Axios Austin

August 04, 2026
Happy Tuesday.
βοΈ Today's weather: Sunny, with heat index values around 105.
π Happy birthday to our Axios Austin members Ray Grasshoff, Kevin Lord, and Katie Jeffress!
πΈ Situational awareness: Austin City Council will vote today on whether to put as much as $390 million in bond proposals on the November ballot to pay for upgrades at city pools and branch libraries, among other things.
- Mayor Kirk Watson says he wants to delay such an election until 2028, in the aftermath of an overwhelming defeat of a tax hike proposal last year.
Today's newsletter is 1,013 words β a 4-minute read.
1 big thing: Abbott halts Texas data center approvals
Gov. Greg Abbott yesterday halted approvals for new data centers until the state can audit the ones looking to connect to Texas' electric grid.
Why it matters: Abbott has signaled a desire to make data center regulation a top priority as he seeks reelection and ahead of a new legislative session next year.
- Data centers have drawn increased scrutiny amid backlash to AI.
The latest: Abbott directed the Public Utility Commission of Texas (PUCT) and the Electric Reliability Council of Texas (ERCOT) to deny grid connection to any project that doesn't meet requirements.
By the numbers: About 90% of new connection requests for the Texas grid are data centers, Abbott says.
- ERCOT, the state's grid operator, is considering more than 474 gigawatts of requests β more than five times Texas' record peak electricity demand, Abbott added.
Zoom in: Among the information the governor is seeking from data center projects is:
- The extent to which a center is seeking state and local tax incentives.
- Whether a data center developer plans to provide some of its own electricity, and a center's estimated annual and peak electric consumption.
- A data center's projected annual and peak water consumption and its water sources.
- Any measures a project is taking in regard to noise mitigation, light controls, emergency response coordination and more.
What they're saying: "Our top priority is to protect Texans' safety and quality of life," Abbott said in a statement.
- "Done correctly, this review can showcase the good actors in the data center industry rather than delaying them unnecessarily," Dan Diorio, executive vice president of state policy and government affairs for the Data Center Coalition, a trade organization, tells Axios in a statement.
Between the lines: Democratic gubernatorial candidate Gina Hinojosa last month called on Abbott to halt data center construction across Texas.
- "So nice to see another strongly worded letter from Abbott after he proudly made Texas the Wild West of data centers," Hinojosa said in a statement yesterday.
- "Abbott's call for a 'pause' could be for one day β and no one buys it."
2. How much removing street art costs
We can now put a dollars-and-cents figure on a state directive to get rid of roadway artwork in Austin.
Why it matters: Critics have argued the state order is politically motivated and targets artwork celebrating LGBTQ+ and minority communities.
- It also carries a taxpayer cost.
Catch up quick: To comply with a state directive, Austin removed several high-profile street art installations last month, including the city's rainbow crosswalk at Fourth and Colorado streets, the "Black Artists Matter" mural on East 11th Street and the "TEXAS" mural on Guadalupe Street.
What we found: Austin Transportation and Public Works officials tell Axios that Austin has spent nearly $28,000 to remove art β and plans to shell out nearly $13,500 more, bringing the total cost to over $41,000.
- The final total may increase, city officials tell Axios, as more costs roll in.
The other side: Texas Department of Transportation officials say the crosswalk removals are necessary for roadway safety.
- The agency's order came after Gov. Greg Abbott directed the agency to ensure cities "remove any and all political ideologies" from streets.
The bottom line: The money Austin is spending to comply with the state's demand is a tiny fraction of the city's multibillion-dollar budget, but it's not nothing.
3. π€ The Roundup: Wrangling the news
ποΈ Google opened a nonprofit community space yesterday at the Sail Tower in downtown. Eligible organizations can book the space, which can accommodate up to 143 people, for workshops and events at no cost. (KVUE)
π Austin battery startup Base Power raised another $1 billion. (Austin Business Journal π)
πΏ Alamo Drafthouse's Mueller location will be renamed the "Matthew McConaughey Cinema" starting next week. (Deadline)
4. Reader mailbag
We asked last week how you feel about the use of artificial intelligence in doctors' offices.
- Austin Regional Clinic now uses Suki, an ambient AI listening platform that monitors appointments and drafts clinical notes, across its 40 Central Texas locations.
Patti K. tells us "the inherent bias of the 'doctor knows everything and I know nothing' in the standard medical visit model is somewhat tempered by AI."
- "Most importantly, AI takes it all in," she writes.
A report "about a 'rogue AI' hacking another AI ... has reinforced my decision to refuse any AI recording of our conversations," Jim N. says.
One reader, who wished to remain anonymous, says he has taken to surreptitiously recording his Austin medical appointments with his wearable Bee AI device.
- "If they can do it, it's only fair that I can do it too," he tells us.
5. π 1 airport lending library to go
π Asher here.
Traveling recently through Austin-Bergstrom International Airport, this United Airlines library (π) caught my eye.
Why it matters: If you find yourself about to board a plane and realize you have nothing other than your phone to keep you occupied, head to Gate 25 to grab a tome.
The details: Operating under the take-a-book-leave-a-book model, the library ranges from kids' books ("The Tuttle Twins and the Creature from Jekyll Island") to Christopher Isherwood's "Berlin Stories," an examination of pre-World War II Germany.
The bottom line: Feel literary as you fly.
Thanks to Astrid GalvΓ‘n for editing this newsletter.
π Asher found this story, by KVUE and American-Statesman reporter Tony Plohetski about what happened after an Austin police officer smashed into two cars while driving his patrol car and texting his girlfriend, totally disturbing.
π₯³ Nicole and her husband are starting their long-awaited guest bathroom renovation.
π We're close to hitting 500 Axios Austin members! Join our membership today to help us reach this exciting milestone.
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