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City projects put on hold after ordinance for Capital budget fails in city council on Tuesday

The failed ordinance means council has no authority to start new projects.

CORPUS CHRISTI, Texas — An ordinance overseeing the city capital budget for the next fiscal year failed during Tuesday's city council meeting.

The budget was suppose to go into effect October 1.

It was set at just over a billion dollars and would pay for future projects in departments such as water, parks and even $27 million for street projects. But now, those are all in limbo.

"Based on the charter, it says if council fails to approve a budget, based on the charter, then the current year budget prevails, or stays in its place," Peter Zanoni told council members.

"So what's the difference between the two, how much money are we talking about" asked councilmember Mike Pusley.

"We're talking $300 million," Zanoni said.

The capital budget failed in a 5-4 vote.

Zanoni told council that the charter requires the capital budget to be passed before the fiscal year starts. 

If not, the current budget remains, basically instead of a billion dollars it would go to $700 million.

Zanoni said by not approving the capital budget the council will lose one of the biggest things they have the authority to do, and that's create a city spending plan.

"You're saying 'I don't want to do it, I'm just going to have the manager do it and he's going to base it on last year's spending plan,' " Zanoni said.

"And we're going to delegate it to the city manager," Pusley said.

"But that, your number one authority is just that, to set the budget for the fiscal year, appropriate money and award contracts," Zanoni said. "So you, nine members are saying 'meh, we don't feel like doing it.' " 

Again this would affect any future projects like roads and even desal was mentioned.

This does not impact the operating budget or projects that have already been approved.

The city manager has now been tasked to come back at next week's meeting to amend the budget and come back with recommendations.

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