Watson proposes taxing district to preserve Muny

Lions Municipal Golf Course and a sizable section of West Austin would be designated a historic district with its own governing board and taxing power under legislation filed Tuesday by state Sen. Kirk Watson, D-Austin.

The primary purpose of the Save Historic Muny District would be to preserve the 141-acre parcel in West Austin "as a golf course, publicly available parkland, or a combination of those uses," according to Senate Bill 2553. The district would be bounded by West 35th Street and West 34th Street to the north, Lake Austin to the west, Lady Bird Lake to the south and North Lamar Boulevard to the east.

A five-member governing board would have authority to impose "an assessment or tax," but the bill doesn't say whether voter approval would be needed. However, the district would have to hold an election and secure voter approval before imposing a "fee." In something of an odd twist, the district would be dissolved Dec. 31, 2020, if no fees are approved.

Muny occupies land owned by the University of Texas along Lake Austin Boulevard and has been operated for decades by the city under a lease.

In a statement, Watson told the American-Statesman that he filed his bill "to give the local community another tool to protect this important, historic greenspace. While an agreement between the city and the University of Texas will be essential to preserving Muny, this voluntary district could give the neighborhood a mechanism for participating in the solution and could also serve as a conduit for philanthropy from nonprofits, community members or businesses.”

"I hope this tool proves useful as the city, university and community continue their discussions about future of Muny,” he said.

UT spokesman Gary Susswein said: "We appreciate Sen. Watson bringing a creative proposal to the table that addresses local concerns. UT will continue to work with Sen. Watson and our strategic partner, the city of Austin, to come up with a plan that is mutually beneficial and that can preserve Muny as a golf course or open space."

City officials did not immediately respond to requests for comment.

"Nobody had any idea this was coming, and there was no consultation with people involved in trying to preserve this golf course," said Bob Ozer, a leader of Save Muny, whose mission is synonymous with its name. "It sounds like it may mean higher taxes."

Ken Tiemann, another Save Muny leader, said: "I'm pleased that Senator Watson sees the historic value of Muny and hope that UT is open to other solutions that don't necessarily require the creation of a taxing district."

Watson's proposal comes relatively late in the legislative session, which could dim its prospects for passage. Nonetheless, it punctuates a yearslong debate over the future of Muny. The senator has been pressing the city and the university to come to terms on an agreement to preserve the golf course for some time and has occasionally expressed frustration at the lack of progress.

UT had long contemplated closing the course and leasing the property for a mixed-use development. However, the listing of Muny on the National Register of Historic Places in 2016 because of its status in the nation's civil rights movement cast considerable doubt on that concept. Some scholars say it was the first public golf course in the southern United States to become integrated, according to the Texas Historical Commission.

Representatives of UT and the city have been involved in on-and-off negotiations for many months to work out an agreement. The discussions have focused on ways the city could provide cash and other benefits to UT in exchange for preserving Muny. Earlier this year, UT's governing board and the City Council agreed to extend the city's lease of Muny by a year, to May 25, 2020.

Notwithstanding the proposed district's primary purpose of preserving Muny, it also would have authority to provide for water, wastewater, drainage and road facilities, as well as landscaping, parking and "street art objects." The district could enter into an agreement with the city under which some revenue from city utility customers in the district would be transferred to the district in exchange for "an improvement project or service that provides a public benefit to the city." The district also could issue bonds.

The district's five-member governing board would initially be named by an appointing committee consisting of the executive directors of the state's Parks and Wildlife Department and Historical Commission, Austin's mayor, the Travis County judge and the Texas director of the Nature Conservancy. As the staggered terms of those board members end, the City Council would appoint new members from a list of names recommended by the preceding board.