A property tax rate hike proposition approved by the Austin City Council for the Nov. 4 ballot contains "misleading" language in violation of state law, according to a lawsuit announced on Monday.
The emergency petition brought by an Austin property taxpayer asks the Court of Appeals for the Third District of Texas to force the city to adopt ballot language that corrects deficiencies in the council-adopted ballot language.
The council agreed last week to put a $0.574017 per $100 valuation rate on the ballot.
The ballot language states the $0.05 increase over the voter-approval tax rate would fund or expand "programs intended to increase housing affordability and reduce homelessness; improve parks and recreation facilities and services; enhance public health services and public safety; ensure financial stability; and provide for other general fund maintenance and operation expenditures included in the fiscal year 2025-2026 budget as approved or amended by city council."
The petition alleges the language misleads voters about the permanence of the tax increase and does not specify how the more than $110 million that would be raised from the 16% tax hike would be used, according to a release from attorney Bill Aleshire, who is representing the plaintiff.
The specific reference to the fiscal year 2025-2026 budget "misleads voters to think this is just a one-time tax increase, when, in fact, the tax increase will roll forward in subsequent tax years and be an ever-increase tax amount ... forever," the petition states.
Mayor Kirk Watson, who pushed for a tax hike election, said in a statement the city "is confident the ballot language is appropriate and meets all legal requirements. We also have confidence in the court system and will respond in that venue."
In a Watson Wire post on Friday, the mayor said the
With voter approval of a higher tax rate, Austin would be able to exceed in the coming fiscal year a
