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Following its Truth in Taxation meeting Wednesday night, the Austin city council voted 3-2, with two council members (Laura Helle and Jason Baskin) missing to advance its proposed tax levy and operating budget forward to its next meeting for a final vote.

Council members Mike Postma, Paul Fischer and Joyce Poshusta voted in favor of an 11.97% tax levy increase totaling $9.8 million and a 2025 budget of $49.8 million.

The resulting tax impact for the average homeowner of a $161,100 home will now be an increase of around $75 to $80.

Geoff Baker and Jeff Austin voted against.

Throughout the process, which started in June, it has been a tight vote, requiring at one point a tie-breaking vote by Mayor Steve King to advance it forward.

Later, it seemed as if the tax levy increase might be set as high as 13%, but in September it was announced that the city’s health insurance premium had come in lower than expected, resulting in a $90,000 cut to the budget and a drop to 11.97%.

Driving the higher tax levy is the addition of two new positions — a Human Resources Generalist, which would handle internal and external communications, and a Housing Resource and Code Enforcement Officer dedicated to a proactive approach to blighted properties in the city.  

A third position has also been created — a Wastewater Treatment Plan operator and lead maintenance position, but that is worked into increases in sewer user fees through 2026 and doesn’t impact the 2025 levy or budget.

Together, the two positions added $234,000 to the budget, but during the process it left those opposing such a high levy increase still questioning what the need was in light of the increase.

The council will hold a final vote at its Dec. 16 meeting in the City Council Chambers.

A copy of Saturday night’s presentation can be found at the City’s Finance Department website.