For those who don’t know yet, well, the Project Connect initiative is actually based on a massive public transportation plan that seeks radical changes for the public transport system in Austin. And just so you know, it had the backing of voters in 2020 who voted to approve it and it pledged to launch new light rail services, speedy bus services, and other mobility services in the city. Austin’s citizens kept the funds that the project called for through taxes on their lands, which burdened the owners more to fund the project.
But, since its approval, the scheme has been modified considerably from what it promised at the outset, you know? Like, the initial project for the 20.2-mile light rail which was supposed to run from the north to the south of the city has been now trimmed shorter to 9.8 miles, and several other important features were also omitted. This is precisely the reason behind this Project Connect Funding Lawsuit, and we’ll be looking at why that’s the case. Here we go.
Lawsuits Against Project Connect
Just so you know from the get-go, you see, taxes have been challenged in connection with the amendments in the project brought about by several lawsuits initiated by the residents of the area. Like, the first instance among them is quite famous, which is how the City of Austin planned to borrow funds for Project Connect, with the pause of that lawsuit while the courts consider the arguments involved, you know? That’s not it though, as recently as 2024, a new class action lawsuit was filed, including a group of residents who claimed the city was doing what it had promised but now collecting too much tax for a transit system much smaller than the first proposal.
What Are the Lawsuits Claiming?
The plaintiffs argue that in spite of the size of the project, the city still collects full taxes as if the project were being carried out. They believe this is an unfairness to the taxpayers, you know? Austin business owners and local officials involved in the lawsuit say that the city had already collected the sum of over $450 million in taxes that so far were not used and not put in the project.
Not just that though, the most important claim is that the city had to carry out the project with a bigger tax than actually necessary, namely 7.93 cents from $100 of property value which would have potentially saved the Austin property owners over $187 million, which is a fair claim if you give it a thought. All in all, the plaintiffs contend that the city did not keep its promises and is still collecting the fees for a smaller size project than what was initially proposed.
So, What Is Ken Paxton’s Role In All This And Why Are There Legal Delays?
Just so you know, Ken Paxton, the attorney general of Texas, expressed his thoughts on how the city managed the finances of Project Connect. As far as we know, you see, his involvement in this case caused some delays scheduled for early 2024. The potential master plan is put on hold by a court in Texas, but it is still my job to issue a writ of mandamus that can open the door for this plan with a week or so notice.
