A multibillion-dollar transit project in Austin, Texas, is back on the road after a state court dismissed two funding challenges brought by the state attorney general earlier this summer.
A ruling by the 15th Circuit Court of Appeals could establish how a significant portion of the $7.1 billion Project Connect is funded by a voter-approved tax increase. Both the state government and private individuals have filed numerous lawsuits for the project, which includes the light rail.
The Court of Appeals decision could end legal challenges by state Attorney General Ken Paxton, whose office has filed a series of lawsuits against the project on behalf of the state and property owners. ‘companies, arguing that Austin Transit Partners, a governing corporation responsible for development and financing. and the construction of Project Connect – has no authority to raise tax revenue.
The Court of Appeals ruling allows a current lawsuit to move forward and determine whether ATP has the authority to move forward. It is unknown whether Paxton will appeal to the Texas Supreme Court.
In June, the case was scheduled to be heard by a lower court, but minutes before the trial, Paxton’s office filed an interlocutory appeal, an appeal to move forward while other parts of the case are still ongoing. Paxton’s office claims the judge improperly denied his challenge to hold the trial. In legal filings, Paxton argued that the 53rd District Court had “implicitly denied” his request for jurisdiction.
Paxton’s office did not respond to an email seeking comment on an appeal, while Project Connect officials said the interlocutory appeal was “unfair” and without merit.
Austin Mayor Kirk Watson fired at Paxton after the firing. “It will say a lot about the strength of Ken Paxton’s case if he continues to stall a decision by appealing to the Texas Supreme Court. We’re going to court,” he said in a statement.
Voters approved Project Connect by 58 percent in 2020. Since its original conception, the plan has been scaled back as cost estimates have skyrocketed. Last year, the city scaled back its plans, mainly for light rail and bus infrastructure.
Austin has seen a steady increase in population in recent years, and advocates say Project Connect will help address the strain on the city’s transportation infrastructure. No end date has been set at this time. Opponents argue that the price is too high and that taxes are not the right way to finance the project. About half of the funds will come from federal dollars, while the rest will come from voter-approved tax increases.
