Parks funding recommendations expected to go before Council this month

The Parks and Recreation Department is moving forward with an effort to identify new funding options for the city’s park system, with a pair of outside consultants on board that have helped other large cities find and address funding gaps in the past.

A memo sent to City Council this week outlines progress on a resolution approved by Council in November aimed at identifying sustainable revenue sources for park management, land acquisition, maintenance and amenities.

Estimates indicate that PARD faces approximately $125 million in deferred maintenance costs each year across parks, recreation centers, pools and other facilities, with the current backlog totaling about $700 million. That high degree of need is one reason the city relies on partners such as the Austin Parks Foundation to fund and oversee park improvements across the area.

Council’s original resolution emphasized the importance of maintaining and expanding parkland, citing the city’s growing inventory of park acreage without a corresponding increase in maintenance resources. As detailed in the 2024 Financial Services Department report, the rise in newly improved park spaces has strained maintenance operations, contributing to a decline in service levels over the past decade.

Staff have engaged two consulting organizations, PFM Group Consulting and Trust for Public Land, to assist with the analysis. PFM specializes in financial advisory services for state and local governments, helping cities develop sustainable funding models and long-term capital plans. Their past work with municipalities has included developing detailed financial models, supporting bond initiatives and helping local governments identify alternative revenue sources to fund public projects.

Trust for Public Land brings national expertise in conservation finance, with a track record of helping governments pass over 500 ballot measures to generate approximately $70 billion in public funding for parks and open space since 1972. Their services typically include designing funding mechanisms, providing public engagement strategies, and conducting economic benefit analyses for parks and recreation projects. The two consulting firms could help the city explore funding models for securing sustainable parks funding, including ballot initiatives, dedicated taxing authorities, or public-private partnerships that have proven successful in other jurisdictions.

The work is divided into three phases. The first phase, currently underway, involves benchmarking Austin against comparable cities, including Atlanta, Dallas, Fort Worth, San Antonio, San Diego and Seattle, along with best-practice cities such as Boston, Minneapolis and San Francisco. Travis County is also included as a regional comparator.

Subsequent phases will quantify funding gaps, measure the economic benefits of parks, and recommend potential new revenue streams. A final set of recommendations is expected later this summer.

A survey conducted from March to April gathered feedback from residents, and small group discussions were held virtually in late April to generate ideas for future funding strategies. A summary of public feedback and recordings of the discussions have been made available online. The project team plans to present another progress briefing to the Parks and Recreation Board on May 19, with recommendations expected to be presented to Council later this month.

Austin’s parks system ranked 44th nationally in the 2024 ParkScore Index, highlighting challenges in funding and equitable access. City Council directed staff to examine a range of funding options beyond the General Fund, including park districts, tax increment financing, public improvement districts, expanded partnerships and new fee structures. The resolution further calls for collaboration with regional partners such as Travis County to assess the potential for a regional parks strategy.

In addition to exploring alternative funding models, Council’s directive requires annual reports tracking citywide parkland assets, parkland dedication funds, maintenance costs and public-private partnership outcomes. The goal is to align future funding strategies with long-term objectives outlined in the Parks Department’s “Our Parks, Our Future” plan, including equitable access to parks for all residents and addressing service needs in historically underserved areas.

Photo by Daderot – Own work, CC0, Link.

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