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89th Texas Legislative Session

Overview

Partnership Advocacy Secures
Major Wins for Houston Region
in 89th Legislative Session

The 89th Texas Legislature adjourned on June 2 after a session marked by historic investments in education, workforce, and water infrastructure. The Greater Houston Partnership, representing the business voice of the region, worked closely with lawmakers to advance priorities aligned with the needs of our 12-county area. Below is a selection of key outcomes. For complete tracking and analysis, visit the link below.

Summary of Outcomes

Water Infrastructure – Executive Priority

House Joint Resolution 7 STATUS: Filed with the Secretary of State, On the November 4 constitutional election ballotThis resolution proposes a constitutional amendment to authorize $1 billion per year for the next 20 years for the Texas Water Fund. Texas voters will decide this November whether to allow the state to dedicate available funding for projects that increase the water supply and address aging infrastructure. Texas has similar dedicated funding for transportation projects and the state’s rainy day savings account. The Partnership supports the final approval of this constitutional amendment to secure our region’s water needs.

Senate Bill 7 STATUS: Sent to the GovernorThis is the omnibus water spending bill that expands the authority for the Texas Water Fund and outlines a path forward to address our state’s water supply and infrastructure needs. This bill is closely tied to House Joint Resolution 7, which will ask Texas voters in November to approve dedicating $1 billion per year over the next 20 years to fund water projects. The goal is to allocate 50% of the funding for projects that create a new water supply, and the remainder will be assigned to other eligible projects, including flood infrastructure, repairing leaky and broken pipes, and other related initiatives. This bill was critical for the City of Houston and the region to address the ongoing needs related to growth and business expansion.

Workforce Development – Executive Priority

House Bill 11 STATUS: Signed by the Governor, Effective ImmediatelyThis new law immediately expands occupational license reciprocity agreements, allowing more out-of-state professionals to work in Texas. This critical bill expands the workforce talent pool and recruitment for the best and brightest to our state.

House Bill 20  STATUS: Sent to the GovernorThis bill establishes the Applied Sciences Pathway program, which allows high school students in grades 11 and 12 to simultaneously earn their diplomas and workforce certificates through partnerships between school districts or charter schools and institutions of higher education. The program focuses on high-wage, high-growth technical fields and counts student participation toward full-time attendance requirements. It also permits limited course substitutions with career and technical education (CTE) credits.

House Bill 120 STATUS: Sent to the GovernorThis bill enacts wide-ranging reforms to strengthen Texas’s college and career readiness efforts for public school students. The bill requires the Texas Education Agency (TEA) to set a statewide career readiness goal, publish postsecondary outcomes by campus, and support data-driven local planning. School districts must adopt detailed annual goals for student credential attainment and long-term consequences, post public reports, and assign staff to track progress.

The bill also expands dual credit access for recent high school graduates in P-TECH and R-PEP programs, boosts funding for CTE programs and certifications, and allows districts to use existing funds to provide post-graduation advising. It creates a new $50,000 Military Pathway Grant for JROTC programs, raises caps on P-TECH and R-PEP funding, and enhances certification reimbursement limits. The accountability system has been updated to tie industry certifications to postsecondary wage and job outcomes, and it sets new rules for revising performance standards.

Senate Bill 1786 STATUS: Signed by the Governor. See the bill for rolling effective dates.This bill enhances the way Texas funds and coordinates career and technical education (CTE) across high schools, colleges, and workforce programs. It requires the Texas Education Agency, the Higher Education Coordinating Board, and the Workforce Commission to work more closely together to streamline grants and better align training programs with high-demand, well-paying jobs. SB 1786 strengthens data reporting from employers and launches a statewide labor market assessment to help educators tailor programs to real workforce needs. It also ensures more dual credit access through the FAST program, particularly for disadvantaged students, and provides the Coordinating Board with the flexibility to quickly adopt rules in response to federal aid and funding changes. The bill expands what counts as a “credential of value”—degrees and certificates that lead to good returns for students—and updates funding formulas for junior colleges to reflect those outcomes.

Public School Funding & Early Childhood Education – Executive Priority

House Bill 2 STATUS: Sent to the GovernorThis is the omnibus school finance bill that added $8.5 billion in new programmatic funding for public education. The bill includes $4.2 billion in teacher pay raises, bonuses, and retention allotments, as well as support staff. The bill also includes new funding for special education, state aid for insurance costs, expanded workforce data reports, and college and career preparation. Locally, Region IV schools are expected to receive more than $1 billion in combined funding under the new formulas.

House Bill 117 STATUS: Sent to the GovernorThis bill establishes a Governor’s Task Force to enhance the administration of early childhood education programs in Texas. The task force will comprise leaders from state agencies and experts in early learning, and will examine ways to enhance program efficiency, better alignment, and accessibility for families. It must submit policy and budget recommendations by December 2026 and will be dissolved in 2027.

Budget

Senate Bill 1
STATUS: Sent to the Governor, Effective September 1The General Appropriations Act organizes and authorizes state spending for the next two years. Eight articles make up the individual areas of funding for state agencies, universities, and other state-funded operations. The final budget totals more than $338 billion for the 2026-2027 fiscal year, with key increases in funding for public education, economic development, and health care.
Download the Partnership’s report highlighting key investments for the greater Houston region and the state.
Click here to use the Partnership’s Budget Explorer Tool.

House Bill 500
STATUS: Sent to the GovernorThe Supplemental Budget Bill allocates $13.2 billion to the current state budget, with funds being immediately deployed across several state agencies. Notably, $2.6 billion is earmarked for water projects, such as the infrastructure repairs highlighted by the City of Houston, to shore up the existing supply that is being lost through leaky pipes. HB 500 also provides funding for natural disaster response, a resiliency priority ahead of the summer hurricane season. See the link above for more key funding highlights.

House Bill 4488
STATUS: Sent to the GovernorThis bill aims to streamline state budgeting by abolishing most special funds, accounts, and revenue dedications created during the 89th Legislature, redirecting those revenues and any related interest to the undedicated general revenue fund. The bill includes exemptions for constitutionally or federally required funds and extends existing provisions governing the use of dedicated revenue through 2027.

House Bill 4486
STATUS: Sent to the GovernorThis bill allows the State of Texas to utilize funds from various state and federal sources to compensate individuals or businesses that are owed money by the state, such as through legal judgments or unpaid bills. Before any payment is made, the claim must be reviewed and approved by state officials, and it must be supported by proper documentation. The bill also establishes rules for how and when these payments can occur, particularly if funds from the state’s emergency savings account are utilized.

Economic Development

Senate Bill 22
STATUS: Sent to the GovernorThis bill overhauls the Texas Moving Image Industry Incentive Program by allocating new funds to support film, TV, and digital media projects that portray Texas in a positive light and align with community values. It sets clear rules on which projects are eligible or excluded, introduces fixed grant amounts based on spending, and offers bonus grants for filming in rural areas, hiring veterans, promoting family or faith-based values, or highlighting Texas heritage. The bill sets a sunset date of 2035 for the program and fund.

House Bill 2765
STATUS: Sent to the GovernorThis bill expands and modernizes the Rural Economic Development and Investment Program to better support the growth of rural communities in Texas. It raises the population limit for eligible counties from 75,000 to 200,000. It adds new types of entities, such as public utilities and special districts, to the list of eligible recipients for funding. The goal is to improve infrastructure, attract private investment, and create jobs in more rural areas that need help accessing capital for economic development.

House Bill 105
STATUS: Failed to passThis bill would have updated the Texas Jobs, Energy, Technology, and Innovation Act by creating a new category called “priority projects” for large-scale investments of at least $750 million, which would not have to meet job creation requirements. It also would have simplified wage calculations by focusing only on jobs directly created by the project and set clearer standards for electric generation facilities. The bill’s goal was to attract significant investments while making it easier for companies to qualify for incentives.

House Bill 1268
STATUS: Failed to passThis bill would have created the Texas Technology and Innovation Program to provide matching grants to small Texas businesses that receive federal research and technology funding through the Small Business Innovation Research (SBIR) or Small Business Technology Transfer (STTR) programs. To qualify, businesses must be based in Texas and meet federal eligibility requirements, with limitations on the frequency of grant receipt. The program would help support innovation and tech development in the state, depending on available funding.

Senate Bill 878
STATUS: Failed to passThis bill aimed to enhance transparency and accountability in local economic development agreements entered into under Chapters 380 and 381 of the Local Government Code and Chapter 312 of the Tax Code. While these programs have helped spur growth, the bill adds new safeguards to prevent misuse of public funds and ensure taxpayer trust. It establishes reasonable limits to keep these incentive programs effective, responsible, and sustainable.

Senate Bill 1754
STATUS: Failed to passThis bill would have banned local governments from offering property tax breaks or other economic incentives to wind, solar, and battery storage facilities that sell energy to the power grid. The bill argues these projects offer few jobs, lose value quickly, and already benefit from generous federal subsidies. It would still allow incentives for battery storage tied to natural gas plants, which provide more reliable energy.

Senate Bill 2322
STATUS: Failed to passThis bill would have made it easier for utility-related projects, like dispatchable electric generation facilities, to qualify for property tax breaks under the Texas JETI program. It creates an exception to the usual requirement that applicants prove the tax incentive is essential to their decision to invest in Texas. This change aims to support critical energy infrastructure without forcing companies to justify their site choice as competitively driven.

Energy

Senate Bill 1963
STATUS: Signed by the Governor, Effective September 1
This new law expands access to a lower-cost financing option, allowing electric utilities to recover system restoration costs following weather-related events or natural disasters. The bill removes a previous restriction that limited this tool to utilities operating outside of ERCOT, now allowing any utility with $50 million or more in such costs in a calendar year to apply. Utilities can seek approval from the Public Utility Commission for securitization, bond issuance, and cost recovery through system restoration charges, which must be adjusted once final costs are known.

House Bill 48
STATUS: Signed by the Governor, Effective ImmediatelyThis new law creates a special oilfield theft prevention unit within the Texas Department of Public Safety to investigate and arrest those who steal petroleum products or oil and gas equipment. The unit would work with local, state, and federal partners, focus operations near the Texas-Mexico border, and provide training and public outreach to help prevent theft. It would also track oilfield-related crimes in a statewide database and report its activities and recommendations to state leaders every two years.

House Bill 3809
STATUS: Signed by the Governor, Effective September 1This new law requires all new battery energy storage facility agreements between landowners and operators to include clear rules for cleanup and land restoration upon shutdown of the facility. Operators would be responsible for safely removing equipment, restoring the land, recycling usable parts, and disposing of waste properly. The bill also mandates that operators provide financial guarantees to ensure they can cover these costs, protecting landowners from being left with the burden.

House Bill 143
STATUS: Sent to the GovernorThis bill requires the Railroad Commission to alert the Public Utility Commission and oil and gas operators within three days if they find faulty electrical equipment at a well site that poses a fire or safety risk. The agencies would then work together to notify landowners, involve fire inspectors, and ensure the operator fixes the issue, potentially including cutting off power until it’s resolved. The bill also strengthens safety standards for utilities that maintain electric lines at these sites.

House Bill 144
STATUS: Sent to the GovernorThis bill requires electric utilities, co-ops, and city-owned power providers to submit a plan to the Public Utility Commission for managing and inspecting their power poles. These plans must outline clear goals, specific responsibilities, detailed inspection procedures, established training protocols, and a well-defined budget. Utilities would need to update the PUC every three years on their progress and costs, with the first plans due by January 1, 2026.

Senate Bill 6
STATUS: Sent to the GovernorThis bill requires the Public Utility Commission of Texas (PUC) to adopt interconnection standards for large power-consuming customers in the ERCOT region, streamline approval processes, and evaluate how transmission costs are shared. It sets rules for how large energy users—those needing over 75 megawatts—connect to the grid, including requirements for on-site backup generation, financial commitments, and expedited processing for qualifying projects. The bill also mandates ERCOT to oversee net metering arrangements and develop a new demand management service to curtail large loads during emergencies. At the same time, PUC reviews and updates the method for reasonably assigning transmission costs to different customer types.

House Bill 14
STATUS: Sent to the GovernorThis bill establishes a Texas Advanced Nuclear Energy Office to lead the development of next-generation nuclear energy projects and to create grant programs that support project planning, construction, and workforce training. It would fund new reactor technologies, such as small modular reactors, and help companies navigate regulations, while also creating a dedicated state fund to reimburse early development and construction costs. The bill also authorizes a workforce development program and completion grants through the PUC to ensure Texas has the skilled labor and infrastructure needed for a growing nuclear energy sector.

Senate Bill 75
STATUS: Sent to the GovernorThis bill establishes the Texas Grid Security Commission to assess threats to the electric grid and recommend strategies for strengthening grid resilience. The commission includes representatives from TDEM, PUC, ERCOT, the Railroad Commission, power generators, and utilities. It is tasked with evaluating vulnerabilities, including cybersecurity risks, and studying best practices from other states. By December 1, 2026, it must deliver detailed recommendations and a statewide resilience plan, including infrastructure upgrades and recovery strategies, along with annual reports to the Legislature and the governor, tracking progress and emerging threats.

Senate Bill 482
STATUS: Sent to the GovernorThis bill enhances penalties for assault and harassment committed against utility workers while they are performing their job duties. Assault against a utility employee or agent is now a third-degree felony if the offender knew—or should have known—the person was on duty, with a presumption of knowledge if the worker was in uniform or wearing a badge. Harassment of a utility worker under similar circumstances is elevated to a class A misdemeanor. The bill applies to employees of electric, gas, telecommunications, cable, and similar service providers.

House Joint Resolution 8
STATUS: Failed to passThis resolution proposed a constitutional amendment to establish the Texas Nuclear Development Fund, which would provide grants to support the construction and operation of advanced nuclear power plants in Texas. Managed by the Public Utility Commission with input from the governor’s office, the fund would help ensure a reliable power supply by backing nuclear infrastructure.

House Bill 1359
STATUS: Failed to passThis bill would have created a state fund to help low-income Texans pay their electric bills, especially during extreme weather emergencies. The Public Utility Commission would use the fund to reimburse utilities that offer payment assistance, support customer education, and cover administrative costs. The bill also ensures automatic enrollment options for eligible customers and prohibits fees for receiving aid, aiming to protect vulnerable residents from service disconnection.

House Bill 3778
STATUS: Failed to passThis bill would have classified geothermal energy facilities and wells as “dispatchable,” meaning their power output can be controlled similarly to traditional power plants. This change makes geothermal projects eligible for loans and bonus grants from the Texas Energy Fund if they produce at least 10 megawatts on the ERCOT grid. The bill also removes language labeling certain facilities as non-dispatchable based on their reliance on uncontrollable natural forces.

House Bill 3826
STATUS: Failed to passThe bill would have established the Texas Energy Efficiency Council within the Public Utility Commission to develop a statewide strategy for enhancing energy efficiency. The council would have evaluated existing programs, coordinated federal funding opportunities, and maintained a public database to help Texans identify available energy-saving programs. Comprised of key state agency leaders, the council would have published reports and recommendations but was exempt from public meeting laws. The bill ultimately failed to pass.

Senate Bill 2717
STATUS: Failed to passThis bill would have created the Texas Energy Efficiency Council within the Public Utility Commission to coordinate, evaluate, and promote energy-saving programs across the state. The council, comprising leaders from 11 state agencies, would have published a searchable list of available energy efficiency programs for Texans and submitted biennial reports with recommendations to the Legislature. Although designed to streamline efforts and improve public access to energy-saving resources, the bill ultimately did not pass.

Senate Bill 388
STATUS: Failed to passThis bill would have established a new legislative goal for Texas: ensuring that at least 50% of all new power generation capacity installed in the ERCOT region after January 1, 2026, came from dispatchable sources—those that can be turned on or off as needed. The bill would have created a dispatchable generation credit trading program, requiring utilities and power companies that didn’t meet the goal through their generation to purchase credits instead. It also would have directed the Public Utility Commission to adopt rules, set performance standards, and oversee compliance, with nuclear facilities earning bonus credits.

Environment

House Bill 29
STATUS: Signed by the Governor, Effective ImmediatelyThis new law immediately establishes stricter accountability for water loss among large municipally owned utilities serving more than 150,000 connections. Suppose a utility reports water loss above a set threshold. In that case, it must validate the accuracy of its audit within 180 days and submit a detailed water loss mitigation plan to the Texas Water Development Board within a year. Repeated high losses trigger deeper audit reviews, and failure to comply can result in a $25,000 administrative penalty. The bill requires regular updates, integration with conservation plans, and progress reporting to ensure long-term water savings.

Senate Bill 34
STATUS: Sent to the GovernorThis bill updates how Texas supports wildfire preparedness by allocating 10% of Rural Volunteer Fire Department Assistance Program funds to departments in high wildfire risk areas, as identified by the Texas A&M Forest Service. It also requires a joint study by the Forest Service and West Texas A&M University on wildfire fuel loads and their risks to communities, with findings and recommendations due by December 1, 2026. Additionally, the bill establishes a real-time, statewide database of firefighting equipment to help fire departments coordinate wildfire response more effectively.

House Bill 1400
STATUS: Failed to passThis bill would have created the Groundwater Science, Research, and Innovation Fund to support local groundwater conservation efforts through grants administered by the Texas Water Development Board (TWDB). The fund would have supported projects aimed at enhancing groundwater modeling, conservation, recharge, and water quality, with a focus on benefiting state and regional water planning efforts. At least 35% of the funding would have been reserved for small districts, and grant recipients could have been required to provide a 25% matching funding.

General Business

Senate Bill 1008
STATUS: Signed by the Governor, Effective September 1This new law limits the amount that local governments can charge food businesses, such as restaurants, food trucks, and vendors, for permits and inspections, ensuring that these fees don’t exceed what the state would charge. It also protects food businesses from excessive local regulations, such as being required to get duplicate food handler permits or pay extra fees for playing music or delivering supplies. The law ensures consistency statewide and makes it easier and cheaper for food businesses to operate by capping fees, restricting redundant permitting, and protecting them from conflicting local ordinances.

Senate Bill 1809
STATUS: Signed by the Governor, Effective September 1This new law makes it a crime to steal, counterfeit, alter, or misuse gift cards or their digital data to defraud others. It targets scammers who place tampered or counterfeit gift cards in stores or use stolen credit card information to purchase goods. Penalties range from a state jail felony to a first-degree felony, depending on the number of cards involved, and prosecution may occur under this or other applicable laws.

Senate Bill 29
STATUS: Signed by the Governor, Effective ImmediatelyThis new law gives Texas businesses more control over how they’re governed and limits when shareholders can sue company leaders. It allows companies to waive jury trials, restrict access to internal records, and shield directors from liability unless there is proof of serious misconduct. The goal is to make Texas a more business-friendly state, especially for publicly traded companies.

House Bill 4215
STATUS: Signed by the Governor, Effective September 1This new law establishes statewide rules for delivery network companies—businesses that utilize digital platforms to arrange the delivery of food, beverages, or consumer goods. The bill requires these companies to obtain permits, conduct background checks and driving record reviews, and enforce safety and nondiscrimination policies. It also defines when delivery workers qualify as independent contractors and mandates policies against intoxicated driving and discrimination, with companies required to maintain related records for a minimum of two years.

Senate Bill 21
STATUS: Sent to the GovernorThis bill establishes the Texas Strategic Bitcoin Reserve by granting the state Comptroller the authority to invest in cryptocurrencies. Funded through legislative appropriations, crypto donations, and earnings, the reserve allows the state to hold and manage digital assets outside the treasury. The comptroller may contract with third parties, stake digital assets, and temporarily transfer funds to cover state cash shortfalls. An advisory committee provides investment guidance, and a public report on the reserve’s holdings and activities is required every two years.

Senate Bill 1300
STATUS: Sent to the GovernorThis bill toughens penalties for organized retail theft and broadens the definition to include people who steal in groups, benefit from others’ thefts, or try to overwhelm store security. It increases the punishment for offenders—up to life in prison for large-scale theft—and makes it easier to prosecute by allowing the use of price tags as proof of value and removing technicalities that could block charges. The bill closes loopholes, clarifies that working with others or using undercover officers isn’t a valid defense, and includes gift cards as stolen items.

Health

Senate Bill 5
STATUS: Signed by the Governor, Effective pending voter approval of Senate Joint Resolution 3This bill creates the Dementia Prevention & Research Institute of Texas (DPRIT) and organizes the operation of $3 billion in grant funding over the next 10 years. Lawmakers have already dedicated $600 million over the next two years, a sign that the Legislature is confident Texas voters will support the creation of DPRIT in this November’s Constitutional proposition election. Once approved, DPRIT will soon begin distributing grants for research into Alzheimer’s, Parkinson’s, and other dementia-related disorders. The election to approve constitutional amendments, such as DPRIT, will be held on November 4, 2025.

Senate Joint Resolution 3
STATUS: Signed by the Governor, On the November 4 constitutional election ballotThis resolution proposes a constitutional amendment authorizing the creation of the Dementia Prevention & Research Institute of Texas (DPRIT). Tied to Senate Bill 5, this resolution creates a ballot initiative to request voter approval for the creation of DPRIT. Lawmakers are proposing $3 billion in grant funding over the next decade and have already committed $600 million to initiate the program as soon as voters approve. DPRIT will follow the Cancer Prevention & Research Institute of Texas, which has given nearly 40% of its $3 billion+ in grant funding to Houston-based research organizations and universities.

House Bill 18
STATUS: Sent to the GovernorThis bill establishes several programs and grant opportunities to support struggling rural hospitals and enhance access to healthcare in small Texas counties. It establishes a new state office to monitor rural hospital finances, creates an academy to train hospital leaders, and offers emergency, innovation, and support grants to help rural hospitals stay open and serve their communities. The law also increases Medicaid reimbursement for specific services and expands access to mental health and pediatric telehealth services in rural areas.

Senate Bill 25
STATUS: Sent to the GovernorThis bill establishes a statewide nutrition advisory committee to develop science-based dietary guidelines and raise awareness about the health risks of ultra-processed foods. Food manufacturers must now include warning labels on products sold in Texas if they contain certain banned or controversial additives. The law also strengthens nutrition and physical education requirements in K–12 schools and colleges, and requires doctors, nurses, and other health professionals to complete continuing education on nutrition and metabolic health.

House Bill 107
STATUS: Sent to the GovernorThis bill requires the Texas Department of State Health Services to create a statewide sickle cell disease registry to collect and manage information about people diagnosed with the disease. Hospitals and clinics must report relevant data to help researchers, doctors, and public health officials improve treatment and work toward a cure. The registry must protect patient privacy and comply with HIPAA laws, and the department must submit annual reports to the Legislature.

Senate Bill 379
STATUS: Sent to the GovernorThis bill bans the use of SNAP benefits to buy sweetened soft drinks—defined as sodas with added sugar or artificial sweeteners—unless they’re mostly made of milk, milk substitutes, or real fruit or vegetable juice. If federal approval is required to enforce this rule, state agencies must request it before proceeding.

House Bill 139
STATUS: Failed to passThis bill would have allowed insurance companies to offer “employer choice” health plans that excluded some state-mandated benefits but still provided basic coverage, such as emergency services and maternity care. Employers choosing these lower-cost plans would have been required to sign a disclosure form acknowledging the reduced coverage and benefits. Insurers would also have had to offer at least one fully state-compliant plan. The bill aimed to expand affordable health insurance options for employers, but it ultimately did not pass.

Senate Bill 2695
STATUS: Failed to passThis bill would have created two programs to expand access to rural health care in Texas. First, it aimed to develop the Texas Cure Act, which offered scholarships and guaranteed medical school admission to students from rural areas, helping them become doctors and return to serve underserved communities. Second, it would have launched a delegation program for nurse practitioners, allowing them to work more independently in rural counties under physician supervision, thereby increasing access to mental and primary healthcare where doctors are scarce.

Senate Bill 406
STATUS: Failed to passThis bill would have required cities and counties to notify their local workforce boards anytime they made or updated a regional economic development deal. This notice, due within 14 days, would have included key details about the agreement to keep workforce planners informed. The bill did not pass, so there’s no new requirement for this kind of notice.

Higher Education

Senate Bill 1273
STATUS: Signed by the Governor, Effective September 1This new law establishes a new council to safeguard Texas’s top research universities against foreign espionage and interference. The Higher Education Research Security Council will comprise research security officers from major public and private universities, and it’s tasked with establishing best practices, developing training programs, and creating security policies that institutions must follow.

Senate Bill 2361
STATUS: Signed by the Governor. See the bill for rolling effective datesThis bill officially transfers the University of Houston–Victoria (UHV) from the University of Houston System to the Texas A&M University System, where it will now be known as Texas A&M University–Victoria. The bill ensures that students, employees, contracts, funding, and benefits transition smoothly and without disruption.

Beginning September 1, the A&M System will oversee all academic and administrative operations, honor existing obligations, and continue offering the same student fees and degree programs, now under new governance. The bill also allows the A&M System to issue bonds for improvements and transfers nearly $3.65 million in state funding previously allocated to UHV.

House Bill 300
STATUS: Sent to the GovernorThis bill updates the Texas Armed Services Scholarship Program to improve access and oversight. It increases the scholarship amount, expands eligibility to include students entering the Texas State Guard’s officer program, and ensures that more students are appointed each year by requiring lawmakers to fill the available spots. It also makes the agreement terms clearer and adds a scholarship coordinator to support recipients.

Senate Bill 37
STATUS: Sent to the GovernorThis bill introduces sweeping reforms to the governance of Texas public colleges and universities, as well as their curriculum management, hiring practices, and internal oversight. It requires schools to review general education courses for academic rigor and neutrality regularly, and gives institutional governing boards the final say over key academic and hiring decisions, particularly for deans, provosts, and vice presidents. It also places limits on faculty senates, requiring them to be advisory-only and subject to public transparency rules.

House Bill 42
STATUS: Sent to the GovernorThis bill is increasing funding for Texas public colleges and universities in the Higher Education Fund. It updates how the money is distributed among schools and includes new institutions in the funding formula, such as the University of North Texas at Frisco, the University of Houston, and the medical colleges of Sam Houston State University.

House Bill 126
STATUS: Sent to the GovernorThis bill allows Texas colleges and universities to directly pay or offer deals to student athletes for their name, image, or likeness (NIL)—including as a way to recruit them. It also allows student-athletes to secure NIL deals during official team activities or when accepting admission.

House Bill 127
STATUS: Sent to the GovernorThis bill establishes new protections to safeguard Texas universities against foreign espionage. It sets up a Higher Education Research Security Council to oversee cybersecurity, background checks, and foreign influence at major research universities. The bill also prohibits contracts, partnerships, and gifts from hostile foreign governments or entities affiliated with them, and requires strict vetting of foreign researchers and overseas travel.

House Bill 5333
STATUS: Failed to passThis bill would have created a merit-based fellowship program for top doctoral students in STEM fields to conduct research at Texas public universities. The fellowships, administered by the Texas Higher Education Coordinating Board, would have supported high-achieving students who met specific academic and security clearance requirements. The goal was to attract and retain top talent in STEM fields.

Senate Bill 1067
STATUS: Failed to passThis bill would have banned Texas public colleges and universities—and their employees or spouses—from accepting money or donations from foreign governments, political parties, or companies affiliated with certain countries deemed national security risks. The rule would have required this restriction to be written into employment contracts. The bill would also have required any money received in violation of this rule to be returned and allowed the state’s higher education board to adopt regulations to enforce it.

Senate Bill 741
STATUS: Failed to passThis bill would have increased the criminal penalty for offenses related to human trafficking, prostitution, and child pornography, including failure to stop or report those activities.

Senate Joint Resolution 59
STATUS: On the November 4 constitutional election ballot.This bill establishes two dedicated funds—the Permanent Technical Institution Infrastructure Fund and the Available Workforce Education Fund—to help cover the costs of buildings, equipment, and other primary needs of the Texas State Technical College System. This funding is protected in the state constitution and managed by the comptroller to ensure long-term stability. The resolution also removes an old funding cap, giving the system more flexibility to grow and meet Texas’s workforce demands. It will require voter approval in Texas this November to finally pass.

Investment

House Bill 34
STATUS: Sent to the GovernorHouse Bill 34 aims to prohibit Texas public funds from being invested in countries considered hostile to U.S. interests or companies affiliated with those countries. It requires the state to identify and divest from these companies unless they change their ownership or location to comply. This bill is designed to strengthen state financial security and reduce foreign influence over Texas investments.

House Bill 104
STATUS: Failed to passThis bill would have allowed the state to invest $5 billion of its Economic Stabilization Fund (Rainy Day Fund) dollars in the state’s development and commercialization of frontier technologies, such as advanced nuclear energy, semiconductors, artificial intelligence, space exploration, and aerospace technology.

Senate Joint Resolution 4
STATUS: Failed to passThis bill would have lifted the cap on the Economic Stabilization Fund, allowing the state to set more tax dollars aside for future needs. Earlier this year, outgoing Comptroller Glen Hegar warned lawmakers that the fund will hit its cap of $26.5 billion early in the 2026 fiscal year. It is unclear, based on economic shifts in early 2025, whether that forecast is still on target.

Public Education

Senate Bill 569
STATUS: Signed by the Governor, Effective immediatelyThis new law repeals the current state virtual school network and replaces it with a new, more flexible system that allows school districts and charter schools to operate full-time virtual and hybrid campuses and courses. It establishes standards for quality, accountability, teacher training, student rights, and funding, while also providing families with more choices in how their children learn. The bill ensures that students can access extracurricular activities, prohibits forced virtual enrollment in most cases, and expands access to online education without requiring schools to provide devices or internet access.

Senate Joint Resolution 34
STATUS: Fild with the Secretary of State, On the November 4 constitutional election ballotThis resolution proposes a constitutional amendment to formally recognize that parents have a fundamental right to make decisions about their child’s upbringing, care, and education. It aims to protect parental rights by affirming them as deeply rooted in Texas and U.S. traditions. Voters will decide on this measure with the ballot language: “The constitutional amendment affirming that parents are the primary decision makers for their children.”

Senate Bill 13
STATUS: Sent to the GovernorThis bill creates new rules for how school districts acquire, review, and manage library materials. It requires public input and school board approval before new books are added, allows parents to challenge content they find inappropriate, and gives them the ability to restrict their child’s access to specific books. The bill also establishes statewide standards to block harmful, indecent, or sexually explicit material from school libraries and enhances transparency through advisory councils and increased parent access to library records.

House Bill 100
STATUS: Sent to the GovernorThis bill bans Texas school districts and charter schools from using or purchasing textbooks and instructional materials that the State Board of Education has officially rejected. It also prohibits spending state or local funds on these rejected materials, with the rule taking effect starting in the 2025–26 school year.

Senate Bill 260
STATUS: Sent to the GovernorThis bill increases the school safety funding that Texas public school districts receive per student and provides a significant increase per campus. It also requires districts to report to the Texas Education Agency each year on how they spent these safety funds, starting by December 1.

House Bill 6
STATUS: Sent to the GovernorThis bill overhauls school discipline laws in Texas to give teachers more authority to remove disruptive students from classrooms and requires written consent before returning sure students. It allows for virtual disciplinary programs when in-person alternatives are full, expands protections for special education students, and shields educators from punishment when reporting or acting on serious behavior issues. The bill also boosts parental involvement, limits state penalties tied to discipline data, and strengthens due process for students while maintaining safety standards. These changes take effect in the 2025–2026 school year.

House Bill 2243
STATUS: Sent to the GovernorThis bill establishes the Texas Commission on Teacher Job Satisfaction and Retention to recommend strategies for enhancing teacher morale and retention. The 13-member commission, comprising educators, lawmakers, and administrators, will investigate teacher workplace issues, conduct public meetings, and submit a report with policy recommendations by the end of 2026. The Texas Education Agency will support the commission and is scheduled to dissolve in September 2027.

House Bill 1481
STATUS: Sent to the GovernorThis bill would require Texas public school districts and open-enrollment charter schools to adopt a policy prohibiting students from using personal communication devices, such as cell phones, while on school property during the school day. The policy would need to outline disciplinary measures and could include options for storing or disposing of confiscated devices. Exceptions would be required for students with documented medical needs or those with Individualized Education Plans (IEPs). The Texas Education Agency would be tasked with publishing model policy language to support implementation.

Senate Bill 1750
STATUS: Failed to passThis bill would have expanded how open-enrollment charter schools in Texas could utilize certain state funds for facilities and infrastructure. It tied this funding to performance standards and required schools to certify they weren’t benefiting financially from real estate deals. The funds could have been used for items like school buses, technology, safety upgrades, and some athletic or performing arts facilities—but not for large stadiums.

House Bill 123
STATUS: Failed to passThis bill aimed to strengthen early reading and math benchmarks for students in public schools. The goal was to increase the focus on reading and math skills by the third grade and provide additional resources to students who had not yet reached those benchmarks. Fortunately, the legislature chose to take different action to assess and make new recommendations for early childhood education under House Bill 117.

Senate Bill 2252
STATUS: Failed to passThis bill aimed to improve early education in Texas by requiring more consistent reading and math screenings for students in kindergarten through third grade and by expanding teacher training in literacy and math instruction. It would have offered stipends to teachers who completed training academies, provided funding for reading and math interventions, and established new grant programs for schools that extended instructional days. The bill also sought to increase support for pre-K partnerships and parental involvement in early childhood education.

Senate Bill 400
STATUS: Failed to passThis bill would have required Texas school districts to get written parental consent before allowing a child to undergo any psychological or psychiatric exam, test, or treatment, or before recording a child’s voice or image, except in cases related to child abuse or special education law. It clarified that casual conversations about a child’s well-being wouldn’t require consent.

House Bill 2249
STATUS: Failed to pass This bill aimed to create a scholarship program to recruit future Texas teachers by offering up to $40,000 in conditional aid to students pursuing a degree in education. To qualify, students would need to be nominated, maintain academic progress, and commit to teaching in Texas public schools for several years after graduation, or repay the funds if they didn’t meet those terms.

Senate Bill 2253
STATUS: Failed to passThis bill aimed to overhaul how Texas recruits, prepares, and retains teachers; however, it ultimately failed to pass. It would have phased out the hiring of uncertified teachers in core subjects, created multiple new certification pathways, and funded structured “grow-your-own” and residency programs through a new allotment. The proposal also tied minimum salary increases to the quality of certification, strengthened the accountability of educator preparation programs, and offered direct state support to school districts and teacher candidates through stipends, mentorships, and training requirements.

House Bill 4
STATUS: Failed to passThis bill would have reinforced the integrity of the A-F Accountability Rating System for public schools. Major components of the bill include the repeal of the STAAR and its replacement with a new assessment based on essential knowledge and skills, strengthening career and college readiness standards, and prohibiting legal action to block the release of the ratings.

Senate Bill 27
STATUS: Failed to passThis bill strengthens support for Texas teachers by expanding their rights, improving classroom safety, and providing financial relief. It gives teachers more authority to remove disruptive students, waives certification exam fees in critical subjects, and protects teachers from penalties for late resignations in cases of hardship. The bill also creates grants to offset costs for schools that hire retired teachers, boosts parental notification requirements, funds professional development, and requires the Texas Education Agency to study and support teacher workload and retention.

Regulatory Reform

Senate Bill 14
STATUS: Signed by the Governor, Effective September 1This new law creates the Texas Regulatory Efficiency Office, which will centralize state agency rulemaking and regulations to provide more transparency for Texas businesses. The goal of the bill is to expedite issues with regulatory and rulemaking inconsistencies at state agencies and provide a central website for businesses to see all rules and regulations that govern their industry. The Partnership supported this new law and was honored to attend the bill signing ceremony with the governor.

Taxes

Senate Bill 1415
STATUS: Signed by the Governor, Effective September 1This new law moves Texas’s annual back-to-school sales tax holiday to the first weekend in August instead of mid-August. The goal is to give families more time to shop for tax-free clothes and shoes before school starts. It doesn’t change any past tax responsibilities. The new tax holiday is scheduled to begin in 2026.

Senate Bill 1025
STATUS: Signed by the Governor, Effective ImmediatelyThis new law requires any ballot proposition involving the creation or increase of a tax to include the explicit statement “THIS IS A TAX INCREASE” in all capital letters at the top of the text. It also mandates that all such propositions be printed in mixed-case type for better readability. These changes apply to elections ordered on or after the bill’s effective date, aiming to improve transparency for voters.

House Bill 30
STATUS: Signed by the Governor, Effective September 1, 2026This new law updates the method by which local governments in Texas calculate property tax rates in the event of a disaster. It allows specific taxing units—excluding school districts—to use an adjusted voter-approval tax rate formula when part of the area is in a declared disaster zone and property damage exemptions apply. The bill defines key terms like “disaster relief cost” and requires affected local governments to share cost estimates with the Texas Division of Emergency Management. It also repeals outdated provisions.

House Bill 22
STATUS: Signed by the Governor, Effective September 1, 2026This new law eliminates the state’s authority to tax intangible personal property in Texas starting January 1, 2026. The bill repeals several provisions that allowed the taxation of intangible assets, such as business goodwill or intellectual property, owned by residents or used for business purposes in the state. It also removes the Comptroller from being a party in protests involving transportation-related intangible property. This change simplifies the tax code and ensures intangible assets are no longer subject to local property taxation.

Senate Bill 4
STATUS: Signed by the Governor, Effective pending voter approval of the Senate Joint Resolution 2This bill authorizes an increase in local homestead exemptions from school property taxes from $100,000 to $140,000. The increase is pending approval of a constitutional amendment, which will be voted on by voters this November. Lawmakers have pushed this proposed increase for consecutive legislative sessions, prioritizing property tax relief for Texas homeowners.

Senate Joint Resolution 2
STATUS: Filed with the Secretary of State, On the November 4 constitutional election ballotThis is the Constitutional Amendment requesting Texas voters to approve an increase in local homestead exemptions from $100,000 to $140,000. Voters have overwhelmingly supported the propositions in every election since the homestead exemption was increased from $5,000 to $15,000 in 1997.

House Joint Resolution 1
STATUS: Filed with the Secretary of State, On the November 4 constitutional election ballotThis November, Texas voters will head to the ballot box to either approve or oppose this constitutional amendment to provide property tax relief to businesses through an increase in the Business Personal Property Tax.

Senate Bill 2206
STATUS: Sent to the GovernorThe Partnership joined a coalition effort to pass a bill that would reform and reinvigorate the state’s tax incentive program for research and development. Texas is increasing its commitment to offer tax breaks for companies that invest in research and development, which leads to more jobs and a stronger economy for the Houston region and the state.

House Bill 9
STATUS: Sent to the GovernorThis bill raises the business personal property tax exemption from $2,500 to $125,000, significantly reducing the tax burden on small businesses. Starting in 2025, only those with business personal property valued above that threshold must report it to appraisal districts. The bill also includes transitional provisions for the 2025 tax year, requiring provisional tax rolls and bills based on whether voters approved the corresponding constitutional amendment, ensuring taxpayers are billed correctly once the election outcome is certified.

House Bill 8
STATUS: Failed to passThis bill offered an alternative pathway to property tax relief by using state dollars to buy down local school property tax rates through compression. The governor and House have pursued this path in the past two legislative sessions, this time choosing to work with the Senate on its proposal to increase homestead exemptions through Senate Bill 4 and Senate Joint Resolution 2.

House Bill 972
STATUS: Failed to passThis bill would have authorized a property tax exemption for residences where an adult is caring for another adult with an intellectual or developmental disability. The state has expanded the categories for individuals who qualify for a special property tax exemption, namely, disabled veterans and the survivors of first responders killed in the line of duty.

House Joint Resolution 72
STATUS: Failed to passThis resolution proposed a constitutional amendment to authorize a property tax exemption for homeowners caring for an adult with an intellectual or developmental disability in their home.

Technology

House Bill 150
STATUS: Signed by the Governor. Effective September 1This bill establishes the Texas Cyber Command, a new state agency responsible for defending against cyber threats and assisting state and local governments in responding to cybersecurity incidents. It transfers key responsibilities from the Department of Information Resources, grants the command broad powers to set standards, provide training, and lead incident response, and establishes facilities such as a threat intelligence center and digital forensics lab. The command will be fully operational by the end of 2026 and is intended to strengthen Texas’s cybersecurity across all levels of government.

House Bill 149
STATUS: Sent to the GovernorKnown as the Texas Responsible Artificial Intelligence Governance Act, this bill establishes one of the nation’s most comprehensive frameworks for regulating artificial intelligence (AI). The bill defines AI systems, strengthens consumer protections, and bans harmful AI practices, including biometric surveillance without consent, social scoring, and systems designed to incite violence or violate constitutional rights. It empowers the attorney general with exclusive enforcement authority, outlines steep penalties for violations, and creates a regulatory sandbox to encourage innovation under oversight. The bill also establishes the Texas Artificial Intelligence Council to monitor ethical use and guide future policy.

Senate Bill 441
STATUS: Sent to the GovernorThis bill establishes legal protections for people harmed by the unauthorized use of artificial intelligence to create explicit, realistic images that resemble them. It allows victims to sue individuals or companies that create, promote, host, or profit from AI-generated intimate material without consent. The bill also requires websites to respond quickly to removal requests and makes violations a deceptive trade practice. Victims may use a confidential identity in court, and lawsuits can be filed up to 10 years after discovery or the victim’s 18th birthday.

House Bill 5246
STATUS: Sent to the GovernorThis bill updates and restructures how Texas supports its space and aerospace industries by shifting focus from spaceports to broader space and aeronautics innovation. It strengthens the Texas Space Commission’s powers, streamlines grant processes, allows procurement of space-related technologies, and enhances partnerships with NASA and the U.S. Department of Defense. The bill also abolishes the Spaceport Trust Fund, replaces the advisory structure, and boosts collaboration between higher education, industry, and government to expand Texas’s leadership in space-related research and economic development.

House Bill 581
STATUS: Sent to the GovernorThis bill strengthens protections for minors against harmful sexual content online by expanding existing law to include artificial sexual material. The bill requires websites or apps that allow users to create such content to implement reasonable age verification to block access by minors. It also mandates that individuals used as source material must be at least 18 years old and give consent.

House Bill 2818
STATUS: Sent to the GovernorThis bill creates guidelines and regulations for the use of Artificial Intelligence (AI) at the Texas Department of Information Resources (DIR). This is the central agency that manages the majority of state websites and other state resources connected to the internet. The goal is to utilize DIR to oversee the implementation of AI, aiming to increase efficiency in the state government.

House Bill 3133
STATUS: Sent to the GovernorThis bill creates a mechanism for citizens to make complaints about explicit deep-fake material. Importantly, the bill gives social media platforms 48 hours to review complaints and remove content that is reported.

Senate Bill 1621
STATUS: Sent to the GovernorThis bill strengthens Texas laws against child pornography by expanding the definition to include AI- and computer-generated images that are virtually indistinguishable from real children. It increases penalties for both possession and promotion based on factors such as prior convictions, the number of images, the victim’s age, or whether the offender works with children. The law also streamlines the prosecution process and adds specific protections for individuals acting in legitimate professional or legal roles.

Senate Bill 1964
STATUS: Sent to the Governor This bill creates a framework for how Texas state agencies and local governments can responsibly use artificial intelligence (AI) systems. It requires the Department of Information Resources to develop a code of ethics, minimum safety standards, and public disclosures, mainly when AI is used in making impactful decisions about services. The bill also creates an oversight board, a complaint reporting system, and a  “sandbox” program to test AI tools before full deployment.

Senate Bill 1833
STATUS: Sent to the GovernorThis bill increases penalties for drug crimes in Texas when social media is used to commit the offense. If a person delivers drugs or marijuana using a social media platform, they now face a higher-level felony. For first-degree felonies, the punishment increases by five years and the maximum fine doubles.

House Bill 4751
STATUS: Sent to the GovernorThis bill creates the Texas Quantum Initiative to help make Texas a national leader in quantum technology, including quantum computing, networking, and manufacturing. The initiative will be led by an executive committee and supported by the Governor’s Office, with a focus on strategic planning, research funding, workforce training, and attracting industry partners. It also establishes a dedicated fund to support innovation projects and grants tied to growing the state’s quantum economy.

Senate Bill 20
STATUS: Sent to the GovernorThis bill creates a criminal penalty for using Artificial Intelligence (AI) technology to develop vulgar material depicting children. This bill is one of several that lawmakers passed to address the expansion of AI in our culture and begin to regulate its use to harm children.

Senate Bill 815
STATUS: Sent to the GovernorThis bill prohibits insurance utilization review agents from using artificial intelligence (AI) or automated decision systems to make or influence adverse decisions regarding patient care. While algorithms can still support administrative or fraud detection tasks, decisions on medical necessity must be made by humans. The bill also expands the definition of what constitutes an “adverse determination” and requires greater transparency in denial notices.

Senate Bill 668
STATUS: Failed to passThis bill would have required massive AI companies—those generating over $100 billion in revenue—to publicly disclose details about the AI models they use to provide services in Texas, including their purpose, third-party inputs, and any resulting changes. It also prohibited retaliation against whistleblowers and gave the attorney general oversight and enforcement powers. Violations would’ve been treated as deceptive trade practices.

Senate Bill 1822
STATUS: Failed to passThis bill would have required health insurance companies to disclose whether they use artificial intelligence (AI) in making coverage decisions and to ensure that those AI tools are free from bias and adhere to established medical guidelines. It also would have required insurers to submit annual compliance statements to the state and allowed state regulators to inspect AI systems if concerns arose.

House Bill 186
STATUS: Failed to pass This bill would have prohibited children under age 18 from using social media platforms.

House Bill 499
STATUS: Failed to passThis bill would have required social media platforms in Texas to show a mental health warning every time someone opened the app. The warning would include a link to the 988 Suicide & Crisis Lifeline, a statement about how personal data is used, and a message on the addictive nature of social media. Users wouldn’t be able to use the platform until they confirmed they understood the warning.

Senate Bill 2637
STATUS: Failed to passThis bill would have required social media platforms to label posts made by known bot accounts with a disclosure stating the content came from a bot and may contain misinformation. Violations could have resulted in civil penalties of up to $7,500 per post, enforced by the Texas Attorney General.

Tort Reform

Senate Bill 2878
STATUS: Sent to the GovernorThis omnibus bill creates dozens of new courts across the state, including five new district courts in Harris County and two in Fort Bend County.

Senate Bill 30
STATUS: Failed to passThis bill alters the process for proving and awarding medical expenses in Texas personal injury and wrongful death lawsuits. It limits evidence of healthcare costs to the amounts paid, rather than the higher billed charges. It also requires more transparency about attorney-provider relationships, letters of protection, and referrals.

Senate Bill 39
STATUS: Failed to passThis bill would have changed how lawsuits involving commercial vehicle accidents are handled by eliminating specific rules that limited when plaintiffs could present evidence against employers in court. Specifically, it aimed to refine the threshold for suing a company directly for its negligence, such as poor maintenance or loading practices, without first proving the driver was at fault.

Senate Bill 779
STATUS: Failed to passThis bill would have limited when public nuisance lawsuits could be brought in Texas. It aimed to block nuisance claims based on actions already approved by law or regulation, covered by other legal remedies, or involving the sale or marketing of products, even if those products were defective. The bill clarified that these limits would override conflicting common law.

Transportation

Senate Bill 1198
STATUS: Sent to the GovernorThis bill expands the definition of “critical infrastructure facility” in Texas law to include licensed or spaceport-operated sites used for launching, landing, testing, or recovering spacecraft—even if the site is still under construction. This means these space-related properties are now protected under laws that impose stricter penalties for trespassing or damaging critical infrastructure.

House Bill 41
STATUS: Failed to passThis bill would have prohibited Texas government agencies from using drones or related equipment made by companies tied to foreign countries deemed national security risks, such as China. It included exceptions for existing contracts until 2031 and established a state grant program to assist law enforcement in replacing banned equipment. The bill also directed the state to develop a security plan listing risky tech vendors, but the bill failed to pass, so no such restrictions or programs will be implemented.

House Bill 3426
STATUS: Failed to passThis bill would have required the Texas Department of Public Safety to create a digital version of driver’s licenses and ID cards accessible through a secure app on a smartphone. These digital IDs would include all the information from the physical version, work without internet access once downloaded, and could be used like a physical ID, except for voting purposes.

Senate Bill 35
STATUS: Failed to passThis bill would have required TxDOT to notify legislators when major road projects in their districts were selected for funding and mandated planning and construction of specific highway projects across Texas. It also aimed to improve infrastructure maintenance.

Senate Bill 2425
STATUS: Failed to passThis bill would have created a comprehensive legal framework for the commercial use of automated motor vehicles—those capable of operating without a human driver—on Texas roads. It outlined new definitions, safety and insurance requirements, emergency protocols, and a permit system for companies using driverless vehicles to transport goods or passengers. The bill also included enforcement procedures and rules for integrating these vehicles into transportation network companies, such as rideshare platforms.

Senate Bill 2722
STATUS: Failed to passThis bill would have limited how Harris County could spend toll road revenue. It aimed to ensure the money stayed focused on transportation-related needs, like maintaining roads or covering emergency response costs tied to toll roads. It also included strict reporting rules, financial penalties for misuse, and a requirement to fairly distribute leftover funds among county precincts.

Workforce

House Bill 2081
STATUS: Signed by the Governor, Effective ImmediatelyThis new law establishes the Building Better Futures Program, administered by the Texas Higher Education Coordinating Board, to expand inclusive education and job training opportunities for students with intellectual and developmental disabilities. Participating higher education institutions will deliver skills training and support services in age-appropriate settings. The bill allows flexible program design, exempts courses from standard academic approval rules, and permits funding from state and private sources. Institutions must seek federal approval for related programs within three years of joining, and course credits will not transfer to degree programs.

House Bill 2768
STATUS: Signed by the Governor, Effective September 1The bill creates a State Information Technology Apprenticeship Credential to help address workforce shortages in Texas state agencies. It allows agencies to partner with public junior colleges or technical institutes to offer approved programs that combine classroom learning with a one-year apprenticeship in a state IT role. The credential may be used in place of a four-year degree for specific state jobs, and agencies may fund or solicit support for the program if needed.

Senate Bill 856
STATUS: Signed by the Governor, Effective September 1This new law adds the Texas A&M Engineering Experiment Station to the list of institutions eligible to receive support from the Texas Skills Development Fund. This change enables the station to utilize state funds for customized job training, addressing emergency workforce needs, and implementing statewide programs that local colleges do not offer. The goal is to help meet the growing demand for skilled workers in Texas’s rapidly expanding bioscience industry. The station and its training programs will be subject to the same oversight and reporting requirements as other eligible institutions.

Senate Bill 1143
STATUS: Signed by the Governor, Effective September 1This new law aims to help young Texans aged 14 to 24 who aren’t in school or working by improving how job training programs funded by the federal government are planned and measured. It requires local workforce boards to set clear goals for helping these youth, mandates better coordination when new jobs are created using public funds, and directs the Texas Workforce Commission to track and report on how well these programs are working—especially in getting young people into jobs, back into school, or into college or the military.

Senate Bill 2448
STATUS: Signed by the Governor, Effective September 1This new law establishes a grant program to assist rural Texas communities in enhancing job training and college readiness. It enables nonprofit organizations with experience in workforce development to receive state funding to support local schools and colleges in rural areas, particularly in industries such as agriculture, healthcare, and technology. The goal is to close skills gaps and prepare more students for good jobs and higher education opportunities.

House Bill 322
STATUS: Sent to the GovernorThis bill expands the uses for which Jobs and Education for Texans (JET) grant funds can be utilized. Under the new law, public junior colleges, technical institutes, state colleges, school districts, and charter schools can now use JET grants not only for equipment and program costs, but also for acquiring, implementing, and maintaining the technology solutions needed to support new career and technical education (CTE) programs. These changes take effect September 1.

House Bill 3260
STATUS: Sent to the GovernorThe bill strengthens the Texas Industry-Recognized Apprenticeship Programs (IRAP) Grant Program by removing outdated federal approval requirements and allowing the Texas Workforce Commission (TWC) to set its certification standards. It authorizes TWC to reimburse employers as apprentices meet training milestones and requires new rules for program approval, performance tracking, and public reporting. The goal is to expand flexible, employer-driven apprenticeship opportunities and grow the skilled workforce in Texas.

Senate Bill 1535
STATUS: Sent to the GovernorThis bill directs the Texas Workforce Commission to create a statewide program that trains workers for high-paying jobs in the growing nuclear energy industry. The program will help develop school-to-career pathways, new college and technical training programs, and industry partnerships to address the shortage of skilled workers in areas like nuclear welding, reactor operations, and radiological monitoring. It also requires annual progress reports to the Legislature to keep the effort on track.

Senate Bill 1728
STATUS: Sent to the GovernorThis bill enables juvenile justice agencies in Texas to apply for state grants that support the funding of career and technical education programs. These grants, previously available to schools and prisons, can now also support job training for youth in the juvenile justice system, providing them with a better chance to succeed upon their return to their communities.

House Bill 2545
STATUS: Failed to passThe bill would have established a Rural Workforce Training Grant Program under the Texas Workforce Commission to fund job-specific training and career development in counties with populations of less than 200,000. Eligible entities—including nonprofits, schools, and business associations—could have used grants for training costs, such as materials, instructors, and outreach. The bill also required TWC to track outcomes and report annually on the program’s effectiveness.

House Bill 3125
STATUS: Failed to passThe bill would have required the Texas Workforce Commission to create a geothermal energy workforce training initiative in partnership with higher education institutions and industry employers. It aimed to develop specialized degree and credential programs to prepare students for careers in geothermal energy and promote apprenticeships, as well as financial support for training. The goal was to ensure Texas is ready to meet the workforce demands of a growing geothermal energy sector.

House Bill 5265
STATUS: Failed to passThe bill would have created the Texas Health Care Workforce Education Fund to help Texas universities expand their health care degree programs and meet growing workforce demands. Eligible institutions could have received annual funding based on the number and level of healthcare degrees awarded, with limits on the amount any single school or system could receive. The funds could have been used for faculty support, clinical training, equipment, and student loan guarantees tied to teaching commitments. However, the bill was contingent on voter approval of a constitutional amendment.