Education policy is often at center stage in the Texas Legislature. This session, lawmakers are teeing up another slate of bills that could contend with 2019’s sweeping bipartisan effort to reform education finance. A $10 Billion Increase in State Spending This legislative session, lawmakers plan to add $10 billion in new funding for education. If passed, that puts the total amount at more than $100 billion for public education in Texas. House Bill 500 seeks to increase state spending by more than $1 billion to compensate for the federal funding shortfall in education. The supplemental bill is a stepping stone to larger proposals, including House Bill 2 (HB 2). The Texas House is proposing nearly $8 billion in new funding for teacher pay raises, expanded Pre-K and early childhood education programs, and increasing the funding formulas per student. Click here to read more about HB 2 and its proposals. Six-Figure Salaries for Teachers Texas Education Agency Commissioner Mike Morath testified in House Public Education earlier this year that Texas already has teachers in the six-figure salary range. This session, lawmakers are looking to expand the number of teachers who qualify for retention bonuses and merit-based pay increases. HB 2 and Senate Bill 26 take different paths to the same solution. Lawmakers are intent on keeping quality teachers in the classroom rather than promoting them to administrative positions. Both bills offer significant increases in the Teacher Incentive Allotment. The bills specifically add funding to help more school districts participate in the merit-based incentive program for high-performing teachers. Read more about teacher pay increases here. The ABCs of HB 123 The Partnership supports House Bill 123 by Houston-area Representative Harold V. Dutton. The longtime lawmaker is introducing this proposal to target kindergarten readiness, early childhood literacy, and math skills across the state. Early estimates put funding for the proposal between $260 million and $392 million by 2030. The proposal includes a new program that would provide funding to parents of students who do not meet target goals for reading and math. The program would also offer grants for tutors and other study aides to help young students get back on track if they fail to hit those targets by the third grade. These are just a handful of the policy proposals related to public education. The Partnership is focused on increasing school funding and strengthening accountability standards. Click here to learn more about the Executive Priorities for the 89th Texas Legislature. For more updates and alerts on the Texas Legislature, click here to sign up for our weekly newsletter. 

In 2023, Texas had one of the best legislative sessions in modern history for water policy. The 89th Texas Legislature wants to take that to another level by increasing funding and implementing policy reforms to reshape how the state addresses water resources. With the legislature prepared to cross the halfway point, here’s a quick look at what’s happening with water policy and key bills the Partnership is following in Austin. More Money, More Water In 2023, lawmakers created the Texas Water Fund, and voters approved a $1 billion startup investment to fund projects across the state. This session, lawmakers are doubling down and plan to return to Texas voters for another $1 billion annually for the next 10 years. Senate Bill 7 (SB 7) by Sen. Charles Perry provides the spending framework, while Senate Joint Resolution 66 proposes a Constitutional Amendment to dedicate $10 billion over the next decade to the Texas Water Fund. State Rep. Cody Harris has filed the House companion bills—House Bill 16 (HB 16) and House Joint Resolution 7 (HJR 7). Greater Houston Partnership Executive Vice President Taylor Landin testified in support of HJR 7 on Wednesday in House Natural Resources, emphasizing the importance of sustainable water supply and infrastructure for the Houston region to remain competitive in landing large-scale projects in advanced manufacturing, life sciences and energy. The Partnership is set to testify in support of SB 7 during Monday's Senate Committee on Water, Agriculture, and Rural Affairs hearing. In addition, House Bill 500, the Supplemental Budget Bill, taps $2.5 billion in surplus dollars to be invested in the Texas Water Fund upon passage. This means those dollars will be delivered this year rather than at the start of the next fiscal year. Funding for Flooding Lawmakers estimate over $1 billion will be available in the state’s Flood Infrastructure Fund account at the end of the fiscal year. According to agency officials, $700 million has already been committed to the Army Corps of Engineers (USACE) on state-federal match projects. The funding is parked in reserve as the USACE approves projects and prioritizes construction based on available funding. Budget writers have included more than $182 million for additional flood mitigation projects in addition to the existing reserves. One policy to watch is Senate Bill 1289, which expands the authorized uses for Texas Water Fund dollars to include the Flood Infrastructure Fund. Water Works If lawmakers succeed, the proposed policies will reshape how we fund and implement water strategies around the state. In addition to the dollars, ongoing discussions are underway on infrastructure, innovation in providing new water sources and expanding the authority of certain energy producers to engage in water reclamation efforts. The result will be a generational shift in how local and state-level entities operate while maximizing the efficacy of federal dollars through matched programming efforts.  For more updates and alerts on the Texas Legislature, click here to sign up for our weekly newsletter.