Iconic Austin business owners voice opposition to Prop A

Supporters of Prop A have consistently said the tax increase for a typical homeowner on their annual tax bill is going to be around $300. But for small business owners, the increase is much more significant.

AUSTIN, Texas - For years, Esther's Follies has given a lot of people something to laugh about, but the small theater went dark in March because of the pandemic.

“When I heard about this, especially the timing, I had to say something,” said Jack Gilmore with Jack Allen’s Kitchen/Salt Trader’s Coastal Cooking.

On Monday, Gilmore was with a group of iconic Austin business owners who took the stage at Esther’s Follies to voice opposition to Proposition A.

SIGN UP FOR FOX 7 AUSTIN EMAIL ALERTS

Travis County bars still don’t know if they’ll be able to open Oct 14

As bars move to reopen on Wednesday, it comes with rules that each establishment has to follow.

DOWNLOAD THE FOX 7 AUSTIN NEWS APP

“I find that thing the City Council and the people that back them up are so fiscally irresponsible that it defies the imagination,” said David Kruger with Kruger’s Jewelers.

Proposition A is a tax increase to fund CapMetro's $7 billion transportation plan called Project Connect. A double-digit property tax rate hike, planners say, is needed to pay for the comprehensive system. The money would be used to build new rapid bus routes, a network of commuter and light rail lines as well as an underground downtown transfer hub for passengers.

Supporters of Prop A have consistently said the tax increase for a typical homeowner on their annual tax bill is going to be around $300. But for small business owners, the increase is much more significant.

FOX 7 Discussion: Considering Project Connect, Prop A

Peck Young with Voices of Austin joins Mike Warren on FOX 7 Austin on the group's property tax calculator for Austinites to see how much their property taxes will increase if Prop A passes in November.

Travis County Commissioner Gerald Daugherty did some number crunching. “It will be the final nail in a lot of people’s coffin, I’m convinced of that," he said.

Here is the list of some notable names and tax hike estimates, according to the commissioner.

$1000 more for Juan in A Million
$1500 increase for Dirty Martin’s
$1600 increase for Amy’s Ice Cream on Burnet Road
$3200 increase for Home Slice on 53rd Street
$3,000 increase for Esther’s Follies

“We are are not open, we are not going to be open for a long time so no money coming in paying an extra $3000,” said Shannon Sedwick with Esther's Follies.

The group also took exception to the claim that the tax rate increase for a homeowner, when spread out over a year, is manageable.

Project Connect PART 2: Mayor Adler on why you should say ‘yes’

This weekend we’re taking a closer look at the multi-billion-dollar “Project Connect” Austin voters will get to weigh in on this November. On Sunday, Mayor Steve Adler joined Good Day Austin’s Casey Claiborne to talk about the plan

“$300 for those individuals in the low income, in the areas, rentals, or maybe a little house, $300 is a lot of money. It may not be to someone who is making $70-$100,000 a year, but there’s someone making $30,000, who happens to be on the front line and maybe getting sick from this pandemic, $300 is a lot of money," Voices of Austin chairperson Gonzalo Barrientos said. "It could pay for a doctor, or a hospital, they could pay for a little bit of this kid that they want to send to college, so never say that $300 is not a big deal, vote no on Prop A."

On Tuesday, a group led by the Austin Justice Coalition and Workers Defense will hold a news conference in support of Prop A. The organizers claim the transit plan will help address Austin‘s history of racial inequity.

Project Connect PART 1: Roger Falk on why you should say ‘no’

This weekend we’re taking a closer look at the multi-billion-dollar “Project Connect” Austin voters will get to weigh in on this November. On Sunday, Mayor Steve Adler will be live on Good Day Austin to chat about why you should say “yes.” On Saturday, Roger Falk with “Our Mobility, Our Future” joined Good Day Austin’s Casey Claiborne to talk about the opposing side.

TO LEARN MORE ABOUT PROJECT CONNECT, CLICK HERE