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Austin council confronts $110M revenue shortfall; EMS brownouts, homeless services and social‑service cuts top discussion
Summary
After Prop Q failed, staff told council the general fund faces about $110M less for FY26. Councilmembers pressed for protection of EMS ops and homeless services, asked staff for options to find savings, and heard dozens of public commenters urging restoration of key programs.
Mayor Kirk Watson and budget staff presented a condensed timeline of the council’s schedule and the options for responding to the shortfall created by the failure of Prop Q. Carrie Lang, director of Budget and Organizational Excellence, said the FY26 amended budget reflects roughly $110 million less in general fund revenue due to the tax‑rate vote outcome and that staff reversed a planned $40.5 million transfer to reserves and are using approximately $14.1 million in reserves to balance the year.
Lang walked council through department‑level changes in the proposed amendment: targeted cuts, transfers, and line‑by‑line adjustments to social service contracts, homeless strategy funding, police and fire budgets, and internal services. She told the dais that overall the amended package would keep the city balanced in FY26 and FY27 but showed a…
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