DALLAS -- Voters in Austin, Texas, will see an all-or-nothing referendum on the November ballot with the city's request for $720 million of general obligation bonds to re-do seven major thoroughfares.
The city council voted unanimously after five hours of debate on Aug. 11 to put the bond package onto the ballot as a single proposal rather than as three distinct requests. If approved by voters on Nov. 8, it would be almost five times the size of the city's largest road bond measure adopted so far.
Mayor Steve Adler, who proposed the mobility bond referendum earlier this year, said the city cannot wait on state or federal funding to relieve traffic congestion that is choking the city.
"If we're going to be a better city, Austin needs to be a smarter city," Adler said. "We have to think big, and be smart."
The plan would devote $482 million of the proceeds to Adler's Smart Corridors program to re-engineer seven major thoroughfares in the city.
The work on the seven main streets would involve traffic light upgrades, wider sidewalks, bus priority lanes, and curb cutouts at bus stops.
The intersection and signal light upgrades would result in faster travel times for all vehicles on the roads, Adler said.
"Smart corridors relieve traffic congestion and make Austin more affordable," he said. "We need all our major arteries to be smart corridors."
The bond proposal includes $137 million for local projects, including urban trails, sidewalks, and street repairs. The $101 million of regional projects that would be funded with the proceeds include $46 million of improvements to five intersections on state highway Loop 360.
The bond program would fund projects in every part of Austin, Adler said.
"If we're going to pass a bond, we have to have a bond that will pass," he said. "That means it has to speak to people all over the city."
The unanimous vote reflects widespread community support for the congestion-busting projects in the bond package, Adler said.
"This sets up Austin for a big win," he said.
A poll released in June found 56% of the likely voters surveyed would support a $720 million bond plan. The Greater Austin Chamber of Commerce, advocacy group BikeAustin, and other organizations have endorsed the bond package.
The bond referendum does not include a $400 million light rail system sought by some transportation advocates.
Councilwoman Delia Garza, who also sits on the board that oversees Austin's Capitol Metro bus system, said the city cannot afford to fund the rail project.
"I have big concerns proposing a big mobility bond with no mass transit in it," she said. "I just don't think we can do it at this time."
Austin voters have approved a total of $640 million of GO bonds for transportation efforts over the last 20 years. A $1 billion proposal that included $600 million for a starter light rail system and $400 million of work on state-owned roads was rejected in November 2014 with 57% opposed to the new debt.
Austin would issue $250 million of 20-year GO bonds from its current property tax rate and another $470 million of bonds supported by an increase of $2.25 per $1,000 of assessed property if voters approve the proposed 2016 package.
The increase would raise the tax on an Austin home valued at $250,000 by $56 per year for 20 years.
The bonds would be issued over five years, beginning in 2017.
Austin has $1.3 billion of outstanding triple-A GO debt. The city's taxable property base for fiscal 2016 is $111 billion, an increase of 12.5% from last year.
