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Mark Nemir, owner of Dirty Martin's; Bill Aleshire, Austin attorney | Lone Star Standard

Austin Light Rail: The Human and Constitutional Cost; a Conversation with Mark Nemir and Bill Aleshire

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HIGHLIGHTS FROM OUR INTERVIEW WITH MARK NEMIR, OWNER OF DIRTY MARTIN’S AND AUSTIN ATTORNEY, BILL ALESHIRE

Q: Lone Star Standard

What is Dirty Martin’s? 

A: Mark Nemir

Dirty Martin’s is one of the oldest businesses in Austin that is still in existence. We are 98 years old this year. I bought the restaurant 35 years ago when it was 63 years old. So, it’s kind of been around for a long time and it’s a burger joint, and that’s what it’s always been. 

It lies in an interesting location. It’s right at the very north edge of the UT campus, just south of 29th street. We’re off Guadalupe right where the road curves. It has been in that same location all these years, all these decades. Unfortunately, it is right where Austin wants to put the train tracks for the light rail. That’s what they told us. Then they told us we weren’t in the tracks. I’m not clear on where they are with all of that at this moment. We have requested clarity on them possibly moving the train into the existing street and not taking my business out. But, we haven’t seen any documents or got any written assurance to that effect.

Q: Lone Star Standard

What alternative do they have to the proposed light-rail system in Austin?

A: Bill Aleshire

That’s correct. In fact, my co-counsel, Rick Fine voted for the project and supports light rail. His view was - even though the rail wasn’t going to be near his home, it might take cars off the road and give him more room and others to drive on the streets. But, now he thinks this makes no financial sense when you look at the cost per rider that they project.  

Honestly, there are better ways to get mass transit in Austin, at least initially, and one of them would be to do what San Antonio is doing. San Antonio is not starting with light rail. They are doing a bus rapid transit system with electric buses that will cost $320 million as opposed to the $5 billion that light rail will cost in Austin. They would have 12 miles of the bus rapid transit services and 19 stations. And light rail in Austin would only have 9 miles. The cost of the current light rail plan, they estimate would be about $166,000 per rider and the San Antonio system costs $23,000 per rider. So if you did a bus rapid transit system in Austin, you could still do the entire routes proposed for light rail but for a fraction of the cost.

And, you wouldn’t need to bulldoze Dirty Martin’s and other businesses and homes if you’re using dedicated street lanes for bus rapid transit that you would have available. The other big thing that’s happening is they are no longer taking the rail line to the airport. 

Q: Lone Star Standard

Why is the funding mechanism for light rail so problematic? 

A: Bill Aleshire

I know what a bond issue is. When I was county judge for 12 years, we did them for roads and other voter approved projects. I was the county tax collector for five years. Before that, I was involved in all the bond issues that were going on. And I will tell you that the funding mechanism for this, which comes out of the General Fund tax, is unique in the state of Texas. 

This is the biggest property tax increase ever for the city of Austin. But because it comes out of the General Fund, it has to be voted on each year. Conversely, they told the voters in the ballot proposition itself that the city would transfer that money to Austin Transit Partnership every year. So, they have to. And, now, they’ve amended the agreement so the city can stop funding it any year. 

Why did they do that? They did that because the Attorney General issued an opinion in May of 2023, that since that was not part of their agreement, it violates the Texas Constitution. You can’t have a tax in perpetuity unless it’s a bond package. There, you have a dedicated debt tax that the bond holders are guaranteed they will be paid. This new funding mechanism reflects on the credit worthiness of all government bodies in Texas. Can you imagine buying $1 billion worth of bonds and being told that repayment of that could stop any year that the Austin City Council votes to not appropriate the money to pay the bonds. That’s risky.

Mark Nemir is the owner of Dirty Martin's, a hamburger joint near UT campus, and Bill Aleshire is a local attorney representing Mark and four other plaintiffs in a lawsuit against the City of Austin. Their lawsuit regards the City's Project Connect plans, how it was sold to the public, what it has become, and how it is being paid for.

This interview transcript has been edited for length and clarity.

Listen to the full discussion here: https://texas-talks.simplecast.com/episodes/ep-11-mark-nemir-dirty-martins-bill-aleshire.

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