Austin's city council reacts to Prop Q defeat, look ahead to reworking budget

AUSTIN (KXAN) — Austin voters on Tuesday rejected their city council's Proposition Q, which would have raised property tax rates in order to fund some city services.

In a statement, a city spokesperson said that the city council will not able able to "proceed with the adopted budget."

"The city manager will prepare a present recommendations to city council to amend the budget in alignment with the voter-approved tax rate. These recommendations will be presented to city council in the near future,” the spokesperson said.

Mayor Kirk Watson issued a statement Tuesday night, after results had come in from the election. He said that he trusted the voters going into the election and that he trusts their decision.

"Voters prioritized affordability. They’re worried about their finances, their grocery and utility bills, their property taxes, and more. They’re concerned about the stability of all levels of government, including city government," his statement reads. "We need to give voters reason to trust us—to trust that we will strike the right balance between services and the funding needed to provide those services."

He added that it will become important for the city to "assess and optimize" its delivery of services and financial system. He also said that he wants any new budget from the city manager to reflect the priorities already approved by council.

"This is not the time to engage in or relitigate significant, drawn out, divisive policy fights in the budget," Watson wrote.

Mayor pro tem Vanessa Fuentes said on social media that the city council has heard voters' sentiments.

"We proposed Prop Q to protect essential city services and those who rely on them," her statement reads. "But as the cost of living continues to rise -- and as federal budget cuts continue to underfund basic needs like food, housing, and healthcare -- this outcome reflects the hard choices many Austin families are forced to make every single day."

Fuentes estimated that the city will need to cut $110 million from the city's budget, but said that the city's "commitment to delivering essential services remains the same."

District 10 Council Member Marc Duchen, an opponent of the proposition ahead of the election, called the vote a "wake-up call" for the city.

"Austinites are struggling with economic uncertainty and other challenges in an increasingly expensive community, and City Hall must start acknowledging these problems instead of continuing to balloon its budget and worsen affordability," he wrote. "My colleagues and I now have an opportunity to restore our constituents' faith in local government, and I hope we seize it."

District 4 Council Member Chito Vela III said that the outcome "wasn't what [he] had hoped for," and District 6 Council Member Krista Laine called it "deeply unfortunate."

"I understand Austin is facing an affordability crisis and many are struggling," Laine wrote. "With ongoing, substantial federal funding cuts and state restrictions, we will also face significant challenges in maintaining healthy reserves and funding the programs so many of our residents depend on every day. These impacts will touch all of us."

District 7 Council Member Mike Siegel said that he "remain[s] optimistic" that the city's communities can come together to make a "local government that works for all of us."

"In the short term, council will be forced to make painful cuts that will negatively impact the quality of life and the efficacy of city programs and services," he wrote. "Rebuilding trust between council and community is critical; it is our responsibility as city leaders to be transparent, to listen, and to do the best we can with the resources we have."

Council Member José Velásquez said Wednesday that we was "grateful to every Austinite who showed up and made their voice heard."
 
"I will keep fighting to ensure our City provides the essential, quality services our community deserves. Now it’s the time for me and my colleagues to carefully revisit the budget, and find solutions that our community can get behind," he wrote on social media.

District 9 Council Member Zohaib "Zo" Qadri said on social media he respected the decision from Austin voters and hears "the concerns behind it."

"I understand why, in a tough economy, asking households to pay more felt like too much. At the same time, I know this outcome brings uncertainty for the people who make this city what it is -- our librarians, nurses, park staff, and school support personnel," he said in his statement.

District 5 Council Member Ryan Alter said on social media "the voters have spoken.

"Too many workers, seniors, and families are struggling just to make ends meet. We owe it to them to be part of the solution, not part of the problem. Austin has made real progress in reducing housing costs, but we must go further. Every decision we make should start with one question: How this help those who are struggling to get by?"

KXAN Reporter Grace Reader contributed to this report.