Austin City Council approves $6.6B budget for 2026-27

AUSTIN, Texas - The Austin City Council has adopted a $6.6 billion budget for the 2026-27 fiscal year. 

City council said the proposed budget will address ongoing social service funding, housing, homelessness, and public safety.

Dig deeper:

The Austin City Council provided highlights and approved amendments to the proposed budget:

Budget Highlights: 

• $7.8 million toward local housing vouchers.
• $6 million increase in funding for permanent supportive housing wrap-around services.
• $1.2 million in funding for parkland and facility maintenance, as well as operational costs for refurbished pools.
• $5.8 million reduction in funding for software and information technology support as a result of savings from ONE-ATS application rationalization and information technology centralization effort.
• $1.5 million to conduct a City-wide efficiency audit aimed at identifying operational improvements and opportunities for cost savings.
• $6.0 million increase in sworn Fire overtime funding to right-size budget while maintaining four-person staffing requirement.
• $500,000 increase in sworn EMS overtime funding to maintain full operational staffing levels during cadet training periods.

Approved Amendments: 

• Restore social service contract funding levels for an additional year to support community investments for children, families and behavioral health.
• $1.4 million for the creation of the Office of Joint Emergency Communications, including funding for operations, nine staff positions, and technology enhancements.
• $114,521 in reductions to consultant contract spending within Austin Housing and Austin Planning.
• $300,000 in funding for Austin Homeless Strategies and Operations along with three full-time equivalent positions for street and outreach.
• $33 million in planned capital spending for safety improvements within the Austin Transportation and Public Works Capital Budget.
• $3 million in planned capital spending toward construction, renovation, and expansion of facility needs within Austin Animal Services.
• $500,000 for the Violet KeepSafe Storage program to double capacity and open new sites across the City.

Austin City Council speaks on budget

What they're saying:

City council members in support of the budget say some of the final amendments included reducing consultant spending, and redirecting those dollars toward homeless outreach, drink spiking test strips, and a joint emergency communications office.

"In the last few weeks, City staff and the Austin City Council have worked together to come up with solutions to the challenges we face as a community," said City Manager T.C. Broadnax. "This budget takes us forward as a city in a thoughtful and strategic way, focusing on what is important to Austinites, what they value and prioritize."

The other side:

However, Austin Mayor Kirk Watson was one of the few opposing the budget adoption. 

What's next:

The new budget will go into effect in October.