During the 2021 Texas Legislative Session, representatives and senators are required by law to pass a balanced budget and address redistricting, the decennial redrawing of maps for the state’s congressional, legislative, and State Board of Education boundaries. The pandemic delayed the release of the updated U.S. Census, meaning redistricting will most likely be handled in a special session. However, lawmakers have made strides in tackling their other primary task: the 2022-2023 biennium state budget.
While the House and Senate each work on the budget and hold hearings simultaneously, they traditionally take turns originating the general appropriations bill and chairing the Budget Conference Committee. For the 2021 Regular Session, the bill originated in the Senate, so the final version of the bill will be Senate Bill 1.
On April 6, the Senate approved the Committee Substitute to Senate Bill 1, establishing the state’s budget priorities for the next two years in a $251.2 billion spending plan.
On April 22, the Texas House unanimously passed its proposed two-year, $246 billion state budget after members spent hours on the House floor deliberating amendments.
The proposal has now headed back to the Senate. The legislation will then head to a conference committee for the two chambers to iron out their differences before it can be sent to the governor’s desk ahead of the final day of the session on May 31.
“The state budget is a huge priority for Permian Basin Petroleum Association [PBPA] members, and we worked aggressively to ensure that amendments that would remove funding from vital permitting and regulatory programs that our industry needs in order to function were not adopted,” shared the PBPA in a recent newsletter.
“PBPA has made great strides on increasing funding for the regulatory agencies that regulate the Permian Basin oil and gas industry to ensure that as the region gets back to work, the permits from these agencies can be completed swiftly,” reported Stephen Robertson, PBPA executive vice president.
The House version of the proposed budget includes measures that would ban school vouchers, empty the governor’s economic development fund, and cap some attorney general spending. However, such amendments are not guaranteed to remain in the final spending plan.
There were over 240 pre-filed amendments to the state budget bill, many of which ended up in Article XI. Often referred to as the wish list article, Article XI includes unfunded budget requests that the Legislature may consider for funding should additional revenue become available.
One of the more publicized votes occurred after Rep. Garnet Coleman introduced an amendment aimed to expand state and federal health care coverage for uninsured Texans. After a short debate, the amendment failed 68-80, with one Republican, Rep. Lyle Larson of San Antonio, voting for it.
“This budget provides a sound framework to address Texas’ growing needs while also maintaining the Legislature’s commitment to public education, border security, mental health, and other priorities, and I am proud of the House’s efforts to adopt a budget that invests in these critical areas,” said House Speaker Dade Phelan, who offered the following breakdown of the budget:
- Grows less than the growth in population plus inflation. After adjusting for population and inflation, general revenue spending decreases by 4.5 percent.
- Fits within the comptroller’s January revenue estimate and is more than $4 billion below the constitutional spending limit.
- Fully funds House Bill 3, last session’s historic school finance reform legislation.
- Fully funds the increased state contribution to the Teacher Retirement System passed last session.
- Dedicates $800 million to border security efforts.
- Provides over $1 billion to community mental health programs for adults, children, and crisis services.
For additional details, go to Phelan’s home page at Texas Legislature online, at https://capitol.texas.gov/.
The Senate’s version of the appropriations bill was sponsored by Sen. Jane Nelson.
“Senate Bill 1 maintains our commitment to education, keeps Texans healthy, strengthens public safety, and will help reignite our economy,” Nelson stated. “This budget will keep Texas strong, healthy, and prosperous.”
Highlights include:
- Funding for the full Foundation School Program entitlement, reflecting changes made last session to the school finance formula.
- Combined projected funding of $8.1 billion for mental health across 25 state agencies.
- $44.5 million to expand community-based foster care beyond catchment areas and stages approved last session.
- $128.5 million to fund Department of Public Safety crime lab services, including maintaining prioritization and timely testing of sexual assault kits.
- Maintains heightened security on the southern border.
- Provides more than $30 billion to address the state’s transportation needs, including $26 billion dedicated for highway planning, design, construction, and maintenance.
For additional details, go to Nelson’s home page at Texas Legislature online, at https://capitol.texas.gov/.
Legislative Stats
During this 87th Session, 4,658 House bills were filed, and 2,230 Senate bills were filed, for a total of 6,888. As of press time, two House bills had passed, and three Senate bills had passed. Some 1,000 resolutions had passed, as reported by the Legislature at https://bit.ly/39uReoo.
In the meantime, the Legislature continues to conduct hearings in both the House and Senate.
“Several important PBPA priorities are moving through the process efficiently, and with the exception of one or two bills, our legislative efforts to protect the industry have been largely successful,” the PBPA shared.
As of press time, 18 bills had been referred out of the House Energy Resources Committee, as can be confirmed at https://bit.ly/2QV1j7F. In addition, 46 bills had been referred out of the Senate Committee on Natural Resources & Economic Development, with details available here: https://bit.ly/39wNK4F.
“We have worked to ensure that the Permian Basin receives its fair share of dollars for transportation, public education, health care, and other public safety issues,” Robertson summarized. During the final month of the Regular Session, legislation will be “flying across the Texas Capitol with fury,” and the PBPA will continue monitoring all legislation that could affect the oil and gas industry.
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Julie Anderson, based in Amarillo, is editor of County Progress Magazine, and is known to many readers of PBOG as the prior editor of this magazine.