Austin moves to dismiss PAC lawsuit against convention center expansion

The Austin Convention Center Department this week released renderings of the new $1.6 billion expansion project known as Unconventional ATX. The current convention center is set to close in April for demolition.

The city of Austin is defending its rejection last month of a local political action committee’s petition to place an item on the May ballot that would temporarily block the city’s in-progress convention center expansion.

The Austin United PAC sued the city in December after the city clerk deemed the charter amendment petition invalid, citing an insufficient number of signatures.

In a strongly worded court filing Tuesday, the city argued the lawsuit should be dismissed because the city clerk had followed the law and the city’s own longstanding procedure in reviewing the petition – and that the PAC was acting in bad faith because the old convention center has already been demolished and Austin voters rejected a similar ballot measure in 2019.

Austin United’s "own conduct has been unconscientious, unjust, and marked by a want of good faith," the city wrote in its response. "Plaintiffs have been on notice for years that the Convention Center Project was moving forward as planned. Rather than attempt again to halt or alter the project at any point before demolition commenced, Plaintiffs waited until after demolition of the old Convention Center was complete before submitting their Initiative Petition to the City."

The city proceeded with the $1.6 billion project "with the understanding that any citizen wishing to challenge the project would have done so prior to the commencement of demolition and construction activities," the filing said.

The Austin United PAC has argued that the convention center project misuses public resources better spent on local music and arts initiatives and has criticized the city for lack of transparency on the project and in rejecting its petition.

The convention center project is funded by hotel occupancy taxes, which are taxes paid to the city by visitors and can only be used to fund certain items such as tourism and the hotel industry.

City leaders have unanimously backed the project, arguing it will boost the city’s economy by creating more jobs and hotel occupancy tax revenue.

Mayor Kirk Watson referenced the 2019 ballot measure in an October op-ed, noting that city staff routinely turn down big events in Austin because the city does not have the space to host them.

Demolition of the old convention center was completed last year. Construction of the new center, on the same site, kicked off recently and is expected to be completed in spring 2029.