After about a day and a half of discussion, the Austin City Council adopted Sept. 10 its 2013-14 budget totaling about $3.3 billion with a property tax rate of 50.27 cents per $100 of valuation.
"I'm very proud of staff and the work they've done and also very proud of the council members for coming together and addressing this budget in a way that enables us to not only not increase the tax rate, which is where we were about 26 hours ago, but we actually reduced the tax rate [over last year's], but it's a significant milestone," said Mayor Lee Leffingwell.
The adopted tax rate is lower than the 2012-13 tax rate of 50.29 cents while the overall budget increased about $200 million. According to city staff, this tax rate is first reduction in since fiscal year 2009. The budget goes into effect Oct. 1.
On a median priced home—about $185,000—the tax bill from the city's rate will be about $931 a year or $77.56 per month, according to the city.
Council members worked through a slew of budget amendments, including budgeting for higher property tax revenue, funding for parks maintenance and giving city employees a 1.5 percent wage increase along with an additional $750 in April 2014.
"For me, it's an opportunity for us to take care of city employees how have been lagging much further behind over the last 10 to 15 years as it relates [to public safety employees]," Councilman Mike Martinez said during the first day of budget discussions regarding the wage increase for city employees.
The wage increase costs the city about $3.7 million.
Martinez said it was through the work of city staff, the council and the community to get the budget ready for council approval.
"Had it not been for everyone trying really hard over the last month or so to figure this thing out, I would never have predicted that being here today, funding so many values that we did in this budget and reducing the tax rate," Martinez said.
For more information on the city's budget, visit www.austintexas.gov/financeonline/finance/index.cfm.