Your Daily Guide

AFS Fundraising for a Third Screen

Austin Film Society is working to raise $250,000 for a third screen at the theater, which is in the Linc in North Austin. As of Tuesday morning, more than $112,200 had been raised. Filmmaker and AFS Founder Richard Linklater says the expansion will let the theater screen more new releases. [The Austin Chronicle]

Austin’s Rainbow Crosswalks Are Gone

The rainbow crosswalks at Fourth and Colorado streets downtown were painted over on Sunday night, following a state directive. Mayor Kirk Watson said an LGBTQ historical marker will be added to the site next month. [KVUE]

What’s Happening to AISD’s Closed Campuses

So much has happened with the Austin Independent School District this year that it can be hard to keep up. This guide reveals what will become of some of the district’s closed campuses. [Austin American-Statesman]

4 Businesses To Fill Old Vespaio, Chapulin Cantina Spot

Three boot stores and one jewelry shop are slated to fill the South Congress Avenue spot left behind when Vespaio and Chapulin Cantina closed earlier this year. Wrangler, Alberta Boot Company, Cody & Sioux and Astrid & Miyu will open on the corner lot by the end of the year. [Austin Business Journal]

We finally have a draft of the city’s budget for next year! On July 10, Austin City Manager T.C. Broadnax released his draft budget proposal for 2026-27. City council members will now spend the next several weeks debating and making changes to that proposal before they vote on a final version on Aug. 12.

Here’s what you need to know:

Why This Matters

The city’s budget influences everything from how much you pay in property taxes, to the amount of money available for everything from parks to police. Other than voting, sharing your thoughts on the proposed budget is one of the most impactful ways to influence the future of our city.

Budget Crunch

This is one of the tightest budgets in recent memory, as the city faces fiscal pressures from the state’s 3.5% property tax cap, diminishing sales tax revenue, and federal funding cuts. To reduce expenses, the city manager has proposed several budget cuts and efficiency measures, most notably, to social service spending.

• Social Service Cuts: The city has contracts with an array of different nonprofit organizations, which provide services out in the community, including homelessness services, violence prevention, and programs for kids. In the wake of the failure of Prop Q, these social services have continued to face reductions, including $5.1 million in proposed cuts to this year’s budget, with others planned for next year.
• Efficiency: The goal of the efficiency measures is to identify which programs are producing the best outcomes, and find ways to reduce costs by improving processes or investing in different technologies, without necessarily cutting essential services. Later this month, city council members will vote on a contract to bring in a third-party auditor to conduct a comprehensive efficiency assessment of all city departments.

Which Departments Are Getting More Money

Many city departments will still see small jumps in their budget this year, mostly because of employee wage increases and the rising costs of technology and basic goods.

Departments that will receive new investments include:

• Homelessness: Four new positions to provide additional administrative and contract management support, as well as ongoing funding for the city’s shelter at the Marshalling Yard.
• Parks and Recreation: An additional $1.2 million for pools and parks maintenance.
• Fire: $6 million to maintain the four-person staffing model on fire trucks.
• Police: About $500,000 in new funding to support recruiting efforts at the Austin Police Department. Overall, APD’s budget will get a $24 million increase, which is driven by employee wage increases from the 2024 contract between the city and the Austin Police Association, the union that represents officers, and general citywide cost increases for things like administrative support, technology, and fuel.

To note: Anytime APD’s budget receives an increase, it’s a topic of debate because of a state law that prevents cities from lowering police department budgets from year-to-year. This means that any increase in APD’s budget essentially becomes permanent.

What This Will Cost You

The city manager’s current budget proposal raises taxes to the maximum allowed by the state’s 3.5% cap. For the median homeowner (someone with a house worth $484,907) that is a $174 or 8.4% increase.

P.S. Another thing that could impact your property tax bill is a potential bond election in 2026. Council will make a final decision about that at their meeting tomorrow.

Get Involved

Have thoughts about the proposed budget? Tell our city’s elected officials what you think! Every council member is hosting a budget town hall meeting in their district. You can also sign up to speak at a city budget hearing. You can find the full list of dates and locations here.