Category Archives: Action Alerts

Austin Energy’s Rate Increase Tied To Not Selling Enough Electricity

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By Bill Oakey – July 28, 2022

That headline should jolt anyone out of bed, if they are not awake already. Yes, you read it right! This is a deja vu from a few years ago. We were urged to conserve water. Then Austin Water told us they were raising its rates, because they weren’t selling enough water.

The shocking news from Austin Energy seems outrageous on its face. But the philosophy behind it is chilling and disturbing. Here’s the explanation from Austin Energy’s vice president of finance: “Customers have become more efficient in their energy usage, but the current rate design is not as efficient as the customers, causing the revenue to be unable to keep up with costs. This means the old rate structure was built in a way that assumed the top energy users would to an extent subsidize the lower energy users. However, over the last 20 years, customers have become more efficient in using energy. This has eliminated a large portion of the higher-end energy users, causing Austin Energy to lose revenue.” 

Wow! Let’s think about that statement. He is literally suggesting that wealthy people who have moved into Austin neighborhoods, into big fancy homes, have made those homes more energy efficient. Therefore, the outdated rate design does not allow these folks to pay more and “subsidize” the low and middle-income folks who pay less for electricity.

Austin Energy’s shameless solution is to stick the smaller users with the highest portion of the rate increase. It would guarantee that by raising the fixed monthly customer charge by $15.00. On top of that, they want to decrease the number of rate tiers, and flatten their impact. This will lower the costs for the biggest users.

Here’s Why That Philosophy Falls Apart

1. It would exacerbate the income inequality that underlies Austin’s affordability crisis.

2. Instead of solving Austin Energy’s revenue problem, it would make it worse. Residents and small business owners at all income levels would make energy efficiency a high priority. They would use this link and this link on Austin Energy’s own website!  Yes, Austin Energy is offering us rebates and incentives to conserve. Then, with the other hand, they want higher base rates every month because they’re not selling enough electricity!

3. And get this, folks…The future outlook is even worse. On June 28, the Fitch bond rating service downgraded Austin Energy’s revenue bonds to AA-. Here is a statement from the first page of their report. “The planned rate increase is projected to contribute an additional $48 million in base rate revenues. AE expects additional base rate increases will be necessary to improve the utility’s operating cash flows and leverage profile on a sustained basis.”

Yup, that’s Austin Energy’s brilliant management plan. Watch the customer base shrink, as more homes and businesses install solar panels, energy storage batteries, etc. Have they not been adjusting their operational plans to coincide with the evolving market? It looks like they’re desperately trying to keep the ship afloat, by piling rate increases onto the masses of people who can’t afford to join the solar club.

I Have a Much Better Solution

1. Use the list of single-click links in my previous blog posting to email every City Council member and the Mayor. Ask them to cancel the proposed rate increase. The record daily highs and record high overnight lows this summer are producing historically high electric bills. This will easily shore up Austin Energy’s revenues.

2. The City Council owes it to the citizens to hold a series of public engagement sessions to evaluate the best path forward for Austin Energy. As for the ongoing formal rate hearing process – Nip it, Snip it, STRIP it! A new City Council will be sworn in next January. Why suffer through the agony of the other kind of swearing, that would accompany a raucous and contentious electric rate battle this fall? Citizens and small businesses are already being crushed by high summer bills.

3. Ausin Energy is the most important asset that our city owns. It provides us with electricity. But it is also a vital revenue source for the City’s general fund. Their financial dilemma needs to be carefully evaluated by our new Mayor and City Council. And most importantly, you and I and our friends and neighbors deserve a seat at the table!

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Call To Action – Let’s STRIP Austin’s Electric Rate Increase Proposal!

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By Bill Oakey – July 25, 2022

On Friday July 22nd, KXAN-TV News aired a story about our oppressively high summer electric bills. The historic triple-digit heat has led to these burdensome bills, that are straining family budgets at a time of record high inflation. But, as I pointed out in the news segment, Austin Energy has a nasty surprise for us, lurking around the corner. They want to pile on a new base rate increase!

In the news interview, I explained that Austin Energy will be sweeping up the highest peak season profits in their history, from May through September. This will pour tens of millions of extra dollars into their coffers, well above their current year’s budget. The City Council will have every reason to nip the rate increase in the bud, as well they should.

But my jaw dropped to the floor, as I listened to Austin Energy’s response to that suggestion on KXAN. Here are their misleading and faulty arguments:

1. We don’t make any profits. The extra revenue is returned to the City.

2. We will earn extra revenue, but we also have additional expenses, with “the high cost of energy.”

The full costs of fuel and ERCOT power purchases are passed through to us, the customers. That charge appears on the Power Supply Adjustment line on our electric bills. The summer demand surge will undoubtedly push the charge higher. The fixed monthly amount is modified each year in November.

It’s true that Austin Energy’s revenue transfers to the general fund are not the same as a private business profit. But, here we’re talking about a revenue surplus – a windfall. In a recession or a time of high inflation, the revenue surplus can be used to keep customer rates stable. (Hint for the City Council)!

Imagine this historic seasonal windfall, with a new base rate increase stacked on top of it! That would generate even more tens of millions of extra revenue – every year. There are suspicions that the City wants to dodge the Legislative property tax cap with higher general fund transfers.

Here’s The Rub – Get Ready for a Snub!

The rate increase proposal would shift some base rate costs away from big businesses, onto residential ratepayers. And it would upend the residential rate tiers, pushing higher costs onto low and middle-income folks. We simply can’t let that happen! It’s a slap in the face in a city with extreme income inequality and an affordability crisis, plus high inflation.

It’s Time For a Call to Action!

S-T-R-I-P: Stop The Rate Increase Proposal

Nip It, Skip It, STRIP It!

My plan is to meet with neighborhood groups and civic organizations across the City, to explain what’s going on here. This is my fifth decade of affordability activism. I served on the City Electric Utility Commission from 1985-1990. This time around, we may have a victory in the palm of our hands. There are four City Council seats and the Mayor’s race on the ballot in November. Even if the current City Council adopts the lopsidedly unfair rate proposal, the new Council could scale it back or STRIP it completely. It’s up to you and me and our friends and neighbors, to elect a consumer-friendly Mayor and City Council. We can do it! Any future rate increase must not penalize small users, and it must protect residential and small business ratepayers!

Here’s What You Can Do to Help

1. Contact every City Council member and the Mayor. Ask them to STRIP (Ooooh!…They can do some of it behind closed doors, subject to the open meetings law limitations).

2. Ask the City Council to put senior discounts on the fixed customer charges for every category on our utility bills. It’s high time for the City to help our longtime residents.

3. Alert your friends, family, neighbors and co-workers. Send them the link to this blog piece.

4. Subscribe to this blog to stay up to date on our path to victory. A convenient STRIP Guide will soon be made available. It will tell it like it is in plain, simple language. The veil of special interest subterfuge will be peeled away and clearly exposed. We will wrestle our publicity-owned utility away from the special interests, and give it back to the people!

Use These One-Click Links to Send Emails to the City Council:

Mayor Steve Adler steve.adler@austintexas.gov
1. District 1 – Natasha Harper-Madison natasha.madison@austintexas.gov
2. District 2 – Vanessa Fuentes vanessa.fuentes@austintexas.gov
3. District 3 – Sabino “Pio” Renteria sabino.renteria@austintexas.gov
4, District 4 – Jose “Chio” Vela jose.vela@austintexas.gov
5. District 5 – Ann Kitchen ann.kitchen@austintexas.gov
6. District 6 – Mackenzie Kelly mackenzie.kelly@austintexas.gov
7. District 7 – Leslie Pool leslie.pool@austintexas.gov
8. District 8 – Paige Ellis paige.ellis@austintexas.gov
9. District 9 – Kathie Tovo kathie.tovo@austintexas.gov
10. District 10 – Mayor Pro Tem Alison Alter alison.alter@austintexas.gov

Musical Accompaniment for This Blog Posting:

1. “Let’s Call The Whole Thing Off” – Harry Connick Jr., from “When Harry Met Sally”
2. “The Stripper” – David Rose, 1962 #1 song
3. “Behind Closed Doors” – Charlie Rich
4. “The Streak” – Ray Stevens
5. “Heat Wave” – Martha & the Vandellas
6. “Windfall” – Rick Nelson
7. “77 Sunset Strip” – Don Ralke
8. “Tell It Like It Is” – Aaron Neville
9. “The High Cost Of Living” – Wood’s Tea Company
10. “When The Lights Go On Again” – Mary Duff

An Open Letter To City Hall

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By Bill Oakey – May 7, 2021

A Quick Background Summary

I have been a community taxpayer advocate since 1983. I have recently urged the Austin City Council to allocate a significant portion of their $195 million in Federal COVID Rescue Plan Funds to cover the City’s budget shortfall, and reduce or eliminate any property tax increase in the upcoming City Budget. So far, I have run smack into a brick wall. They never even thought of what I’m suggesting, and the City’s CFO has asked the City for authorization to raise taxes all the way to 8%, instead of using the Federal money. Please go to the home page of this blog and scroll down to earlier postings for more details.

Please Send Me Your Hardship Stories…

Use the Comments section of this blog, or email me. If you or someone you know is facing difficulties with this year’s high tax appraisals, send me their stories. Do you know a landlord who cannot afford to keep their property because they can’t raise the rent high enough to cover the taxes? Or someone who could be forced to give up their own home? Or a small business that will have to close if their taxes continue to rise beyond reason? I will compile these stories and submit them to each member of the City Council. It is HIGH TIME that longterm Austin residents and our iconic business owners had their voices heard at City Hall!

Read On, And Let’s Break Through That City Hall Brick Wall!

On Wednesday, I met with a City Council policy advisor. It did not go well. And I’m afraid that many others at City Hall have had their heads dunked into the same sour vat of faulty reasoning. The comments below are addressed to all of them. The last part is a fervent appeal to anyone at City Hall who might be willing to wake up and see what is happening around them.

Hello to Anyone Listening at City Hall,

I don’t know where you are getting your advice from. But they steered you in the completely wrong direction. Their mode of thinking will make our City’s financial condition much worse than it is today. You won’t have to take my word for it. You will see it unfold yourself, and it will not be a pretty picture!

If you and the people who have influenced you cannot see that $195 million in aid from the Federal government can help a City mitigate their financial difficulties, then maybe you and they are beyond help. There are many other cities that saw it several months ago, and they are taking the obvious and correct actions. This is not just about lowering taxes. The Federal money needs to be applied towards shoring up the city’s financial foundation, regardless of where you set the tax rate.

Providing tax relief during a recession and a pandemic is a separate issue. And it’s one that should be considered as well. It could only be done for a year or two, but THAT’S WHAT A RECOVERY IS. It’s a temporary thing. If you don’t want to cut the effective tax rate to zero, then cut it to 1%.

Do not obsess over the limitations placed on the City by the State Legislature. If you are concerned that their limit on raising taxes will hurt the City’s financial condition long term, then get this. That’s all the more reason to shore up the budget now with Federal money. That’s a major reason why Congress passed the American Rescue Plan in the first place!

You have the information on the other cities that are following the correct path. You can choose to ignore it. Or, you can choose to dissect each of those cities’ plans, and conjure up reasons why Austin’s situation is somehow different. But it won’t change the reality. Austin is in financial trouble, for all of the reasons that you pointed out. But refusing to take advantage of a large infusion of money that could provide relief to the citizens makes no sense at all.

Please do not think that what I am telling you is coming from me alone. This is not about one person sitting at home with a blog. A large number of people across the City are involved in this effort – because they care about Austin. All of them can easily see a few simple facts:

1. Austin’s bond rating has already been lowered once. We cannot afford to pass up the opportunity to prevent it from being lowered further.

2. Spending nearly all of the Federal money on the homeless and other social programs would be a very bad idea. There is plenty available to take care of those needs AND shore up the City budget too.

3. In my meeting on Wednesday, I was told 15 or 20 times that the City cannot afford to lower taxes because of Austin’s debt, contracts with City workers and the City’s structural financial weakness. If that is the case, then please tell the community HOW IN THE WORLD we can possibly afford billions in additional debt for Project (Dis)Connect??!!

4. The high tax appraisals and looming tax increases facing homeowners and small businesses are not on the City Council’s radar at all. You can’t address a problem until you make it a top priority. It is long past time for at least one or two City Council members to stand up publicly and finally take notice! Which one or two of our City Council members will it be?

Please use this single-click link to email the Mayor and City Council. Forward this blog piece to your friends, post it on social media, and ask your friends to do the same.

Mayor Steve Adler

Mayor Pro Tem Natasha Harper-Madison

Council Member Vanessa Fuentes

Council Member Mackenzie Kelly

Council Member Sabino “Pio” Renteria

Council Member Paige Ellis

Council Member, Leslie Pool

Council Member Kathie Tovo

Council Member Gregorio “Greg” Casar

Council Member Ann Kitchen

Council Member Alison Alter

You Can Help Win The Taxpayer Battle!

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By Bill Oakey – April 28, 2021

Let’s cut right to the chase. We now have the facts we need to win a taxpayer victory, with the Federal Rescue Plan funds. The City will have to recognize that an 8% maximum tax increase won’t be necessary in the upcoming budget. They can simply cover the shortfall with the Federal funds. You’re going to be amazed, when you see how obvious the evidence looks:

1. Houston – City Controller Chris Brown says, “A $615 million influx of federal funds will help Houston stave off a potentially disastrous budget season.”

2. New Orleans – Officials said that they hope to stretch the funds to cover what could be years of budget shortfalls from the drop-off in tourism and sales taxes.

3. Grand Rapids, Michigan – Proposed budget shortfalls offset by American Rescue Plan

4. Memphis – This is the clincher! Mayor Strickland: “Federal funds will go to budget shortfalls, the tax rate will go down.”

5. Kansas City, Missouri – Received $195 million, exactly what Austin got! They will use it to restore budget cuts and enhance public services.

Check out my clumsy attempt at poetry, and then hit the single-click link to send an email to the Mayor and all 10 City Council members.

What’s wrong with some of our local officials?
Are they too inept to even write their initials?
All they have to do is look around
The solution is right there, so easily found

From Memphis to Grand Rapids, and towns in between
They’re applying Federal funds to their budgets so lean
In Austin where homes are so hard to afford
They just want to tax us, good gracious, Good Lord!

I research this stuff in the dead of night
And I’m nowhere near ready to give up the fight!
So, City Council members and County Commissioners too
The taxpayers are advancing, you know what to do!

Please use this single-click link to email the Mayor and City Council. Be polite, ask them to do right, and we can win this fight!

Then share this blog piece with everyone you know, and post it on social media.

Musical Accompaniment For This Blog Piece:

1. “Memphis” – Johnny Rivers
2. “Way Down Yonder In New Orleans”– Freddy Cannon
3. “Houston” – Dean Martin
4. “Saginaw, Michigan” – Lefty Frizzell
5. “Kansas City” – Wilbert Harrison
6. “Walkin’ To Missouri” – Sammy Kaye, 1952. First record in my music collection, at age 5

Taxpayer Alert – City Considers 8% Property Tax Hike, Instead Of Using COVID Rescue Funds!

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By Bill Oakey – April 26,  2021

Before the ink was barely dry on tens of thousands of shockingly high Austin property tax appraisals, City budget officials crafted a startling and alarming memo to the City Council. First reported by KXAN News last Thursday, the memo describes a purported $23 million shortfall in the upcoming City budget that will be hammered out this summer.

Despite Receiving $195.8 Million in American Rescue Plan Funds, Chief Financial Officer Suggests 8% Tax Increase!

The Texas Legislature has placed a 3.5% revenue cap on City and County tax increases. But, there is an exception to the tax law. I had to rub my eyes and blink twice to believe that I read his words correctly. But this is what Austin CFO, Ed Van Eenoo said to KXAN News:

“Essentially the language says that, you know, if there’s a disaster declaration, the year of that disaster declaration and the subsequent year, cities have the opportunity to go to the 8% increase,” Van Eenoo said. He estimates that change would result in about $15 to $20 million more in revenue for the city.

He Forgot to Mention That Austin Received $195.8 Million In  COVID Rescue Plan Funds!

The City has a special webpage that celebrates the huge Federal windfall. But you won’t find a single word about using it to provide critical property tax relief for homeowners and small businesses. Are they completely out of their minds?! The spending plan includes these categories: Public Health, Economic Recovery Resources, Hotel Occupancy Tax-Funded Services and Contingency. The $39.2 million contingency is for “unanticipated events.”

Well, Guess What…The “Unanticipated Event” Contingency Would Wipe Out the City’s Budget Shortfall

Or, the City could easily adjust some of the other non-health categories. The disturbing memo that the Budget Office sent to the City Council on April 16 echoes the CFO’s bizarre obsession with raising taxes to the 8% legal maximum. Here is the very first “Action Item” in the memo:

“Council must take action to direct that the voter‐approval rate be calculated using the higher, 8% increase factor. This initial action does not require that Council ultimately adopt a property tax rate at this higher level, but this direction must be given in order for Council to retain the option to do so during its budget adoption proceedings in August.”

The memo also lays out a parade of fee increases, stretching over the next five years! And don’t forget this year’s 23% tax increase for the Project Connect boondoggle!

Please Join With Me. Let’s Unite Behind a Much Better Property Tax Increase Amount:

Use This Single-Click Link to Email the Mayor and All 10 City Council Members

Tell them you support a zero property tax increase and zero fee increases in the upcoming City Budget. Be sure to ask for a zero increase in the “effective tax rate.” That would actually lower the rate that goes on your tax bill, and help offset the huge tax appraisal increases. It’s a no-brainer to use a portion of the American Rescue Plan (ARP) funds to bring tax relief to struggling Austin homeowners and small businesses.

Keep in mind that 6 City Council seats are up for election next year! Share this blog link with all of your friends, and post it to social media.

The Brookings Institution Recommends That Cities Use ARP Funds to Cover Budget Shortfalls

You may hear excuses for why tax relief can’t be done, or why it isn’t a good idea. That is poppycock! Here is what the Brookings Institution says about it:

“Based on our on-the-ground work in Northeast Ohio and Birmingham, Ala., we believe that elected officials—and the networks of civic, business, philanthropic, and community stakeholders that surround them—should take a three-pronged approach to using their ARP funding: stabilize, strategize, and organize. Stabilize – ARP provides state and local governments with the resources to stabilize their operating budgets.”

Raising Taxes As High As Possible Is Embedded In the City’s Bureaucratic Culture

Starting the budget process with the highest possible tax increase is like giving a teenager a $100 bill to go to the movies, and hoping he will bring back $86. The City’s motto seems to be “Raise taxes first, and ask questions later.” It is time for every homeowner and small business owner to rise up and stop that nonsense dead in its tracks!

Musical Accompaniment for This Blog Piece:

1. “Rescue Me” – Fontella Bass, original version, 1965
2. “Love Minus Zero / No Limit” – Joan Baez, written by Bob Dylan
3. “Zero Zero” – Bent Fabric
4. “Emotional Rescue” – The Rolling Stones
5. “Rescue Me” – Linda Ronstadt, 1972

The School Property Tax Double Whammy – Please Spread The Word On This!

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By Bill Oakey – February 21, 2018

I have said this before, and I’ll say it again. AISD’s property taxes are the single biggest threat to Austin affordability. Nothing else even comes close. But if you thought the Robin Hood funding disparity was the only issue, guess what…That is only half of the problem. Each half of the problem is pretty scary, but taken together it’s a disaster. So, as soon as you finish reading this, please share it with as many people as you can. Our only hope in surviving the disaster is if enough people get motivated to speak out against it.

The State of Texas Is Double-Dipping on Your School Property Taxes…Here’s How It Works

Several years ago, the total State share of public school funding was 50%. The rest came from local property tax dollars. And as you know, big cities like Austin have to send back hundreds of millions of dollars each year in Robin Hood “recapture” payments. ($533 million this year). Those funds go to “property poor” school districts.

Every year for the past several years, our property appraisals have been going up. This is happening in all of the big cities that contribute to the Robin Hood system. That has caused school property taxes to skyrocket. And that’s where the double whammy comes in. The State is siphoning off this windfall of extra revenue, and spending it for non-educational items in the budget.

Here’s how it works. Technically, all of the Robin Hood revenue does flow to the property-poor school districts. But each year, as the pot of recapture money increases, the State decreases its share of public school funding. The “leftover money” from reducing public school funding gets spent on other items in the budget. This is a backdoor method of enacting a full-blown statewide property tax! That type of tax is unconstitutional, and it was ruled unconstitutional by the lower court. Then, the Texas Supreme Court ruled that it is constitutional, but “badly flawed.”

Let’s Take a Look At the Seismic Shift In State School Funding

State Representative Donna Howard’s office prepared this graphic that illustrates the problem. Here are the highlights:

  1. The State contribution to public school funding sinks from 45.3% to 31.7% from 2011 to the projection for 2019.
  2. The local property tax share shoots up from 54.7% to a projected 68.3% in the same period
  3. School property taxes make up 54% of your property tax bill.

Here’s how that looks in actual dollars for the same 8-year period:

  1. Local property tax share increases by $7 billion
  2. State share decreases by $3 billion

If you think all over those numbers look scary, just consider this – Every single one of them will get worse every single year unless we organize and mobilize to push for reforms!

Is the Robin Hood System Bad, Or Is It REALLY Bad?

These figures come from the AISD website. And remember, Robin Hood is only half of the double whammy…

  1. AISD is projected to send nearly $2.6 billion in recapture payments to the State between 2016 and 2020.
  2. By 2019, more than half of AISD’s local school property tax dollars will be sent back to the State

How Does Texas Public School Funding Compare With Other States?

On a national basis, Texas looks pitiful. You would think that business leaders would be the first to demand better educated candidates to fill critical jobs. But in Texas, “business-friendly” means lower taxes and less regulation. I would encourage these folks to take a hard, sobering look at some of these numbers. The U.S. Census Bureau’s latest report shows these rankings for per-student public school spending in fiscal year 2015. (Imagine how bad it must be now!)

  1. State funding per student: Texas ranked #47, with $4,189
  2. Local property tax funding per student: Texas ranked #19, with $5,716

What Are Our State Politicians Doing About This?

Some would like to spend more money on charter schools and less on public schools. And some want to restore the State share of public school funding to at least 50%. That’s where it was before the real estate boom caused the annual explosion of our property appraisals. But there is a cruel irony in all of this.

Gov. Greg Abbott and Lt. Governor Dan Patrick are blaming your high property taxes on cities and counties. They are running their reelection campaigns on a promise to put a cap on the revenue that cities and counties can raise through property taxes.  This is a slick political trick that takes the growing public frustration over high property taxes and spins it upside down and backwards.

The State school financing system is the problem! And if it continues on its current path, Austin taxpayers will indeed face a true disaster. I contend that it is simply not sustainable. Unless enough wealthy people move here to completely displace nearly everyone who has lived in Austin for more than ten years or so. And after a while, even those newcomers would start to fume over the property taxes. The projected numbers are staggering.

Here’s What You Can Do to Help

  1. If you get a flier in the mail from anybody running for office that promises property tax reform by blaming it on city or county taxes, stick it right here:
  2. Send this blog post to every pertinent organization that you belong to. Encourage them to distribute it to all of their members. If they have regular meetings, ask them to put it on their upcoming agenda for discussion. Invite good speakers to make a presentation.
  3. Make sure that you and your family and friends vote for candidates that recognize and admit the true cause of high property taxes!

Finally, Here Are Two Things That We Need to Fight For

  1. The Robin Hood recapture system needs to be reformed to make it fairer for Austin and the other big cities. Austin has a huge number of students living in poverty.
  2. The State needs to stop double-dipping on our local school property taxes. They need to increase the State share of funding for public schools back to at least 50%, if not more.

Seniors Get Shafted On Social Security Cost of Living Increase!

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By Bill Oakey – January 8, 2018

Austinites who receive a monthly Social Security check may have heard the news reports that they will finally be getting a cost of living adjustment, starting this month. The 2018 cost of living increase will be 2%. This was very welcome news to hear, since the annual adjustment was a big fat zero in 2016.

Then it was a paltry .3% in 2017. In this chart, the Social Security Administration lists the annual cost of living (COLA) increases announced at the end of each year. They take effect beginning in January of the following year. So, it would appear that for 2018 we will be getting a 2% raise, starting “on or about January 24th,” according to the notice they sent out by mail.

But Instead Of a 2% Raise, We Will Be Getting the Royal Shaft!

The Social Security notice that came in the mail includes a nasty little surprise. They are hiking the Medicare deduction! So, using mine as an example, the Social Security cost of living increase is $27.00. But the Medicare deduction got jacked up by $25.00. That leaves me with a whole, great big $2.00 monthly increase. The best advice that I can give to everyone else out there is this: Don’t spend it all in one place! In fact, I’ve been told that I may be one of the lucky ones. Three people close to me got no net increase at all – zero, zip, nada!

Last October, the Chicago Tribune warned that the 2018 Medicare increases “would hit large numbers of low-income individuals who struggle to make ends meet.” The article cites a new study by the Senior Citizens League. The study revealed that seniors have lost one-third of their buying power since 2000, as Social Security cost-of-living adjustments have flattened and health care and housing costs have soared. Check out this blistering op-ed in the L.A. Times. The screws are tightening in several areas, with perhaps little hope from Congress.

You Should Contact Your Central Texas Congress Person

Take a stand and ask that Congress act now to provide a meaningful Social Security increase. Here are the names and phone numbers to call:

Rep. Lloyd Doggett: 512-916-5921

Rep. Roger Williams: 512-473-8910

Rep. Lamar Smith: 512-912-7508

Rep. Michael McCall: 512-473-2357

What Is Your Cost of Living Increase If You Are a Retired Teacher or a Retired State Employee?

The answer to that question does not require any math skills at all. You don’t need a calculator, and you don’t even have to count on your fingers. Those of us who worked all our adult lives as Texas teachers or State employees have not received any annual cost of living increase since 2001!

Musical Accompaniment for This Blog Piece:

  1. “Theme From Shaft” – Isaac Hayes
  2. “Love Minus Zero / No Limit” – Joan Baez (written by Bob Dylan)
  3. “Zero Zero” – Bent Fabric
  4. “Down to Zero” – Joan Armatrading
  5. “Less Than Zero” – Elvis Costello

City Council Rejects Police Contract – But Will They Trim The Cost?

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By Bill Oakey – December 14, 2017

The late-night vote to send the contract back to negotiations was unanimous. And unprecedented. It came after seven hours of heated public testimony from both sides in the debate. This is the first time a City Council has ever rejected a police contract. Here’s the bottom line…

We Have Until March 22 to Implore the City Council Not to Let the New Contract Double Our Property Taxes Every 9 Years!

This issue is also about improved public oversight of the police. But for hundreds of thousands of taxpayers who are struggling with the taxes we already pay, we face a very real danger. The police negotiators will continue to demand higher pay in exchange for the reforms in citizen oversight.

What Is Wrong With This Picture?

I ask everyone reading this to please grab a pen and write down eight critical words – How do they do it in other cities? Put that scrap of paper in your wallet or purse. Then, every time you meet a City Council member, pull out that note and read the critical question out loud – How do they do it in other cities? What’s wrong with the picture in the police contract discussions is this:

1. Austin already has the highest police salaries in the State of Texas.

2. Our standards for public oversight of police are among the lowest in the country.

What Were the Scariest Moments in Last Night’s Meeting?

Over and over again, I kept hearing the same line of talk. Look at these variations on a single theme, straight from the Council dais and from the lips of the speakers:

1. “If we add X number of officers over the next five years, how much money will be left in the General fund for other programs?”

2. “If these new benefits are kept in the contract, will we end up with more or less money to spend in the General Fund than we were able to spend this year?”

Every time I heard a question like that, I knew something scary that is fundamental for every taxpayer to know…

City Officials Are Assuming That Raising Property Taxes to the 8% Legal Maximum Is the New Normal!

When Council members asked, “Can we afford this in the police contract, or can we afford that,” here’s what they meant by “afford.” They wanted to know if the “leftover money” after the contract was paid would be enough to cover the other services that the City normally provides. Plus all the new spending items from goals that the Council has set. All of this assumes the same chilling fact. The City expects to hit the maximum allowed 8% property tax rate every year going forward. And if that happens, your City taxes will double every 9 years.

How Can We As Taxpayers Stop This Cost Spiral?

1. Email and call City Council members. Ask them to reduce the unaffordable pay raises in the police contract.

2. Ask them to establish more reasonable boundaries for the pay raises.

3. Ask them to communicate those boundaries to the police and the City negotiating staff BEFORE the negotiations even begin.

4. Above all, ask the City Council to let the negotiators know that bringing our police accountability standards up to the nationally accepted level DOES NOT require granting unaffordable pay raises!

5. Don’t ask the City Counci…Tell them…That there is no such thing as “leftover money” in the City Budget. They need to overhaul their thinking and adopt a whole new set of goals. Doubling our property taxes every 9 years MUST NOT be an option. Would everyone please pause and take a look at the subtitle of my blog at the top of this page. It says this…

Let’s Put the Public’s Ability to Pay Into Austin’s Planning Process

Every City Council member should ask themselves one little question before they tuck themselves into bed tonight…When was the last time period that most of their constituents got annual pay raises, year after year, equal to what they as taxpayers are giving to City employees? Then, let them drift peacefully off to sleep and have pleasant dreams.

Can Someone Step Forward and Save the Pump Project?

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Follow on Twitter – @AAffordability

By Bill Oakey – November 20, 2017

The highly acclaimed East Austin Studio Tour (EAST) got a nasty jolt this past weekend when the large group of artists at the Pump Project were greeted with devastating news. They may have to pack up and leave their coveted studios by sometime in April. A sale of the property is in the works. This comes on the heels of a very expensive remodeling of the facility just a couple of years ago.

This is an opportunity for the City and local business leaders to come together quickly and find a solution, before it’s too late. Does the City have any tools available that can be put into action soon enough to help? Fortunately, I have several affordability meetings, starting tomorrow with the Mayor’s Office and several other Council members. I will be asking that question. One thing I plan to suggest is that they utilize their business contacts to see if a philanthropic art supporter or group could step forward and help. I would also hope that they would reach out to the Greater Austin Chamber of Commerce. The worst-case scenario would be a domino effect that would threaten the survival of the EAST festival.

Below is the front page notice on the Pump Project’s website:

Pump No More
11/17/2017

DONATE TO OUR RELOCATION FUND
​
For over a decade, Pump Project Art Complex has been proud to call the bright yellow warehouse on Shady Lane home. This big, old building has been our place for community and creativity for 12 years.

Our plan was to raise money for the needed CODE improvements – but the landlord has now decided against renewing our lease.

While we are still seeking a way in which we might be able to stay in our iconic big bright yellow building, it’s a longshot, so we have decided to refocus our efforts on relocating.

Over the next few months, we will be looking for a new home – we are asking all those who support the artist community here in Austin to donate whatever you can to help Pump Project in this effort.

Donate

WHO WE ARE
We are a group of over 40 artists and craftspeople who call Pump Project Art Complex home. Pump Project Art Complex is a 501(c)3 non-profit, East Austin art space that provides working studios and gallery facilities to emerging and established artists.
Our story began in in 2005 as Shady Tree Studios with a few artists, an old empty warehouse, and a substantial amount of initiative. In the past twelve years Pump Project has become a staple of the Austin art community. We serve the community with year-round art exhibition programming in our 1,000 sq. ft. gallery space. We are also a major stop on the East Austin Studio Tour each year, a testament to the great work of our members and the encouraging culture that Austin has for its artists.
Over the last 12 years, we have provided exhibition facilities and affordable studio space for hundreds of artists in the Austin community, and we are very proud of the work we have done. Your donation, in any amount, will help us in our efforts to relocate and to keep our community going.

Musical Accompaniment for This Blog Piece:

  1. “The Naughty Lady of Shady Lane” – The Ames Brothers, or the Archie Bleyer version
  2. “(I’ll Be There) Before the Next Teardrop Falls” – Freddy Fender
  3. “Help” – The Beatles
  4. “Pictures and Paintings” – Charlie Rich
  5. “Just In Time” – Frank Sinatra
  6. “Wrecking Ball” – Emmylou Harris
  7. “25 Minutes to Go” – Johnny Cash (In honor of Threadgill’s on Riverside for getting a stay of execution from their landlord)

Are You Ready For Only Two Car Lanes On South Lamar?

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Follow on Twitter – @AAffordability

By Bill Oakey – November 19, 2017

Update: I have been advised by a top City official that the elements described in the City report cited here are recommendations, rather than a final plan. However, the recommendations may carry a significant amount of weight. It will be up to folks in the community to stay actively engaged. We have an important opportunity to discuss our feelings about the recommendations and to let our voices be heard.

Unless people organize and speak out really fast, we will end up with ONLY ONE CAR LANE IN EACH DIRECTION ON SOUTH LAMAR, from Riverside Dr. to Ben White. This is one of the City’s corridor plans, to be funded by the 2016 mobility bonds approved by voters. These plans were originally based on the assumption that Austin would get a citywide rail system, which now would probably cost at least $15-$20 billion.

The South Lamar Plan includes:

– A loss of 3.3 miles of travel lanes.

– One bike lane in each direction.

– One BUS-ONLY lane in each direction. The official project report states that these lanes would be transit-only “during peak hours, when supported by ridership (See Page 6-17 of the report). Capital Metro just eliminated 13 bus routes. So, good luck taking the bus to work.

– Not one, not two, but THREE medians in some places, with pretty trees (taxpayer cost to maintain the trees not disclosed).

– The medians will replace the continuous turn lanes and will CUT OFF ACCESS TO BUSINESSES!

– The number of medians varies on different stretches of the road.

– Most intersections will have separate turn lanes.

– Oh, and one last “improvement” – ONE LANE IN EACH DIRECTION LEFT FOR CARS! (Except during peak hours – maybe).

And you thought you voted for those mobility bonds to relieve traffic congestion?

If you want to avoid total gridlock, perhaps you could quit your job and drive on S. Lamar during the middle of the day. Hey, Lamar is the busiest non-highway, north-south roadway in the City. It is simply NOT WIDE ENOUGH to give up traffic lanes. In addition:

1. South Lamar can barely handle the traffic it has now!

2. Rapid-speed buses may help some, but future growth will obviously create increased congestion. If a dam were about to burst, would you spend millions of dollars to REDUCE the structural supports on that dam?

3. The idea that most of the throngs of new people moving here won’t be using cars is either:
a. Poppycock b. Horsefeathers or, for our British friends, c. Tommyrot.

But Wait – There’s a Study That Explains Everything…

A university study, cited below this section, offers a somewhat comical response to business concerns over the raised medians. My favorite quote: “The typical business may be able to overcome some reduction of access if it offers good, reliable service.” Hmm! Clearly, such a massive road overhaul would demand good coordination between City officials and concerned businesses.

Homeowners have the option of surrendering their houses to the bulldozers and moving into a new high-rise on South Lamar. Right next to the traffic noise. The rent will cost two or three times your mortgage. But you will be able to walk, skateboard or bike your way up to the hoity-toity shops that sell designer ice cream for $15 a scoop and $1,500 women’s handbags.

To learn more about all of the City’s corridor bond projects, sign up for newsletters, or to provide feedback, click here. To read the official recommendations for South Lamar, click here. Below is an Austin American-Statesman summary of all the corridor plans. It shows that 15 lane-miles will be eliminated.

Austin Bond Plan Includes Both More and Fewer Car Lanes
By Ben Wear, Austin American-Statesman, Saturday, October 01, 2016

Paul Counter has heard what the city has in mind for South Lamar Boulevard, about how the center “chicken lane” his customers use to get into and out of Matt’s El Rancho’s parking lot would be replaced with a raised median that would cut off left turns. He’s not happy about it.

“I’m confused as to how taking out the center turn lane is a good thing,” said Counter, the restaurant’s general manager. “It’s really frustrating when you’re trying to operate a business and this sort of stuff is going on.”

If the city of Austin’s $720 million transportation bond passes Nov. 8, that sort of stuff, and a lot of other changes to major Austin roads, would go on over the next six to eight years. At least 14 miles of travel lanes would be added in various places, while roughly 15 lane-miles would be lost to through traffic in other spots, mostly to make way for buses.

Another 20 lane-miles of continuous center turn lanes — like the one on South Lamar — would be replaced with center medians that would limit where traffic can turn. The city and its engineers see this change as a beneficial trade-off, speeding traffic and cutting accidents even as it reduces access to businesses along the road.

Mayor Steve Adler, whose staff shepherded the bond proposal through a gantlet of community groups and then the City Council, said the proposed “smart corridor” changes, even with the lost lanes, would improve traffic congestion and safety.

In at least one case, East Riverside Drive, Adler said the proposed elimination of two lanes to make way for bus-only lanes would be subject to review to make sure that it reduces traffic congestion rather than exacerbates it.

“There is a choice and a trade-off with all things that government does,” Adler said last week in an interview with the American-Statesman. “Sometimes, there’s a prioritization that has to be made between congestion relief and the wishes of some businesses along the road.”

What goes where

The bond proposal has three major elements: a $482 million piece that would provide money for overhauls of major roads like South Lamar; $137 million for bike, sidewalk, trail, safety and repair projects on streets throughout the city; and $101 million for expansions of several highways and major roads in West and Northwest Austin.

That last piece would actually add length to the local road system, perhaps as much as 15 lane-miles on Parmer Lane, Spicewood Springs Road, RM 620 and RM 2222.

Those projects include construction of a short bypass road from RM 620 to RM 2222 to the east, along with added lanes on both roads. Engineers believe this project could significantly reduce a miles-long morning backup for commuters and those headed to Vandegrift High School.

On the other side of the coin, the corridor program would dedicate some travel lanes to buses and replace the continuous center turn lanes with those limited-access medians. Adler argues the turn lane changes would allow traffic to flow faster, smoother and with fewer fender-benders, as people getting in and out of the center turn lanes cause constant minor slowdowns that add up to significant congestion.

Findings on delays, safety

A 1997 University of Nebraska study, commissioned by the federal Transportation Research Board, provides some backup to the mayor’s assertions, at least on safety.

The researchers compared the traffic and safety conditions of four-lane roads, five-lane roads with a two-way turn lane and four-lane roads with center medians. The undivided four-lane roads, with people backing up traffic in the inner lane to make lefts, were both much slower and more dangerous than the other alternatives.

But between the two choices at play in the bond proposition — a road with a center turn lane or with a median — the two designs “yield similar delays,” the 143-page study says. The raised medians, however, have “slightly higher delays” in areas with heavy traffic volumes or an unusual volume of left-turns.

Those delays can become significant if the left turn bays cut into that median are not sufficiently long to allow turners to queue up, University of Texas transportation professor Randy Machemehl told the Statesman. If the bays are too short, he said, “it takes a lane out of service.”

The study also said streets with the medians “appear to be associated with fewer accidents” than those with center turn lanes, particularly when traffic volume tops 20,000 vehicles a day. All four of the affected Austin corridors are well above that traffic level, according to 2014 counts. The study acknowledges adding raised medians can hurt businesses, but it said “the typical business may be able to overcome some reduction of access if it offers good, reliable service.”

Inconvenient but beneficial

Roger Falk with the Travis County Taxpayers Union, which opposes the bond proposition, called it “a heartless plan with regard to those businesses” along the corridors. People will need to make U-turns to reach restaurants and stores on the opposite side of the road, he said, either increasing traffic use or discouraging people from visiting the businesses.

But Ward Tisdale, president of the Real Estate Council of Austin, one of several business groups to endorse the bond proposition, said updating city arterials, including with added bike lanes and wider sidewalks, will encourage dense development in the central city. The city needs the housing and the property taxes growing from the development, he said.

“On the whole, it’s going to be beneficial in getting people from point A to point B in Austin, and it is long overdue,” Tisdale said. “We’ve got to take the blinders off. People move to Austin, Texas. They always have. So we have to plan for them this time, and stop pretending this city isn’t changing.”

But that change will take a toll for some, including during the inevitably disruptive construction phase. Counter, with Matt’s El Rancho, said the iconic Tex-Mex restaurant would be able to weather the change. “It’ll be inconvenient for our guests, but I don’t think it’s going to hurt us that much because people are willing to wait an hour for a table,” he said. “People will find a way to get here. But I feel bad for some of the mom-and-pop businesses.”

CHANGING LANES

The road proposals in Austin’s $720 million bond would in some cases replace traffic lanes with bus-only lanes, parking or bikeways. In several of the “smart corridor” plans, continuous center turn lanes would be replaced with raised, vegetated medians. The bond proposals also include lane additions in a few cases.

Lost travel lanes (approximately 15 lane-miles)

East Riverside Drive (I-35 to Texas 71, 3 miles): One travel lane each way replaced by bus-only lanes.

South Lamar Boulevard (Riverside Drive to Ben White Boulevard, 3.3 miles): One lane in each direction becomes bus-only during rush hours.

Guadalupe Street (MLK Jr. Boulevard to West 29th Street, 1 mile): One lane each direction replaced by bus-only lanes.

Lost center turn lanes, replaced by medians (approximately 20 lane miles)

South Lamar Boulevard (3.3 miles)

North Lamar Boulevard (U.S. 183 to Parmer Lane, 5 miles)

Airport Boulevard (Lamar Boulevard to U.S 183, 6.5 miles)

Burnet Road (Koenig Lane to MoPac Boulevard, 5 miles)

Added lanes (at least 14 lane-miles)

Martin Luther King Jr. Boulevard (U.S. 183 to east of Decker Lane, 2 miles): One added lane each direction.

Parmer Lane (Texas 45 North tollway to RM 1431, 3 miles): Added third lane in each direction.

RM 620 to RM 2222 bypass (half-mile): A new four-lane road from RM 620 to RM 2222, plus added northbound lane on RM 620 from Steiner Ranch Boulevard to the bypass, and an added eastbound lane on RM 2222 from the bypass to McNeil Road.

Spicewood Springs Road (west of Mesa Drive to Loop 360, ¾ of a mile): Added lane in each direction.

Loop 360 and Westlake Drive: Build overpass and associated frontage roads.

Source: City of Austin

Musical Accompaniment for This Blog Piece:

  1. “Traffic Jam” – James Taylor
  2. “Another Day of Sun” – From “La La Land”
  3. “Summer In the City” – The Lovin’ Spoonful
  4. “The Road Goes On Forever” – The Highwaymen
  5. “Road Hog” – John D. Loudermilk