SUMMARY: The City of Austin released its fiscal year 2026 budget draft, proposing over $6 billion total, with a $1.5 billion General Fund focused on public safety funded mainly by property and sales taxes. City Manager TC Broadnax faces a $40 million budget gap due to reduced sales tax and shifts in land valuations. Mayor Kirk Watson indicated he might seek voter approval for a tax rate increase via a Tax Ratification Election (TRE), given state law constraints. The budget includes a 4% cost-of-living raise for employees and funding for homelessness services, parks, and rental assistance. The adoption process includes public input and council votes between July and August.

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SUMMARY: The State Department is firing over 1,900 employees, including civil servants and foreign service officers, as part of a Trump-era reorganization despite ongoing lawsuits challenging the cuts. Federal appeals court blocked a plea deal for Khaled Shik Muhammad, accused mastermind of the 9/11 attacks, ending hopes for a swift military prosecution resolution. In Southern California, immigration raids on marijuana farms led to clashes between ICE agents and protesters, with an armed suspect wanted by the FBI. California’s governor criticized the raids as sowing fear. Meanwhile, the U.S., South Korea, and Japan conducted joint military drills featuring nuclear-capable bombers to deter North Korea.

A look at some of the top global and national news stories, including a standoff over immigration raids, an appeals court scrapping a plea deal for the 9/11 mastermind and joint military exercises from the U.S., South Korea and Japan

FOX 7 Austin brings you breaking news, weather, and local stories out of Central #Texas as well as fun segments from Good Day Austin, the best from our video vault archives, and exclusive shows like the Good Day Austin Round-Up and CrimeWatch.

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SUMMARY: A family in Hunt, Texas, about 13 miles west of Kerrville, survived a deadly flood by climbing onto kitchen cabinets and then into their attic as waters rushed in. Jane Fowler recorded video while they scrambled to safety with toddlers and a family friend. They spent about two and a half hours on a small roof landing as floodwaters nearly reached them. A nearby tree prevented a crashing house from hitting theirs. Fowler reflects on the trauma and loss witnessed, questioning whether earlier alerts could have improved safety during this tragic natural disaster.

A Hunt, Texas family has shared their story, along with some haunting video, of their experience in the deadly Fourth of July flooding in the Texas Hill Country.

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