Austin Water wants a slice of Waller Beach parkland for I-35 work. The parks board said yes, 8-1

Austin Water wants to put new water infrastructure on a sliver of lakefront parkland at Waller Beach, next to I-35, to make way for the highway's rebuild. On Monday night the city's Parks and Recreation Board recommended that the City Council allow it, 8-1, with Austin Water paying the parks department $1,055,440 in return.

For people who use the hike-and-bike trail and lakefront near the I-35 bridge, it is one more piece of the highway project landing on parkland. Under state law, the council has to hold a public hearing before any change in use of dedicated parkland, and must find there is no feasible alternative.

What was recommended

According to the board's recommendation, the change would let Austin Water:

• permanently use about 7,475 square feet of Waller Beach at Town Lake Metropolitan Park, along East Avenue;
• temporarily use about 3,590 square feet during construction;
• build water infrastructure and related improvements tied to the I-35 Capital Express project.

The mitigation payment of $1,055,440 goes from Austin Water to Austin Parks and Recreation, so the item has no impact on the general fund, the recommendation says. Kevin Koeller, a managing engineer at Austin Water, presented the item, according to the board's agenda.

Board Chair Stephanie Bazan, Vice Chair Lane Becker and members Luai Abou-Emara, Jennifer Franklin, Diane Kearns-Osterweil, Maritza Kelley, Nicole Merritt and Kim Taylor voted yes. Ted Eubanks voted no. Shelby Orme and Pedro Villalobos were absent. The recommendation does not give a reason for the no vote.

Why the council has to vote

Texas Parks and Wildlife Code Chapter 26 says a city can't use protected parkland for another purpose unless its governing body, after notice and a public hearing, finds there is no feasible and prudent alternative and that the project includes all reasonable planning to minimize harm to the land. That is why these items come to the council as public hearings, even when the area is small.

What our records add

The council usually says yes, unanimously. Our records show five recent Chapter 26 hearings for city utility or drainage work. Each passed without a no vote:

• Auditorium Shores at Town Lake Metro Park, an Austin Water reclaimed water line with a $504,498 payment: 10-0 on March 26, 2026.
• Festival Beach at Edward Rendon Sr. Metro Park, an Austin Energy transmission line with a $2,414,240 payment: 10-0 on April 23, 2026.
• Sir Swante Palm Neighborhood Park, Austin Water water and wastewater lines with a $1,897,883 payment: 11-0 on Aug. 27, 2026.
• Colorado River Park Wildlife Sanctuary and Roy G. Guerrero Metro Park, an Austin Water project: 11-0 on Jan. 22, 2026.
• Adams-Hemphill Neighborhood Park, stormwater detention basins: 11-0 on Sept. 11, 2025.

A sixth, for roadway work on about 121,156 square feet of the Country Club Creek West Greenbelt with a $1,368,050 payment, is still pending.

The bigger I-35 parkland picture. At a December 2025 Mobility Committee meeting, a presenter said the mitigation package for the highway's temporary and permanent use of parkland along the lake was estimated at about $19 million. The presenter said utilities might have to move out of the state's right of way and into Palm Park, though talks with the Texas Department of Transportation might avoid that. The cost of crossing parkland shapes other city designs, too. At the Oct. 1 Mobility Committee, Transportation Director Richard Mendoza said a two-lane roundabout considered for one intersection would have needed parkland and triggered Chapter 26 mitigation costs and reviews.

Related work this fall. The council is also weighing a $1 million city payment for a transit lane through the rebuilt Dean Keeton crossing, on the Nov. 5 agenda.

What's next

The council still needs to set and hold a public hearing on the Waller Beach change. The item is not on the Nov. 5 agenda. When it is scheduled, the city must give public notice, and residents can speak at the hearing.