Austin City Hall on Monday, May 18, 2026.

Austin City Hall on Monday, May 18, 2026.

Jay Janner/Austin American-Statesman

Austin city staff announced Thursday that they are recommending Public Works LLC to conduct an independent efficiency assessment of all city departments. The review is part of a measure the City Council approved in February aimed at improving accountability and transparency and making the most of public dollars as the city faces a massive budget deficit

Council members will vote later this month on whether to approve the recommendation.

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“The professionals at Public Works understand that this assessment is more than an audit and performance review — it will be transformative and comprehensive, importantly, it will also be an ongoing independent examination on how Austin’s government can operate better,” Mayor Kirk Watson said in a news release.  

According to the release, Public Works has conducted efficiency assessments for local governments across the country, including the city of Chicago, Baltimore County, Broward County, Travis County, six state governments and two U.S. territories. Staff from the Austin auditor’s office selected Public Works’ proposal from among bids submitted by 25 firms. The evaluation panel scored it the highest for its understanding of the assessment’s needs and Austin’s unique challenges. 

“Their approach to assessing cross-departmental functions, such as contracting and technology practices, was outstanding according to the evaluation panel,” staff said.

Staff members added that Public Works also designed an approach meant to identify efficiency opportunities early in highly visible areas, a strategy they said could boost public confidence.

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However, local PAC Save Austin Now on Friday called on the city to provide transparent details on how the vendor was chosen, saying that Public Works LLC had its right to do business in Texas revoked in 2024 due to nonpayment of taxes. Records on the Texas comptroller’s website show that the business forfeited its right to transact business in the state and that they are not currently registered with the Secretary of State.

Though Public Works could still conduct business in Texas, the forfeiture would mean that its officers would be personally liable if the company got sued. Public Works LLC did not immediately respond to request for comment.

“Public Works has previously been registered in the State of Texas but intentionally let their most recent registration lapse as they currently are not working on any Texas-based projects and owed no Texas taxes,” city spokesperson Jenny LaCoste-Caputo said in a statement. “Public Works has already taken steps to reinstate its Texas license prior to the item coming to City Council for approval. As with any contract, the City would ensure the vendor is in compliance with all applicable Texas laws.”

Save Austin Now Treasurer Leland Bickers opens signatures pages as employees and volunteers validate signatures on a petition to change the city charter and force the city to hold an audit at their headquarters downtown, Feb. 6, 2026. Save Austin Now will check that all the signatures on the petition belong to City of Austin voters and make a count of valid signatures before delivering the petitions to the clerk.

Save Austin Now Treasurer Leland Bickers opens signatures pages as employees and volunteers validate signatures on a petition to change the city charter and force the city to hold an audit at their headquarters downtown, Feb. 6, 2026. Save Austin Now will check that all the signatures on the petition belong to City of Austin voters and make a count of valid signatures before delivering the petitions to the clerk.

Sara Diggins/Austin American-Statesman

The announcement comes as the Save Austin Now PAC is campaigning to enshrine recurring audits of Austin’s spending in the City Charter. The PAC announced last week that it had met Austin’s 20,000 signature requirement for an initiative petition, meaning City Council must either adopt the proposed charter amendment or place it on the November ballot. 

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Council separately approved an ordinance for the citywide efficiency study in February following the November failure of Proposition Q, a council-backed ballot measure from council that would have increased property taxes by 20%. 

Council Member Marc Duchen first proposed the study in August, before the election, as the city grappled with a historic budget deficit. His plan drew on a similar effort in Houston, where consulting firm Ernst & Young identified $122 million in potential savings. That review led to hiring freezes, early retirements and the consolidation of city departments.

The evaluation panel that selected Public Works noted that in prior efficiency assessments, Public Works’ reviews have identified annual recurring savings of at least 5% of operating budgets through structural realignment, process improvement, procurement reform and the elimination of duplication. 

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West Virginia and Iowa saved more money than the firm originally projected, staff said. In Baltimore County, which is roughly the same size as Austin, Public Works identified $750 million in savings over five years.