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Los Angeles is more than just the fakeness of Hollywood.
You can raise the kids in nice suburbs of LA like Pasadena which is suprisingly like Austin with it's college town feel (only bigger).
There's the Palisades and Agoura Hills. Santa Monica IMHO is a fantastic place to raise a kid. Very relaxed and non pretentious.
Choose any of the above areas and your kids will come up in a great area and also be exposed to many worldly things not possible in Austin.
I'm with Baddog, Austin is one of my favorite towns in Texas... in the US actually. But the vote goes to LA.
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