Austin Council Set to Block Gas Hike, Settle Lawsuit | The Locally Times
Austin City Council is poised to prevent a proposed Atmos Energy rate increase and resolve a civil lawsuit next week, directly impacting residents' utility costs and the city's legal liabilities.
Austin residents can breathe a sigh of relief: their gas bills won't be climbing higher. The City Council is scheduled to vote on April 9, 2026, to suspend an interim rate adjustment proposed by Atmos Energy Corporation, Mid-Tex Division. On the same agenda, the Council is also set to approve a settlement in a civil lawsuit against the city. If approved, the suspension of the Atmos Energy rate adjustment will prevent the proposed increase from taking effect. City Council documents confirm this move carries no fiscal impact on the city's budget, directly benefiting utility customers by averting higher charges. The Council's vote is slated for its regular meeting on April 9, 2026. ## Gas Hike Averted, Major Lawsuit Nears Resolution The settlement, pending approval by the Austin City Council on April 9, 2026, will resolve the case of Marvin Reyes, Jeremiah Tahay, Daniella Tahay as next friend of N.T., a minor, and Daniella Tahay as next friend of N.R., a minor v. City of Austin. This lawsuit, Cause No. D-1-GN-23-002694, was filed in the 353rd District Court of Travis County, Texas. The specific terms of the settlement remain undisclosed in the available records. The Council's upcoming votes on April 9 underscore its commitment to both immediate household expenses and the city's financial risk management. The move to suspend the Atmos Energy rate adjustment directly shields residents' utility bills from a potential increase, aligning with the Council's ongoing practice of scrutinizing proposed utility rate changes for community impact. ## Regional Flood Safety and Infrastructure Investments Beyond the City Council's immediate concerns, local governments continue to prioritize infrastructure improvements and flood mitigation. Austin Watershed Protection just completed the January Drive Flood Risk Reduction project on April 3, 2026. This $1.93 million investment, funded by the 2018 voter-approved bond election, installed over 1,700 feet of new storm drain pipe and erosion controls in the Four Seasons neighborhood. The City of Austin was also recently honored with the 2026 John Patton Community Project Award from the Texas Floodplain Management Association on March 27, 2026, recognizing its commitment to reducing flood risk. Meanwhile, Williamson County officials are also updating flood risk assessments. The Williamson County Commissioners Court approved the adoption of the Atlas 14 Floodplain Mapping Study during its March 24, 2026, meeting. This study leverages updated scientific rainfall data to pinpoint flood-prone areas, which will guide future growth and drainage management in unincorporated parts of the county. ## Fiscal Planning and Emergency Preparedness Across the Region Williamson County government approved its fiscal year 2025-2026 budget on September 3, 2025, a robust $702,428,992 plan encompassing the General Fund, Road and Bridge Fund, and Debt Service Fund. Just today, April 4, 2026, the Williamson County Commissioners Court adopted a tax rate of $0.413776 per $100 valuation for the same fiscal year. This voter-approval rate is projected to increase taxes for maintenance and operations by approximately 8.82%, translating to an estimated $21.63 hike for a $100,000 home, per Williamson County government information. In a broader regional effort to bolster emergency preparedness, the State of Texas conducted a statewide test of its emergency notification systems on April 2, 2026. This exercise saw multiple notifications sent via text, email, and voicemail across various counties and cities, including Leander, Round Rock, and Georgetown, ensuring readiness for future crises. ## Key Questions **How does the City Council's action affect my utility bill?** The Austin City Council's scheduled vote to suspend the Atmos Energy interim rate adjustment is expected to prevent a proposed rate increase from taking effect, meaning utility bills will not rise due to this specific adjustment. **What does the lawsuit settlement mean for Austin taxpayers?** The pending settlement in the Marvin Reyes et al. v. City of Austin lawsuit will utilize funds from the Fiscal Year 2025-2026 Liability Reserve Fund, addressing a legal claim against the city. **How do recent flood projects impact residents?** The recently completed January Drive Flood Risk Reduction project reduces localized flooding risk for over 70 properties in the Four Seasons neighborhood. Additionally, Williamson County's new floodplain mapping study will guide future development and flood mitigation efforts, enhancing safety across the region.