Austin keeps $5.23 million audit contract after voters reject new charter mandate

Austin voters rejected a proposed charter amendment requiring recurring independent audits of city government by a 10-point margin on November 3. The failure of Proposition I leaves the city’s current, council-authorized efficiency review in place. This existing program operates under a $5.23 million contract with Public Works LLC, which began this year.

The city established the current audit program in February following Mayor Kirk Watson’s push for a 'back to basics' modernization. This effort aimed to address voter concerns about spending transparency after the failed Proposition Q tax measure last year. Public Works LLC was selected this summer after receiving the highest score in a competitive bid process. The firm’s proposal fell within the middle range of 24 submissions, which varied from $1.1 million to over $25 million.

Public Works LLC is scheduled to complete the initial phase of the review in three years. The first year focuses on public-facing services, including public safety, health, housing, and parks. The second year will examine enterprise services like transportation and the convention center. The third year targets utility departments, including Austin Energy and Austin Water. A city spokesperson indicated that the firm has made substantial progress on the first-year assessments. The first public report is expected before the Audit and Finance Committee on January 20.

The existing program requires the city to report findings to the council and post results online. It can only be changed or canceled by a supermajority of at least nine council votes. In contrast, the failed Proposition I would have embedded the audit in the city charter. Charter amendments can only be revised through elections held every two years. Save Austin Now, the group backing the proposition, argued this structure would prevent city interference. Opponents cited the measure's inflexibility and a provision requiring the contractor to identify savings equal to the project cost.

AFSCME Local 1624, which opposed the measure, funded the 'Don't DOGE Our Austin' campaign. Local President Brydan Summers stated that voters recognized the existing audit process made the new charter amendment unnecessary. He noted that the vote showed residents were not interested in the specific approach proposed by Save Austin Now. Mayor Watson said the election result affirmed that voters value fiscal stewardship. He emphasized that the goal of the audit is to make government work better, regardless of election outcomes.

Council member Mike Siegel described the defeated measure as burdensome and redundant. He said the defeat shows Austin residents believe in the city's ability to manage resources. Save Austin Now co-founder Matt Mackowiak claimed the measure lost due to high Democratic turnout and misleading arguments from opponents. Attorney Bill Aleshire, who wrote the proposition, said voters were distracted by partisan politics rather than the merits of the charter amendment.