CivicIn7 Austin | November 21, 2025
City Resets Budget After Prop Q Defeat; AISD Closures Finalized
TL;DR
City Council resets FY 25–26 budget after Prop Q fails; returns to “basic services” plan
AISD finalizes 10 school closures, reassigning 3,796 students
Austin Water withdraws from Bastrop ASR project after regional pushback
Utility rates rise citywide (Energy, Water, Drainage, Transportation Fee)
CapMetro begins North Burnet/Domain Red Line station construction
Pertussis cases rise to 134; Central Health launches Food Is Medicine
LEAD STORY — HIGH PRIORITY
City Rebuilds Budget After Prop Q Defeat — Return to “Basic Services”
Confidence: HIGH
City Council has adopted a $6.3B FY 2025–26 budget that largely returns to the original “basic services” plan after voters rejected Proposition Q, which would have raised ≈$110M in new revenue. Instead of Prop Q’s higher tax hike, Council rebuilt the budget at the standard 3.5% cap, trimming most of the new spending that had been layered onto the August draft.
The adopted property-tax rate — $0.524017 per $100 valuation — raises the typical homeowner’s bill by about $105/year (~$9/month), far below the ≈$300/year (~$25/month) envisioned under Prop Q.
To close the gap, Council removed ≈$95M from the Prop-Q-assumed August budget, drew $14.1M from reserves, and restored a limited number of targeted items.
What Actually Changed
Social services: –$38.2M (including shifts from some shelter contracts toward rapid rehousing)
EMS: –$6.3M from planned expansion (but EMS still grows year-over-year)
Parks & Recreation: –$5.2M
Municipal Court: –$3.7M
General Fund: –$1.8M from August version
Reserves used: +$14.1M
In effect: Nearly all of the $110M in new initiatives Council originally added on top of the City Manager’s baseline have now been scaled back, delayed, or restructured.
Direct Austin Impact
Residents avoid the larger Prop Q tax increase — but the city now enters FY 25–26 with slower service growth, narrower program funding, and a renewed focus on operational efficiency. Core services are funded, but improvements in homelessness response, park maintenance, transit support, and public health will advance more gradually.
Civic Engagement
Review the approved FY 25–26 budget: austintexas.gov/budget
Watch full deliberations on ATXN
Mid-year amendments begin Spring 2026 — register early for public comment
Contact your council office with specific program priorities
THE RUNDOWN — MEDIUM PRIORITY
1) AISD Finalizes Plan to Close 10 Schools, Reassign 3,796 Students
Confidence: HIGH
AISD approved a consolidation plan closing 10 schools before the 2026–27 school year and implementing 24 state-mandated turnaround plans. The move reassigns 3,796 students and eliminates 6,319 empty seats.
Three campuses — Palm, Bryker Woods, Maplewood — were removed from closure pending a review of community feedback integrity.
Direct Austin Impact
Families in East and South Austin (Districts 1–4) will see significant boundary changes, new transportation patterns, and relocation of specialty programs (dual language, Montessori). Districtwide boundary updates affect nearly all AISD schools.
Civic Engagement
Full details: austinisd.org/consolidate
Spring 2025 transition plans
AISD Board meetings: register for public comment
2) Austin Water Withdraws from Bastrop County Aquifer Storage Project
Confidence: HIGH
Facing unified opposition from Bastrop County, Austin Water has withdrawn its plan to test an Aquifer Storage and Recovery (ASR) site in the Carrizo-Wilcox aquifer. The project was central to the Water Forward 100-year supply strategy.
Direct Austin Impact
Austin must now pursue alternative drought-resilience strategies — expanded reuse, alternative aquifer sites, stronger conservation targets — which could carry higher future costs or slower timelines.
Civic Engagement
Monitor Water & Wastewater Commission and City Council briefings for updated water-supply strategies.
3) All Major Utility Rates Increase as FY 26 Rates Take Effect
Confidence: HIGH
November bills reflect increases across Austin Energy, Austin Water, Drainage (Watershed Protection), Transportation User Fees, and Resource Recovery.
Verified increases:
Austin Energy base rate: +5% (~$9.54/month)
Austin Water: +$8.71/month
Drainage fee: $13.38 → $14.05/month
Transportation User Fee: +11% (~$2.06/month)
Direct Austin Impact
Typical households see $20–25/month in combined increases. CAP discounts remain available.
Civic Engagement
Review full rates: City Utilities FY 26 Rates PDF
Check CAP eligibility: coautilities.com/go/cap
4) CapMetro Begins North Burnet / Uptown Red Line Station Construction
Confidence: MEDIUM-HIGH
CapMetro will begin construction this month on the North Burnet/Uptown (Domain area) Red Line station, a two-year project now estimated at $37.3M — more than triple the initial projection.
Direct Austin Impact
North Austin residents and Domain-area workers gain a major transit hub by 2027, though construction disruptions (traffic, noise, parking) will continue through 2027.
Civic Engagement
Follow updates: capmetro.org
Attend CapMetro Board meetings for construction briefings
BRIEF MENTIONS
Central Health Launches “Food Is Medicine” Pilot (600 Patients)
Provides medically tailored meals + nutrition support for residents with chronic conditions and food insecurity.
Whooping Cough Cases Rise to 134 Across Austin-Travis County
Ten schools impacted; statewide cases ~4× higher than last year.
BY THE NUMBERS
$9/month — Homeowner increase under adopted FY 25–26 budget (vs ~$25 under Prop Q).
3,796 — AISD students reassigned through the 10 school closures.
18% — Travis County residents experiencing food insecurity.
$37.3M — Cost of the new Red Line station at North Burnet/Uptown.
CIVIC CALENDAR (Next 10 Days)
City of Austin
Tue Nov 25 — Special-Called Council Meeting (FY 26 implementation)
Thu Dec 4 (10 AM) — Regular Council Meeting (zoning + amendments)
Travis County
Tue Nov 25 (9 AM) — Commissioners Court (Central Health COs)
Tue Dec 2 (9 AM) — Regular Voting Session
Austin ISD
Tue Dec 2 — Regular Board Meeting (implementation of consolidation)
Central Health
Late November — Committee and Board meetings (Food Is Medicine updates)
