, but we cannot save those lives if we drop the budget at the proposed amount. I have participated in some efforts with the trusted messengers on Burton drive, and that has built community. It has increased the safety of individuals there, and I think we can do more as a city. And I challenge the city council members to fully fund these efforts, because the organizations that are doing this work are integral to the safety of our community. Thank you. >> And we have Monica Guzman for item one. Monica. [10:09:24 AM] >> Good morning, mayor and council. I'm Monica Guzman, policy director at Austin. Austin first, GABA and GABA residents began meeting with council offices last week. And thank you and your staff for the opportunity. We look forward to our meeting tomorrow and in the following weeks with the remaining council officers. We urge you to invest in early childhood education and development. The workforce behind the workforce. While much of now being funded by region Travis county or rtc, there are three priorities that are not funded by rtc and urge council to approve funding. 75,000 sustained funding for the austin-travis county family childcare educator network. This, in partnership with home grown support strategies for home based childcare. $100,000 for a program coordinator role at Austin economic development to sustain the city's commitment to home based childcare and to build partnerships to ensure the impactful network implementation already begun and is fully realized. $325,000 [10:10:28 AM] implementation of a direct assistance program pilot for childcare providers. Partner with home grown thriving providers project to address their economic instability of home based childcare providers caused by low wages and their care work, and Austin's affordability crisis. In the current economy, many residents are facing difficulties. Invest 1.3 million in the family stabilization grant, providing an opportunity for an improved quality of life for 80 households. In the current political climate, there is a daily threat of detention, detention and deportation. Residents are afraid to leave home for work, send their children to school or even shop for groceries, invest in immigrant supports with $570,000 for legal representation services and 250,000 for mental health services. Invest $750,000 for implementation of a dedicated community health worker strike team that can engage and inform communities on blue sky days and engage vulnerable [10:11:29 AM] communities during Guzman and. >> Next, we have lily Ann Ortiz. Lily. >> Hello. Good morning, city council members. Thank you for your attention and for listening. My name is lily. I wantedoo speak today to you all because I care about the people and the places in our city, and I want to make sure that council members know what we know and what we, you know, as simple residents on our own are learning and understanding. So I now live in district two, but I used to live in district four. I lived in district four for four years. It was while I was living there that I began to really notice and care honestly, quite frankly, about people that were unhoused, people dealing with mental health issues and gun violence, because it was very common to hear gunshots, which I was not accustomed to and hadn't experienced in Austin yet at [10:12:30 AM] that level. So I'm a uu, a unitarian universalist. We're a group of people who focus on social justice and and interdependency and what we can do to help. So I did my research. I did my homework. I found the groups and the people that are doing what is called CVI work in Austin. So really quickly, let's just talk facts. It is a fact, right? That CVI work has actually helped Austin decrease its violence. We are assisting the police. We are assisting ems. We a just as central and integral to the ecosystem as anyone else. It is a fact that O cities in the nation are following the same models and doing the same thing and showing results. It is it, you know, common sense for us to not cut any money going towards community violence intervention work. We are just as essential. So please consider facts, consider evidence, and consider what the intelligent people of Austin are asking you to invest in. [10:13:32 AM] Thank you. >> And we have Jennifer Robichaud, item one. >> Good morning, city council. My name is Jen Robichaud, and I provided a video to the city clerk for my testimony today. >> My name is Jen Robichaud. I moved to Austin 22 years ago and I built my life here. I'm a wife and a mother, a homeowner, a business owner, and a neighbor. Mayor, council members and city manager. I am grateful for the opportunity to participate in this year's budget process, and I speak today assuming positive intent, that we all want an effective plan that honors the city's real needs, the people who live here, who work here, who build their businesses here, the people who fund the city and keep it thriving. Setting clear priorities is the foundation. Every extra dollar you take from us is a dollar we must cut from our own budgets. So we're not asking you to do anything [10:14:33 AM] that you're not already asking of us. We are simply asking for common sense. We rely on you to advocate for us, ask the hard questions and make the tough calls. And after taxpayers voted down the tax rate election last year and demanded that you make tough decisions, you prove that you can do exactly that. So going into this year's budget revisions, I encourage you to prioritize for the benefit of the common welfare, to protect the reserve fund and to act as a fiduciary to every Austin taxpayer. The annual city budget should fully fund essential services. First public safety, utilities and infrastructure before any other spending, then fully fund freely available public resources such as libraries and parks. Before anything else, the city should maintain a general reserve fund of at least 17% at the start of the fiscal year, and not allow that reserve to be used to balance the proposed budget. Because this reserve exists to address the unforeseen and to keep the city on solid ground, the city council should also seek ways to stretch E dollar further, comb through this budget and look for better ways to allocate the money you already have. Thoughtful budgeting [10:15:34 AM] opens doors. It builds trust with both voters and lenders. I also urge every taxpayer listening who wants a budget built on priorities, transparency and results to participate in this discussion as well. Thank you. >> Moving now to in-person speakers for item one. If I call your name, please come forward and take a seat. State your name for the record. Carlos Leone brydan Summers, Scott Cobb, Michelle Espinosa. >> Got this one. >> So, Carlos Leone, first and foremost, gracias a dios for letting me speo budget [10:16:34 AM] issues related to Austin police oversight. Last moni filed one complaint against an officer who seemed to be stalking me at 1 A.M. And another against a P D special investigations unit, unbelievably claiming there is no evidence of any violation of state law. Within my 248 page, evidence based allegations of violations against capmetro Darrell jamail, former APD commander, and miles turpin. Though apple's mission is to provide impartial oversight of APD's conduct practices and policies to enhance accountability and inform the public to increase transparency, a Pio initially failed in five ways, not providing me a tracking id number upon receipt of the complaint bearing need to know processing information and online faq answers without telling me to read them. Not allowing protocol by not telling me my process option processing options or rights. Making processing decisions for me without my consent, and communicating contradictory information. I emailed director [10:17:36 AM] Mccant a nine page letter documenting these problems with evidence, which you should have received yesterday from the city clerk's office. I warned Mccann I'd be testifying here today and reminded her that you publicly called for transparency and accountability in her position when she was appointed. 40 minutes later, complaint supervisor Duran respectfully reached out to me to address these issues at my convenience. He and I spoke this morning as scheduled. If a Pio fixes their faults forward, then fully fund them. If not, reduce their funding, expect follow up from me before approving the final budget. Actualizing Isaiah 117apo should transparently facilitate a P D accountability from start to finish with all us complainants, not opaquely impeded. In Jesus name I pray. Amen. [10:18:38 AM] >> God, please begin. My priorities this year are a living wage increase for the temporary workers. The most vulnerable employees of $1. Last year the budget only gave us a 1.94% raise, while the regular employees got 4%. Some people got an equivalent of 6% with the cash bonus. They explained that because they sa they looked at the cpi for January February 2025, and it was 1.94. Cpi today is 3.5 and Dallas it is 2.6. We are falling behind. We need to be caught up so that we. Our wages pay for what they paid for the previous year in terms of food, rent and gas. That is not the case right now. I'm also concerned that the city of Austin park department cut the paid training stipend this year from $400 to $200, a [10:19:40 AM] significant cut in our pay that was implemented. Because I put a question a couple of years ago and I said we should be paid for our training and parks and recreation commit it. We will put people on payroll and pay them. They did not do that. They came up with the $400 stipend, which amounts to $10 an hour over a 40 hour course, but now they cut that to $200, a significant cut in our pay. So we need a living wage increase, and we need to go back to $400 as they commit it. In the answer to the budget question, I also want to make sure that our dental insurance continues or is restored. I don't actually know what the exact status is because I asked Susan Sims and she refused to tell me. So maybe one of y'all can tell me. Thank you very much. Yes. Please begin. [10:20:43 AM] >> Excuse me. >> Miss Espinosa. >> Yes. Hi. Mayor. Council members. My name is Michelle Espinosa, and I work for the Texas harm reduction alliance. I want to start by telling you how I got this job. I was a person on the other side of the table. I walked in to harm reduction because I wanted help, and I didn't trust anybody. T Jerry, there's people who have been through what I was going through. Nobody asked me to be fixed. They treated me like a person instead of a case number. They kept showing up. I wanted help, and they where to help me. So sorry. Sorry about that. Somebody from harm reduction actually drove me to Houston, because that's the only place that there was a bed [10:21:44 AM] available in rehab. And they drove me there on their after working a full day, they drove me there. Now I'm the person on the other side of the table. Then people want help. I do this work every day. Crisis response, de-escalation, trauma informed care, peer support. But those are your words for it. Here's what it actually is. I'm sitting with somebody at seven in the morning who just watched the city crew throw their tent in the truck. I'm talking them down before this day becomes the day that they give up. I carry narcan because I know I willse it. I can't even tell you how many times I've had to use it. It's remembering someone's name for six months before they take a single thing for me. Because trust is the whole job and trust takes time. You can't shortcut people talk to me because I'm not a threat to them. They talk to me because I've been where they are, and they can tell you can't hire that. You can only fund it. And I need you to hear this. The need is going up and [10:22:45 AM] it's going up fast. Austin's report says between may and July this year, the city logged 852 encampment. >> Espinosa. >> Okay. Thank you. >> Continuing with item one, Maggie Luna, Angela B Garza, Sean. Oliver, Judy Bradford. If I've called your name, please come forward. State your name for the record. >> As indicated, once your name has been called, please come forward, take a seat and let us know what you think. Why don't you begin? >> Okay. Hello, my name is Maggie Luna. I'm the executive director of Texas harm reduction alliance. I wish I had time to talk to each and every one of you and meet with your offices, but unfortunately, we're on the ground doing this work every single day. THA saves the city money by providing essential health services. Through our partnerships, we're offering wound care on site for hep C testing, HIV, sti testing. We are catching infections early at our drop in center. Instead [10:23:46 AM] of emergency rooms, we connect people with long term care, a we're delivering education that prevents the spread of infectious diseases. Without stigma and without barriers, we encourage early intervention before the wounds worsen or infections become costly and public health issues. Thra is a safe space for those people who have been turned away everywhere else, including people who are experiencing temporary psychosis. Our established relationships have allow us to de-escalate situations peacefully, avoiding police, ambulance and jail involvement. We offer a safer, more cost effective solution. We promote safe syringe disposal. We participate in street cleanups to remove biohazards. We keep the community safer. These efforts are not in the city's budget, but they prevent costly emergencies, arrests, infections and environmental hazards. We save public dollars and protect our neighbors, and we are already providing this [10:24:46 AM] critical work. I talk daily with people who are seeking services at THA, and one of my favorite clients looked defeated at me the other day after staring at the sky. He had just lost everything his documents, his photos, his medication and it had all been dumped into the trash right in front of him. Three has been working with this guy for several months to maintain his hope. While waiting housing. His camp was swept. He's been pushed further into instability and we are helping him to recover vital documents and essential sure items.he recent uptick in sweeps have scattered people. Thank you. >> Thank you. Please. >> Hi. Hello, everyone. I'm Angela Garza. I'm speaking as a citizen, a disabled citizen who works and chose not to take disability. I am in a state program right now because we have no program for disabled people to come back into work in city of in, which was [10:25:48 AM] incredible to me with all the work and volunteer work that I have done, for many leaders to sit in leadership positions. The other thing is that I went through some of the budget, and thank you, manager, for providing that form. What would be very helpful for us when you go to the organizational part, is to place the incomes of each leader there and each role and perks as well, and that will help everybody understand why we might be separate from understanding why so many people are struggling in the city. And we are hard workers. We are not lazy people. We work. We don't take many vacations as well. The second thing that I would look at is the part of real estate. The only thing that you have on real estate is a sales for a bore. But what's missing are the transactions and lawyersffices, the commercial real estate, the wholese real estate, the predatory wholesale and real estate, the people that are flipping homes as well in our city as well. And that information is missing there. [10:26:48 AM] And we would love to see what that looks like as well. And as you note that on the abore part, what district I purchasing the houses and which districts are being gentrified highly would be great to understand as well. We do appreciate all the hard work that you're doing. We understand the state is implementing what you're asking to implement there, but we're also being called things as lazy, and our families are not lazy in this city, I can tell you in attest to that. And we're being called by leaders that we have voted into this area as well. So I want to thank you for all your hard work, butase take these words to measure as well. Have a great day. >> Thank you. Please, ma'am, why don't you go ahead. >> All right. I'm Judy Bradford and I am a resident of district two. Good morning toll of you. And I'm also a raging granny. So this testimony is a singing testimony. We need you to lead [10:27:49 AM] us with courage to stand up for the poor and oppressed. When we see all the funds go to policing, we can't help but get quite depressed. Invest, invest, invest. So together we thrive, invest, invest in a budget that keeps us alive. These cuts to such vital programs means many will fall through the cracks. Investing in people saves money. Don't balance on poor people's backs. Invest, invest, invest. So together we thrive. Invest, invest in a budget that keeps us alive. The community has collaborated and crafted a budget that's fair. We ask that [10:28:51 AM] you listen to us and pass a budget that shows you care, invest, invest, invest, toe together we thrive, invest, invest in a budget that keeps us alive. Thank you. >> Good morning. My name is Sean Oliver. I'm the executive director at life a new restorative justice and the co-founder of ati peace, along with Gerald jobs. Thank you for this opportunity to share with you. I myself spent over 27 years incarcerated for an act of gun violence. I was a part of the 1% that CVI, or community violence intervention focuses on. In 2020, I came to Austin and I was provided a second chance. That second chance consisted of me being allowed not only to work for life anew, but be able to affect gun violence and prevent [10:29:51 AM] it in a spectacular way. Why do I say spectacular? Because at peace. What's the return on the investment? What I would share with you is the return on the investment is citywide. Homicides fell from 90 in 2021, which was the peak to 55 in 2025. That is a 39% decline in the specific neighborhoods where at peace works, homicides dropped 39% in just one year. That's 2024 to 2025. That's sharper, faster, and better than the citywide number. And that is the strongest point to save lives of community violence intervention, we serve 792 clients in5, when we were expected to only serve 519, we had 1901 street outreach client touches. In 2025, we had 81 de-escalation Zones. Simply put, Austin cut the ribbon onthis infrastructure, then [10:30:53 AM] absorbed the 1.18 million federal loss, but it still doubled down at peace works, a 39% year drop in homicides is nothing to wink at. The average cost of a homicide is 1.2 million. If you want to look at that financially, you can say 1.2 million times 39 lives that were saved. That's what we saved the city of Austin. And we just want you to take this opportunity to consider that. >> Thank you sir. >> As we continue with item one, pat Savannah Lee, Nyla Dominguez, veranda Durden, please state your name for the record after you have a seat at the front. >> Please come down if you. Your name has been called. When we start here and we'll go this direction. >> Good morning y'all. My name [10:31:53 AM] is Savannah Lee. I'm a resident of district one and I'm here with equity, action and support of the community investment budget. This year, the cib has the support of nearly 40 organititions spanning from folks who work on climate resilience to mental health, maternal support to labor. Over the last five years, the coalition has expanded, and I want to make clear that this isn't a coincidence. It's because the people in the city believe that funding social services, housing, climate resilience and violence prevention isn't negotiable. It is the very core of what makes us special. I'm here today, at the beginning of this process, to say that the budget in front of us does not reflect the interests and needs of your community. We have a month to ensure that the end product does, and I look forward to doing that work together. Specifically, I want to discuss the outrageous additions to the police budget, adding $25 million to our most well-funded department while trying to make the case that we're in a $26 million deficit and therefore cannot fund community priorities, is, frankly, laughable. I genuinely do not know how you expect to gain the understanding of a community [10:32:54 AM] regarding our financial situation, while simultaneously writing another check to APD if one department has to endure cuts, they all should keep the police budget flat at $526 million and make the cuts necessary to fit in the $11 million raises that you're required to make. That $25 million can and should find another home, like the 16.8 million in cuts to social services over the next two years or the housing trust fund. Not just because it's the right thing to do. And it is, but because it's an evidence based investment. We know that investment in these services saves us money over time. We either invest now or we pay tenfold later. This should not be a difficult choice. We know what keeps us safe. Fun support for surrs of domestic violence fund, violence prevention fund housing and health care and choose the people ofhis city. Thank you. >> Please. >> Hi, I'm Nyla Dominguez, I'm a student ambassador for [10:33:56 AM] liveview and I am a student at Travis early college. High school life canoe has really done a lot for me. They're big help when it comes to social services, and they have created me to be a bigger and better person. A little bit of backstory from where I kind of came from as far as finding them. I went to a school that wasn't very healthy in the Austin area, and I had just came out of that school. I was traumatized, I was scared, and I thought there was no hope for me there. And when I found life van eenoo my eighth grade year, they had really helped me be a bigger person. And I learned of a strategy called cbt, which is cognitive behavioral theory. You have a feeling, an emotion, [10:34:59 AM] a thought, but it's always what you are going to act upon that matters the most. Thathey taught me about gun violence. I have learned to turn around and walk away from fights instead of fighting. And I have come here to ask that we please do not cut budgets for child and youth services. Thank you. >> Thank you. Please. >> Thank you, mayor and members for the opportunity to speak. My name is pat Walsh. I'm here to speak about animal services and specifically the lack of funding once again, to attain both open intake and no kill. Currently at the monthly animal advisory commission meetings and also I private conversations, I have with many, many people, I hear over and over again that the issues, the hardships, and the sad, sad [10:35:59 AM] stories caused by people being turned away when they find a loose dog. It's really painful to hear those stories, and it's very sad, and I think there is a way to address that, is to have both no kill and open intake, closed intake has at times been called by people managed intake or limited intake. I don't agree with those terms. I think if you're the person who has found a dog that you can't keep at your house and you go to the shelter and you're turned away to you, that's closed intake. And it is very, very it's something that happens very often. It may not happen all the time, but it happens very often. So there are times when we close intake. Back a few years ago, the city auditor found that there was a conflict between open intake, humane care and no kill. I spoke with you then at your council meeting where that was discussed, and I said then, and I'll say it again, it doesn't have to be a conflict. You can [10:37:01 AM] adequately fund all three. You can adequately fund a no kill shelter, an open intake shelter, and also provide humane care. So my request is that in this year's budget process, you look at how much it would cost to be both open intake, no kill, and to provide humane care for the animals at the shelter. Then if you find that you don't have the funds, you cannot afford, all three of those, like the city auditor brought up. Then work with us to to fund that. Thank you, thank. >> You, thank all of you. >> The last group of speakers for item one are Sherwin, Patton, Zenobia, Joseph Rosa Marie Murillo, Robert Mueller. [10:38:03 AM] >> Good morning. First of all, and I want to thank councilman Jose Velasquez, also mayor and also chito for your you all support with community violence intervention and the work that's already being done here. So we don't want to overlook that. The question that I want to put before us today is, will cutting prevention today save money, or will it simply move much larger cost into tomorrow? Every dollar removed from community violence intervention and child and youth services doesn't eliminate the need. It shifts the cost. History has shown that when communities substantially reduce investments in prevention, youth development and family support without providing adequate alternatives, the need does not disappear. It simply shifts to more expensive and less effective systems. We have seen the consequences before. The costs ultimately emerge in increased public safety demands, overcrowded emergency rooms, violence in our community, sometimes homelessness, and it [10:39:04 AM] always is a strong our families and our schools. So community violence intervention, prevention and youth services are a need in our community. It stabilizes our families. They are essential public safety and community infrastructure. And with the rise of violence that we see coming amongst our youth, we have to make sure that we're very intentional with working with our youth, like Nyla Dominguez, who just spoke before us moments ago. As service providers, our collective responsibility is to help ensure that ecosystems are support surrounding our children. Youth and families remain strong and uninterrupted. So we're calling on the council today to look at the budget and ensure that we don't cut in these areas that are necessary to keep our community safe. I represent not only life and new restorative justice and at peace, but I represent dream together 2030. But I'm most proud to say that I am a austinite that believes that we thrive when we work together to do what makes sense. Thank you all. [10:40:05 AM] >> Thank you. Please. Please go ahead. >> Good morning and thank you for the opportunity to speak. I'm going to share three things that I would like for you to consider. Please do not put these cuts on the backs of the most vulnerable populations in our city. I am asking you to oppose the proposed budget reductions for fiscal year 27, as well as the proposed reductions in fiscal year 28. If you must put these cuts on the backs of the most vulnerable, I ask you to please consider the following questions that every reduction to essential health and human services include a publicly available program level impact [10:41:07 AM] analysis. Which contracts will be affected? How many residents will lose services and who they are, and what council district they live in? I ask you to look at the anticipated impacts on community outcomes. The rationale for those reductions and the city's plan for mitigating the impact and propose of a continuity of operations for serving these residents. I'm going to leave you with a piece of data. For us, data are people. Last year, we distributed close to $8 million, focusing on eviction prevention, rent assistance, reaching almost 5000 families. [10:42:11 AM] I'm sorry, 5000 unique individuals. Of those, 50% were children. >> Thank you very much. >> Good morning, mayor, council members and city managermymy name is reverend Robert Mueller. I'm from shepherd of the hills presbyterian church, which is in councilman Ellis's district. But our church also has a property in district three where councilman Velasquez is. I thank you for the opportunity to encourage you to fully fund community violence interrupter programs like life and news at peace in your budget. This year. I spent 38 years of my career in the seven eight, 207 zip code of San Antonio, one of the poorest and most violent in that city. I witnessed murders and I buried children from gun violence. I now serve a church with a campus at oltorf and I-35, directly across from Travis high school, and just across the highway from the new housing navigation center location in San Antonio, I [10:43:14 AM] witnessed the way big mama's safe house, another CVI program, significantly reduced violence the areas where they were active, and now working in one of Austin's most violent hotspots. I personally experienced how effective CVI is in curbing violence. This year. At exp, staff at Travis high school learned that two rival groups were planning to have a violent fight on our church campus at exp. Trusted messengers showed up on our property, addressed the individuals de escalated the conflict. The next day, we opened the church hall and paid for a pizza, lunch and a conversation among these students and CVI staff from tx peace. The kids were taught how to avoid and prevent violence by their own choices. As Nyla described. The followingeeeek, we provided 80 free office space on our campus, free use of our fellowship hall to meet with students, and we wrote a grant for denominational money to help support their work. Ensuring public safety is one of the most sacred obligations you have as elected leaders, [10:44:15 AM] and at peace is an extremely good investment for fulfilling that obligation. They have reduced homicides in Austin, and we pray that you will continue to support them in that work. >> Thank you sir. Miss Joseph. >> I have a presentation, mayor. >> All right. They're indicating they don't have your presentation. >> When I sent it to the city clerk in a timely manner. >> Well, but they're indicating they don't have it. So. >> So the rules don't work. >> Miss Joseph. I'm just telling you what the facts are. How about that? >> Okay, then could they get it? Well, no, I'm I'm going to ask this technical question. Can they at least find it for item two? That gives them time to ask the. >> Clerk if if you have it, they will look for it. If you presented it as you indicated, they will look for that. >> And I did yesterday, 5 P.M. >> All right. Thank you very much. Do you want to talk today? >> I'll talk to you. Yes, mayor. [10:45:15 AM] Thank you. Mayor council. I'm Zenobia Joseph, I just want to make some comments. Echo doctor Murillo, as it relates specifically to the $2.2 million that you're cutting from social services. I want you to remember that Joyce James got a $2.9 million sole source, no bid contract to reimagine public safety. I would ask the city manager to go back and check what the outcomes were for that grant. I would ask you as well, city manager, to recognize that you have a $5.8 million contract to move ability, and it was December 13th, 2018, when rob spiller was asked by council for the outcomes, and he said it was elusive cars being taken off the road and the amount of pollution we were reducing. However, you have in fact not cut the budget for the people who are actually making these discriminatory decisions. So my comments, as they always are, are in the context of title VI of the civil rights act of 1964. I would ask you to recognize as well you have health equity, [10:46:16 AM] but there is more money for community outreach than you have for programs. So I would ask you to look at that amount of money and to reverse it. I want to tell you specifically, I have a note here, $6.2 million for the equity and inclusion office, and the slides will show you that what we got are a bunch of reports and they do a bunch of training. That's a waste of money. So I would ask you to recognize the need to either reduce that office or to actually eliminate it. You have specifically, I want you to recognize three, five, four in the budget volume one, you are actually transferring to equity positions, $299,000 to the equity office. I mean, come on, city manager, what are they doing? It's 1 to 5 miles to the affordable housing. So they're not enforcing the fair housing act of 1968. You've seen the pictures over on rundberg north Lamar. And I will just tell you specifically that the fair is going up and chito vela, this [10:47:16 AM] is the sign at your stop this morning. If you have any questions, I'll gladly answer them. >> Thank you, miss Joseph. >> Mayor, as we move on to item two, we have remote speakers, Patricia Diaz. >> Hello, my name is Patricia. I am a member of grassroots leadership district one. I am here to ask city council to invest in resources like the immigrant legal services for the most vulnerable and needy during this time of crisis, when all the lawyers just want money. I have been living in Austin for 17 years and we need legal support. On may 22nd, 2026, my husband was pulled over at a traffic stop. The constable who stopped him initially initially said it was because he didn't have insurance, but when he checked, he saw that he had insurance. He told my husband he would just give him a ticket. But then he picked up this radio and at that moment, my husband knew that he had called [10:48:17 AM] immigration. Since that day, everything has turned into a living hell. They took him to piershill, Texas, and my husband has been the sole breadwinner for our family. We have three children who are U.S. Citizens, and they're being affected by all of this. The children are so distressed that I've had to take them to therapy because they don't even want to go outside. They cry constantly. They just want to stay locked up inside the room. The anxiety of not knowing when their dad will be released, this has taken a toll on them. My oldest daughter graduated from high school may 27th of 2026, and her father wasn't there. She's filling out applications to go to college, and now her situation is uncertain. She doesn't know what will come of her future, since her dad is the only one working. On July 31st, he has a hearing where they will decide whether he can stay, and that day they only gave him two options signed his voluntary deportation papers or be deported if his petition is denied. He's been struggling since the last court hearing and he's reached the point of [10:49:18 AM] desperation. We're all going through a traumatic ordeal, and we pray to godhahat it will send, that it will end soon, that the judge will see that my husband is a good man who has paid his taxes and that his children and I need him back. These are the reasons why it's important for the city council to continue investing in legal services for immigrants, to ensure that our community has access to resources and attorneys who won't scam us or take advantage. >> Of our decision. Whether we set a public hearing to receive and consider public comment on the proposed budget. And there's a suggested time, as I've already read in the record. So while that's important testimony, we're happy to hear it. If your call, if you've signed up to speak on item number two, we need you to speak on whether or not on item number two, which is related to the setting of a public hearing. >> Next, remote speaker for item two is Monica Guzman. >> Miss Guzman. Let's go to the [10:50:25 AM] next. >> We will try. >> Hello. Did someone say my name? >> Yes, a couple of times. >> Okay. Sorry, I could not hear you. Good morning, mayor and council. I'm Monica Guzman, policy director for go Austin. Austin, thank you for your pending approval to set the July 30th public budget hearing to start at 3 P.M. We request clarity from the city when the online speaker registration window is posted for the hearing. Clarity on when the online speaker registration closes to ensure. When all who want to be heard. Do not miss out on the opportunity. In addition, Garza supports all speakers advocating for community investments, specifically the city investment budget investment in the city priorities will move Austin in the direction of a more equitable and economically stable budget. Thank you. >> We will do just so that in response to that, what we will do, because that's a good [10:51:25 AM] comment about making sure that there's not confusion about the sign up. We will do a couple of things. One is we will I will post on the message board the time frame so that everybody can go to the message board and see that. But in addition, as I start and I'm going to do this time and time again so that people will know, I'll go through the schedule the way I did this morning. Maybe not as much detail as I did this morning, but I'll also say that publicly more thannce, so that people will know and nobody will miss the sign up. >> We have two in-person speakers for item two who have requested Spanish interpretation services. Kayla estévez and Catalina Leticia Juarez. >> The testimony should be with regard to the public hearing and setting the public hearing. [10:52:37 AM] >> Hola, MI nombre es hola. Buenos dias. MI nombre es Catalina Juarez, soy miembro de grauzer. Leadership ubicado en el distrito. Uno estoy aqui para el consejo municipal in viviendas accesibles Y apoyo legal immigrants. >> Hello. My name is Leticia Juarez, and I'm a member of grassroots leadership in district one. I'm here to ask the city council to invest in affordable housing and legal support for immigrants. >> Cuatro Anos viviendo in Austin, Texas, un Camino a la Iglesia del quince de junio del veinte veinticinco nos tuvo un un proper con engano bajo de la roca cuando nos bajamos Ya estaba en la. >> I've been living in Austin for 24 years, and one morning on June 15th of 2025, on our way to church, a trooper pulled us over and under false [10:53:38 AM] pretenses, made us GE out of the truck. >> And. Detention. Uno de Cada Cinco families sufrio un golpe de Verissimo en sus ingresos cuando tienen a un ser Querido perdiendo un promedio de dieciocho mil zero TREs puntos dolares Al mas. >> When we got out, ice was already there. Between 8 and 10 agents took us into custody. 1 in 5 families suffered a severe blow to their income. When a loved one is detained, losing an average of $1,803 per month. >> Financiero deja las families con las Manos sin poder polgar la Renta O la hipoteca Y las empuja el derecho a la Calle. Por eso pudo. Apoyan viviendas accesibles, pues cuando sali de la detencion con. MI esposa en [10:54:38 AM] un sin hacer nada Malo Ya no puede ser el hogar de MI Hija Y mis nietos nosotros somos Orlowski necesitamos apoyo no los millonarios Y la policia. >> The financial crisis leaves families helpless, unable to pay rent or mortgage, and pushes them right on the street. That's what I'm asking you to support affordable housing. And because I was released from detention with an ankle monitor and my husband was deported, even though he hadn't done anything wrong, I could no longer afford the home where my daughter and grandchildren lived. We are the ones that need support, not the millionaires and not the police. >> Una vez mas pido. De viviendas Y apoyo para los inmigrantes. Porque cuando salgo MI Hija de cualquier cosa me llamo, Pero si hay Una emergencia no llame a la policia porque no nos va a ayudar si no trabajar con ese [10:55:40 AM] para hacer para las families. >> Once again, I ask you to support affordable housing and assistance for immigrants, because when I'm out in the city, my daughter always tells me, call me for anything. But if there's an emergency, don't call the police. They won't help us. But they work with ice to separate families. >> Muchas gracias. >> Thank you. >> Thank you. Gracias. >> Buenos dias, MI nombre soy Caleb. Gracias. Por escuchar me soy miembro de grassroots leadership. Ubicada en distrito uno. >> Good morning. My name is Kayla estévez. Thank you for listening to me. And I'm a member of grassroots leadership in district one. >> Estoy aqui para pedirle realmente hace mas Fuerte en NUESTRA comunidad. La prevencion de la violencia, el desarrollo de la fuerza laboral [10:56:41 AM] Y los servicios para migrants. >> I'm here today to ask you to invest in what truly makes our community stronger. Violence prevention, workforce development and legal services for our immigrants. >> Migrant madre Y trabajadora. Muchas como muchas personas en Esta ciudad trabajo Pago impuestos Y quiero estar de MI comunidad. Creo Una ciudad Fuerte se construye cuando todas las personas tienen oportunidad Y acceso a la justicia. >> I'm an immigrant, a mother and a worker. Like many people in this city, I work, I pay taxes, I want to contribute to the well-being of my community. I believe a strong city is built when everyone has opportunities and access to justice. >> Necesitamos Una comunidad cannot respond to la violencia. Cuando también trabajan prevenir la. >> We need a city that not only responds to violence when it occurs, but only that works to prevent it. [10:57:42 AM] >> Si necesitamos soluciones para construir seguridad también necesitamos invertir en la capacité de derechos humans resolution. Of conflicts elemental E trato para todas las personas deberiamos inspirar confianza. No miedo. >> Yes, we need solutions to ensure safety, but we also need to invest in training and ongoing training on human rights, conflict resolution, mental health and a dignified treatment for everyone. We must impart trust, not fear. >> Deberiamo recursos vienen las personas en el sistema el desarrollo de la fuerza laboral apoyo a las personas a conseguir estabilidad Y seguridad. >> We should invest in resources that prevent people from entering the system in the first place. That workforce development helps people achieve stability and security. >> Hablo también como un migrant muchas families porque no pueden polgar un abogado [10:58:44 AM] porque >> No. Tn no entienden. El sistema legal. Qué es complejo? Muchas enfrentan los procesos Q pueden decidir el futuro de nuestros hijos de Toda la Familia. >> I also speak as an immigrant because many families live in fear when they cannot afford a lawyer, because they do not understand a complex legal system. Many face legal proceedings on their own, and that could determine the future of their children and their entire family. >> Yo, por ejemplo, tengo el veinticinco de Agosto pueda pasar no cuenta con un abogado Y no tengo los recursos invertir en los servicios para ayudar ayudara a me Y haciendo de Familia. >> For example, I have a court hearing on August 25th, and I fear anything that might happen to me. I do not have a lawyer and I have a lack of resources invested in legal services for immigrants will help me and hundreds of families. >> Una vez mas el consejo municipal de Austin. Inversion [10:59:44 AM] en la prevencion de la violencia en el desarrollo de la fuerza laboral Y en los servicios legal. Para immigrants invertir prevention oportunidad de justicia, fortaleza en NUESTRA comunidad. La policia no necesita mantenido. >> Once again, I ask the city of Austin and the council to protect investments in violence prevention, workforce development and legal services for immigrants, investing in prevention opportunities and justice in our community. Thank you very much. And do not invest in the police. In the police. >> Thank you. >> Thank you. >> Also for item two, we have Carlos, Leon, Hans, maverick, Marc phi Tara tucker. If I've called your name, please come forward, state your name for the record. >> And again, I'm asking please speak relevant to the item on the agenda. >> So I. Carlos Leon, first and foremost, gracias a dios for letting me call for enough [11:00:45 AM] total time for the upcoming public hearing. There is much you all need to know before approving the final budget. For example, since August 2023, appeals library use rules to be three, 15, D one and 15 D two have not complied with your superseding rules for public use of city properties or paramount constitutional law, though assistant city manager Hayden Howard knew about that during appeals director search and promised city auditor an update after the rules were revised. Ten months later, there's still no update or revision because there's no accountability under city manager Broadnax protecting who he wants. Under Terrell, old quarry branch and far west closed for major renovations summer 2024, with reopening planned in early 2025. But in April 2025, additional electrical and structural needs required revisions to the site. Plans pushing reopening back to fall 2025. Then, during final utility coordination and building commissioning. June [11:01:47 AM] 2026, additional electrical infrastructure and approval requirements were identified that must be completed before the branch can reopen. Today. It's still closed two years later. How far over budget has that renovation run? Do you know your new government efficiency unit needs to find out? Punish a P L by reducing their funding. Reject your library commission's recommendation for an extra $350,000 and one time funds for feasibility studies for new and expanded APL facilities. When APL is so late remodeling what they already have. In contrast, under Kathy Donilon's supervision for new San Antonio library branches allegedly were built on time under budget, doing more with less. That's who Broadnax passed over to appoint. Terrell, showing why merit and competence matter? In Jesus name I pray. [11:02:48 AM] >> Good morning, mayor Watson. Mayor pro tem vela council members, thank you for the opportunity to testify today. My name is Hans maverick and I live in district ten. I'm a policy and research organizer with grassroots leadership here in Austin. When it comes to the upcoming budget hearings, I am here to express concern about planned cuts in the proposed city budget, particularly in the area of workforce development. The city has multiple programs to help people who are struggling with unemployment, particularly people who are returning to the community after incarceration. The city itself runs some of these programs, but most are run in collaboration with the county, the state and various nonprofits. The need is pressing because while the rate of unemployment in the geral population in Austin is roughly 3.5% among people returning from incarceration, however, unemployment hovers around 25 to 30%. When I went to prison in 2007, I left a white collar job that paid nearly $60,000 a year. I thought that upon [11:03:49 AM] return to the community in 2012, it would be fairly easy to pick up where I left off. Then I learned how hard it is for people with criminal records to get decent employment. For the first few years post- release, my income hovered around 25,000 a year. I sought the help of a city employee based in the workforce solutions office in southeast Austin. I wish I could remember her name, she helped me identify city jobs that were a good match for me. Despite my background, she helped me craft a resume that covered that five year gap and she gave me interviewing tips. Most of all, she gave me hope. Now, I never did end up getting a job with the city, but over the last few years, I've been building a career and my income is back up to the level it previously was. I can tell you that I'm contributing a lot more to the tax base in Austin now than when I got out of prison. Just ask the folks at straight music. So in this upcoming public meeting, please prioritize the needs of people impacted by unemployment due to [11:04:50 AM] criminal records. Thank you. >> Thank you very much. Go ahead. All yours. >> Good morning. My name is Tara tucker. I am the managing director of advocacy for alliance for safety and justice, and also the strategic lead for the scaling safety project. And the scaling safety project is a national initiative that is dedicated to working with community based public safety or programs, a working with them by offering technical assistance, financial support, and helping to build up these community based programs that reduce violence. The. Excuse me, the goal of this initiative is to reduce violence in cities by up to 50% over a five year period, and also to increase funding to these programs and access to services for victims of violent crimes in the [11:05:51 AM] community. We know that community based programs like community violence intervention, trauma recovery services, reentry. All of the things that we have lumped in our social services contracts that this body has a budget that proposes cuts to, we work with them. Sorry. It is not in the best interest for us to cut those contracts. They are saving lives. They're making our community safer. Our organization is investing in those program and we would like for the city to do the same. Thank you. >> Thank you very much, ma'am. >> Continuing with item two, Angela B Garza, Erika Diaz Cruz, Jeffrey Bowen, Christina [11:06:52 AM] delgado, if I've called your name, please come forward. State your name for the record. >> Hello, leaders. Angela Benavides Garza against citizen. Disabled. Working citizen. I also am a very invested into the community and our people. What would be quite helpful? I'm going to mimic what Monica Guzman said. Yes. Thank you, mayor, for clarifying the the board as well. However, most people don't understand what you're talking about, and it would be very helpful to have a bilingual person up here to translate what you're saying to our people, know clearly understand how to go about things. I'll help you with this as well. At the state level, when y'all asked us to come speak at a hearing, we either had videos that we had something that would show people how to communicate up here and how to words that would help them say their points as well. And that was very helpful. I know when I didn't know how to do a hearing that was helpful to me for people to help me understand [11:07:52 AM] how to speak and what to do or what to say on an item. So also, I'm being trained in Claude anthropic ai as well. Ai agents can assist you with videos and helping people understand what to do and how to do it as well. And that will be less frustrating for people and less time as well. And time used wisely as these things are being communicated. The way that we found out about the increase of taxes, we ask that this is communicated on a media that we are able to come here, and how the working people can do this and be part of this process in August as well, so that we don't have to take our pto that should be used for vacations to come speak, and so we can use our time wisely and plan accordingly with our companies as well. That would be helpful. And that's, that's pretty much what I would like to say. Our bilingual people will know what to say or how to do it. If they know they can see videos in front of them, that will be really helpful as well. Thank you. >> Thank you. >> Thank you. Hi. Good [11:08:53 AM] afternoon, council members. Thank you for your time today. My name is Christina delgado and I am representing community justice and a member of one safe central Texas. As we look to set a date for this proposed budget, I hope we consider the progress that needs support from those closest to these needs. In Austin, we often talk about public safety as a concept, but in neighborhoods I've worked in and have friends that have worked in, it's lived reality. It is measured in the quiet of a block that used to be defined by gunfire. Take Burton drive, a stretch of road that until recently was notoriously labeled murder drive. In 2024, it saw five lives taken, with three of those trage happening in just one week. That's the kind of trauma that creates a ripple effect, destabilizing entire families and neighborhoods. But something shifted on Burton drive. It wasn't a patrol increase. It was an intervention. Life anew of at peace, peace, peace teams, composed of mentors who live in [11:09:54 AM] these communities and understand the dynamics, didn't just show up to watch. They showed up to connect. They organized clothing drives, helped families with basic needs and mediated conflicts before they turned into headlines. Because of that consistent, trusted presence, this area saw four months of declining crime. When we talk about funding community violence intervention, we're not talking about an abstract program. We're talking about the difference between a child going to sleep in a house filled with stress or a house filled with hope. We're talking about mentors that gels to jobs, who help 50 people secure housing, and 50 others get their driver's license and essential tools to pull someone out of cycles of poverty. Data shows that CVI works neighborhoods served by these programs see steeper declines in violence than those without. We are ready. We already see are seeing the cost of budget cuts as staffing and direct services declining. Earlier this year, our ability to intervene dipped right alongside it. Do not view these investments as a choice between services. View them as a [11:10:55 AM] non-negotiable strategy for a resilient, safer Austin. >> Thank you. >> Okay. Good morning, ladies and gentlemen, Mr. Mayor. Mr. Broadnax, all the rest of you council members, I am here today to talk about this, this, that this public hearing. >> Sorry. Could you identify yourself? >> I'm sorry, sir. Jeffrey Bowen, district eight. Thank you, Mr. Mayor. Sorry about that. I'm. I'm glad that we are talking about setting this agenda or setting up this public comment, because so many times we have we have those that are unable to attend due to the timing of these events that we're having just currently. Now, hopefully at 3 P.M. This will give others the opportunity to attend and be able to speak their speak, their speak, their issues. On this. One of the issues that I do want to make sure is that it says here, consider public comment. I would hope that that [11:11:57 AM] is exactly what would be taken, is that their comments will be considered, not just listen to and then discarded. As you can tell by the people behind us or behind me, that they're actually a lot of concerns about this budget. And I realize you're between a rock and a hard spot, but we are also in that place between a rock and a hard spot in understanding how this is going to affect all of us. Some of the programs that we prefer or like, we're all there. So the consideration and being able to listen and actually hear what they're saying, I think is very valid. And I really hope that you will do that in itself. Thanks, Mr. Mayor, for having this opportunity for us to be able to speak towards the end of the month at 3:00, and just hopefully, we will get more people that are faces that you don't get to see all the time to come and talk in front of you. Thank you. [11:12:58 AM] >> I'm now calling the last group of speakers for item two. Roxanna Herndon. Pat, Valdez, Antonio Reno, Zenobia Joseph. >> Your name has been called. Please come forward. Okay. Thank you. You have the floor. >> They have the presentation. Mayor. >> It looks like it's up. >> Certainly. Thank you. Mayor. Council. I'm Zenobia Joseph as it relates to item two setting the agenda. January, julth at 3 P.M. I do appreciate that. However, I would ask you to air [11:13:59 AM] this on cassie. I. I want you to remember that that contract for $600,000 was increased not onlyor your regular meetings, but for non council meetings as well. And I just want to tell you why this is germane. These slides, I want you to recognize the need to do more outreach to the people who are in districts one, four, six and seven who are far northeast and west. I gave you this information before. There is no mobility equity. And I just want to say, mayor, (888) 546-8740. Next slide is the us department of environmental protection agency. And specifically it's the hotline because you have a climate pollution reduction T, $47.8 million, which says that you are serving the low income individuals. I can't emphasize this intersection enough. I want you to recognize it's dficult for people to get downtown because this is [11:14:59 AM] what we have to traverse. This is where the fatalities were. And city manager, respectfully, you're not using data to make decisions. Next slide. So I want you to remember city manager is specifically the ten year report that you released October 11th, 2025 for vision zero, lauded some of the investnts that you made, but youidid not look at the data. And so this is just a reminder. Next slide. And I want you to remember that the density is northeast and west from Samsung to apple. That was in the north corridor project connect study in 2014.nd I want you to realize that you would have fewer dollars that need to go to social services if people could get to the jobs. And so I would ask you to recognize, of course, that African Americans are ten times more likely than whites to be homeless in Austin, and that more can be done with the funding that you have to include industrial microwaves to include the ps in the [11:16:02 AM] library, and so much more. If you have any questions, I'll gladly answer them at this time. >> Thank you, miss Joseph. >> You're welcome. >> Mayor. All speakers for items one and two have been called. >> Thank you very much, members. As you've heard, all the speakers have been called on items one and two. So what we will now do is go to item number one, which is the discussion of the proposed budget and plan budget. And I'll recognize the city manager. >> Thank you, mayor, and good morning, mayor pro tem and the remaining city council. This is an important day, and it begins an important process as we share the 2026 2027 proposed budget with you. As you know, beginning in 2024, when I started this role as Austin city manager, I initiated a process of budget planning two years in advance. So essentially, our budget planning is on a continuous cycle. And I believe this year we are beginning to see the [11:17:04 AM] benefit that longview approach provides. Last year, we faced challenges, and those challenges remain. Most significantly, the state's 3.5% cap on property tax revenue growth. But rather than continue to react to challenges, we must adjust to our new reality. And I believe this budget demonstrates that shift. As a city manager with more than 30 years of experience in municipal government across multiple cities in several states, I'm here to tell you the cyy of Austin, like every city, is continuously navigating changing landscapes. And when things change, we adjust. And no matter the economic outlook, we adjust. We should always, always be examining how and where we are spending taxpayer dollars and ensuring that the dollars spent will provide the maximum benefit to our residents. Our [11:18:06 AM] overarching goal in planning this budget was to be thoughtful, focused and strategic, to understand what is important austinites and what they value and what they prioritize. We also took a hard look at where we might be spending resources that are not delivering the desired return on investment, where we might see redundancies and where we might deliver the same and or better services in a more efficient manner. And to do all this, we listened,tened to you, mayor and city council, listen to our staff and importantly, listen to the community members that we spoke with throughout this process, through in-person and virtual meetings, surveys, we sought every opportunity to hear directly from austinites. What we learned is we need to streamline and focus on services and initiatives that are important to people's [11:19:06 AM] quality of life, provide vital resources, and help those thrive in this community that have unique and very specific challenges. We focused on cost savings and fiscal responsibility, and we achieved a balanced budget, in part by identifying 13.3 million in funding reductions, or reallocations in the city's general fund. We're going to continue with that focus on cost savings that might might support many of the council ordinances that you've initiated in ongoing programs and independently, how you focused on working with our city auditor to perform independent and comprehensive efficiencyessments. I think that that will benefit us both in the immediate and as well as in the future. While there are reductions in this budget, that's not the entire story. We also increased investments in key areas, especially those [11:20:06 AM] that matter most to our community. We're also investing in our most valuable resource, our employees. The budget proposes a 3% wage increase for city of Austin civilian employees and increasing the living wage to $22.15 an hour. Before I turn it over to director Lang for her presentation, I want to pause and thank her and her incredible team, as well as the dedicated department heads, for all their work they've done throughout the year, especially over the past few months. There have been many late nights working through weekends and holidays to get us here today, and I can't tell you how much I appreciate their expertise, professionalism, and the dedication to this city. Also, we could not do this work without the support and participation of our community, our boards and commissions, council members and their staff, and many others who spent time providing feedback and perspective. We made sure that we listened to all and try to [11:21:06 AM] respond by developing priorities. As we fund the issues that are important to you. And so with that, I will now turn it over to the Cary Laine, director of the office of budget and organizational Excell and her team for their presentation. >> Y'all are making me blush before I even start. Thank you, city manager. Thank you for having us. Today, I am joined with the deputy director of budget and organizational excellence, Eric Nelson, and of course, the cfo for the city, Ed Benigno. And I want to echo the city manager's. Thanks to the department staff, directors and my team who has helped get us to this point. I will go ahead and get started. We will talk about, you know, go over theimeline. Talk a little bit about more about the engagement that has happened to get us this point. We'll do all funds overview for our operating fund and then give some general fund [11:22:07 AM] highlights, enterprise highlights, as well as capital budgets. The work that has led us to this moment began several months ago. Some of the foundational factors were meetings with departments, information that we got from the city manager, information that we received from you as a council. And we we started this conversation, had a financial forecast in April that showed what we were seeing as far as our revenue and expenditure growth to get us here to the council. The city manager's proposed budget today. After today, we'll have a number of work sessions that will lead to final adoption. August 12th to 14th. Thinking through our budget engagement, we had our boards and commissions provide recommendations, 169 recommendations from our boards and commissions. The city [11:23:08 AM] manager held 11 input sessions across the city and with our staff. We reviewed the community survey results from fiscal year from 2025, and also completed the annual budget priority survey that was completed in June of this year, and then through the course of the next several weeks, the various districts will have district level town halls to continue to hear from the public. This slide right here talks through the survey, the budget priority survey results showing the top five funding priorities that we received from that survey. It shows that the main focuses have been on safety,ility and housing. This is consistent with what we've seen in our online budget survey for the last two years. I'll go through a quick overview of our all funds, and that looks at our total [11:24:09 AM] operating budget for the city. It is $6.6 billion for fiscal year 27 proposed. That is a 4.8% increase over the current fiscal year. Our city owned utilities, Austin energy and Austin water, account for 43% of our total operating budget. The other major enterprise departments account for about 18% of the budget, and then the general fund is 22% of our operating budget. For the proposed budget, we. That is followed by internal services, funds and operations, which includes our support services, fleet mobility services, capital delivery services, technology services and facilities management funds. Our debt service is 5% of the total operating budget. And then finally, we have other expe. That includes our small funds, our small enterprise funds, and our special revenue funds, such as the economic development fund and the hotel occupancy tax [11:25:09 AM] funds. Over the last three budget cycles, staff has completed a balanced proposed budget and a balanced planned year to help stabilize planning over our forecast period. Throughout this presentation, you will see a. You will see changes that are presented for both years. This slide focuses on the city wide cost drivers and is primarily focused on investments to our workforce, beginning with health insurance. The city's contribution to proposed is proposed to increase 5% for fiscal year 27 and fiscal year 28. This is based on our planned increases as we look through our forecast and what our projected cost will be, what you'll see in our health insurance as well, is that the employees will not see a premium change in the city's consumer driven health plan, or hmo. The ppo plan has some adjustments for fiscal year 27 as we begin to transition. The plan to be more like a [11:26:10 AM] traditional ppo, and that is where several services have a deductible and coinsurance payments. This year, the ppo will have a $5 per pay period increase for for employee only, and a $10 increase for employees and dependents, and that is per pay period. The ppo will also have an increase in their er payment is a change where it will change to 20% co-insurance plus the deductible. All other services are plans. Costs are going to be the same for the hmo as well as the ppo. WHE look at wages, our wages will increase 3% for our civilian workforce. There is no planned increase for fiscal year 28. We have a market study that has been completed that will be implemented in fiscal year 27, as well as a ten cent increase to the living wage. Finally, [11:27:10 AM] looking at our civilian and ftes, every year we go through a review of our vacant positions and look at what vacant positions have been vacant for two years or longer. Through that review, we are eliminating nine positions across the organization. This slide talks through our personnel summary. I realized that there has been some question about the growth in the number of fs. For our full operating budget, we have a 225 increase in position count for fiscal year 27. And this slide breaks down how those position counts change by fund area. And so when you look at the general fund as a whole, the net change to the general fund is less ten total positions. There were 5959 new positions added. However, there S also some eliminations of positions as well as transfers out. And what you'll notice is [11:28:12 AM] there are a number of transfers out from every area based on a couple of organizational changes that are in place. One is 1ats, where you'll see from many of the funds moving into the internal and support services, and then within internal and support services, there are some transfers in and out of several funds as facility management moves into a separate fund away from our support services fund, our enterprise departments had 42 total increases, and a number of those were in Austin water and Austin energy. And then they also had some eliminations as well as, as I mentioned, transfers out into support services. Moving forward to our general fund highlights. This slide really focuses on the total revenue and expenditures for the general fund. We have a proposed $1.5 billion general fund for fiscal year 27. That [11:29:14 AM] is a $53.1 million increase over the fiscal year 26 budget. This chart balances out our revenue compared to our expenditures. The inner circle provides insight on our four major revenue sources, with property and sales tax making up 73.6% of our total revenue. Looking at our expenditures, we have 13 general fund departments, public safety functions. That's police, fire and ems. They make up 64.7% of our general fund, followed by our community services departments, parks and recreation library, public health acme and animal services make up 21.4% of our fund housing, homeless strategy and operations planning and social service contracts total 7.1% and then transfers other, which is 3%. It includes the Travis county interlocal agreement on intake services. Looking at the [11:30:16 AM] general fund increases or changes for our civilian employees, the 3% increase that I mentioned earlier results in a $7.1 million increase to the general fund. The living wage increase results in $106,000, and then the health insurance increase that 5% that I mentioned that the city contributes to contributes to our health insurance is 2.4 million for the coming fiscal year and 2.6 million for the planned year. And then we look at the market study that is a city wide, comprehensive market study. It is 4.3 million for fiscal year 27. And finally, what you'll see here is the statutorily required pension plan payments for our city of Austin employee retirement system. This is the incremental increase of 6 million for next year or fiscal year 27, and 1.1 for fiscal year 28. Moving forward to our sworn employees, [11:31:17 AM] these increases that you see across our three sworn employee groups is based on the existing meet and confer or collective bargaining agreements. Ems will receive 3% increases in fiscal year 27. We will begin negotiations with the E association in the sing of 27, with the goal of coming having a new contract for fiscal year 28. Austin police receives a 5% increase for 27, as well as fiscal year 28 and a $1.3 million incremental increase in their legacy liability payment for their for their retirement system, for their pension system. Fire receives a 3% increase in fiscal year 27, a 3.5% increase in fiscal year 28. And similarly, they have their statutorily required payments to their pension fund. And then finally, when the last part of this is looking at the sworn health insurance portion of the [11:32:20 AM] 5% that was mentioned that the city contributes. So that's 3.1 million incremental increase. So with our internal services funds, we have our allocations that go out every year for the maintaining of the services that help the city provide the services outwardly to our community. And that includes our functions such as hr, our human resources, our city auditor's office, financial services, our capital delivery services, and our 311 center. And so the general funds portion of this, you'll see the total change year over year. It's important to note these changes. It does capture the transfers in and out of these funds. As I M mentioned earlier, with support services, a number of those functionalities moved into technology and management, and then facilities management moved into its own separate fund. And so when you look at the overall incremental increase, it shows those increases by fund, but it [11:33:20 AM] balances out from what you would have seen in the previous years, where most of that cost would have been in support services. Now I'll go through some significant adjustments across our general fund, beginning with our public safety departments, the public safety departments. Ems has an ongoing dollar increase of $1 million, which allows the department to maintain all staffing, full staffing levels during cadet training periods and will support any earned benefit payouts that we need to pay to employees as they retire. The fire department has a net $7 million increase. This allows for maintaining four person staffing. Implement the new Austin schedule in October of 2027 and provide safer replacement safety jackets while adjusting their academy related overtime and reducing the contract related to return to work. As the department has [11:34:21 AM] seen success in reducing injury related out of work time, forensic science is receiving seven positions, five of which will be focused on evidence chain of custody activities. One is for the management oversight of case management oversight, and then there's one for administrative support. The department is also receiving funding for additional warehouse lease space and M freezers for evidence control. Municipal court has reduction of five vacant positions. This savings is and will be realized as the department transitions the compliance function across other areas within their department. And then finally, on this slide, police will be receiving one civilian position to support their recruitment efforts. Moving on to homelessness and housing the homeless strategies and operations office is receiving [11:35:22 AM] 9.8 million additional dollars, 3 million ongoing from the general fund to support operations of the marshaling yard. The department is also receiving a total of 6 million for permanent supportive housing. Wrap around services, 2 million ongoing from the general fund, 4,000,001 time from the housing trust fund. There is also a $500,000 investment from the hope fund to support operations of the navigation center. And then finally, zo is receiving four positions to provide administrative and contracting support. Our housing department is receiving 10.3 million across various sources to support local housing vouchers. In fiscal year 27, it will have 2.1 million ongoing support from the general fund, 2.6 million from the housing trust fund and 3.1 million in capital funding that that capital funding the department over the last several years has been planning for these units to [11:36:23 AM] come online, and we're using that capital funding before we invest in the ongoing costs related to local housing vouchers. In addition to that, the housing department will receive one time funding in the hope fund of $2.3 million for emergency rental assistance and two positions to support monitoring the parties at the Austin housing financial. Excuse me, Austin housing finance corporation, they have 37 properties that. These positions will help to monitor. Planning is receiving three positions. Most of these positions Wil be partially offset by a reduction in temporary employee funding, and these positions are to support case management, planning commission activities and demographic needs. Moving forward to our community services, animal services will receive a position to support and develop their safety [11:37:24 AM] program. Acme will receive two positions funded through the historic preservation fund. One is to support elisabet ney museum, whichs scheduled to open in the spring of 27, and then the second is to support, support, planning and activation of the montopolis school. There is one time funding through facilities management to support audio visual equipment needs at the Asian American resource center, and then ongoing funding out of the general fund to support maintaining the city's art assets through our arts and public places program. Finally, the general fund will recognize $150,000 of savings with the elimination of the creative space assistance program that is fun through the economic development fund allocation. Parks and recreation will receive 1.2 million to support parkland facility and facility maintenance, as well as operational costs for theewly refurbished montopolis community pool and the Beverly [11:38:24 AM] S Sheffield northwest regional pool.hehe department is also receiving two positions an operational funding for the Barton springs bathhouse. There are some reductions across parks and recreation, including a reduction of contractual supplemental programing for youth camps and senior centers. The elimination of two vacant positions as we transition from a programing to rental model for our adult sports programs that includes volleyball and flag football. And then finally, a reduction of 800 000 across several contracts and temp budgets across the department. Public library will receive 1 million of one time funding foraudio visual equipment and som and the new loading dock for the Austin history center campus. They'll also receive five new positions to support [11:39:24 AM] operations and maintenance of the campus. And then there's a reduction in in the library budget across several contracts and temporary employee budgets of $403,000. And then finally, public health will be receiving funding to maintain software that will allow the to seamlessly share disease surveillance and reporting data the state, as well as a transfer of 12 immunization grant positions that have been historically grant funded. We are moving those positions into the general fund at a net zero cost to the general fund. The apartment is also reducing two positions in the sti lab services unit. They're transitioning this function to a contracted services, which will result in a savings of about $174,000. And then there's a reduction in the convenience store healthy food program. This funding was [11:40:25 AM] historically used to try to start a program that would allow for healthy foods at neighborhood convenience stores. There have been some challenges with having the participation at the stores and allowing for that to be an ongoing program, and so those dollars will be reduced, as well as the elimination of the financial support for the Travis county summer youth employment program and a reallocation of these dollars to other funding priorities. Moving forward. To talk about our social service grants beginning in fiscal year beginning in 2025, the city began reevaluating the investments and social service grants. This evaluation has resulted in a realignment of funding from this portfolio, including moving $19.4 million into the operating budgets of public health and homeless strategies and operations for the city owned emergency bridge and domestic violence shelters. [11:41:27 AM] The domestic violence shelter funding of $2 million will be moved to public health, and then the remaining 17.4 million for emergency and bridge shelters will be moved into homeless strategies and operations, operating operations, operating fund. The evaluation also changed the funding source for the sobering center operations, moving it from ongoing funding to one time funding. As we continue to search for alternative funding sources over the next fiscal year. Finally, it has led to a $5.1 million reduction to grants to social service providers. Based on the work th the staff has completed over the last several months, developing a rubric that that was requested by this council and looking at the different focus areas, making reductions at varying levels across those focus areas. So as we look at our reserves, based on all of [11:42:27 AM] the changes that we have proposed for fiscal year 27, we are projecting and proposing that our reserves will end fiscal year 27 at a 17%, based on our financial policy, it does include a transfer from the general fund into the reserve. It also is dependent on the planned reimbursement from FEMA that we anticipate receiving this year of $8.3 million. And then when we look forward forward to fiscal year 28, we do we anticipate getting to 16.4%, not quite meeting our 17% reserve requirement, our plan or proposed budget anticipates the year ending with the reserves of $260.5 million. So that 4.3 million that I just mentioned out of the budget stabilization reserves, that includes one [11:43:28 AM] time funding to support some of the ongoing investments that have been made across the general fund, including security improvements at the Austin animal center. Public health will have one time funding for temporary employees to allow for the implementation of the software that allows them to speak to the state. Ems will receive funding for critical medical supplies, and then human resources will also receive some funding for modernization of their training and compensation, classification and compensation systems. This $2.9 million is what is related to the sobering center tnsitioning to one time funding. And then finally, police will receive funding of $425,000 of O time funding for recruitment efforts. And with that, I'll turn over revenue Eric to walk you through. >> Good morning. Eric Nelson, [11:44:28 AM] deputy director, budget and organizational excellence. This slide presents total general fund revenue broken out by major categories. We'll go through each of these catees in more detail in the coming slides. But as a quick overview we are expecting an increase in property tax revenue associated with being at the projected voter approval tax rate. We've seen a recovery in our sales tax collections, and expect those to grow by a further 2.5% in fy7.7. We expect the transfer from our utilities to increase by a little over $11 million, mainly as a result of recent rateincreases by both utilities. And finally, we project a $15 million decline in our other revenue category, which is resulting from removing one time transfers from general fund reserves and planning cip that occurred in fy 26. Digging into property tax. This chart provides some context about how Austin's property tax bill, as [11:45:28 AM] a share of household income, compares to other large cities across Texas over the past five years. We saw this metric spike as a result of the project connect tree, but we were able to absorb that increase and return to the middle of the pack as a result of some strong income growth, combined with declining home prices over the past year and especially last year, we've seen it start to tick up again, partially because home prices appear to have stabilized and income growth has slowed, but also because we've experienced increasing property tax pressure, particularly from increases in the debt service component of our property tax bill. Looking at the tax rate itself, we are projecting an fy 27 total property tax rate of 57.95 $0.03, and that's an increase of about 5.6 cents from the current rate. The state's property tax cap is a revenue cap. So the rate adjusts to reflect what is happening with taxable values. Based on preliminary [11:46:29 AM] information from the appraisal districts, we are projecting a 3.4% decline in total taxable value in the city to $222 billion, which is the second year in a row that we expect to see a total value decrease. New construction, which is exempt from the state's cap, is projected at $3.2 billion, a decline of about $316 million from last year. And that's as a result of the slowdown in new development over the past several years of high interest rates. Translating these tax rate projections into the impact for our homeowners, we expect that our typical non-senior homestead will see their property tax bill rise by $174 at the proposed property tax rate, which is an 8.4% increase. As a result of the recent action the city council took to increase the senior and disabled homestead exemption. We expect the property tax bill for the median of these homeow to remain [11:47:29 AM] essentially flat. Theseigigures all assume the projected voter approval property tax rate, so we might expect the increase to our typical homeowner homeowner to be closer to 3.5%, rather than 8.4%. Part of this is driven by our projection that the median homeowners value will not line as much as the city's overall tax roll, but the larger effect is due to the projected increase in the debt service property tax rate, which generates the revenue to service our voter approved and other eligible debt. We expect the share of the property tax bill for debt service to grow by 17%, or about $76, in the coming year. We currently have over $1 billion in authorized but unissued debt associated with bond initiatives approved by the voters over the past several years, and the city's annual debt service requirements are projected to increase significantly in fy 27 and into future years. Moving on to sales tax, we've [11:48:30 AM] continued to experience a recovery in our sales tax collection after an fy 25, in which we saw almost no growth at all through eight payments this fiscal year, we've experienced growth of about 6.7%. And the trend in our current collections, which excludes adjustments from audits and other factors, has been even better. However, the national and local economic fundamentals remain relatively weak, and we are experiencing continued uncertainty around trade, energy prices, interest rates and inflation. Our economic consultant is forecasting lackluster job growth in Austin in both fy 26 and fy 27. The total picture is one in which there are no strong drivers of economic growth, and so the current results we are experiencing appear a little anomalous if we try to smooth out some of this volatility. By looking back over the past 2 to 3 years, we can start to get a picture of the new post-covid normal. Over these 2 to 3 years, we are tracking at about two and a [11:49:31 AM] half to 3% annual growth on average. This two and a half to 3% level is also about what we're expecting in terms of growth and core inflation. And given the forecast for only modest economic growth in the coming years, we expect that our sales tax growth will continue to track around that level as well. Here again, is our cone of uncertainty with respect to sales tax projections over the next several years. We went back and looked at the 20 years prior to the pandemic andnd our strongest five year run of growth and our weakest five year run. So we had one five year stretch where we grew at a compound average rate of 8.1% per year, and we had one stretch where we grew at only 0.8% on average each year. When we apply those two different rates to our fy 26 estimate, we generate this expanding cone showing two extremes of potential sales tax growth on the low end. That would that in fy 21, total sales tax revenue is only $16 million [11:50:32 AM] higher than we expected to be this year. But on the high end, it would mean that revenue is $182 million higher. Our forecast projections work out to a compound annual growth rate of 2.9%, which puts us about a third of the way up into the cone and anticipating an additional $59 million in sales tax by fy 31. The general fund receives transfers from the two city owned utilities that reflect payments such as property tax, franchise fees and owner's rn on equity that private utilities would otherwise have to incur. We're projecting that the combined ansfer from our two utilities will grow by about $11.3 million next year, primarily as a result of recent rate increases due to planned future rate increases. Growth in this transfer is projected to be a bit faster than the combined growth in our revenue sources, so expect this revenue will ck up a bit as a percentage [11:51:33 AM] of our total revenue, but it should still be well below the 15 to 20% level that was typical in thererevious decade. Looking at other revenue, total growth for fy 27 is weighed down by the removal of those two transfers that took place in 26 from our budget stabilization reserve fund and planning cip, and we're not anticipating will be repeated in fy 27. Other revenue is historically the slowest growing of our major revenue categories, and we expect that trend to continue. Interest earnings are projected to continue to decline from their fy 24 peak, and that decline counteracts much of the moderate anticipated growth in the other sources in this category. Now I'm going to kick it back over to Carrie. >> Thanks, Eric. This isur look at our forecast based on [11:52:33 AM] the changes to the proposed budget and the planned year. When we look at our forecast, we are seeing that we are balanced in fiscal year 27 and fiscal year 28. And then we begin showing a surplus in fiscal year 29 through 31. The surplus that we're anticipating is anticipated is also anticipating savings from 1ats. That is, the application rationalization efforts as well as we're as we're consolidating across our functionality of it services. And it is also looking at our growth and expenditures as we, as we mentioned, and the projected growth that Eric just talked about in our revenue. Moving forward to our enterprise highlights, we have eight enterprise major enterprise departments that we'll talk through, and I will tell you [11:53:34 AM] all now that there is a ghost in the presentation. And so I fixed these arrows about 10 or 15 times, and they keep moving. So just go with it. We'll just we're just going to keep going as if they are in the right spot. And so we're going to start with our aviation department. These are highlights for the coming fiscal year for aviation and the planned year. They are anticipating $41.4 million increases in their transfers to capital for their ongoing expansion, as well as I.T vehicle and equipment needs. There's an 8.1 increase in new building excuse me in building and new improvements to existing facilities, as well as 25 new positions to support the new concourse M and the yellow garage parking garage. Moving forward to fiscal year 28, we are continuing. They are continuing to see some [11:54:36 AM] increases in their transfer to capital, based on the plans for the aos expansion program. Austin convention center, as they are also working through their expansion project, they are anticipating $25.1 million being moved to debt service costs. They are anticipating increased hotelccupancy tax collections of 5.1 million, and then in fiscal year 28, with the anticipation of the facility opening, they will restore 27 new positions, and then they are anticipating a decrease in the hot collections based on the planned expiration of the two cent venue hot tax. Looking at our development services department $1.5 million increase in expenses to continue or for the licenses for new Amanda software, as [11:55:37 AM] well as on the code side of development services. $700,000 for seven new positions for the graffiti abatement program. There is a 3.1% increase on code side of the clean community fee for fiscal year 27. And then you will see the the department receiving the $2.5 million that I mentioned earlier in the general fund that is transferring over to development services to support residential affordability programs in fiscal year 28, there is a continued increase to the clean community fee of about 3% or $0.15. Austin energy they are anticipating 29 new posns, which will largely be offset by a reduction in their contract and temporary staffing funding. They're also goi to anticipate, or they have a 3.1% increase in the typical ratepayer bill for this rate [11:56:39 AM] increase. It does include a pass through increase to their regulatory charge from regulators, including ercot, of $3.96. Without this pass through, the increases to the monthly electric bill would be would go down about $0.30 per month. This is the second year of a bill reduction from the electric utility in fiscal year 28. They have additional planned positions to support system reliability and administrative functions. Austin resource recovery there are increasing their payments to their debt service costs for the northeast service center. The typical ratepayer of Austin energy's curbside collections will go up 4.7%, and tn the planned increase for fiscal year 28 is 4.9%. They have a $156 million overall budget for fiscal year 27. Moving on to [11:57:42 AM] transportation and public works $245 million budget. They are increasing three positions for their utility excavation repair program. That program is reimbursed by the Austin water department, and then $3.1 million decrease across several across the departments for overtime and temporary employees as they start moving those services in-house and reducing various contracts. And then they're seeing an increase in their parking revenue due to higher utilities, higher utilization of parking meters. In fiscal year 28, they have increase expenses for transfer to parking cip, as well as additional positions for their utility excavn repair program. In fiscal year 27, Austin water has a $899 million [11:58:42 AM] budget, up 4.2%. >> 5.1 million is a conversion of 44 positions. Adding and converting 44 positions for operating nee across the department. There is a $30 million increase to their debt service for planned infrastructure. The utility is planning a 7.8% increase for the coming fiscal year. In fiscal year 28. They are adding additional positions 36 positions, for a total of $4.1 million. Watershed protection has $133 million budget. They are increasing 18 positions, 15 of which will be focused on operational and maintenance needs for the department. Three will be focused on education and training. There's a $2.6 million decrease as they rightsize several of their contractual and operating budgets, and then 6.2 million, [11:59:43 AM] excuse me, 6.2% is the anticipated increase for the drainage charge for the typical homeowner in fiscal year 28. There's anticipated increase of 12 positions for operationaloperational demands for the department. With all of those rates and fees. Thinking thugugh the impact that that the typical rate and taxpayer will see, this slide reflects the percent change from fiscal year 26 to the proposed budget, as well as the anticipated change for fiscal year 28 planned year. These are. The monthly increases are $28.83, or 6.1% overall. As mentioned earlier in the presentation, the property tax annual increase is anticipated to be $174. Moving forward to our capital budget, this is our [12:00:43 PM] capital spend plan for the coming fiscal year, and it shows our plan for the next five years. As you can see, in fiscal year 27, the spend plan is at 4.25 billion. It includes large projects by austin energy, primarily for transmission, distribution and power production projects. Austin water has a project or is continuing their project for the walnut creek wastewater treatment plant expansion and renovation aviation at about 1 billion continues their. Their airport expansion program. And then you'll see pibs is at 200 Erp. Our. Our improvement bonds are at $252 million. Those are primarily our our public improvement programs from 2016, 2018, 2020, and 2022. And then the other list that you see at 1.25 billion, that includes [12:01:44 PM] convention center expansion and about 603 million across several other departments. That covers gras,s, loans, other revenue, and other funding sources. This slide just walks through some of the some details of the various projects that are planned for fiscal year 27 and aviation. TRE going to continue the midway midfield taxiway as well as completion of th west garage lot B construction. The convention center will continue their expansion program. As I mentioned, water will do the water creek wastewater treatment, plant expansion, and then additional. That includes additional spending throughout the forecast period. Austin energy will focus on transmission projects, including substations at Breckenridge and Mckinney falls. And then finally, transportation and public works. A number of their programs are based on the 2016 mobility bond. [12:02:47 PM] This. This looks at our prior bond programs going back to 2006. And is showing the spent amounts of those programs well as what is encumbered and the balance of those programs. As you can see, the older programs are primarily completed. Our 2016 transportation mobility has some dollars that are remaining unexpended. And then the comprehensive programs from 2012, excuse me, 2018 has spending on various of those projects. Then the 2022 is the housing. Is the housing program. Thinking through our next steps? Next week we will begin with a deep dive into the departmental budgets by strategic priorities from the city wide strategic plan. We will begin focusing on community health and sustainability, as well as [12:03:47 PM] homelessness and housing. And then we'll also walk walk through our social service grants. The 22nd will include a community input session. On the 28th. We will include departments within economic and workforce development, mobility and critical infrastructure, as well as high performing government. The 30th will focus on public safety and again, the remaining high performing government departments, and there will be a public hearing on the 30th. There are there are work session scheduled on the on August 4th and sixth, where the six will be, where the cou members will walk through their developed ifcs and amendments. Finally, for planned adoption on August 12th through 14th. And with that, I'm happy to answer any questions that you may have. >> Thank you for the presentation, members. What I'm thinking we might do is everybody, we've been at this a while. What we could do is recess for 30 minutes, let everybody stretch their legs a [12:04:47 PM] minute, get their thoughts and come back in 30 minutes. Two members have already signed up to ask questions. If you wish to ask questions, go ahead and hit your buttons so I'll know that you want to do that. And when we come back, we'll start and we'll start with council member qadri. Unless there's objection. We'll take a recess now until 1235. Seeing no objection, the Austin city council is in recess on July 16th, 2026 until 12:35 P.M. Promptly. It is 12:05 P.M. Thanks, everybody. [12:35:20 PM] Good afternoon everybody. It's 12:35 P.M. And I will call the Austin city council back to order. What I indicated we would do is we will go in the order of people that have signed up to ask questions. We have a lot of people with a lot of questions. So what I'm going to do is I'll start with council member qadri, followed by Velasquez and council member Siegel. And then what? And I'll go to the others that have also signed up, and we'll allocate ten minutes, and I'll do my best not to be rude in all that. But then if you don't get your ten minutes, if you don't get all your questions done in ten minutes, we'll come back and but just be aware of, of your time. So council member qadri, you have the floor, mayor. >> Are we going to be allowed to. >> No. >> Thank you. Mayor. >> They can't be birthday gifts either. >> First and foremost, always [12:36:20 PM] enjoy a good budget presentation. And so I was really excited about today. I was also excited because I get to sit next to councilman Velasquez for the next six months. So it's a double good day. Just had a few questions. I don't think I'll take all ten minutes, but my first question had to do. You mentioned the elimination of positions. And if they're vacant for more than more than two years, you know, they're they're eliminated. Is that true for every department, or are there some positions or some departments that are exempt from this? >> So when we loo the elimination of positions after two years, it's focused on our civilian positions. We do not include our sworn positions in that in that calculation. And so but it's all civilian positions across the entire city. So every enterprise general fund, internal services. >> Great. Okay. Thank you. And then a second question. And I just kind of wanted more clarity. I know I talked to you all about it when you came to the district nine office, but I had to do with the recruitment position specifically for APD. And I just I was just wondering, [12:37:22 PM] is there specialized recruitment positions for all our first responders? So ems, APD, AFD and if not, is would there also be a need in the future to have a recruitment position for for the other public safety agencies? >> Thanks for that. Each public safety department has a recruiting function internally, and it usually includes some civilian positions, and it may include 1 or 2 sworn positions to assist with that, but it's a mixture of civilian and sworn. This added position is a civilian position. >> And is there a reason why the position wouldn't be just housed under hr? >> Yes. The the recruiting efforts for our sworn employees are very specific to the function. And so you'll see, you know, with ems, they have very specific criteria that they look at and they they do a very targeted recruitment effort, the same with police and fire. And so with our [12:38:22 PM] civilian recruitment is usually more holisand general across the civilian positions. These are particularly focused on our sworn positions in each individual department. >> Okay, great. Thank you. And then my last two questions has to do with housing. So my first question, we have $2.3 million in emergency rental assistance coming from the hope fund for this fiscal year. In the budget document, there's an operating line item for displacement prevention, specifically tenant stabilization for $2.71 million. Is that 2.71 million line item and housing budget incde the emergency rental assistance. >> You're going into detail today. Let me let me look. Give me a second. >> No. No worries. So this this new mix. >> It looks like that is a separate line item from that [12:39:23 PM] 2.7. One is separate from the 2.3. >> Okay, great. Thank you. And then is it possible for the for one's budget work session that's going T on housing and homelessness? If we could get a breakdown of the other displacement prevention programs that we're going to continue to fund for any reductions or eliminations from the from the existing housing trust fund contracts. >> Sure. We can talk through the changes that have happened in the displacement funding. And because there there are some specific changes, some contracts that were ending this fiscal year. And then the new funding that is focused out of the housing trust fund is primarily the funding that is for the local housing vouchers. So when we go through that, through that conversation on the 20. >> I think it's the next Wednesday. >> Then we will walk through the changes for displacement. >> Okay, great. Thank you. And then just staying on housing, one more question. As it [12:40:24 PM] relates to significant adjustments. There's 3.1 million in capital funding. Sorry. Will the 3.1 million in capital funding? Is that going to be covering part of the gap in local housing vou? The local housing voucher contracts? >> Yes. So that 3.1, along with the other funding sources, gets us to a full $7.8 million for local housing voucher programs for fiscal year 27. And so those vouchers are fully funded with that with that investment from the capital budget. >> Got it. And where's the capital funding coming from? Is it coming from a bond? Is it like we're. >> It's it's from general revenue. So as the general fund has transferred into the housing trust fund over the last several years, the housing department moved those general fund dollars into their capital in preparation for these units Ng online. >> Got it. Okay, that's it for now. Thank you. >> Thank you, councilmember councilmember Velasquez, then councilmember Siegel, then councilmember Laine. >> Thank you, mayor. Thank you [12:41:25 PM] all for the presentation in late may. Council members alter Siegel Laine. Qadri Fuentes and I requested that city staff take into consideration various items with regards to the social service contracts. How is that request considered and how is it reflected in the recommended cuts to to the social service contracts? >> So as we were reviewing the social service contracts, we we took the resolution information and we looked at the contract size. We looked at the contract levels. We work with the departments to determine what the impacts would be on, on several of the contracts. And we also started with the rubric that council instructed us to use in February. So we created the the rubric rubric based on council direction, and use that rubric to help identify the, the cut levels and the [12:42:27 PM] percentages of, of those focus areas. If you look in the memo that I shared a week or so ago, it talked through the different levels ofarying cuts based on the rubric. And so every focus area doesn't have the same level of cut. And so we looked at all those things as we were building the recommendation for the social service grants. >> Thank you. And the other one is how can council help staff continue to prioritize the social service contracts? And when will we have like exact figures on those? >> So we plan on having the detailed discussion at next week's council budget work session. Well, we'll walk through the changes and the recommendations and then we'll council can give us direction at that point. >> Thank you. >> Thank you. Council member. Council member. Siegel. Council member. Laine. Then council member Ellis. >> Thanks, mayor. I'm going to make a little opening statement to start, but I really want to thank budget and organizational excellence, all the staff, for the work you've put into this budget so far, and really, [12:43:28 PM] everyone in the city who makes this process happen. We know it's a huge project for a city of our size and the complexity of our operations, and sometimes we take you all for granted how excellent our city workers are, including the math whizzes in financial services. So anyway, I want to say thank you. We really depend on you, and you really do set a high standard for the quality of rk for council and for the public. I also want to thank the city manager for continuing to get council feedback and adjust the year, and to build a budget that really tries to reflect the will of our ten districts and the city. Overall, no one here wants to be presiding over budget cuts each year, but this is where we are again. And it's because the cost of living is rising, inflation is rising, and unfortunately, under the state caps as well as the federal cuts, we can't quite keep up. And so each year that passes, at least under the current state and federal administrations, we have to look for savings instead of programmatic improvements because times are tight. One thing I want to raise at the outset of this process is that [12:44:29 PM] the Austin equity office has produced a report, an analytic tool, the levers of economic mobility index, or lme, which looks at all the neighborhoods in Austin and identifies which parts of our community are facing barriers that make it harder for people to thrive. It's a really powerful tool that looks at things like health, housing, job education, and acces all of these things almost block by block. And I want to challenge myself in public here for accountability, to think about this analysis we've done as a city to identify what it would take to create a fair chance for everyone and reduce barriers to success, and to try to make sure that's built into our budget as much as possible. So if anyone here is listening, you can Google Austin levers of economic mobility, and you'll find the tool. It's really worth exploring. And I know our city leaders are already thinking about this. I'm happy to see that the manager has prioritized a 3% raise for civilian staff, which is really important to make sure that people aren't getting a pay cut year over year due to inflation [12:45:29 PM] and health care costs. We need to take care of the people who take care of the city. And also, thousands of city workers live in the city with their families and are a big part of what makes Austin special. I'm also really happy to see a continuation of the housing vouchers, which is a really important program that promotes stability and economic mobility, but we do have more work to do to protect social services, and I'm not happy to see the continued cuts to our social service contracts, and especially these across the board cuts to hold programmatic areas. What I hear is it's demoralizing to a lot of our social service providers who are on the front lines every day helping people. I hate the message we send that when two budgets in a row, one of the first places we go for cuts is social service contracts. It definitely feels contrary to the equity office report on what it takes to create economic mobility. And I think there's other places we can reduce spending. I know a lot of advocates, since the budget dropped have been asking the question, how is it that we are [12:46:30 PM] raising the police budget by $25 million while we're cutting social services? And that doesn't feel good in terms of how we address the root causes of crime and violence and assure real safety for our community members as much as possible. I'd like to see that we keep our spending proportional in terms of what share of our budget the city spends on policing versus other priorities that make Austin a great and safe place to live. And right now, each year, unfortunately, the proportion of the general fund spent on policing is creeping up. And so I'd like to explore ways to take things off the police department's plate and keep that spending proportionate. Another area I don't see represented in this draft budget is cuts to consultant spending. Council received a very important report from the city auditor in March of this year on consultant contract management that looked at city contracts for general and professional consulting services across all departments. And one of the findings of the auditor's report was that city staff had not demonstrated that [12:47:31 PM] consultant services were justified, or that they efficiently helped meet city objectives and the needs of residents. That was one of the top findings of the report that our staff hasn't justified the consultant spending, and my colleagues will recognize the big numbers summarized in that report that hundreds of millions of dollars were spent on consultant contracts over a three year period. So when we are talking about cutting $5 million or $8 million from social services this year alone, the first place I would look to put those dollars back in the budget so we can keep helping people, so we can keep reducing barriers that keep our Austin neighbors from thriving. I'd much rather we cut a few million dollars in consulting contracts than any of our social programs. All right, so that's my little opening. And then director Lang, I want to start about housing, and I didn't quite hear the full answer to councilmember Kadri's question, but are we undersing correctly that we are increasing the housing budget to cover the voucher programs? And that's why the housing trust fund transfer is being eliminated and there [12:48:31 PM] won't be an impact to services. >> You are correct. There are. The local housing voucher program is fully funded in fiscal year 27. It's three funding sources, which includes the general fund, which is ongoing funding of 2.1 million, the housing trust fund, as well as their capital funding. >> Thank you ma'am. And then could you talk a little bit about the compliance programs or sorry, the compliance positions in the housing department? Will they also ensure compliance with Rota requirements? >> So those positions are focused on the Austin housing finance corporation properties. And so I would have to ask for the detail of what those that would include. But it's the properties that they're going to focus on the maintaining the financial reliability of those those actual properties. I don't know if. >> Thank you director. Appreciate it. [12:49:35 PM] >> Goo afternoon. Dean, director of Austin housing. And the short answer is yes, those positions will help cover the monitoring and compliance of the Rota lease addendum, as well as do servicing of the Rota loans. >> Thank you very much, director. Appreciate it. Director Lang. My next questions are about. So is the $3 million for the marshaling yard, in addition to the 8 million in last year's budget, or is it part of the 8 million total to operate it. >> As part of the 8 million total? If you remember, in fiscal year 26, we budgeted 5 million ongoing operating. And 3 million is one time for the marshaling yard. This 3 million in fiscal year 27 is changing that one time to ongoing for $8 million.otal ongoing investment. >> Thank you, ma'am and mayor, just give me a signal when I'm hitting my ten minutes, please. Could you estimate, director or staff, how much the implementation of the new encampment sweep policy is costing each department? [12:50:42 PM] >> I don't have that detail right now, but we can bring that information back in next week's work session. >> Thank you ma'am, I'll just give a few contact points to add to that and would be happy to have the answers later. So there was an article that quoted director gray is saying an average of $150,000 per sweep. So, you know, one of the questions would be how many enforcement actions we're doing each month, how the cost is divided between the departments. And also just to confirm that, I believe according to the recent memo, the city has done individual outreach with 79 people and 35 have been connected to shelter. So hoping to kind of understand this overall program as well as how the costs are reflected in the budget. >> And councilman, thank you for that. Thank you, director Langen. So let me make sure we're working on the specifics of that. And we do read the newspaper. We don't manage by newspaper, though, I will say this. And so I want to be clear about the cost of the him [12:51:42 PM] program, the predominant amount of the cost are actually associated with the actual salaries and the positions that are reflected in doing the work, which are already costs that we would have to pay. It's a matter of where we're using those resources, and we can debate that. And I think I've had that discussion during my meetings with the community when we were talking about this. So I just want to be clear, and that's part of the challenge with us breaking out the cost, because I think the numbeat director gray may have shared included the staffing cost, and that's a myriad of different funds. And so we'll try to have that information for you by the time we meet and discuss the homelessartment's budget next week. But again, I want to clarify this discussion around the cost of the him program is being conflated with the actual salaries of the people doing the work to clean up areas that need to be cleaned up. >> Okay. Thank you. Look forward to discussing that further. Director Lang, in terms of the housing trust fund, [12:52:43 PM] we noticed that $4 million will be used for one time funding for wraparound services. What would be the plan for those services after this year? >> We'll continue to look for? Well, in the planned year. I think through this, in the planned year, there is an additional $1 million ongoing that is being added to the homeless stregegy office for permanent supportive housing wraparound services. And I think it's going to be a continued conversation about the balance of the city's investments. If there are additional ongoing funding need or how we partner with our government partners and the providers to to find alternative funding to continue this, this work. >> Thank you. >> Ma'am. >> And I'll yield back to the mayor. >> Thank you. Thank you, councilmember, and we'll come back to you after we go through. Councilmember Laine, councilmember Ellis and councilmr duchen. >> So I also want to begin by thanking the staff, your hard [12:53:43 PM] work on this budget draft, you're all faced with the impossible task of meeting everyone's needs during a very difficult budget cycle, and it is very much appreciated. During a lean budget year. It's important for every city department to look deep into their spending and find ways to save taxpayer dollars, and it's clear that many city departments have done that. I expect those savings will continue to grow as we complete our upcoming audit. And with that, I'll begin my questions. The first relates to Austin water on page 195, there's a line item outlining a reallocation of funding for water conservation, commercial incentives, and redirecting to other priorities. I'm wondering what were Austin waters incentives that were being offered? Are they still being offered in some capacity? And what has been the impact of commercial participation in these incentives so far, if any I can? >> You're looking at 195 of the document. Excuse me. You're looking at the document, the proposed budget document. 195 [12:54:45 PM] okay, so I was trying to make sure it was the document, not the presentation. >> I believe. So I have a handwritten note. Yes. Thank you. I'm sorry. This is much louder than it's been in the past. I feel like it's echoing. >> If I can get into my chair. Thank you. Good afternoon council. My name is Shea roalson. I'm the director of Austin water council member Laine. Thank you for your question. You are asking about a reduction in conservation incentives. >> Yeah. Specifically commercial. >> And that is really a reflection of the demand that we have had for that program, not having reached the budgeted level. That does not mean that if demand were to increase over time, we wouldn't be able to meet it. We would. But this is a reflection of right sizing [12:55:46 PM] our budget to match our expenses. >> Okay, thanks. That'sery helpful. Okay. The next questions that I have are related to Austin public health, page 36 of the document. I'm interested in a cost comparison between the eliminated in-house sti, HIV testing unit and the contracted replacement service on a per test basis. Do we have that type of information? >> Good afternoon. Adrian Sturrup, director, Austin public health. Thank you for the question. We do not have that cost analysis analysis available. >> Is that possible to receive and. >> Follow up? Yes. >> Thank you. I would also be interested in understanding if there will be any changes in test turnaround time or client access. If we do, in fact, make [12:56:46 PM] this shift in approach. >> So the reason for the proposed elimination is that we have consistently and historically had a hard time retracting and retaining the talent, the salary that is available to us just doesn't allow us to staff. And so if you look at our vacancies in that area, over time, you'll see that we're consistently down at least 1 to 2 positions. The impact to services is that if someone comes into the clinic, they wouldn't be able to get that same day test results. So staff would then have to follow up within the next 24 or 72 hours once we get it back from the commercial lab. Okay. But for a comparison, about 5000 of our tests are done in-house. 11,000 samples are sent out to our reference lab annually. >> Okay, that's very helpful. Thank you for the detailed. [12:57:47 PM] You're welcome. And then I have a follow up question about social services contracts. I'm wondering where we can see the final version of the rubric that was used by staff for social service contract evaluation in the preparation of this budget. >> Yes. Thank you for that. So we shared a draft of the rubric during the may public health committee meeting. And we'll walk through the rubric next week during the social service grants conversation. >> Okay. Thank you. I'll yield at this point. All right. Thanks. >> Thank you. Council member. Council member Ellis. Who it just disappeared. Council member Ellis, then council member duchen. And I don't know, it's just voice. Councilmember Ellis, councilmember duchen, then council member alter and mayor pro tem. >> Thank you. Mayor. I want to start by also extending my appreciation. I know your team has been working on this for a very long time. Basically since [12:58:47 PM] the last budget was approved. I'm going to have a couple of questions. I'm going to start with parks and recreation, and then a couple of questions about the fire department and then transportation public works, just to help make sure we've got the right folks. In your presentation, it declares there's $1.2 million increase in additional funding for parkland and facility maintenance. Can you tell me the breakdown of what is parkland maintenance, facility maintenance? And then I think there was one other item in that bucket. I just wanted to know what was personnel and what was facilities costs or other other things to consider. >> Sure. Good morning, Austin parks and recreation. I don't have the breakdown in terms of commodities, but I can tell you generally about 700,000 of that is going to operations and maintenance for parks, about 86,000 going to pool furnishings. And a chunk of that is going also to forestry. But we can give you the exact [12:59:48 PM] breakdown. >> Forestry. Okay. That's fantastic. I just couldn't tell, you know, what was hard cost fixed cost one time and things of that nature. It also specifies 171 000 reduction in supplemental programing for youth camps and senior centers. Can you tell me what's going on there? >> Sure. And this is sort of as we've gone through the budget process, trying to identify places where we could make the reductions necessary without having significant impact on programing. So in this case, these are basically enrichment programs that we had sort of vendor contracts that would sort of push into the programs that our recreation staff and temporary staff were already doing. So it'll just be fewer of this enrichment activities, but the programing will continue. >> Okay, fantastic. Thank you. That's all I have for director Aguirre. I also wanted to double check and confirm. So now we are contributing $6 million of overtime for the fire department. Correct? >> Correct. >> Okay. Because I know last year that was one of the [1:00:48 PM] conversations was just how much is overtime costing and how can we better balance staffing? And so I appreciate the call out to maintaining four person staffing levels. I think that's something that's really important to be maintaining until we have some sort of other programmatic discussions or approvals between the department and the union to make sure that our firefighters are safe as they're doing their work. I have a question about firefighter maternity leave. We've also had a couple conversations over the years about whether our firefighters who do have children during the year are able to collect that maternity leave. Can you tell me if that's included in this year's budget or not? Or for how many people that might be extended to if needed? >> I believe that was added as an ongoing into the budge I'm going to turn to Rebecca chief. Okay. If he could come down and talk to speak to that. [1:01:48 PM] >> Okay. Chief of staff Austin fire. The maternity program was extended to this year. Last year, we had four members take advantage. The previous year we had two. So it's an ongoing cost that we're continuing to take a look at. >> Okay. But generally it doesn't seem like there would be an issue if you had 2 or 4 firefighters give birth this year. >> Absolutely not. We could absorb that. >> Okay, fantastic. We will we will call that a success. Then I know we had that question and just wanted to make sure we had that answer for them. And then my last question will be about the vision zero program. It has an 800 $0 increase for the next fiscal year to support functions. Can is there any more detail about what exactly is going to be increased with vision zero? I see director Mendoza is. >> I'll call down director Mendoza. >> You're up next on the price is right. [1:02:48 PM] >> Thank you. Council member. Yes, the vision zero program. Right now, they're in the midst of Richard Mendoza, director, transportation public works. In the midst of concluding and completing the the bond referendums from 2018 and 2020. This year, our department went through an exercise of efficiencies and savings. We brought a lot of consultant contract work in-house. So we're going to be doing more design work for those vision zero improvements as we move forward to complete the 2020 bond. >> Great, I appreciate that. I know there's been some reorganizations within, you know, whose portfolio is there. And I know you've done a lot of work to make sure your assistant directors, you know, are knowledgeable and also being able to have their hands on a couple of different programs. Can you talk a little bit about the vision zero program and any traffic enforcement? I know a couple of years back, we were hoping to partner with other public safety folks to help with traffic enforcement, which is something that APD isn't able [1:03:48 PM] to do in the capacity that I know that they would like to do with their staffing levels. Is there any collaboration for traffic enforcement right now? >> Not with other agencies outside the city of Austin. Since about 2 or 3 years ago, we did approach Travis county and made possible use of their constables W they were open to the idea at that time. Once it reached, I can't recall what the. The the fatal flaw was in that idea. I'd have to go back and check my notes, but we. I have had conversations after that with chief Davis. And, you know, she supports traffic enforcement. She's a believer that does save lives. And to the degree that we can leverage those, we do. >> So if there was a way to reinvigorate that partnership with the county, there would be money in the vision zero program to help. >> I believe all our money right now is off. Is is [1:04:52 PM] reserved for capital improvements. So we'll do intersection improvements. And we'll we've got some marketing and we also do some the zero refusal program. So we could explore that. >> Okay. Okay. That's great. Let's keep the conversation going. Thank you. Those are all the questions I have for now, mayor. >> Thank you. Councilmember, councilmember duchen, councilmember alter the mayor pro tem. >> Thank you. Mayor, I'm going to continue the tradition of making a couple of comments and then diving into some questions, first with the presentation from today, and then maybe if we've got time, a few more regarding the budget document itself. So I'm in perhaps a little bit of a different space than some of my colleagues, obviously. First, I want to say a heartfelt thank you to all E incredible work. Like others have, that's an enormous job to try and balance all the different needs that the council and community have and for. I really just appreciate all the work and [1:05:52 PM] support you guys have given us, and we'll continue to give us over the next six weeks. That said, it's not really what I expecting. I thought after starting a conversation a couple of months ago, around zero based budgeting, we'd have a budget with a bit more that was a bit more reflective of some fiscal discipline. After the tax rate election last year. And instead, it looks to me like we started off with the max and didn't leave us tremendous room to maneuver. And when I dig into it and I think about the presentation from this morning, there are parts that make me feel like this is kind of a take now and hope later budget where we've got 3% Colas, but nothing in 2028. We've got some reductions in social services, but maybe more on the way. We're hoping our one Atmos and app rationalization and other efficiencies with social services and consulting, as others have mentioned, are going to reverse the economic [1:06:52 PM] fortunes. But it feels like at this moment, that's all still kind of like theoretical savings. Rather than having the confidence to really call our position in the future that positive. And. We're doing this in the same context with with Mr. Nelson's presentation, you know, time of slow economic growth, of more uncertainty, of slow job growth, of dipping into our 17% reserve fund for fiscal year 28 for next year. So when we say we've got a balanced budget in fiscal year 28 projected and beyond, I feel like there are some important caveats we should be considering as part of that. And so if there was a bottom line here, it's just that I'm concerned really where we started and where we'll be next year with our 2728 budget as the next phase of this as we're doing two year budgeting. As the manager pointed out, I was hoping that we could demonstrate some compromise [1:07:52 PM] with taxpayers in Austin who have, from my perspective, delivered a very strong message to us last year. They're struggling right now, not with the fees and taxes and debt and utility from the city and county and so on, but also with things that we don't as talk about right home and auto insurance and gas and food and the many other ways that they're getting squeezed and in many cases, squeezed straight out of the city. And as I've spoken about before, we're we're sometimes it feels like we're cultivating two Austins here, one that can just shrug off the tax increase. It's a rounding error for them and one that's going to be disproportionately impacted by them. And, and this is where it feels like the response is really puzzling because we talk about the 3.5% state imposed spending limit. But when I look back for the last four years at the 3.5% that we approved, it sure looks like the state gave us a ceiling and we treat it as a floor, and that 3.5% is important. We talk about having [1:08:53 PM] to keep up with inflation, and I agree with that. And how the state cap consumes the inflation right out of the gate. But I'm also not sure that's entirely true when I look at core inflation. So that's inflation. Less energy, less fuel, less gas and less food. That's been at about 2.5% for the last 2 or 3 years. Yet when I look at the budget, I'm looking at many city departments that have an increase of 3 to 5%. So it feels like my job in the coming days and weeks is going to be to better understand where our year on year cost increases are actually being consumed by inflation and, and those drivers and where we are actually adding new programs and personnel and services and why. So I want to continue to work with the manager and staff and collect information about our department priorities to ensure that when we do need to spend beyond whatever our year on year increases are, that [1:09:54 PM] it's the must haves, not the nice to haves. It's in line with our kpis and our goals and our strategic vision. So with that said, dipping into our presentation from earlier, if we can look at slide 26, which is the property tax supported debt. And I heard that Mr. Nelson said that that the taxpayer debt service obligation will increase by 17%. So my question is, where do we project that this type of increase is going to taper off before it begins to crowd out our other priorities, or has it already? >> I would say from a revenue perspective, the operating and debt service components are separated, so there will be no adverse impact to general fund property tax revenue as this continto go to grow. Of [1:10:55 PM] course, this will be added to that operating increase, and so it will continue to increase the total property tax bill every year. >> Is there a point that, I mean, do we feel like we're over the hump that with a major projects that we've got that we've undertaken at this point, because I'm seeing pretty rapid increase last year, 44, then this year it's 54. Next year we project $77 increase there for the average tax bill. Are we kind of once we complete this round of major projects or aviation, water, energy, etc. Are we kind of over the hump? Maybe that's a better question to ask. >> Sure. Ed Benigno chief financial officer and none of the dollars you're seeing on slide 26 are driven by those projects. These are general obligation bond projects funded through the property taxes. So Austin energy water aviation that you mentioned, they have their own funding sources, their own credit ratings. So they're separate from this. [1:11:55 PM] This is strictly property tax supported debt. The answer to your question is that the top of the hump doesn't isn't projected to come until about 2030. And so that the debt sales lag the expenditures of the funds. And so as you've heard before, we have, you know, several hundred million dollars of projects that have already been authorized by voters that are still remaining to be delivered, and then the sale of the debt to pay for that on our reimbursement basis process typically lags by a year or two. So when you're looking at the the amount of our debt that we're servicing, that is going to continue to increase over the next several years as we continue to implement projects that the voters have already approved. And it's about 2030 when we would reach the top. Now, of course, there's also discussions about doing a bond election, and then that would push that out. You know, we would be issuing additional [1:12:55 PM] bonds if the voters were to approve additional funding in 2026 or at some future date. But right now, based upon the debt we have in place, the debt we're servicing, the the pace at which we're paying off our existing debt, the pace at which new debt will be issued to, to, to finish out those prior bond elections, about 2030 is when we hit the tip of the hump. >> Okay. Thank you. So just to make sure I understood that we can expect based on that lag you just described those, those year to year increases to continue to increase at least until 2030. >> Yeah. And you know, this, this is not a surprise for the people that were around when those bond elections were being approved and put before the voters. That was a known outcome of those bond elections, as you know. So I just wanted to put that out there that what we're seeing is what was anticipated in light of the bonds that were being passed when the previous councils were looking at those and the voters were approving them. >> And then just to you brought [1:13:56 PM] up. But if voters did go ahead and approve a 700 million or 350 million or whatever that figure is, bond program that's going to accelerate that process. >> I think our projections are, if we were to wait until 2028, that the the pace at which bonds are being paid off and the pace at which these new bonds would be implemented, they kind of equal out. So the hump doesn't go any higher, but the hump extends out for a little bit longer. The projections are that an additional bond in 2026 would be more money that we're issuing over the next two years. The, the, the hump is a little bit higher and it gets pushed out a little, you know, to maybe 20, 31 or 2032 before it starts coming down. >> Okay. Thank you for clarifying that. I just want to turn to page 46, which is also on the same topic, which is the five year sip, sip, spend plan. If you can just take maybe 30s or a minute and expand on what the other category is in that [1:14:58 PM] chart. Or what sort of projects are represented there. Given that that category continues to to grow and looks like it' going to double year. >> On year? Yes. The main part of that other category is the convention center expansion. And so that's why you see the larger spend in 27 and 28. And then it starts going down again. But that's the main portion of the other. >> Okay. Knowing that that project ends, I mean, yeah, I'll just leave it there. I'll follow up individually. If there's other projects that are part of that category. >> Council member, we'll come back to you. >> Yeah. Thank you, mayor. >> Councilmember alter, followed by the mayor pro tem. >> Thank you very much. I want to put into context a little bit some of the things that have been discussed here and really looking at where we start this budget. You know, I [1:16:01 PM] went,s mentioned here, talking about inflation the past 12 months. Our inflation is by happenstance or not 3.5%. So keeping up with the costs of what we've been doing just over the past 12 months, not growing as a city, not doing anything new, cost 3.5% more. And to say, well, you know, look at core inflation, which is a smaller number, well, that strips out energy prices. I'm pretty sure we buy gas for our fleet more than I wish, but I know we do it. I know that our workers, which are a huge portion of our budget, we are. A people first service delivery city. Those workers are set to get 3% here, but they have to go to the [1:17:01 PM] grocery store and they have to put gas in their cars, and they have to buy all the things for their family. And so keeping up with that cost, we are barely able to do so. This is not a rampant spending budget. And if something is. Too much and there are things that that I'm going to try to to pinpoint as areas where we can save, I would encourage anybody to, to put those things on the table. And we can have a discussion about that. But to paint with a broad brush, I feel is a little unfair to this budget, because there's a lot of. A lot of things that aren't in this budget that are having a real impact on the community as well. So. With that in mind, I want [1:18:02 PM] to understand that the chart that we have that talks about the impact to an individual, the average austinite. Do we have an equivalent chart of how a cap customer would be impacted? So what their difference in utility rates would be year over year and other discounts to see how those who are really struggling the most in our community, what types of increase they'll see. >> Not on hand to display, but we put those rates in the budget in brief section of our document, so we could easily pull them out and make a chart based on those rates. >> Okay, well, if we could just you share that one way or another, whether it's at one of our future presentations or. Through whatever process you want to share it, I think it'd be helpful to know that I also [1:19:04 PM] want to better understand about our delinquencies and how they've been going up in terms of property tax collections. You know, we used to be collecting 99.5, 99.6. And this year we're only anticing on collecting 9 or 80, 98.5. And, you know, just to put it in context, half a percent better. So if we went from 98.5 to 99%, that's $6.4 million. That's the entirety of, you know, whether it's the fire over time or the social service contract cuts, you pick your thing. If half a percent more people would just pay the property taxes. So I'm curious, do we have any ability, any, any, anything to be more aggressive in property tax collections? Or is that [1:20:04 PM] completely out of our hands with the property tax assessor collector's office? >> It's completely out of our hands with the assessor collector's office. >> Okay. And do we know have we ever have we asked them what why this is happening? >> I'll leave it to Eric if we I don't believe we've asked that question. I just wanted to say, you know, folks not paying their property taxes in a year doesn't free them up from that obligation and that they will continue to get bills and they'll be delinquencies and penalty fees for when they eventually pay. And if they never pay, when they sell their home, that will be taken out of the equity of the home sale. So just because somebody doesn't pay their taxes doesn't mean that they're not eventually paid. And we get every year, you know, our regular tax collections, and then we get another category of delinquent taxes and that have been paid from prior delinquencies. >> Okay, completely shifting gears here, the one that's [1:21:07 PM] moment, you had the slide about how many personnel are going from general fund departments, from enterprise departments. We divvy up a department's contribution to the support services fund based on their share of their share of the budget, or what determines that particular department's payment to support services. >> There's a cost allocation model that's associated with each of the internal services funds to determine the department's proportional cost. And so with the support services fund in particular, there are several things that we look at depending on the service that's being provided. So if you're looking at procurement, it's the number of procurement items and documents that thaturur central procurement provides for that department. When you look at [1:22:08 PM] budget and organizational excellence is fte and budget. So there are different variables and factors. And then simirlrly in the technology fund is some of it is on pcs. Some of it is on ftes or positions and budget as well. So there are a number of things that we look at. Number of variables in determining the department's proportion of that budget. >> Okay. And what I'm really trying to understand is if you had let's just take Austin energy. They had a certain number of individuals that were it focused in-house, and obviously they covered that whole cost. Now those individuals are being shifted to this support services department. Will there cost be a one for one what they were spending or will somehow, through the calculation of that budget or that that allocation, [1:23:09 PM] they see a net increase or a net decrease in what they have to pay for that service. >> So for those. >> Units that are that are primarily focused on one department, and we picked up a full unit and moved it into ATS, those units are being charged back to the department that they originally came from over this next year. This is phase one of the process. And so over the next year, for fiscal year 27, it will be charged directly back to that to that department as the as the restructure is finalized and we and we finalize the verticals that ATS has, then there may be some shifting, some dialing in of that, of that allocation, that it may be moved across several departments S we finalize the structure. >> Okay, okay. On the page 33 of the budget document, we have [1:24:12 PM] transfers and other requirements from the general fund. And I was curious, you give kind of the high level of what those are, 12 million for economic development activities, 9.2 to dsd. But can you help just illuminate what the other. About $20 million ish is in that category? What are these other requirements? >> The placeholder for the market study is budgethere in the aggregate. So that's that's a big unnamed chunk. Got it. And then we have I think most of these are itemized. We have put the Travis county [1:25:13 PM] intake facility. The entire amount of the agreement there. That's over $16 million. And then we have large transfers to support economic development, development services for non fee recovered expenses. The transfer to the economic incentives reserve in support of our economic development agreements. Okay. >> Okay. On your presentation, you talk about specifically as it relates to the sobering center, but we have it in a couple other places as well. Some those one time transfers to various departments or programs. Am I understanding correctly that essentially those come out of the budget stabilization budget stabilization reserve fund? And then once we do those one time transfers out, we ask ourselves, how much is what's the delta between that balance and getting to 17%? And that's then [1:26:14 PM] when we do a transfer back in of that 6.3. >> We budget the 6.3 million, but we don't count that as part of our ongoing expenditures to serve as the denominator for the reserve calculation. >> But is there 6.3 going into the reserves? And while a 4.3 going right back out. >> Essentially, yes. But because those are one time expenses, we also don't want that to count towards our ongoing expenses in the general fund proper. And so we we try to isolate those and budget them out of the reserve fund. Okay. >> I have a few more later. >> Very good. Mayor pro tem. >> Thank you. Mayor, I want to start off with kind of a a base, a big picture question is, you know, during the the TRE debate and discussion, one of the the highlights that that I would mention was that in the past, before the 3.5% property tax [1:27:15 PM] caps, we would take an average of about 6% or so of the new property tax values. What would we have gotten this year if, you know, instead of taking the 3.5%, if we were able to take percent, what would you know? How much more money would we have had available? >> Do you have if you have one more question, I'll have an answer to that. Bye bye. >> I will, I will put that on pause for just a second and then move on to my next few questions. And whenever you got that number, you can. The next thing I wanted to talk about was the the police budget. And I wanted to see the additional funds that are going to the police. Could we break that down into which tranches of, of, of funds are going to what, for example, in the in the display [1:28:16 PM] on or in the presentation on page 1511, about $12 million $10.7 million for the the contractual raises to our sworn officers and the remainder of that money, which I think the. It was in the 20 some odd million dollars. What is the rest of of that dollar figure? What does that look like? >> Sure. So about. >> $10 million is based on the city wide allocations. And that's those things like administrative support, technology facilities, fuel and fleet. So those those are $10 million of those costs. Once we. Take out the wage increases, there is the police retirement system. Those the the legacy liability payments are the statutory requirements of 1.3 [1:29:19 PM] million. Again, a stipend that is part of their meet and confer 250 000. >> Then I think the civilian wage. Also, we've got a lot of civilian. >> Civilian wages included in the in the overall cost to the to the police department as well. >> And how much is a civilian portion of the wage increase? Do we know? >> One second? 1.2 million. >> Okay. So that and that that $10 million. Like you're saying, the facilities management, fuel maintenance, that kind of stuff like that. Those are. And I'm going to step back a second just to for the public's purpose. And also just to clarify it in my own mind, each department has a budget for the [1:30:20 PM] kind of administrative and support services that departments like human resources provide. A a T S provides a vehicle maintenance provides and all that. So when you're talking about that $10 million increase in the police budget, basically, that is kind of inflationary increase in what they're paying, you know, hr, you know, fleet management, all that. And let me that's a question is that that's that's what we're talking about when we're talking about that $10 million increase. >> That's correct. That's what we're talking about. >> Okay. Now in terms of new spending, you know, things that the police department did not have before that they now have. If I if I remember correctly, I think there was one additional position for recruitment. >> Yes, one civilian position for recruitment. And that is at I think it >> Was $79,000 for for that position. >> Thank you. I just wanted to [1:31:21 PM] to to understand that increase in the in the police department budget. And let me move on to my next little yellow sticky here. >> Council member, if I could, at a 6% voter approval threshold, we would get an extra $17.8 million compared to this proposed budget. >> All right. And I really appreciate that because I just want to highlight that, you know, I know that. And again, I don't want to cut really any funding, but we are in a different reality where used to get a lot more property tax revenue. Now we're getting a lot less property tax revenue. Again, I just can't stress this enough. That was masked by the the pandemic and the additional funds that we got. And then by the tremendous growth in sales tax after the [1:32:25 PM] pandemic. But now we're settling into this new reality where, you know, every year we're going to miss out on, you know, 15 to $20 million of property tax at prior councils in decades before they had that money to be able to budget. We don't that's not something that we can fix in this chamber. That's something that the folks just down the street in the the pink dome have control over. I hope that we are able to, to have a different calculation, one that at the very least, allows us to keep up with inflation and population growth. But, but that's just that's where we are. And until THA changes, it's hard to see where additional revenues are going to are going to come from. And, and, you know, and again, I think our our colleagues over at Austin ISD, I think they're doing a great job managing a very, very difficult situation. [1:33:25 PM] My hat's off to the superintendent and school board, doing the best they possibly can with a very, very difficult budget. I don't want to put the city in that situation ten years from now. You know, I'd rather make kind of small but difficult decisions on a year by year basis, then get to a situation where we have a massive budget deficit and a very painful process. So I just wanted to highlight that that loss of of property tax revenue. And Eric, what happened in April and may with sales taxes of this year, did everybody just decide to go out to, you know, Costco and H-E-B that month or those two months or what happened there, 14% and 12%, almost 15 and 13, really? >> That was when I went off my diet and started drinking again. >> Yeah. So unfortunately, we don't have great granularity in the data we get from the state. But the simplest solution that's illustrated on the on [1:34:26 PM] that slide is that those months were particularly low in the prior year. And so even just returning to a sort of average, you're going to get a higher than usual growth in those years. The next month, I, I'm not aware of any particular dynamics with our spring festival season that would alone explain that kind of variance. Yeah. You know, this is not perfect data. Not everyone pays their bill on time. You have things that get moved into different months. You have audit adjustments. You have business opening and closing. So I don't have a perfect explanation. Bhe the simple arc of it is just comparison with a particularly weak month in the prior year. >> Yeah. >> But just moving forward, though, again, we're looking at in that I think you all are projecting what about 2.5% was that the average sales tax growth like moving into the next decade or so. >> 2.5 for next year and 3% [1:35:26 PM] thereafter? >> Got it. And again, that's lower than what we've expected, which is normal. As a city grows in size. It's it's growth slows. So as any organization grows in size, its growth slows. So that's a totally normal. And again, we need to plan that out on the Austin convention center. There's that $11.2 million decrease in projected hotel occupancy tax collections to reflect the planned expiration of the two cent venue hot tax. Could what exactly is the venue hot tax? Where does that come from? >> The venue hot tax is a 2% that voters approved around 2000, I think maybe 1998, the two pennies that was used to fund the original convention center site, and that's projected to be paid off, I believe, in 2029. And so when that's paid off, the taxes will no longer come in. >> Got it. And that is not the vehicle rental tax that we're [1:36:27 PM] using to support. I believe the, the, the palmer and the, and the long center. I just to clarify my different kind of tax sources. >> Hi. >> Good afternoon. Katy zamesnik interim director of the Austin convention center. You are correct. The vehicle rental tax funds. Palmer events center. >> Got it. And then what's going to happen to that two cent venue tax after it expires. And did you say 2829. >> So we're actually going to be able to pay it off early. So we are slated to pay it off November of 2027. And at that time though, I will look to the lawyers to correct me. The county has the right of first refusal on that $0.02. >> Okay. So pending, I guess we'll we'll see what happens. >> That's ten minutes. Okay. Wecome back to you. Got it. Thank you. Okay. Thank you ma'am. >> Thank you. >> I'm going to take a minute and then we'll go back to council member Siegel, followed by council member duchen, council member alter, and then the mayor pro tem. Unless [1:37:27 PM] somebody jumps in and wants some additional time. And a lot of my stuff's been asked. So I'm going to I'm going to just go to one one real quick thing. First of all, let me say from from my perspective of watching this over the last couple of years, one of the things that we have learned that we do better in terms of building this budget as a council and make getting our input into the budget, is when we indicate what we think we would like to see, and then have the professional staff show us how they would recommend that being done, as opposed to us saying, I know what I would like to see, and then us trying to figure out the details of that. I think certainly we proved that last cycle when we when we did the budget. So what I would encourage everybody is to keep that in mind as we do it. And along those lines, I'm now going sk a question that that maybe does that. I ask that we have. When we did the [1:38:28 PM] forecast, we talked about all this and we did the forecast. I asked that we D a no new revenue forecast at the same time as we did a forecast that that the manager's office and E director did that had the voter approval rate. In addition, and I did that for a number of reasons, but the two predominant reasons were one, I didn't want us to jump to a conclusion that we were going to have a certain amoun increase, no matter what. I wanted us to, to build that. The second is, I wanted there to be what I thought would be greater transparency about what we would need to do in a budget based upon those various revenue estimates. As I listen to folks really here on the dais, I think it would be helpful to us to have you, as [1:39:28 PM] the professional staff, tell us what the budget would look like if. And I'm just going to throw out a number, but because we can all make decisions about how we want to approach that. But what would happen is if we didn't go to the full voter approval rate, but instead we went 2%, what would the recommendation, the the recommendation of our financial staff be about how that budget would look? I think two things about that. One is it avoids back to my two points. One thing it does is it avoids the assumption that we're going to just go ahead a have a 3.5%, an increase that will bring in 3.5% more revenue. It obviously would have a lower tax rate increase. But the other thing it would do is it would help us identify, I think, and it would help the public identify what happens if we do go to the full [1:40:29 PM] 3.5% and we use two maybe as a as we could do other numbers, but I'm just picking two. So I would ask that we do that. And by the way, that would include what the mayorro tem was talking about just a mute ago, which would be what the what the forecast then would look like. You've provided us a forecast that shows us not running deficits in this fiscal year, the one we're working on right now and the next fiscal year. What would a 2% again, not going all the way to the voter approval rate. Does that makes. Am I making sense? Yes. Great. Thank you. And with that, we'll go to council member Siegel. Then council member duchen. Council member alter. >> Thank you. Mayor. Let's see here. Director Lang. Good, good to be talking to you again on police one go to the $425,000 in one time funding for recruitment, which seems to be separate from a new position. If you could describe what that [1:41:29 PM] would entail. >> I'm going to ask the chief to come down and talk through that, because my memory isn't faring well right now. >> Good afternoon, mayor, council, city manager, nice to be here. So that money would be, you know, certainly when you're asked to list what your priorities are as a department, recruitment is absolutely a priority for me and for this council and the city and the community. So for me, when I'm looking at recruiting, it's about that service deliverables. How are we getting people back into being interested in becoming an Austin police officer? And we are making great strides in that. And, you know, we've looked at the proof of, you know, we're going to have conversations probably next week on on what it looked like prior to the contract to now if you if I'm looking at the contract, it was about 750 people. Applicants were interested in a academy class. [1:42:30 PM] Now we have about 1500 officers that are signing up to take these tests. So we are making great strides toward getting our numbers up. And I'm looking at, you know, with our sitting here talking about vision zero and how important that is, I want to be able to fill those positions where we have traffic back out, where we have motors, where we have all of these things servicing our community. So this money is about how do we take that priority and make it real and get those classes going. We are on track, you know, just the work we've been doing to we are most likely going to have a class of 100 officers for the first time in a very long time. So we are again, you know, here I've been here almost two years. Just the the improvements that we've made are, are very grand. And I want to continue that. And this money will help facilitate that through billboards, through digital assets, through all the things we need to do. We brought in some trainers from, for the first , training our recruiters on how to actually recruit, how do we successfully recruit somebody. [1:43:31 PM] And so getting that training for them and making sure they're up to date on what we're looking for. We want good quality applicants, notusust seats to come and take a test. We want good quality applicants, and we want austinites. We want people that are from this city, that know this city to come here. So that's, you know, those funds would go toward that. And I don't know if, Michelle, if you had anything more specific. >> Just clarify. Chief, thank you very much for the overview. Like you're thinking like communications materials, advertisements, as well as, I guess, consultants to train existing academy personnel. >> Absolutely. And bringing people, you know, again, through Austin, but also those modified classes where we're looking at people that already have a T code license, and we're able to cut those classes down because that licen is there, but we're bringing them into this is the way we do things in Austin. This is what's important to Austin. These are the things that we do here in Austin to make our Austin police department great. And so to be able to bring those people in, we're looking at seriously in the next couple of years, getting that, you know, those openings that we have, those vacancies have [1:44:31 PM] really closing that loop. >> Thank you chief, and I don't know if this would be for you or director Lang, but I wanted to go to the police equipment line item. I guess if if, if one of y'all could explain how much more we're increasing our budget for police equipment this year as compared to last year. >> Are you on page 404? >> Well, I'm working from the notes my staff put together. >> So I know there is some one time funding for police equipment that is based on the revenue that has been received through the currently received through the asset forfeiture funds. And so there there are some one time funding and [1:45:33 PM] equipment that will be purchased through that. And let me let me try to see if I got the exact information. It's coming. Barricades. And I think the meridian barricades, as well as some of the drone equipment that was requested. >> That's from asset forfeiture. Yes. >> And haloernization. Right. >> Great. Thank you and thanks, chief. That's all I have for. Okay. Thank you. Director. If we could go to consultant contracts, the general and professional consulting, in your opinion, what would it look like if we were to ask staff to find an across the board, 20% cut to general and professional consulting contracts? What would that look like? >> So as we've been analyzing the consultant contracts, I believe that what we found so [1:46:34 PM] far in the plan is to come back with some detailed information. But in those numbers that have been shared by the auditor's office, it shares the numbers across the city. And so when we're looking at the general fund, we have a particular line item called consulting others that is primarily used for what would be used for management consulting or not specific consulti and that budget for the general fund is $2 million. And the. Usage that has been there is about 1.5. And we're digging into exactly what those consulting contracts are. And we'll be able to give you that detail. So if we're looking specifically for management consultant, I don't think there's a lot of dollars available in the general fund. When you look at what we have funded through other funding sources, particularly grants, or that may be in the [1:47:34 PM] enterprise departments or in other areas, then there may be some dollars there. But if you're looking for 1 to 1 savings in the general fund, I think that's where there's going to be less availability of funds to reduce. But we're working on some responses to that to give you all that detail so you can better derstand the funding source and what a reduction would look like. >> Thank you. Director. Y because, you know, the mays encouraging us to kind of do the questions in public here instead of through cbcs, but I guess what I'm looking for is as granular a look at as possible, you know, looking at that auditor report, you know, have these H headline numbers, was it 270 million across three years or whatever? There's a big difference between, you know, 100 mlion in the last fiscal year according to that report, and 1.5. And so do you. Do you have a timeline which hearing we can expect that presentation because obviously that would influence what types of amendments we might propose. >> Yes. I am anticipating that conversation. Either the 28th or the 30th. >> Thank you. Ma'am. >> Can I I'll pause this [1:48:35 PM] because I want to I want to ask a question about because we had a and I've been talking to the manager. But you remember, we also passed a follow up ordinance to the audit and it asked for this all to be teased out. And that's what you're making reference to, is that right? >> Correct. Teasing out the consulting contracts that we have that we've been spending on across the city, and really looking at the general fund budget and spend has kind of been the focus that we've been trying to address in that review. >> So would, would we be in a position to to the council members? Questions be in a position by the 28th or whatever to know better how that all fits into these things? >> That is. Yes, that's. >> The goal. >> That's the goal. >> I apologize for interrupting, but. >> No thanks, mayor. I always appreciate the help. All right. Let me try to hit a few quick topics here. So market studies director, if you could talk a little bit about the market studies in the budget, I'm [1:49:36 PM] seeing $4.3 million on page 12 of the presentation for a citywide market study. But then in the budget, there's 6 million on page 172 for an Austin energy market study. I also see market study adjustments and Irr and Austin waters budget. Could you summarize what's going on with these market studies? >> I'll do my best. So the human resources department did a comprehensive citywide market study for positions that had not been reviewed in the last 3 or 4 years. And so what you see is the 4.3 in the general fund is the total amount of the results of that market study that will be implemented next year. Each department and each fund has their portion of that citywide market study. In addition, hr does specific industry market studies if the department requests it. And so I believe this fiscal year, maybe last year, they started a [1:50:37 PM] market study specific to Austin energy titles, and they received those results this year. And so they'll be they've started the implementation for that in this year. And that is going to be an incremental $6 million increase for Austin energy specific market positions. >> Okay, good. So these are, you know, enhancements to to wages, essentially, these aren't like paying for a study. Is that. >> No, the it's the implementation of the study. >> Got it. Thank you. All right. So hopefully these are quicker ones. This is more volume two of the budget. I've started to look at. It's it's pretty long. But the liability reserve fund goes up by $35 million. I just wanted to check my my understanding is that really dollars for the yogurt shop settlement. Yes. Okay. Thank you. And then the last little bit here, page 263 of volume two, affordable housing. You know, part of the housing capital improvement plan over over five years. If you could [1:51:39 PM] just explain this chart to me, I'm looking at this chart and it seems to show, you know, a variety of revenue sources for affordable housing that really drop off precipitously within a couple of years. And so if you could just kind of, I don't know, give me a mini lesson on what I'm looking at with this chart. >> Sure. You're looking at the, the cip Spann plan for housing, and these are the projects that they plan on bringing on board through the forecast period through fiscal year 31. This Spann plan is just their estimate of what they would again be spending over to, to bring these properties online and. On this particular page, this is current revenue. And so these are revenue dollars, cash, maybe long term transfers from the general fund. And then you look at the next page. And that [1:52:39 PM] is related to our public improvement bonds. And so if you know the 2022 bond was a housing bond, and you'll see more spending for those related projects through the pip. So we break out the funding source in our cip plan. So you can see the varying, the very, the varying funding sources and the projects that are funded through those sources. >> Okay. Thank you very much. That's helpful. Thank you. Mayor. >> Thank you. Councilmember Siegel. Councilmember duchen alter and then the mayor pro tem. >> Thank you, mayor, I want to pick up on a couple of things very quickly that some others have brought up, but I just want to confirm different things about them. One is, per councilmember alter's questions about tax delinquency. We just noticed that year to year, it seems like delinquencies have increased marginally, but still, I mean, those margins might equate to hundreds of thousands, if not millions of dollars. Is there a is this is sort of a statistical anomaly or is this [1:53:42 PM] relevant? Or is there even a sense that like homeowners are increasingly cost burdened? And that's why you're seeing that slight increase? >> Yeah. So I think we have seen an increase, a slight decrease in payments over, say, ten years. We used to be 99.5 or above. And then it seemed like we were down to 99.1.2. This year I'm projecting 98.6. It's not the projection I've made that I have the most confidence in, because there's two factors. How much revenue are we going to end up with and what's the levy, which is derived from what the final amount of value on the roll is? And if you recall from the forecast presentation, that value has been sort of running away from us as appeals are being processed. So I'm not exactly sure where we're going to end the year. But my best guess right now is that we'll [1:54:43 PM] be at 98.6, which would be a meaningful erosion in in payment of property tax bills. So this is why we've historically assumed 98.5% in our budgets, as it does give us some headroom. But if we truly end the year and crunch the numbers and it's 98.6, I would be concerned. And next year we may need to lower that rate in order to give ourselves additional headroom again. >> Okay. Thank you. We're just seeiike, you know, going one year back, it increased from 0.6 to 0.72 years from 0.3 to 0.4 and so on. And I'm just was wondering if there's a narrative that you all are working with that might explain that. But on that same page, when we look at the property tax summary chart, I think this is page 54. I'm seeing decreasing. And I think we've discussed decreasing taxable valuations running from fiscal year 24 to 27. And the loss looks to be around 12 billion [1:55:45 PM] or so over that window. So our tax levy during the same period is increasing around 240 million. So I'm just I'm curious if you can help me understand, is there a model that's helping us explain or giving us some insight as to this trend? Is this trend going to reverse at some point? At what point do we think we'll see revenue increasing because taxable property in the city increases, rather than us taking a larger and larger share of kind of a shrinking pie? >> Well, so we're always dialing into that number through that new construction number, if you will. The fact that there's that new construction means that the existing stuff is actually shrinking a bunch a bit more than it even seems on the surface, because there's $222 billion, includes 3.2 billion of new construction. But relative to that existing pie, [1:56:47 PM] what the state formula tries to do is adjust the rate. So you're getting well up to 3.5% more revenue. So for a particular homeowner, if they grow at the average, they're always going to be paying 3.5% more or based on our experience anyway. So. They're not we're not burdening them any more or less as those values shrink, because that operating rate is adjusting. But the key for the general fund revenue is that new construction piece. >> And do you see that, again, with some of the other things you're predicting in terms of job growth, etc. Do you see that continuing for the next couple of years? >> So we're expecting another smaller decline to about $3 billion. I don't think we're going to see a meaningful uptick until interest rates are [1:57:47 PM] lower. And we start to see, I think, when development services revenue starts to really recover, then a year or two after that, we're going to have a great new construction number again. >> Okay. So there are canary in the coal mine. Got it. On page 65. There's a page there about the national economy. And in the section it says the effect that like continue expectations are that inflation is going to exceed the fed's 2% target, mean that interest rates are more likely to increase later this year. So if we're expecting the fed to increase interest rates, my assumption here is that the increased cost to borrow money is going to further depress home values. And if that bears out. Will we need to further increase our tax rate to meet the 3.5% increase? That seems to be our baseline right now. [1:58:49 PM] >> So we've already seen I think the market come down maybe 20%. If you look at the sales data, obviously they could go down farther. I think our general read on is that we've reached a point of relative stability, and I don't think anyone's clear on what the trajectory of those rates are go to be. It does seem like sentiment has shifted that the next move may be an increase, but I don't know how long or what the magnitude of that series of increases may be. But certainly, if we're half a point higher a year from now than we may need to reevaluate otherwise, I think our general read on the situation is flat to slightly below where we are now next year, and hoping for some kind of moderate return to normalcy in the later out years. >> Okay. Thank you. On page 76, the table expenditures by fund [1:59:50 PM] category. And it's got the city wide operating budget, and it shows that our debt service is anticipate to increase 18.1% on that chart. So my question is when do we project that type of increase is going to taper off before it begins to potentially crowd out other priorities that are on that table? Or maybe it has already. 76. >> I think. And what you're looking at on page 76 is our all funds fund summary. With that 18% increase projected for debt or debt retirement funds, that number is likely going to continue to increase because that's not just the G.O. Bonds we were talking about earlier. This is our airport, which is going to spend billions of dollars over the next five plus years as we continue to build out the the airport. It includes the convention center. [2:00:50 PM] So with those huge projects in the pipeline, I would anticipate that is going to increase over the next several years. But we could look at our projections. If you're interested in kind of that same hump discussion about when does that growth in overall debt, when is it projected to peak and start coming down? We can certainly provide that in a upcoming work session. >> Okay. Thank you. Mr. Benigno. Last question on 74, page 74 talks about this is the employment growth forecast. And there's a reading, I think, in figure 15 C figure 15, where the employment growth kind of does this. You curve from 2022 to 26, growth drops like 9% to 1.3%. And then we're seeing it start to rebound in 2027 projected. So my question is, [2:01:52 PM] in the near term, like fiscal year 30 maybe is a is a reasonable projection that we're going to hover in that one and a half to 2%, or should we anticipate like returning to 3%? Do you guys have a sense of how optimistic wght to be in sort of the mid-term? >> Sorry, I'm just trying to find Mr. Hawkins exact language. I think his longer term forecast is that we'd be back up in the 2.5% range in those unshown out years. Again, based on this hope, frankly, for a return to normalcy and the thought that, you know, even if Austin doesn't have a readily identifiable significant drivers of economic growth, it's well positioned in the global economy. And as that stabilizes, we're going to benefit as well, but not to [2:02:53 PM] extreme degrees. >> Is there any narrative you guys have that's not included in our in on the budget document that you just mentioned? >> We don't have any other material that we're working off that we haven't presented publicly or that isn't included in the document. >> Okay. >> I guess beyond what we generally monitor in the course of business, but I can't think of anything to quote offhand. >> Okay, I appreciate that. I think that's all I've got. I've got we'll save the department questions for different days. Right. >> Great. Thank you. Thank you very much. Councilmember councilmember alter, mayor pro tem and councilmember Lang. >> Thank you very much. I want to pick up on the social service contract discussion when and you said, what is the date that we will be discussing social service contracts? >> Next Wednesday the 22nd. >> Okay. And at that, will we have a list of the actual [2:03:56 PM] planned cuts or because I know right now it's more broad. >> We will have a full list of the focus area cuts which which will can go into the detail of contracts. >> Okay. Well, manager, you know, I've mentioned this to you and I, I think I've heard some similar sentiments here today. I am very concerned and I'll just say disagree with applying a percentage cut to an entire category. Even if we have created categories within E social service contracts. I think if you take pick your category, let's say mental health, there might be contracts within there that we as a body feel maybe should have zero cuts or 1 or 2%, and others that may not be performing as well or performing just as valuable of a service, receive a different [2:04:58 PM] level of cut. And to just say, well, this happens to be in this category. And so it gets this number, I just don't think is the right approach. It does require picking some winners and losers, and I get that. But we have to look really hard at who is delivering their services as expected and who is not. And if you're not meeting your contract obligations, then I think you should expect to see a more significant cut than somebody who is. So what I would ask is, before any list is provided to the public or before providers are contacted and told, expect to see your contract cut at whatever percent. If you could share that with us and get our feedback. If there are specific contracts that we have great concern about, because it's really hard once it's public to go to someone who's been told that it was going to be a 10% [2:05:59 PM] cut, but because you're not doing a cut to someone else, now it's 15 and I don't want to pull the rug out from people like that. >> Thank you for that. And our our full intent was to have the conversation about the rubric and the scenarios. And what a more strategic reduction would look like compared to the across the boards. And after we received that, some input and feedback from you all, then going and having the conversation with the providers. So we definitely intend on having a conversation with you all before providing the final reductions. >> And as part of that conversation, can you give us as much context as possible in terms of which providers are meeting the deliverable and which aren't? I know. That that ranges and the amount of information, but it is really hard other than knowing, you [2:06:59 PM] know, we know certain names out there, right? We know integral care, we know foundation communities, there are other providers that may be doing great work we know nothing about. And if we don't have any insight into if this contract is delivering or not, it's really hard to say, well, this is a critical service versus that. So if you could just give us some context into the actual performance so that we can protect or advance the high performers and the ones that are high priority. I just, I think that's a the best way to go. Yes, sir. I, I want to also touch back on the housing vouchers. Are we I understand that it's coming from the cip which was a general fund transfer, but housing vouchers themselves cannot be capitalized. Is that correct? >> Correct. >> Okay. So we just were able to do that because it was a general fund transfer. And those funds are. >> This is general revenue that was transferred into their [2:07:59 PM] capital budget to hold those dollars for these units. >> Okay. Very good. In terms of the fire department overtime, we're adding 6 million to to rightsize it. What do we expect this fiscal year there over time is going to be relative to their appropriated amount. >> So we are currently anticipating the fire department trending totally at 6.7 over the current year budget. We'll have to dig into what that looks like for overtime. I know there's been some. Things put in place to try to reduce that and reallocate some dollars within the fire department to address it, but we'll we'll get you the overtime specific. >> And will those expenditures be or will the that overage, [2:08:59 PM] will that be accounted for through reductions in fy 26 expenditures? Or do we think we're going to cover that with additional fy 26 revenues? >> So at the end of the year, it will probably be a mix of both. Usually what happens in the general fund is several departments have some level of savings, and then we have the additional revenue that we're anticipating from the sales tax revenue. And so it's going to be a little bit of a play of both sides. We'll know a little bit more as we get probably into late August, as we're kind of getting into the last couple of weeks of the budget, whether or not where the fire department in particular stands when it comes to the fiscal year and what that will look like for the general fund in total. >> Okay. >> Okay. And I have two very just technical document [2:10:00 PM] questions, but there is like, if you look in the Austin water budget, one of their sources of funds is the Austin water reclaimed water utility operating fund. Got to get an acronym for that one, but. There's no fund corresponding fund page in volume two. Is that just not a realized fund that has been included, or what? Why is that fund a? A ghost? >> It's all combined. >> I believe it's all combined, but I'm going to let Joseph speak to the details. >> Good afternoon, Joseph Gonzalez, deputy director, Austin water and yes, so our our combined fund summary essentially combines our three operating funds the water operating fund, wastewater operating fund, and reclaimed operating fund. And although we [2:11:01 PM] have transfers in between funds, they're they're all handled on a combined basis from a fund summary perspective. >> Okay. All right. Very good. Then that's all I need to know on that. And then the other question I had is when you look at the. The enterprise pages in the document that discuss, you know, the increase in revenues in more detail, the increase in expenditures, not the budget, but, you know, in the like page 86, 87 and so forth. For a number of those departments the increase what what is stated, and I'll just be more concrete for you here. So it's a bit easier if you go to page 86. On the operating or sorry, go to page 85. It says in the fiscal year 27, department [2:12:01 PM] operating revenue going to increase by $108 million. But then you go to the chart on page 88, and the revenue. Doesn't reflect that change. Is is the delta because of a transfers element. And the only reason I'm asking this is because we have seen if you the trend in so many of these. These enterprise department ending balances is where our fund balances are pretty close to zero or trending to zero. And in a number of instances. And I'm just trying to reconcile the additional revenue we're getting from increased rates to how that's going to impact our fund balances and hopefully strengthen the funds for these. But just the numbers don't add up. And we can follow up after this. But I just wanted to better understand why that discrepancy. [2:13:01 PM] >> Is that versus the the fund summary at the bottom. >> Exactly. >> I think it's versus estimate versus versus prior year amended budget issue. So I think the 108 million is versus budget, but it's probably not as large as an increment versus their estimate estimated revenue. Okay. >> All right, I appreciate it. >> Thank you. Councilmember mayor pro tem, followed by council members Laine and then council member qadri. >> Thank you mayor. This is actually Austin resource recovery. I just wanted to see how we are doing on the northeast service center and how that construction is, is, is coming along on that. It was the great the grand opening of that was great. I'm looking forward to the facility being online, but just wanted to get a quick update on it. [2:14:02 PM] >> Good afternoon. Richard Mchale, director for Austin resource recovery. We are still in the property search. We've been evaluating several properties, so there's actually been no construction at this point. So we're still in the real estate phase. >> Okay, good. And. All right. That's I think the only question I have and thank you director. >> Just want to clarify, was your question about the northeast service center or about the. >> And I'm sorry, I was thinking actually, and I think I got my my property. That's another question I had. And so I'm glad you answered that. But it was fleet management that I believe going to be in charge of that northeast fleet service center. Right. >> Well, I can speak to that too. So rr is actually one of the tenants on that property as well. So construction is actually moving along very well. The parking garage has been completed. Two of the buildings have already been erected. We've had a few rain days here to delay things, but we'll take the rain right now. But things are moving ahead. We're still on schedule for opening around November of 2027. [2:15:03 PM] >> November of of of next year. Yes. Okay. And once that is completed, then we can move out of the, the, the service center that's right next to the millennium right there in east Austin. Is that, is that, are those facilities moving over to that area as well? I don't know if you can speak to that, but. >> Yeah, I believe Hargrave, the property in Hargrave, I think fleet is here and I'll let them speak to that. >> But thank you very much. >> You are correct. It's it's the the fleetperty there where they currently service their public safety vehicles on Hargraves. That operation will move to the new northeast service center, which will then allow for redevelopment of the Hargrave site. >> Got it. And I don't know if you have anything to add to that, but. >> Rick Harlan, deputy director of fleet mobility services. Yes, we are going to be moving out of the Hargrave facility, seven acres on the corner of 12th and Hargrave at that time, and it's going to take about a quarter to actuallkind of deconstruct [2:16:04 PM] that se. There's been some preliminary testing that's been done on the soil already. It's in preparation right now. Really looking forward to it. >> I would imagine. I mean, I know it's been used largely industrial uses for a long time. And so there's probably going to be a significant amount of remediation. >> A long history. >> Yeah. Okay. Are there any other facilities that will open up that y'all are working at right now? City owned properties that are going to move into fleet management? Or is that the principal kind of location that's going to be freed up? >> We have a service center at Kramer Laine it's called service center 13. We're going to close that down. We're going to keep the fuel site there, but that service center will close down and will likely decongest the rest of the facilities that we've got. >> Great. Thank you very much. Appreciate it. This next one is for watershed, actually. And I see director morales up there. [2:17:09 PM] Good afternoon director. >> Good afternoon. Morales. Watershed protection. >> The. I see that the duff and and again, I know that's a critical source of funding for both capital projects and for operating revenue for the watershed department. I know we've talked before about the division of the duff between kind of capital and operating. What's that? What would that look like for the coming fiscal year? >> So as you can see in the budget, we are increasing the cash transfer from the duff. So the duff have a cash transfer. We start lowering it in recent years, but we're actually showing and projecting to get it back up to the level. We had it previously. >> And with that cash transfer that would that go to capital projects or. >> Yes, cip is mostly a capital projects, drainage projects, but we also do asset like fleet vehicles. And that's also under capital as well. >> Okay. And and then again, I know this, we've had these conversations offline, but the, the duff can fund a lot of [2:18:10 PM] capital projects, but there's a handful of larger projects that may be outside of the scope of the, of the duff ability to fund. You know, we had talked about the, you know, shoal creek and the flooding problems on there and the possibility of, of trying to alleviate those kind of flooding problems in a similar way that we did with the with the water waller creek tunnel. I know, is that just conversation at this point? Are there any kind of, you know, plans on that? Where are we on, on some kind of like, you know, again, those major investment projects like that? >> You're correct. Mayor pro tem so there's different level of thresholds. So large scale projects that some of these projects can be 15, $20 million, like the project you're referencing. And those are difficult to cover with the cost of the duff cash transfer just is not enough. We'd be doing 1 or 2 a year and we have much more need than that. So we do rely on the geo bonds for the large scale projects. And so that's part of the conversation. We do have small and medium scale projects that we do at different levels, [2:19:10 PM] either in-house construction or I'd I. Q difficult delivery and definite quantity as it relates to shoal creek. We did the preliminary report to to do a shoal creek solution would be in excess of what we did on walnut creek. Walnut creek was roughly $150 million tunnel project. And so we're talking about that magnitude. That's much, much larger scale. >> And I mean, with inflation and whatnot that that's probably, you know, double at this point in that range. >> Yes. And we have information from the preliminary studies, but once again, that's a much larger scale type of project. >> All right, all right. Thank you very much. And then finally, I just comment real quickly. I, I wanted to thank the city manager and our budget staff and, and housing. It's been mentioned, but I just want to stress that the housing vouchers and the wraparound services. And again, I know we're trying to kind of meet these different needs that we have, but that's such a critical need and making sure that folks stay housed in the psh that we just built and making sure that the services are available at the, the psh [2:20:11 PM] that, that we just built where we were able to essentially keep that, that, that going at a, at a good level. And again, I just want to thank staff for that. When I go out and about in the community, again, homelessness is probably the number one concern that that folks bring up, the constituents bring up and are just ongoing efforts in making sure that our psh projects are successful are just so critical. So again, thank you all for for getting that done. >> Thank you. Mayor pro tem council member Laine, followed by council member qadri. >> Thank you mayor. I have a follow up question that relates to the answer given to council member Segal's question about police, the the police equipment line item. And this will also touch on parks and trails security. So just giving a heads up as to that as well. So, you know, I'll note that in the in the year that's coming to a close now we passed the [2:21:11 PM] trust act with the intention that it would be a process, a very transparent process through which to evaluate certain types of equipment and that these types of equipment would not be purchased before we had that in place. And from where I sit, that future moment is here. So I do find it appropriate that there there is budgeting in this budget for new equipment purchases, including those those types of equipment. And I want to raise a further question about parks and trails security. We've had a number of public safety incidents in parks. We've had briefings through public safety committee to the council as a whole as it relates to APD, within our parks, cameras, within our parks, parks, security, infrastructure that might be necessary, equipment that might be necessary, all of these things. I believe that these various conversations [2:22:11 PM] have been quite productive, and I certainly represent a district that has been significantly impacted by public safety considerations in parks that don't haven't historically, recently gotten lot of police presence. They do not have the infrastructure to support the types of cameras that we currently have. In order to do some of the rebidding work and reworking what would be pursued as it relates to parks cameras, it would be necessary to have some additional infrastructure in place, because currently there are no buildings to affix cameras to, and so that is I flipped off the wrong tab. That is the area where I want to I want to ask a specic question because I did not hear in the answer to that equipment purchase any mention of a budget allocation for parks, cameras, or other equipment related to that, or limited [2:23:12 PM] infrastructure improvements for purposes of park security or trails security. I know that there has been some interdepartmental work between the parks department on and the APD on park security, so I don't actually know. Maybe that's showing up in the parks line items, or maybe it's split between the two, or maybe it just didn't make it in yet. So I think that. Director Lang, if you have any insig as to whether there are any allocations around equipment, staffing or infrastructure in support of parks and trails security, I'd love toear that. And I'm also happy to hear from chief davisthe parks department about the funding for those priorities, which we certainly know are are coming back to us in the coming year. >> Good afternoon, councilmember. Thank you for the question. Jesus Austin parks and recreation, with regards to the overall safety [2:24:12 PM] and security needs that we've heard from community members and council members that we're we're sort of working from sort of at the starting point of how to address some of those challenges. The department conducted a safety and security audit of the entire system to begin to figure out what we needed to do. The high level message there is that we need to begin to build an infrastructure around safety and security, much like our partners at the libraries and other other and facilities management. So in this budget, actually in the current budget, not in the proposed budget, in our current fiscal budget, we're starting that process. So we're looking to reclassify a position internally to begin to create a security manager to help us begin to build that infrastructure. In addition, the funding that had been allocated for this, the security cameras, security cameras, pilot, we still have that money available. We're working through the various processes, as you described, with the trust act, working with our partners on the technical security side of things and with the vendor to [2:25:13 PM] bring that back to council. So that's still in our current budget. Our hope is to continue to move that. But more broadly, we're really taking sort of the the 2 or 3 year approach to figure out how we build that infrastructure. >> Okay. So I certainly appreciate that there's a longer process atlay, and also the recognition of the conclusion of that pilot program. Without continuation, I am I am highlightinghat, you know, I represent an area where specifically it was determined through that pilot program that parks cameras made a difference in reducing the activity. That is of strong concern to my constituents all along. Old spicewood springs road, three parks, properties along there, plus other city owned land all up and down. I just lost my train of thought. I'm so sorry. It's been a long day, but. But what was found? It is one of those. I know councilmember duchen has another area in which the determination, by virtue of [2:26:14 PM] that data, was that the cameras worked and the second they were removed, it went back up. And so I certainly I will not be entering the current budget process with the idea of. And I understand I appreciate that you noted some funding thatstill remains, but I'm I'm highlighting that I'm entering this budget process, wanting to ensure that there's sufficient funding for parks, parks, cameras, security infrastructure that's needed without putting any of it forward to 3 to 5 years, or bond funding, and simply noting that of those areas that fall into that category. I think that the park that I represent is the only one that has zero existing infrastructure, and therefore not able to be used by the types of cameras that haven discussed. And I will also daylight that, you know, the trust act, of course, was [2:27:17 PM] was passed with a lot of consideration to the ways in which APD will use security cameras, as well as all of our departments. And I am supportive of moving forward in this in this consideration, regardless of which budget it ends up in, and noting that other equipment purchases that are in that APD line item, you know, our technology that is already in use in other other public safety and other departments. So I'll give an opportunity to chief Davis if she wants to weigh in. I do also have a couple of other related topics. They won't be related to parks. >> Thank you ma'am, I do think it's important to note that when we're talking about those line items, those are to replace existing drones that we already have that we're already using swat, different things like that. So it's not anything new. And certainly it would be no surprise to anybody that I absolutely would love for us to, [2:28:18 PM] to look at a drone as a first responder program, but that that line item is shift also daylighting a couple of other concerns publicly as early as possible in our consideration of this budget. They are related to public safety. So specifically, when it comes to public safety, I will just say it. It has not passed me that there is no mention of the joint emergency communications department in this proposal last year. One year ago, during this budget process, a resolution was unanimously passed that was specifically designed to create long term savings in public safety while improving 911 response times across our city and improving collaboration with neighboring jurisdictions. However, as of today, council still has not received a cost estimate on what it would take to implement, let alone transition to the plan that a plan that we requested 11 months ago. I do understand that work is actively being completed and and I anticipate and hope that we will receive [2:29:18 PM] enough information during this budget process to be able to evaluate the costs and the benefits. But what I want to daylight is that I will be fighting to see that sufficient money is allocated to make progress on this goal. While we do currently have all of the call operators under the same roof, it's not the same as having them all use the same communications tools and management structure, and making the information technology improvements that are necessary to really have the most robust functioning that that the city deserves in all parts of the city deserve. I'm frankly concerned that we have gone a full year, and certainly in district six, one of the late annexed parts of the city that is entirely outlying areas where there are a lot of patchworks of jurisdictions. We have this we have had very long standing issues that, you know, are related to this. Ifc so that's the next topic that I wanted daily. And then I also want to [2:30:19 PM] I learned something interesting this week and I haven't fact checked it yet. A few, a few of my colleagues might be able to help out with this, but I heard that Adams sector is larger than San Francisco. I'm not sure if that's true or not. I haven't fact checked it, but I do know that it is the largest police sector in our city, that it is an area in which, you know, there have been challenges as it relates to police response. And frankly, in my part of Adams sector, all public safety response. And so I you know, we're not here to talk about bond, and I will not but I will say this, I am not I'm not planning to wait for a bond discussion to try to solve problems around the challenges of improving response in Adams sector. And so with that in mind, knowing that Adams sector, this large district is entirely [2:31:20 PM] served by the north substation, which is itselfairly distant from Adams sector. I will share with you all that I will also be fighting for funding in this budget to provide Adams sector patrol officers with a secure location in an actual building, with air conditioning and heat, where they can complete paperwork, take breaks and manage operations in district six, 100% of which is served by Adams sector. So I. I have some general closing comments, but I know I went long on public safety. >> So you've been passed. >> Your time so I can just. >> Stop a couple of minutes. Okay, good. I'll come back to you if you'd like. Yes, councilmember qadri great. >> Thank you. Mayor, I have three quick questions. And just because, chief Davis, you were at the at the table, I will start with question number. I'll ask with question number three first. And I'm going off a little bit of what councilmember Siegel had previously asked about the $425,000 in recruitment funding. I wanted to know how that or [2:32:22 PM] how you see or how that. 42425 K and the $79,000 for civilian recruitment position on how you see those two investments working together. >> Well, certainly, I think they they work very well together when you're bringing in. And we're having, as I said, we've doubled what our applicants pool are. So when you're bringing that in, that means more background investigations. That means more work on that end as far as the administrative side. So certainly that position that we've asked for would help with that. Again, the the money for recruiting would support, you know, that that primary goal of getting these numbers and these vacancies, you know, getting us fully staffed. >> Got it. And then specifically, is the 425 K intended to fund an external contractor to develop and implement long range recruitment and marketing strategy, because it's a one time funding for the 425 Wright 79 K for the position is ongoing. But so so the 425 K is [2:33:23 PM] it intended to fund an external contractor to develop recruitment strategy that will that will last for. >> I think it's that in addition to other things, it's, you know, a digital assets, billboards, you know, commercials, all of those things that we need to do. Do we need to travel to, to recruit? We know analytics, we know that we can look at data on certain people that are googling Austin police department. And so is there an interest in New Jersey or other places for. I'm sorry, I think that is my phone going off. That is my spot. >> So if you need to get to that, I. >> Get it. I, I probably do. So it is all of those things it is looking at. It's not one thing. And I think when you're looking at recruiting, it can never be just one thing. It's how can we be successful in many different markets? And whether that's Instagram, looking at our web page, what is our webpage look like? >> Can we in the. I'm done with it. I'm. >> I'm, I'm done with the question. >> Yeah. I mean, it's an important question, but yeah. >> Okay. Thank you chief. Okay. >> By the way, if anybody's [2:34:24 PM] listening, that may be the way you get to answering questions. Yeah. >> Great. Thank you. Chief Davis, going back to what was going to be my first >> Question. It was was around civilian compensation and the market study. So on page 40 of volume one, the proposed budget. References $19.6 million for a city wide analysis of compensation levels, while elsewhere identifies $4.3 million as a placeholder for civilian civilian citywide market study, along with $100,000 to modernize the city's classification and compensation systems. So my question is, can you walk us through how these figures relate to one another? And and specifically, is it $4.3 million included within that 19.6 million? And what does each amount fund? >> Well, Carrie's getting the exact details. I think the simple answer is the 4.3 is the general fund share of the total [2:35:24 PM] citywide amount, which is the the $19 million number. Got it. >> Thank you. >> He is correct. >> Okay. >> Are y'all still looking up? Anything else on your end or. >> No. No. >> The the 19.4 citywide 4.3 is the general fund portion. >> Okay, great. And then second question or last question. The proposed budget also includes $350,000 in savings from eliminating five vacant positions in the municipal courts court compliance unit. Can you walk us through the rationale for eliminating these positions, what functions they were intended to perform, and whether removing them will have any impact on the court operations? >> Good afternoon, Mary Jane. Clerk of the court. We are [2:36:26 PM] recommending elimination of the court compliance unit. This unit used to be required by state law. It's responsible for bringing individuals into compliance with their court orders. They primarily skip trace, which means looking for proper addresses. So we can make sure that notices are getting to people. If people cannot meet the terms of a standard payment plan, they meet with them to go over their financial information and make recommendations to judges. And they also do outbound phone calling. That law was repealed in, I believe, 2019. We have continued the program because we found that it was very valuable. However, it is no longer required. And in the environment that we're in, we feel that we can spread those duties to other units and reduce the resources required to perform the same duties. >> Great. Thank you. >> Thank you, councilmember, councilmember Laine. And then I [2:37:28 PM] don't have anybody else signed up. After councilmember Laine. So what we will do is when we finish this, we'll go to item number two. Councilmember Laine. Okay. All right. So let let's do this. We will now go to item number two. Thanks, council, by the way, and I think that worked pretty well. I hope so. And if there's improvements you all want to see let me know. But and I hope it's going to be helpful in terms of getting questions answered in a way that everybody gets to hear them and see them and that kind of thing. So thank you all for that. Members. Item number two is for us to set a public hearing to receive and consider public comment on the proposed budget for the city for fiscal year 2026 2027. The motion that I will accept is that we set the date, time and location as July 30th, 2026 at 3:00 pm at Austin city hall in the council chambers at 301 west second [2:38:30 PM] street in Austin, Texas. Is there such a motion? Motion is made by council member Ellis, second by council member Siegel. Members of discussion. Let me mention a little bit of discussion. This is us calling a public hearing. But the public hearing will be conducted as part of a council meeting that begins at 10:00 that day. We do this at virtually every council meeting as we have public hearings that are set, some of which need to be set by law. The way we're doing this now, as to a question that was asked earlier, and I'll make sure this is all done before, but anybody in the public, first of all, is a is a 3:00 time certain for a public hearing on a council meeting that will be called to order at 10:00 that day, meaning that if you're signing up for this public hearing, you need to sign up as though you're signing up for the council meeting that is scheduled that [2:39:30 PM] day. If you go to the city clerk's website, you will see a list, and I want to post this on the message board as well. You will see all of the budget meetings that we're going to have. The July 22nd budget meeting, the July 30th budget meeting, the Wednesday, August 12th meeting, theday, August 14th and the Monday, August 17th. It also lists on that website when speaker registration, what the window is, when it opens, and when it closes. Now, let me be clear. When it says when it opens, that's when it opens. So just because you see that, it gives you the time for it to open, doesn't mean you can go on. Now, so for example, the public hearing that we're getting ready to vote on for 3:00 on July 30th. The registration will open July 27th at 10 A.M. [2:40:31 PM] And will close at July on July 29th at 12 P.M. Just like it was a council meeting that starts at 10:00. That also has a public hearing. So I just want to be clear, we a couple of years ago, we had some confusion on that, and we've been doing it this way since then. So that's just to get that out there. And by the way, I'll post this on the message board as well. And I will say this as we go through when I keep repeating myself on that, is there any further discussion on the motion that has been made and seconded to set a public hearing to receive and consider public comment on the proposed budget for the city of Austin for the fiscal year on July 30th, 2026 at 3:00 pm in Austin. City hall council chambers, 301 west second street in Austin, Texas. Hearing none, without objection, the motion is adopted with council members Fuentes and harper-madison absent. Now, let me do the last bit of business here, and that is to again, [2:41:32 PM] remind everybody that might be watching this or coming back to watch it at a later point next Wednesday, July 2nd, 22nd, sorry, July 22nd at 10:00 am, we will have another city council budget work session. We will take up items related to community health and sustainability, homelessness and housing and social services contracts. Speaker registration opens on July 17th at 5 P.M. And closes July 21st at 12 P.M. On Tuesday, July 28th, the city council will have another session. We will take up economic and workforce development, mobility and critical infrastructure and issues related to high government performance. Thursday, July 30th. Sorry about that. I thought that was turned off. That's what I get for setting timers time myself. Thursday, July 30th we will [2:42:32 PM] have a work session related to public safety and again, some high performance government and public hearing that we've just talked about at 3:00, where we will set the maximum tax rate and we'll have a public hearing on the budget. Again, public comment and registration opens July 27th at 10 A.M. And closes July 29th at 12 P.M. On Tuesday, August 4th, we will have we have a tentative budget work session scheduled on Thursday, August 6th. We have a city council budget work session scheduled to deal with proposed budget amendments from the city council and proposed IFS from the city council on Wednesday, August 12th, Thursday, August 13th and Friday, August 14th. We will have a tax rate public hearing. On the 12th. We have utility rate hearings and budget and tax rate adoptions during those days, and we have those three days scheduled to do that. Members, there's no [2:43:32 PM] other business to come before us at this regular meeting of the city council. At this meeting of the city council, let me ask if there's anything if there's any questions or comments before we recess, I mean, adjourn. Let me also, on behalf of the entire council, say to our professional financial staff, thank you, thank you, thank you. We appreciate the good job you do. And to all of th department, department and personnel that play a role in getting this budget in front of us. We're also quite appreciative of. A number of us have said it, but I want to reiterate it because this is a lot of work and we really appreciate all the work that everybody does. With that being said, and there being no further business to come before the Austin city council at this meeting, without objection, the Austin city council is adjourned at 2:44 P.M. It's July 16th, 2026. Thanks, everybody. We'll see you at the work session next Tuesday.