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Texas business owners beg Democrat-run city ‘to end the vicious cycle’ of homelessness

Customers "try to avoid" the Austin, Texas, area where business owners Larry Maddalena and Craig Plackis operate, due to the city's "vicious cycle" of homelessness.

Instead of spending millions of taxpayers dollars to catalyze the homeless crisis, two Austin-based business owners demanded city leaders take a more all-round approach.

"I wish they would put the funds towards treatment for drugs and alcohol and mental illness, and give them the proper care that they need to end the vicious cycle," Larry Maddalena, The Joint Chiropractic owner, said on "The Big Money Show" Tuesday.

"Just recently we were starting to get some things done from the city where they started to clean the encampment out and getting the folks off the street," Craig O’s Pizza & Pastaria owner Craig Plackis added.

"But what we're hearing is that, once they get them into the housing," the pizzeria owner continued, "they're maybe staying there a day or two and then getting right back on the street again."

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Both business leaders admitted that Austin’s worsening homeless crisis – coupled with defunding the police – has impacted business and kept customers from walking through their doors. In Austin’s 2022-23 fiscal year budget, the city council approved allocating $79 million each for both the homeless response and affordable housing.

Amid the growing problem, Austin’s ranking on the U.S. News & World Report’s annual "Best Places to Live" list has dropped for the third consecutive year, coming in at No. 40 of 150 cities. Texas’ capital ranked No. 1 on the list from 2017 to 2019. It dropped out of the top 10 for the first time last year as the city's growth made it more expensive and increasingly prone to violent crime and homelessness.

"Austin has experienced a greatening uptake in homeless over the last three years," Maddalena said. "We're about 400 officers short right now, and we're just seeing a huge increase in the homeless in businesses: break-ins are up, homicides are up 8% over last year, arson up 67% over last year. And this is totally impacting businesses and residents."

Last week, Austin saw its second homeless camp homicide in three months after one man was killed in a tent community in North Austin following a fight, local police said.

Maddalena previously expressed on "Fox & Friends" that he fears local law enforcement's "hands are tied" as they battle a staffing crisis and lenient policies from George Soros-backed District Attorney Jose Garza.

City leadership has "been terrible" in working with businesses to find a solution, Plackis expressed while reminiscing on what Austin used to look like.

"Twenty years ago when we moved in, that corner that we sit on was the premier center of Austin. And nowadays, people try to avoid it, and it's a true shame," Plackis said.

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"Wonderful businesses in there, a lot of local businesses in there," he continued, "and again, we're just trying to get the word out to our fellow community because Austin is a wonderful community. We got great guests, we got great folks who live there, and they want to do something positive about what's going on here."

Austin Mayor Kirk Watson’s office did not immediately respond to Fox News Digital’s request for comment.

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FOX Business’ Audrey Conklin and Fox News’ Madeline Coggins contributed to this report.

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