BG Reads | News You Need to Know (October 12, 2021)
[BINGHAM GROUP]
EVENTS // Thursday, October 28 (6PM - 10PM0, A Night In Verde Presented by St. David’s Healthcare - benefiting the 4ATX Foundation (Austin FC’s non-profit arm).
Link-> https://seatgeek.com/a-night-in-verde-presented-by-st-davids-healthcare-tickets/mls/2021-10-28-7-pm/5497856?preview_token=5R39m8VbKk
***NEW*** BG Podcast Ep. 147: Redistricting, Austin's Mayoral Election, and a New Police Chief
[AUSTIN METRO NEWS]
Travis GOP chair Matt Mackowiak unapologetic in pursuit of ballot wins (Austin American-Statesman)
Austin City Hall had all but cleared by the time one of the final speakers lumbered to the podium in the early hours of Aug. 9, 2019.
With his navy suit more rumpled than when he had arrived 12 hours earlier, Matt Mackowiak took aim at what he considered the council’s epic failure.
He delivered a blistering rebuke to leaders’ extraordinary decision that summer to repeal a law against camping in public and pointed out trash and human feces in some of the city’s most cherished areas.
“The homeless camping ordinance ... has really become an amazing disaster for our city,” he told them.
At the time, Mackowiak was a mere bit player in Austin politics — a perpetual underdog as the head of the Travis County Republican Party in a decidedly liberal city. His audience that night was 11 Democrats on the City Council who indulged him but remained unswayed in the five minutes when Mackowiak delivered his remarks.
Yet his comments were an early moment in his blossoming effort that has sparked mass disruption in Austin politics: In attempting to write a new playbook, the GOP operative latched on to a local policy matter, built momentum to overturn what had been a 9-2 council vote and, critics fear, began a movement that threatens to reshape Austin’s progressive landscape.
Mackowiak, a 42-year-old Austin native who graduated from Westwood High School and the University of Texas, has become as controversial as the topics he has tackled and the political organization he founded and leads.
The co-creator of Save Austin Now has been criticized for his abrupt style (he casually dropped the F-word 15 times in a 90-minute American-Statesman interview), questionable fundraising and spending decisions, and raw political ambition. Council Member Mackenzie Kelly said she felt threatened when he admonished her in a phone conversation she secretly recorded this summer: "You don't forget who your friends are." Mackowiak denies threatening her… (LINK TO FULL STORY)
PARD proposes delaying fee change that would double parkland costs for developers (Austin Monitor)
The Parks and Recreation Department will likely ask City Council to delay a scheduled doubling this budget year of the fees developers pay to fund the acquisition and development of parkland around the city.
The dramatic increase is the result of guidelines laid out in the 2016 revision to the Parkland Dedication Ordinance that called for the fees to be based on the average cost of land acquisition over the previous five years.
With property prices throughout the city increasing substantially in recent years, the fee per residential or hotel unit was set to increase by around 120 percent. The fee schedule in place is split into different costs for low-, medium- and high-density projects, with the per-unit fee for high-density projects increasing from just over $1,500 to nearly $3,500. The fee for low-density projects is scheduled to increase from just over $2,500 per unit to more than $5,600.
In a memo released Friday, PARD Director Kimberly McNeeley wrote that the department hasn’t prepared the development community and other stakeholders for the increase. She said PARD will soon ask City Council to consider an amendment to the ordinance that would leave the current fees in place while researching how other cities handle the administration of fees for parkland dedication, with that report expected by this April.
The memo reads in part: “During the FY2022 budget development process, the Parks and Recreation Department did not inform or communicate these considerable fee increases to internal or external stakeholders; thereby eliminating the stakeholder’s ability to appropriately consider impacts related to project financing and budgets. Pre fee adoption communication to stakeholders would have ensured an opportunity to effectively plan for future fees and consider affordability strategies, impact to affordability and project viability.”
The memo also notes that land acquisition costs for PARD have increased 166 percent in the most recent budget year.
The increases would possibly impact a revision being considered by the Housing and Planning Department for the fee-in-lieu option paid by developers to fund affordable housing programs around the city.
An attachment to the memo from the Housing and Planning Department notes that substantial increases in other fees on development projects could reduce the viability of some projects, or at least reduce the number of affordable units developers are willing to include in new construction because of the increase in parks fees… (LINK TO FULL STORY)
Austin area nearing another record for new jobs announced (Austin Business Journal)
Companies relocating to or expanding in the Austin metro pledged to create more than 20,000 jobs during the first nine months of 2021, nearly equaling the record number of jobs pledged last year.
Through September, more than 150 companies announced the addition of 20,840 jobs in the area, according to data from the Greater Austin Chamber of Commerce. That included more than 5,500 jobs from roughly 50 companies during June, July and August. The 20,840 announced jobs represented 94% of last year's record of 22,114 jobs announced by companies relocating to or expanding in Austin.
Central Texas has been inundated over the past decade by companies and people flooding the region. They are attracted by a variety of factors, including the lack of state income tax and a generally business friendly environment. That's created extensive economic growth but has also resulted in worsening affordability issues spurred by a lack of housing supply.
Of the companies that have pledged to add jobs in 2021, more than 70 did not have a prior presence in the Austin metro, according to the Chamber data. Those companies have pledged to add more than 7,700 jobs, largely buoyed by Tesla Inc., which is set to add 5,000 jobs at its $1.1 billion gigafactory in Austin later this year. And that number seems likely to climb, as CEO Elon Musk has said the factory will need more than 10,000 people by the end of 2022.
Nearly 30 companies from California have announced moves into the Austin metro in 2021.
Over the last three months, companies relocating or expanding in the region have promised big job growth in the Austin suburbs, where there is more land available and it is generally cheaper — and local governments are more likely to provide subsidies. That tally included Moca Financial Inc. in Bastrop (400 jobs announced), Cangshan Cutlery Co. in Leander (150), Cooperative Laundry Inc. in San Marcos (150), Ovivo Inc. in Hutto (120), and Perfect Game Inc. in Cedar Park (127), according to the data… (LINK TO FULL STORY)
Statesman PUD proposal needs improvement, Environmental Commission says (Austin Monitor)
The planned unit development proposed for the former Austin American-Statesman property is not an environmentally superior project in the eyes of the Watershed Protection Department, but it could achieve superiority if the developer agrees to more than a dozen conditions.
Drawing on the department’s opinion, the Environmental Commission took a similar position Wednesday, voting unanimously not to recommend the project and asking staffers and the developer, Endeavor Real Estate Group, to continue negotiating unresolved issues. Endeavor agent Richard Suttle assured the commission that negotiations will continue.
The property at 305 S. Congress Ave. covers nearly 19 acres along the south shore of Lady Bird Lake and the hike-and-bike trail.
Atha Phillips, environmental program manager with Watershed, addressed each issue of disagreement. She noted, for example, the threat of erosion if the developer removes several trees from the shoreline to make way for steps leading to the lake, as well as a proposed pier that would serve as a boat dock and viewing area for watching bats on their nightly flight from underneath the Congress Avenue bridge.
“There are opportunities to save the trees with minor adjustments to the plan,” she told the commission. “The removal of these trees could destabilize the shoreline, requiring a bulkhead in this area … the trees and the existing plants that are there are holding the shoreline in place.”
All of the heritage trees on the property will be preserved or transplanted, and 77 percent of all trees on the site will be spared – an aspect of the proposal that Watershed deemed superior. The developer’s plan to provide more than 8 acres of public open space was also deemed superior.
Sticking points for Watershed include the proposal to modify the code to allow for a 70-foot pier, 40 feet longer than what is currently allowed; the plan to draw water from Lady Bird Lake for irrigation (with an OK from the Lower Colorado River Authority), contrary to Austin Water’s request that the developer use reclaimed water; and the proposed 24.5 percent impervious cover in the primary setback and critical water quality zone… (LINK TO FULL STORY)
Austin real estate tech firm targets Zillow (AXIOS)
A battery of former aides to Texas Attorney General Ken Paxton is behind an antitrust lawsuit against Zillow. The big picture: Zillow is the go-to site for home listing searches, but Austin-based REX, a tech-based real estate broker, alleges Zillow unfairly marginalized its listings, harming its business, homebuyers and sellers. REX's listings, along with others that don’t list with a realtor — such as sale by owner — are now found on an obscure "other listings" tab on the Zillow website, rather than the default tab. Zillow officials say they are complying with National Association of Realtors rules that call for the separation of agent-listed homes from those not represented by agents. The NAR is also a defendant in the REX lawsuit.
Why it matters: REX says its approach, which automates the work traditionally done by realtors by using data to marry sellers to potential buyers, cuts commission fees from roughly 6% to nearly 2%. Michael Toth, former special counsel to Paxton, is general counsel for REX and tells Axios that the ratio of "agent listings" to other listings was 9:1 when Zillow started separating the two in January. The ratio in some areas is now closer to 100:1, as sellers find it increasingly difficult to sell outside listing agents. He has hired two former AG colleagues, Darren McCarty and former Texas Solicitor General Scott Keller, as part of his "motley crew" of attorneys, Toth tells Axios. McCarty and Toth worked on a Texas antitrust case against Google before each left Paxton’s office — Toth for a short-lived state judgeship before he lost an election to a Democrat, and McCarty as part of a mass exodus of aides who accused the attorney general of a bribery scheme. Keller, like Toth, is active in Republican politics, and he represented Texas in fights against the Obama administration over immigration, environmental regulation and voter ID laws… (LINK TO FULL STORY)
[TEXAS NEWS]
Texas Gov. Greg Abbott bans any COVID-19 vaccine mandates — including for private employers (Texas Tribune)
Texas Gov. Greg Abbott on Monday issued another executive order cracking down on COVID-19 vaccine mandates — this time banning any entity in Texas, including private businesses, from requiring vaccinations for employees or customers.
Abbott also called on the Legislature to pass a law with the same effect. The Legislature is in its third special legislative session, which ends Oct. 19.
"The COVID-19 vaccine is safe, effective, & our best defense against the virus, but should always remain voluntary & never forced," he said in a tweet announcing his latest order.
The order marks a significant reversal after Abbott previously gave private businesses the choice to mandate vaccines for workers. An Abbott spokesperson said in late August that "private businesses don't need government running their business."
For weeks, Abbott has been under pressure from some on his right to go further in prohibiting vaccine requirements, and one of his primary challengers, Don Huffines, celebrated the latest order.
COVID-19 vaccine requirements by government agencies, cities, counties and school districts were already banned by a previous executive order — which is currently being fought in court by the San Antonio Independent School District. The Legislature also already passed into law a ban on so-called vaccine passports — which would allow businesses to require proof of vaccination from customers.
The latest move appears to be at least partly motivated by President Joe Biden's actions in September that require all employers with more than 100 workers to mandate vaccines for workers or test weekly for the virus. Biden also required all federal government workers and contractors to get vaccinated, leading nearly all the major airlines — including American Airlines and Southwest Airlines headquartered in Texas — to announce they'd abide by the mandate… (LINK TO FULL STORY)
Southwest Airlines, union insist pilots didn’t walk out to protest vaccine mandates (Dallas Morning News)
The airline canceled more than 1,000 flights in total, or 29% of its schedule, as of 7 p.m. ET Sunday, according to flight tracker FlightAware. That was the highest rate by far of the major U.S. airlines. Next in line was Allegiant, which canceled 6% of its flights. American Airlines canceled 5% of its flights, while Spirit canceled 4% on Sunday, according to the flight tracker. On Saturday, Southwest Airlines canceled more than 800 flights.
Southwest Airlines said in an emailed statement that it had experienced weather challenges in its Florida airports at the beginning of the weekend, which were compounded by unexpected air traffic control issues in the same region. Those issues triggered delays and prompted significant cancellations for the airlines beginning Friday evening.
“We’ve continued diligent work throughout the weekend to reset our operation with a focus on getting aircraft and crews repositioned to take care of our customers,” said Southwest Airlines. “With fewer frequencies between cities in our current schedule, recovering during operational challenges is more difficult and prolonged.”
The company said that it’s allowing customers to explore self-service rebooking options on Southwest.com, where they can get updates on the status of their travel… (LINK TO FULL STORY)
[NATIONAL NEWS]
Former Pentagon official says China has won artificial intelligence battle (The Hill)
The Pentagon's former software chief resigned and said that China is headed toward global dominance in artificial intelligence due to the relatively slow pace of innovation in the United States.
"We have no competing fighting chance against China in 15 to 20 years. Right now, it’s already a done deal; it is already over in my opinion," the Pentagon's former software chief, Nick Chaillan, told the Financial Times, adding that some of the U.S.'s cyber defense systems were at "kindergarten level."
Chaillan announced his resignation last month as an act of protest against the United States' slow pace of tech development. Chaillan said America's failure to aggressively pursue AI capacity was putting the nation at risk, according to Reuters.
In the next decade, Western intelligence reports predict China will dominate with many emerging technologies like AI, synthetic biology and genetics, Reuters reported.
Chaillan also attributed the sluggish pace to companies like Google hesitating to work with the government on AI and ongoing debates about AI ethics in the U.S., while China pushes forward without consideration for the potential ethical consequences.
"Google is proud to work with the U.S. government, and we have many projects underway today, including with the Department of Defense, Department of Energy, and the NIH," a Google Cloud spokesperson said in a statement to The Hill. "We are committed to continuing to partner with the U.S. government, including the military, both on specific projects and on broader policy around AI that are consistent with our principles."
Meanwhile, Secretary of Defense Lloyd J. Austin III in July recognized that "China is our pacing challenge" when it comes to AI development.
"We’re going to compete to win, but we’re going to do it the right way," Austin said. "We’re not going to cut corners on safety, security, or ethics."… (LINK TO FULL STORY)