AUSTIN (Talk1370.com) -- Budget season for the City of Austin officially kicked off Friday morning, with new city manager T.C. Broadnax unveiling his proposed budget for the city's 2024-25 fiscal year.
Broadnax's proposed budget checks in at $5.9 billion - a significant increase from this year's budget of $5.5 billion.
According to the city, the typical Austin homeowner will see a 5.7% overall increase in their tax bill - about $8.52 a month. The budget includes a 3.5% increase in property tax revenue - the maximum allowed without seeking an election under the state's property tax cap.
When fees for city services are factored in, the "typical" ratepayer will see an annual increase of about 5.4%, according to the city. That includes increases in every city service, including Austin Energy, Austin Water, and Austin Resource Recovery. With rate increases factored in, that will push the monthly impact to about $22.66 a month.
"As federal funds provided through the American Rescue Plan Act (ARPA) expire and growth in sales tax collections slows, municipalities across the state are finally experiencing the harsh consequences of the property tax cap established by the Texas Legislature," said Broadnax. "Austin is no exception. That means we must prioritize critical needs, be circumspect in our investments, and, now more than ever, listen to what Austinites want and need from their City government."
The budget includes a 4% across-the-board wage increase for civilian employees and increases the city's minimum living wage to $21.63 an hour, up from $20.80 an hour.
City council members are expected to hold a series of working sessions on the budget over the next few weeks, with final adoption slated for meetings to be scheduled on August 14, 15, and 16.
