BG Reads | News You Need to Know (August 16, 2021)
[AUSTIN METRO NEWS]
Council funds guaranteed income pilot program (Austin Monitor)
Joining the ranks of a handful of other cities interested in adopting some form of ongoing assistance for low-income residents, Austin has committed more than $1 million to study the creation of a guaranteed income program for the city’s most vulnerable populations.
A budget amendment adopted last week allocates $1.13 million in the next budget to further fund and expand an ongoing pilot program conducted by the Family Independence Initiative, Up Together and other philanthropic groups. The amendment is more than four times the $250,000 suggested in the city manager’s proposed budget, with the goal of creating a repeatable program that can provide income stability for those in need.
The move came just before census data released last week showed that by 2022 Austin is expected to be the least affordable U.S. city outside of California, surpassing major metro areas such as Miami, Seattle and New York. Data from real estate company Zillow suggest Austin residents will spend more than 30 percent of their monthly income on mortgage or living costs by the end of this year, a threshold that qualifies as “housing burdened.”
In June, City Council approved a resolution directing city staff to take initial steps to study a guaranteed income program.
“This is a concept that we employed in pretty significant ways during the pandemic with the RISE fund that we brought to people. Because we were trying to get it out so quickly we weren’t really set up to evaluate it to be able to learn lessons from it, to see how it would work as an ongoing project,” Mayor Steve Adler said at the budget session… (LINK TO FULL STORY)
Waterloo Park reopens as a stunning urban oasis in Austin's city center (Austin American-Statesman)
On Saturday morning, Waterloo Park reopened after a decade of renovations. A planned celebration featuring proclamations from city officials, performances by arts groups and an evening concert was called off earlier in the week because of surging coronavirus cases in the area, but John Rigdon, the park’s director of planning and design, didn’t seem disappointed.
“Honestly, the part I was most looking forward to was just seeing how people use the park,” he said standing at a table on the stage of the park’s new, state-of-the-art amphitheater.
“We plan a park. We design amenities and features throughout the park, but people will find their own ways to use a park,” he said… (LINK TO FULL STORY)
Hundreds of new homes headed to Taylor with Castlewood community (Austin Business Journal)
The new Castlewood community in Taylor is moving forward, as the city OKs plans for hundreds of residential lots.
The Taylor Planning and Zoning Commission approved Aug. 10 a final plat for up to 131 residential lots in Castlewood. These lots will be on a 41-acre plot across from Taylor High School. This approval means the builder, Florida-based Dream Finders Homes, will soon be able to start construction.
In addition, commissioners approved a preliminary plat for a second phase of the neighborhood, called Castlewood South, on 70 acres off FM 973 near Wesley Miller Drive. The site will eventually house up to 316 single-family homes, as well as park space and trails.
The lots will range in size from 40 feet wide to more than 60 feet, according to Aaron Levy, owner of Townbridge Capital, the community’s developer. He said he’s working to get construction permits for the Castlewood South homes before the end of the year.
While he didn’t disclose the homebuilder for the more than 300 homes in the Castlewood South subdivision, he said it will likely be a national builder with a strong presence in the Austin market.
If the planning process goes smoothly, Levy said he expects the first round of homes in Castlewood would likely go up for sale in the latter half of 2022.
It's a large influx of homes for Taylor, which had an estimated population of just over 17,000 in 2019. But the Williamson County city is seeing fresh interest. Samsung is even considering the town for a $17 billion chipmaking plant, a project that could bring at least 1,800 jobs and unprecedented foreign investment to Taylor… (LINK TO THE FULL STORY)
[TEXAS NEWS]
Siding with Gov. Greg Abbott, Texas Supreme Court temporarily halts mask orders in Dallas and Bexar counties (Texas Tribune)
The Texas Supreme Court on Sunday temporarily blocked mask mandates in Dallas and Bexar counties, marking a pivotal moment in the showdown between state and local government as coronavirus cases and hospitalizations surge in Texas.
The ruling comes after several school districts and a handful of counties across the state defied Gov. Greg Abbott’s executive order that restricted local entities from instituting mask mandates. On Friday, the 4th Court of Appeals in San Antonio upheld a lower court ruling that permitted Bexar County to require mask-wearing in public schools. Shortly after, the 5th Court of Appeals in Dallas upheld a more far-reaching order from Dallas County Judge Clay Jenkins that required masks in public schools, universities and businesses.
In a petition for a writ of mandamus to the Texas Supreme Court, Texas Attorney General Ken Paxton’s office said the Texas Disaster Act of 1975 gives the governor power to act as the “‘commander in chief’ of the state’s response to a disaster. Attorneys representing cities and counties that have sued Abbott over his executive order have argued that his orders should not supersede local orders… (LINK TO FULL STORY)
The table is set for ‘a blockbuster fall.’ Unless COVID-19 whipsaws the economy once more (Dallas Morning News)
The strengthening economy has been generating some good news. At the Federal Reserve Bank of Dallas, researchers said Texas expanded at a robust pace in July despite supply chain disruptions and hiring challenges. In a survey of Texas executives, over 35% reported higher revenue than usual for a typical July, up sharply from earlier this year. And company outlooks reflected broad optimism and high growth expectations for the fall, researchers wrote. Then the federal government reported that employers added 943,000 jobs in July, the biggest monthly increase since August 2020. Job gains for May and June were also revised upward by 119,000, significantly lifting the average number of new hires for the last three months.
“This is the jobs report we’ve been waiting for — and hoping for,” said Jay Denton, chief analyst at ThinkWhy, a Dallas software services company that tracks labor trends. But the pandemic always seems to intervene. The delta variant has driven up hospitalizations, making Texas a hot spot again. Once more, Texas hospitals could be overrun by COVID-19 cases, and the governor has asked providers to postpone elective surgery. Schools and colleges are opening, raising additional risks for public health and the economy: “Let’s just hope we deal with the virus better than we have in the past,” Denton said. Job openings topped 10 million at the end of June, a new high, the government said Monday. That means the economy and labor market have plenty of runway for growth, which is important because U.S. jobs are still 5.7 million shy of pre-pandemic levels. In the same report, new hires surpassed the increase in job openings for the first time in seven months, suggesting improvement in the labor shortage. “People were starting to become more comfortable about returning to normal — summer vacations, personal travel, going to restaurants,” Denton said. “We thought it could be a blockbuster fall in terms of job gains. Obviously, some of that is at risk now.”… (LINK TO FULL STORY)
New Texas law allowing people to carry handguns without permits stirs mix of fear, concern among law enforcement (Texas Tribune)
A new state law will soon let most Texans carry handguns in public without going through training or having to get permits. Gov. Greg Abbott lauded the so-called “constitutional carry” legislation and other firearms bills when he signed them into law.
“You could say that I signed into law today some laws that protect gun rights,” Abbott said at the bill signing in June. “But today, I signed documents that instilled freedom in the Lone Star State.”
But some Texas law enforcement officers fear that removing restrictions to carrying handguns could increase crime rates while putting officers and residents in danger.
“When it comes down to it, it’s just a sense of disappointment that the bill ultimately was passed,” said Kevin Lawrence, executive director of the Texas Municipal Police Association… (LINK TO FULL STORY)
Tesla may have a new ally in wresting control of car sales from Texas dealerships (Dallas Morning News)
Texas is eager to build electric vehicles, but will it work with emerging manufacturers that don’t want to sell through the state’s storied dealership industry? Electric vehicle startup Rivian Automotive was pushing lawmakers to let it be its own dealership before it was known that the manufacturer was considering building a $5 billion plant in Dallas-Fort Worth. In the first six months of this year, Rivian spent up to $300,000 to employ four lobbyists for this year’s legislative session, according to lobbyist registration information filed with the Texas Ethics Commission. In May, the company backed a bill proposed by 37-year-old Republican Rep. Cody Harris. The bill, House Bill 4379, would have allowed consumers to buy battery-powered or electric vehicles directly from a manufacturer that never had franchised dealerships in the state. The bill would have accommodated the preferred sales methods of Rivian and other EV makers like Tesla.
Harris sold the bill as opening the door for economic development and job creation in Texas for the electric vehicle industry. Tesla’s sprawling $1.1 billion plant near Austin is nearing completion and will produce the company’s electric SUVs. But the bill fizzled without a vote in either chamber. Committee members pushed back against the idea of a carve-out for electric vehicle companies, defending the state’s long-established dealership model. Under current Texas state laws, it is illegal for manufacturers to sell cars directly to consumers and state lawmakers won’t meet again until 2023 to consider new laws. Existing state laws “prevent monopolies and ensure competition resulting in consumer savings and convenience,” according to Texas Automobile Dealers Association spokesperson Jennifer Stevens. Fort Worth was revealed this week to be a finalist for Amazon-backed Rivian’s next large production plant that would create at least 7,500 jobs. If the EV maker ultimately chooses Fort Worth, it would be one of the largest economic development projects in Texas history, according to the city… (LINK TO FULL STORY)
[NATIONAL NEWS]
U.S. border businesses want back Mexicans shut out by COVID-19 travel bans (Wall Street Journal)
When the Covid-19 pandemic caused the U.S.-Mexico border to shut down in the spring of 2020, many retail and other businesses on the U.S. side lost a swath of customers. Gregoria Flores is still waiting for their return. Ms. Flores’ store, Novedades Yeya’s, sits a few blocks away from the Paso del Norte port of entry in downtown El Paso. She estimates that before border restrictions banned nonessential travel, about 90% of her customers were Mexican nationals from the neighboring city of Ciudad Juárez who would regularly cross into El Paso to shop, eat or visit family. Now, the stretch of South El Paso Street where Ms. Flores’s shop is located sees fewer border crossers than in pre-pandemic times, and further away from the port, foot traffic is sparser, she, other business owners and employees said.
While retail, restaurants and other establishments have been springing back to life across much of the U.S. as more people get vaccinated and some Covid restrictions ease, many consumer-facing businesses in cities along the southern border have yet to see a rebound, their customers still shut out by travel bans. “We need our customers back,” Ms. Flores said in Spanish. “The people from Juárez would buy our items in bulk, and it was a lot of them.” From Brownsville, Texas, to San Ysidro, Calif., crossings at border ports for personal travel remain sharply lower than pre-Covid days, according to U.S. government statistics. That has affected business revenues, employment and government tax receipts. The recent rise in infections from the Delta variant means the restrictions might not be lifted soon. Ms. Flores stocked shelves and worked the store alone for many months during the pandemic. She said business is picking up as vaccinations rise, though it is far from normal.
Jon Barela, chief executive officer of the Borderplex Alliance, an economic-development organization based in El Paso, said that Mexican nationals usually comprise between 15% to 30% of retail customers in the El Paso area. So the travel restrictions, he said, are pinching consumer businesses. In the San Diego area, day-trippers from Tijuana used to flock across the border on weekends to visit the zoo and spend money at shopping venues near the San Ysidro port of entry. “The Mexican weekend traffic is just no longer there,” said Marc Muendler, a professor of economics at the University of California, San Diego. “And these stores just can’t say, ‘Oh, let’s get customers from Imperial County,’” which lies further east in California… (LINK TO FULL STORY)
‘Outsider’ Buttigieg plays a skillful inside game, positioning himself for the future (Washington Post)
Over Mexican food one recent evening, Pete Buttigieg told war stories from his presidential run to a small group of senators — including one who would have been an implausible dinner companion 18 months ago. At the table was Amy Klobuchar, his archnemesis on the campaign, who shared her own memories from the trail. The conversation was good-natured, according to a participant. It wasn’t the first time this year that Buttigieg had broken bread with Klobuchar. In March, Klobuchar joined Buttigieg for lunch and a dog walk, according to an aide with knowledge of the event — a far cry from the days of trading bitter insults on live television. “I wish everyone was as perfect as you, Pete,” Klobuchar said mockingly in one debate last year. “But let me tell you what it’s like to be in the arena.” Six months into his tenure as President Biden’s transportation secretary, Buttigieg has not only entered the arena, he is standing at center court and schmoozing with players on both teams. A former South Bend, Ind. mayor who embraced the outsider mantle as a candidate, Buttigieg has quickly morphed into a quintessential Washington insider. He has used his position at the center of the high-stakes infrastructure talks to mend old rifts, strengthen existing friendships and build new alliances.
His smooth debut has taken on greater significance as Democrats confront tough questions about the future of the party leadership. Biden says he intends to run for reelection, but as he nears his 79th birthday, that is no sure bet for many Democrats. Vice President Harris, Biden’s heir apparent, has had a rocky first few months on the job, prompting some Democrats to question her ability to pick up the baton. Buttigieg’s networking is unfolding against that backdrop. He has struck a bond with the famously irascible Rep. Don Young (R-Alaska) and joined Rep. Rodney Davis (R-Ill.) on a bike ride. He visited House Transportation and Infrastructure Committee Chairman Peter A. DeFazio (D-Ore.) on his houseboat, bringing a bottle of liqueur for his host. He was spotted grabbing tacos with Rep. Alexandria Ocasio-Cortez (D-N.Y.). As the infrastructure talks heated up, he asked a friend, Sen. Christopher A. Coons (D-Del.), for a scouting report on the senators hammering out the deal.
“What can you tell me about how it came together? And how do they know each other? Who is closer to the White House and who is not?” Coons remembered Buttigieg asking him. This article is based on interviews with two dozen Buttigieg aides, associates and others with knowledge of his activities. Many spoke on the record, but some would only talk on the condition of anonymity to describe private discussions. Buttigieg declined to be interviewed. In a statement, his spokesman Ben Halle said Buttigieg is “honored to serve on the President’s Jobs Cabinet.” As a chief salesman for the bipartisan infrastructure plan that passed the Senate last Tuesday, Buttigieg has emerged the most visible member of the cabinet, and he is expected to play a prominent role as the talks shift to the House. Buttigieg and Harris are the only two primary rivals Biden brought into his administration… (LINK TO STORY)