Frequently Asked Questions about Proposition 1
- What is Proposition 1 – the 2010 City of Austin Mobility Bond Package?
- What new road, sidewalk, trail and bikeway projects will be funded?
- What is the percentage breakdown of the projects supported by Proposition 1 by mobility type and by region?
- How did the City identify these projects?
- Will Proposition 1 increase my taxes? Why not?
- Who supports the bond?
- Who is running the campaign in support of the bond? How is it funded?
- You say that this bond won’t increase my taxes. If it doesn’t pass, will my taxes go down?
- Why not wait until 2012 to fund these projects?
- What is the official ballot language?
- Where can I get more information? How can I help spread the word?
1. What is Proposition 1 – the 2010 City of Austin Mobility Bond Package?
On November 2, 2010, Austin voters will be asked to approve the 2010 Mobility Bond, which authorizes the City to issue $90 million in bonds to fund road repair and construction as well as sidewalk, trail and bikeway projects in every part of the city. This bond will not require a tax increase.
Early voting beings October 18th and ends on October 29th. Election Day is Tuesday, November 2nd.
Passage of this bond will reduce future traffic congestion, protect the environment, improve public safety and provide more transportation option for our growing city – all without requiring a tax increase!
>> To view the list of projects click here.
>> To visit the City of Austin 2010 Mobility Bond website click here.
2. What new road, sidewalk, trail and bikeway projects will be funded?
Proposition 1 sets a new standard for specificity and transparency – every single project in the proposal is specifically identified and was selected based on extensive public input. The over 45-project list includes investments in streets, sidewalks, bike paths, trail and transit infrastructure in all part of Austin.
More specifically, this proposition provides funding for preliminary engineering, design, construction and reconstruction projects, including improving traffic congestion on I-35, fixing the “Y” at Oak Hill intersection, completing the Hike and Bike Trail at Lady Bird Lake and reconstructing Third Street.
>> Click here to view a map and list of projects to be funded by Proposition 1.
3. What is the percentage breakdown of the projects supported by Proposition 1 by mobility type and by region?
Projects by region:
- Regional Projects– 21%,
- Central Austin/Central Business District – 22%
- Northwest Austin – 10%
- Northeast Austin – 14%
- Southwest Austin – 13%
- Southeast Austin – 20%
Projects by mobility type:
- 57% Road Projects (Includes 25% Arterial, 10% Intersection, 4% Highway, 18% Neighborhood Street projects)
- 43% Alternative Transportation Projects (Includes 27% Sidewalks, Bikeways, Mobility Trails and other transit projects, 16% Lady Bird Lake Hike and Bike Trail Completion project).
Please note that these are estimates only. Many project fall into multiple categories.
4. How did the City identify these projects?
The list of projects is the result of an extensive public outreach process by City of Austin staff. Through meetings, presentations, and on-line data gathering, Austin citizens identified mobility-related community values and over 3,000 transportation gaps to be reflected in the selection of projects. City Staff then developed a process to consider identified community values and professional opinion through “Measures of Effectiveness”, resulting in the Prioritization of Needs used to rank, compare and select mobility-related projects to nominate for the bond package. Community input was further increased with the appointment of a nine-member Citizen Task Force, which reviewed the bond proposal and recommended approval of the package by City Council. This Task Force invited the public to participate in the formulation of the bond proposal by holding six meetings, two work sessions and one public forum over a two-month period.
5. Will Proposition 1 increase my taxes? Why not?
This bond will not require an increase in the City of Austin tax rate because it is well within the City’s bonding capacity. That is, the City can service the debt on these bonds within the existing tax rate. In fact, the City is only utilizing half of its “tax-free” bonding capacity; the City could have proposed to issue up to roughly $200 million in bonds without requiring a tax increase. This is a financially prudent proposal, which preserves bonding capacity for the 2012 comprehensive bond package.
It is helpful to think of bonding capacity like a credit limit. If you make a certain salary, you can afford a certain amount of debt for a mortgage or on a credit card without a salary increase. But if you want a more expensive house or item, you may need more income. This situation is similar. The City of Austin can currently afford roughly $200 million in bonds without raising taxes. Proposition 1 is asking for voter approval to use half that for this purpose.
All three major U.S. financial rating agencies just reaffirmed Austin’s ‘AAA’ long-term rating, the highest attainable bond rating that a city can achieve, due to the City’s sound practices in taking on and repaying debt.
6. Who supports the bond?
This bond package is supported by a diverse group of environmental, neighborhood and business leaders. To date, over 20 groups have official endorsed the bond, including the Greater Austin Chamber of Commerce, the Downtown Austin Alliance, Greater Austin Hispanic Chamber of Commerce, Sierra Club Austin Regional Group, Clean Water Action and The Trail Foundation.
>> To view a list of Proposition 1′s supporters click here.
7. Who is running the campaign in support of the bond? How is it funded?
Get Austin Moving is a political action committee created to support the mobility bond package. The steering committee is comprised of over 35 Austin neighborhood, environmental and business leaders. Funding comes from a number of sources, including a grant from Bikes Belong and various nonprofit organizations and businesses.
8. You say that this bond won’t increase my taxes. If it doesn’t pass, will my taxes go down?
No. The City will continue to pay down its existing voter-approved debt whether the transportation bond is approved or not. The City would have more bonding capacity if the bond did not pass, but it would likely seek voter approval to meet other needs. With Austin doubling in population every 20 years, there will always be a need for new transportation infrastructure, parks, libraries, water quality & drainage facilities that are funded by voter-approved bonds.
9. Why not wait until 2012 to fund these projects?
These projects will be cheaper now than later. Over the last 18 months, because of the recession, the city’s public works projects have been completed for an average of 30% less than the original estimated costs. We don’t know how much longer that “recession-pricing” window will be open, so it makes sense to move now to take advantage of it while we can.
This bond includes planning and design funds for numerous transportation projects that would move them to “shovel ready” status, thus making them ready for funding that could be approved by Austin voters in 2012, as part of the comprehensive bond package.
In addition, this bond will create jobs and stimulate our local economy. Last year the city adopted a “local preference” policy that allows us to prioritize local bidders for city construction projects. That means we will have the opportunity to spend more of these funds locally than we generally have with past bond funds, and thus enjoy a greater local economic benefit. The mayor has described this bond a local economic stimulus package, and I agree that it has the potential to have the kind of impact.
10. What is the official ballot language?
The Proposition will appear on the official ballot in substantially the following form. You can view and download a copy of the official city declaration here.
Proposition 1- FOR or AGAINST
THE ISSUANCE OF $90,000,000 IN TAX SUPPORTED GENERAL OBLIGATION BONDS AND NOTES FOR CONSTRUCTING AND RECONSTRUCTING ROADS AND STREETS; CONSTRUCTING, IMPROVING AND RECONSTRUCTING SIDEWALKS, BIKEWAYS, AND OTHER BICYCLE AND PEDESTRIAN MOBILITY INFRASTRUCTURE; IMPROVING TRAFFIC SIGNAL SYNCHRONIZATION AND CONTROL SYSTEMS; ACQUIRING AND INSTALLING TRAFFIC SIGNALS; CONSTRUCTING, RECONSTRUCTING, AND IMPROVING DRAINAGE FACILITIES RELATED TO THESE IMPROVEMENTS; FUNDING DESIGN AND ENGINEERINGFOR ROADS, STREETS, DRAINAGE,TRAFFIC SIGNAL, SIDEWALKS, BIKEWAYS, AND OTHER BICYCLE AND PEDESTRIAN MOBILITY INFRASTRUCTURE; AND ACQUIRING LAND AND INTERESTS IN LAND AND PROPERTY NECESSARY TO DO SO; AND THE LEVY OF TAX SUFFICIENT TO PAY FOR THE BONDS AND NOTES.
11. Where can I get more information? How can I help spread the word?
You can contact the Get Austin Moving Campaign at campaign@getaustinmoving.com or 512-945-2319 to get more information or to learn how you can help spread the word. You can also visit the City of Austin 2010 Mobility Bond website for more information.
You can view, share, & download the following materials to share with others.
>> Proposition 1 Frequently Asked Questions
>> Proposition 1 Flyer for Distribution
>> Proposition 1 East Austin Fact Sheet
>> Proposition 1 Map of Proposed Mobility Projects
>> Proposition 1 Mobility Project Details by Project
>> Sample Proposition 1 Endorsement Resolution
>> Proposition 1 Ballot Language
