Texans for Fiscal Responsibility has issued the following vote notice for May 10th, 2025

Texas House of Representatives

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Subject: House Joint Resolution 218 (HJR 218) – Energy Fund Expansion

• Author: State Rep. Yvonne Davis (D-Dallas)
• Caption: Proposing a constitutional amendment to authorize the use of money from the Texas energy fund for energy efficiency projects conducted to benefit retail electric customers.
• TFR Position: OPPOSE
• Background: 
  • HJR 218 would change the Texas Constitution to let state energy funds be used not just for power reliability projects, but also for energy efficiency upgrades for retail electric customers. Rather than letting free-market competition drive energy efficiency innovation, this bill steers public funds toward programs that could favor specific technologies or vendors. It creates a new layer of government-managed incentives, potentially increasing administrative costs. Funds may also be diverted disproportionately to urban areas, sidelining rural Texans. Instead of growing a new spending pipeline, Texas should stick to the fund’s original purpose: reliability, and allow consumers to pursue energy efficiency as they choose.

Subject: House Bill 842 (HB 842) – Study at taxpayer expense

• Author: State Rep. Suleman Lalani (D-Sugar Land)
• Caption: Relating to a study and report on burying power lines in the Gulf Coast region.
• TFR Position: OPPOSE
• Background: 
  • HB 842 requires Texas to spend $1 million to study the possibility of burying power lines along the Gulf Coast. While billed as a response to storm damage, the study area spans 150 miles inland—potentially including areas that may not be impacted by hurricanes. This one-time expense could pave the way for billions in future infrastructure mandates or incentives that increase utility costs for ratepayers or taxpayers. The bill prioritizes speculative savings and federal technology partnerships over immediate fiscal discipline. The report’s potential use to justify subsidies or mandates conflicts with a limited government approach. For fiscal conservatives, this bill opens the door to future boondoggles under the guise of resilience.

Subject: House Bill 3174 (HB 3174) – Needle Exchange program

• Author: State Rep. Toni Rose (D-Dallas)
• Caption: Relating to county and hospital district disease control pilot programs to reduce the risk of certain infectious and communicable diseases; authorizing fees.
• TFR Position: OPPOSE
• Background: 
  • HB 3174 would allow certain Texas counties to set up government needle exchange program. These programs are intended to reduce the spread of HIV and hepatitis and are paired with referrals to health care and drug treatment. While the bill’s stated goals are public health and harm reduction, it introduces a new taxpayer-sanctioned framework to facilitate drug use rather than curb it. It sets up a patchwork of county-level initiatives and opens the door for non-governmental organizations to distribute drug-related materials under public oversight. Local governments can charge registration fees, and program operators can charge users, but ultimately these systems could create hidden costs for taxpayers through expanded bureaucracy and increased public health infrastructure. The bill also carves out legal exemptions for conduct currently criminalized under drug paraphernalia laws, undermining statewide drug enforcement. Furthermore, by promoting a harm-reduction model without addressing personal accountability, the bill risks normalizing intravenous drug use. The bill represents a misuse of public policy and public dollars, entangling local governments in activities better handled by private recovery organizations or the justice system. A limited-government approach should focus on private-led rehabilitation and deterrence—not state-facilitated syringe distribution.

Subject: House Bill 3196 (HB 3196) – HOT Tax

• Author: State Rep. Janie Lopez (R-San Benito)
• Caption: Relating to the authority of certain municipalities to receive certain tax revenue derived from a hotel and convention center project and to pledge certain tax revenue for the payment of obligations related to the project.
• TFR Position: OPPOSE
• Background: 
  • HB 3196 allows South Padre Island to keep millions in state hotel and sales tax revenue from a future hotel and convention center project. While local officials may argue this helps economic development, the bill creates another special carve-out that favors one city at the expense of state taxpayers. The measure relaxes existing requirements around facility ownership and proximity, setting a precedent for further exemptions and loopholes. Despite having no hotel project currently planned, the city could eventually claim these rebates for 10 years once a hotel opens. This subsidy would redirect state revenue to the local government without any reimbursement to the general fund. Over time, this could result in millions in lost revenue that could otherwise fund state priorities. It also increases taxpayer risk by betting on speculative development. From a fiscally conservative view, the bill grows government involvement in the market and violates the principle that private projects should stand on their own merits.

Subject: House Bill 1039 (HB 1039) – HOT tax expansion

• Author: State Rep. Eddie Morales (D-Eagle Pass)
• Caption: Relating to the use of hotel occupancy tax revenue by certain municipalities.
• TFR Position: OPPOSE
• Background: 
  • HB 1039 removes restrictions placed on the City of Alpine, giving it more freedom to spend hotel occupancy tax revenue. This will allow local officials to redirect funds toward special projects or development, and opens the door to misuse or politically favored spending without oversight. Repealing these provisions sets a precedent for other cities to request similar carve-outs, weakening uniform standards in tax law. From a fiscally conservative perspective, this measure weakens accountability and undermines statewide consistency in tax administration. Limited-purpose taxes should remain tightly bound to their original intent. Local projects should be evaluated, and succeed or fail, on merit—not funded by broadening the scope of earmarked taxpayer revenue.

Subject: House Bill 2674 (HB 2674) – Homeschool Freedom

• Author: State Rep. David Cook (R-Mansfield)
• Caption: Relating to prohibiting the regulation of homeschool programs.
• TFR Position: SUPPORT
• Background: 
  • HB 2674 protects homeschool families from new government regulations by banning state education agencies from creating new rules that would increase oversight or control over homeschool programs. It ensures that parents can continue to educate their children at home without interference, preserving parental rights and educational freedom. By codifying current practice, the bill offers long-term stability and predictability for families who have opted out of the public school system. From a limited government perspective, the bill prevents bureaucratic expansion and keeps the state in its proper role. It respects educational choice and avoids taxpayer-funded regulatory overreach that could burden families and stifle innovation in home-based learning. H.B. 2674 also prevents a future administration from using agency rules to chip away at homeschool freedoms. This bill does not create any new programs, mandates, or spending. It’s a fiscally responsible move to keep government in check and empower parents to take the lead in their children’s education.

Subject: House Bill 5623 (HB 5623) – Energy Fund Expansion

• Author: State Rep. Yvonne Davis (D-Dallas)
• Caption: Relating to the provision of grants from the Texas energy fund for certain energy efficiency projects.
• TFR Position: OPPOSE
• Background: 
  • HB 5623 is the enabling legislation for HJR 218, and would let state energy funds be used not just for power reliability projects, but also for energy efficiency upgrades for retail electric customers. Rather than letting free-market competition drive energy efficiency innovation, this bill steers public funds toward programs that could favor specific technologies or vendors. It creates a new layer of government-managed incentives, potentially increasing administrative costs. Funds may also be diverted disproportionately to urban areas, sidelining rural Texans. Instead of growing a new spending pipeline, Texas should stick to the fund’s original purpose: reliability, and allow consumers to pursue energy efficiency as they choose.

Subject: House Bill 2587 (HB 2587) – Illegal immigration healthcare costs

• Author: State Rep. Mike Olcott (R-Aledo)
• Caption: Relating to an annual report on the financial impact on hospitals for providing certain uncompensated care.
• TFR Position: SUPPORT
• Background: 
  • HB 2587 aims to bring transparency to the financial strain placed on Texas hospitals by requiring data collection on unpaid care provided to individuals who are not legally present in the country. It ensures that hospitals who receive public funding through Medicaid or CHIP track and report these costs, which are often shifted to taxpayers or insured patients. By gathering this information, lawmakers and taxpayers can better understand how much uncompensated care is being provided and evaluate the true cost of federal immigration failures at the state level. It does not impose new spending or expand healthcare coverage—it simply collects and reports this important data. This supports fiscal accountability without expanding government services. Overall, it’s a transparency measure that empowers better budgeting decisions and holds institutions accountable for their use of public dollars.

Subject: House Bill 2625 (HB 2625) – Limits regulations on Food Delivery

• Author: State Rep. Mano DeAyala (R-Houston)
• Caption: Relating to prohibited local regulations regarding certain late-night and overnight deliveries to food service establishments.
• TFR Position: SUPPORT
• Background: 
  • HB 2625 stops local governments from using red tape to block or charge fees for certain food-related deliveries made late at night. It sets a single, statewide noise limit of 65 decibels for deliveries made between 10 p.m. and 5 a.m., as long as they last an hour or less and don’t disrupt nearby residents. This bill protects small businesses and restaurants from a confusing patchwork of local ordinances that can hinder efficient operations and inflate compliance costs. By cutting unnecessary regulation, it reduces burdens on both business owners and taxpayers. It also protects against local fee schemes that could become hidden taxes on commerce. Limiting government overreach in this way supports the free market and encourages lower-cost food service operations. The statewide standard also makes enforcement simpler and fairer. Overall, HB 2625 promotes predictability, economic freedom, and government restraint.

Subject: House Bill 4926 (HB 4926) – HOT tax expansion

• Author: State Rep. Trey Wharton (R-Huntsville)
• Caption: Relating to authorizing certain counties to impose a hotel occupancy tax and the use of revenue from that tax.
• TFR Position: OPPOSE
• Background: 
  • HB 4926 allows Grimes County to impose a hotel tax to support tourism infrastructure, like an arena and fairgrounds, and to fund marketing and preservation efforts. The bill introduces a new local tax that expands government revenue collection. Giving counties the ability to create and direct new streams of tax revenue risks opening the floodgates to similar requests statewide. It increases taxes and creates a slippery slope of special local carve-outs. From a limited government perspective, counties should rely on existing resources and private investment rather than growing local bureaucracy through targeted taxation. The bill also permits government contracts with outside organizations for tourism promotion, raising concerns over transparency and spending accountability. Ultimately, this sets a precedent for government-directed tourism projects funded through new taxation rather than free-market demand.

Subject: House Bill 5165 (HB 5165) – HOT tax expansion

• Author: State Rep. Brooks Landgraf (R-Odessa)
• Caption: Relating to the use of municipal hotel occupancy tax revenue in certain municipalities.
• TFR Position: OPPOSE
• Background: 
  • HB 5165 allows the City of Monahans to use hotel occupancy tax revenue to build and maintain recreational facilities like rodeo arenas and exposition centers. Although the bill is framed as a tourism booster, it effectively expands the scope of what hotel taxes can fund—diverting money toward government-owned or similar venues. These types of local spending expansions often lack clear performance metrics and increase the risk of tax dollars being misused on questionable projects. The bill is part of a growing trend of local carve-outs, each chipping away at statewide tax discipline. From a fiscally conservative perspective, hotel occupancy taxes, if allowed at all, should remain narrowly focused, not expanding projects that should rise or fall on their own merits.

Subject: House Bill 4811 (HB 4811) – Special subsidy for SXSW

• Author: State Rep. Sheryl Cole (D-Austin)
• Caption: Relating to the eligibility of the South by Southwest Conference and Festivals for funding under the Major Events Reimbursement Program.
• TFR Position: OPPOSE
• Background: 
  • HB 4811 would make SXSW eligible for state taxpayer subsidies under the Major Events Reimbursement Program, a corporate welfare scheme intended for large-scale sporting and entertainment events. It carves out a special exemption so SXSW can access public funds without meeting the usual competitive site selection requirement. Rather than fostering fair competition or market discipline, the bill prioritizes one specific event for special treatment. Providing subsidies to a privately-run festival like SXSW is a poor use of limited state funds. If SXSW cannot operate profitably without public money, it should reduce its expenses or raise private investment. Taxpayers should not be forced to bankroll events that primarily benefit private enterprises and local hotel and tourism industries.

Subject: House Bill 4755 (HB 4755) – HOT Tax expansion

• Author: State Rep. Janie Lopez (R-San Benito)
• Caption: Relating to the authority of certain municipalities to use hotel occupancy tax revenue for certain venue projects.
• TFR Position: OPPOSE
• Background: 
  • HB 4755 authorizes certain small cities near the border and Gulf Coast to impose a special hotel tax to fund existing convention centers. While pitched as a local economic support tool, it introduces a long-term tax authorization that won’t expire until 2056 or until the local debt is paid. This kind of carve-out creates a new loophole in hotel tax law and risks encouraging further municipal reliance on expanded taxes. Limiting the tax to existing facilities doesn’t change the core issue—it’s still a dedicated tax for a narrow, government-controlled venue. Convention centers should succeed based on demand, not taxpayer subsidies.

Subject: House Bill 3179 (HB 3179) – HOT Tax Expansion

• Author: State Rep. Wes Virdell (R-Brady)
• Caption: Relating to the authority of certain counties to impose a hotel occupancy tax.
• TFR Position: OPPOSE
• Background: 
  • HB 3179 authorizes Mason County to impose a hotel tax on lodging outside city limits. While the stated goal is to promote tourism, this expands county taxing authority and sets a precedent for further piecemeal tax authorizations statewide. These carve-outs create inconsistency across state taxation. From a limited government perspective, local economic development should not depend on new taxes, especially ones that lack broad voter approval. This bill chips away at tax uniformity. Rather than pushing new taxes to fund promotional efforts, counties should prioritize spending reforms and private sector efforts. HB 3179 continues a concerning trend of incremental tax growth through legislative exceptions.

Subject: House Bill 4310 (HB 4310) – Enhances government transparency

• Author: State Rep. Cody Vasut (R-Angleton)
• Caption: Relating to a special right of access under the public information law for a member of a governing board.
• TFR Position: SUPPORT
• Background: 
  • HB 4310 strengthens transparency and oversight by allowing local and state board members to directly access public records relevant to their duties. It ensures these officials can see necessary documents, even if classified as confidential, so long as appropriate safeguards like confidentiality agreements are in place. By empowering elected and appointed officials with information access, the bill helps limit bureaucratic gatekeeping and reduces the likelihood of uninformed or rubber-stamp governance. It also streamlines the process by removing financial barriers—members don’t have to pay for copies or redacted documents. The bill prevents misuse of confidentiality claims to hide government activity. This legislation supports government accountability from within and aligns with principles of open governance without creating new bureaucracies or burdensome costs. For these reasons, TFR strongly supports HB 4310.

Subject: House Bill 3637 (HB 3637) – Niche Property tax exemption

• Author: State Rep. Ellen Troxclair (R-Spicewood)
• Caption: Relating to the authority of a county commissioners court to adopt an exemption from ad valorem taxation by each taxing unit that taxes the property of the portion of the appraised value of a person’s property that is attributable to the installation in or on the property of certain water conservation systems.
• TFR Position: OPPOSE
• Background: 
  • HB 3637 is the enabling legislation fro HJR 88, which would allow county commissioners courts to exempt from property taxes the portion of a home’s value added by installing a rainwater harvesting or graywater system. While the stated intent is to promote water conservation, the resolution would complicate the tax code by creating a new, selective exemption. Instead of providing broad tax relief, it rewards certain property owners based on their ability to afford and install niche environmental upgrades—an option not available to many Texans. Renters, lower-income homeowners, and those in dense urban areas where space or infrastructure doesn’t allow for these systems would be effectively excluded from any benefit, while still subsidizing the lost revenue through higher rates or reduced services. The policy could result in a patchwork of exemptions across the state, with different counties adopting different rules, undermining consistency and fairness in taxation. Additionally, it opens the door for further politically favored carve-outs, further eroding the principle of equal treatment under the tax code. It also raises enforcement and verification challenges, as local governments would be tasked with confirming installation details, valuation impact, and compliance, all of which add red tape and administrative costs. From a fiscally conservative, pro-taxpayer standpoint, this measure represents government interference in the tax base and picks winners and losers in the marketplace. For these reasons, TFR opposes HJR 88.

Subject: House Bill 3066 (HB 3066) – HOT Tax Extension

• Author: State Rep. Jeff Leach (R-Allen)
• Caption: Relating to the entitlement of certain municipalities to certain tax revenue associated with hotel and convention center projects.
• TFR Position: OPPOSE
• Background: 
  • HB 3066 gives the City of Allen a 20-year window to keep state hotel and sales tax revenue from a future hotel and convention center project—doubling the current 10-year entitlement. This carve-out could cost Texas taxpayers over $100 million in lost revenue, all to subsidize a single local development. It’s an expansion of government favoritism that benefits certain projects over free-market competition. The bill continues the troubling trend of redirecting state taxes to local governments under the guise of economic development. From a fiscally conservative standpoint, these taxpayer-funded incentives distort markets, promote risky speculation, and reduce transparency and accountability.

Subject: House Bill 2786 (HB 2786) – Mandates annual property reappraisals

• Author: State Rep. Chris Turner (D-Grand Prairie)
• Caption: Relating to the frequency with which certain appraisal districts are required to reappraise property for ad valorem tax purposes.
• TFR Position: OPPOSE
• Background: 
  • HB 2786 forces appraisal districts in counties with more than 75,000 residents to reassess every property annually for tax purposes. While it aims to make appraisals more accurate, it imposes a top-down, one-size-fits-all mandate that could increase costs and bureaucracy in local government. Some appraisal districts currently operate on efficient multi-year reappraisal schedules that reduce administrative burdens and allow flexibility in resource management. Mandating annual reviews may lead to higher operational expenses passed on to taxpayers. The bill also centralizes control over appraisal cycles, overriding local discretion and undermining county-level governance. Smaller districts may be spared, but mid-to-large counties could face significant budget and staffing pressures. Ultimately, this change could grow government bureaucracy without necessarily delivering better taxpayer outcomes. A more targeted approach—encouraging accuracy while respecting local control—would better serve taxpayers and uphold limited government principles.

Subject: House Bill 638 (HB 638) – Water district meeting transparency

• Author: State Rep. Carl Tepper (R-Lubbock)
• Caption: Relating to a requirement that certain water districts make audio and video recordings of open meetings available on the Internet.
• TFR Position: SUPPORT
• Background: 
  • HB 638 enhances public transparency by requiring certain water districts to record and publish their open meetings. For districts in larger counties (125,000+ residents), both video and audio of regular meetings must be made available online. Smaller districts in less-populated areas are only required to post audio recordings. These transparency measures ensure that taxpayers can monitor decisions that affect local water infrastructure and spending without needing to attend meetings in person. From a fiscally conservative perspective, this approach helps keep local boards accountable. Ultimately, it’s a common-sense step toward better local government without bloating the state’s administrative structure.

Subject: House Bill 4412 (HB 4412) – HOT Tax expansion

• Author: State Rep. Brooks Landgraf (R-Odessa)
• Caption: Relating to the use of hotel occupancy tax revenue for certain public improvement projects by certain municipalities.
• TFR Position: OPPOSE
• Background: 
  • HB 4412 gives the City of Kermit new authority to use hotel tax revenue for undefined “public improvement projects” as long as they are said to benefit tourism. This broadens the use of what should be a narrowly targeted tax and invites local governments to divert funds toward pet projects under the vague umbrella of “tourism promotion.” The bill weakens fiscal discipline and sets another precedent for using hotel taxes for general infrastructure or other projects. From a fiscally conservative perspective, this bill represents government trying to spend its way into growth instead of returning excess revenue or shrinking its footprint. HB 4412 expands the scope of taxation beyond its originally justified purpose and opens the door for future misuse.

Subject: House Bill 4098 (HB 4098) – HOT Tax Subsidy

• Author: State Rep. Caroline Harris (R-Round Rock)
• Caption: Relating to the authority of certain municipalities to use certain tax revenue for hotel and convention center projects.
• TFR Position: OPPOSE
• Background: 
  • HB 4098 would allow the City of Taylor to keep millions in state hotel and sales tax revenue from a proposed hotel and convention center project for a 10-year period. This is another example of a special carve-out where the state subsidizes local development under the guise of economic growth. The program rewards certain municipalities with revenue streams that would otherwise support public services statewide. From a fiscally conservative perspective, this is a misallocation of tax dollars that should remain in the general fund or be returned to taxpayers—not handed to local governments for speculative development. HB 4098 continues the trend of government picking winners and losers rather than allowing projects to succeed based on market demand.

Subject: House Bill 2370 (HB 2370) – HOT Tax Subsidy

• Author: State Rep. Janie Lopez (R-San Benito)
• Caption: Relating to the authority of certain municipalities to use hotel occupancy tax revenue for certain venue projects.
• TFR Position: OPPOSE
• Background: 
  • HB 2370 gives Harlingen the ability to use hotel tax revenue to pay off debt for a previously built convention center. This approach props up past development decisions by redirecting tax revenue that should be returned to taxpayers. Rather than reducing spending or improving efficiency, the bill relies on backdoor taxation to cover old obligations. From a fiscally conservative perspective, this kind of financing structure encourages fiscal mismanagement and sets a precedent for more cities to push off debt payments onto future hotel guests. HB 2370 reinforces the misuse of a narrowly authorized tax for broader local budget gaps and reduces accountability for long-term borrowing decisions. Local projects like this should rise of fall on their own merits, not subsidized with taxpayer funds.

Subject: House Bill 2404 (HB 2404) – HOT tax expansion

• Author: State Rep. Ken King (R-Canadian)
• Caption: Relating to the authority of certain counties to impose a hotel occupancy tax.
• TFR Position: OPPOSE
• Background: 
  • HB 2404 allows Childress County to begin collecting hotel occupancy taxes on lodging located outside city limits. While touted as a local revenue opportunity, the bill adds to the overall tax burden and further fragments the tax code. From a fiscally conservative viewpoint, this measure represents unnecessary government growth through taxation, especially in a rural county with limited tourism infrastructure. Instead of seeking new tax authority, counties should focus on reducing costs and making better use of existing resources. HB 2404 contributes to tax creep and sets a precedent for expanding other local government taxes.

Subject: House Bill 1586 (HB 1586) – Simplifies vaccine exemption process

• Author: State Rep. Lacey Hull (R-Houston)
• Caption: Relating to an exemption from required immunizations for school enrollment.
• TFR Position: SUPPORT
• Background: 
  • HB 1586 removes bureaucratic hurdles for Texas parents who want to opt their children out of school vaccine requirements for reasons of conscience. The bill allows the exemption form to be downloaded and printed directly from a state website, eliminating the need to mail in a request and wait for a physical copy. This streamlines the process, saves time, and respects parental rights. The bill also bans the government from collecting names or personal data from those who download or submit these forms, protecting privacy and limiting state overreach. Removing the requirement for special seals or tracking metrics also reduces administrative costs and inefficiencies. Parents will now have a faster, more secure, and less intrusive way to exercise their rights.

Subject: House Bill 1533 (HB 1533) – Property tax appraisal reforms

• Author: State Rep. Angie Button (R-Garland)
• Caption: Relating to the system for appraising property for ad valorem tax purposes.
• TFR Position: SUPPORT
• Background: 
  • HB 1533 makes the property tax process more fair and transparent for Texas taxpayers. It ensures appraisal districts in larger counties publicly post updated property values online, promoting greater accountability. The bill improves taxpayer access by shortening the notice time required to participate in protest hearings remotely. It strengthens the protest process by requiring clear written reasons when a protest is dismissed and gives taxpayers more notice when they’re being subpoenaed. Importantly, it expands the right of renters who pay property taxes indirectly through lease agreements to challenge overvaluations via arbitration. It also prevents courts from imposing costly and rushed discovery requirements unless both parties agree, helping reduce legal expenses for taxpayers. While the bill adds small administrative costs, it prioritizes fairness and limits bureaucratic power over property owners. Overall, HB 1533 supports taxpayer rights and curbs government overreach in the appraisal process.

Subject: House Bill 1621 (HB 1621) – Taxpayer grants for hospital tech

• Author: State Rep. John Lujan (R-San Antonio)
• Caption: Relating to a matching grant program for technological enhancements at hospitals providing mental health care services.
• TFR Position: OPPOSE
• Background: 
  • HB 1621 creates a new state matching grant program that subsidizes hospitals upgrading their technology for mental health care, but it opens the door to potentially unchecked state spending. While the bill requires hospitals to provide matching funds from non-state sources, the total fiscal impact remains unknown, and the program lacks guardrails on how much taxpayer money could ultimately be committed. The bill also requires HHSC to hire new personnel and build administrative infrastructure, adding to long-term government overhead. This bill effectively expands state bureaucracy and spending to support what should be privately funded modernization. Hospitals already have access to private capital, philanthropy, and federal funding for such upgrades, making state-level intervention unnecessary. From a fiscally conservative standpoint, this bill invites government expansion, increases potential taxpayer burdens, and bypasses free-market solutions.

Subject: House Bill 2464 (HB 2464) – Home business freedom

• Author: State Rep. Cole Hefner (R-Mount Pleasant)
• Caption: Relating to the authority of a municipality to regulate a home-based business.
• TFR Position: SUPPORT
• Background: 
  • HB 2464 shields Texans operating low-impact businesses from home by preventing cities from imposing burdensome red tape, permits, or expensive upgrades that discourage entrepreneurship. It ensures that people can legally run small-scale, unobtrusive businesses without being treated like commercial enterprises. By reducing regulatory interference, the bill encourages free-market activity and empowers residents to earn a living without costly overhead.

Subject: House Bill 2313 (HB 2313) – HOT Tax and PFZ

• Author: State Rep. Carl Tepper (R-Lubbock)
• Caption: Relating to the authority of certain municipalities to use certain tax revenue for certain qualified projects.
• TFR Position: OPPOSE
• Background: 
  • HB 2313 allows Lubbock to establish a special zone to capture and keep growing state tax revenues from local hotels, restaurants, and bars for 30 years. This is a long-term state subsidy to finance local infrastructure tied to tourism or economic development. Though it sounds like a growth strategy, the bill siphons off money that would otherwise go to the state treasury—an estimated $121 million over three decades. The measure rewards a single city with special treatment and shifts financial risk to state taxpayers. These zones lack transparency and could result result in underperforming or speculative developments. From a fiscally conservative perspective, this is another example of government trying to engineer growth through tax diversion schemes instead of market-driven investment. HB 2313 expands an expensive, unaccountable program that undermines uniform tax policy and state budgeting discipline.

Subject: House Bill 2289 (HB 2289) – HOT Tax Expansion

• Author: State Rep. Carrie Isaac (R-Wimberley)
• Caption: Relating to the authority of certain municipalities to use certain tax revenue derived from a hotel and convention center project.
• TFR Position: OPPOSE
• Background: 
  • HB 2289 gives New Braunfels access to a state subsidy program that lets the city keep hotel and sales tax revenue from a future hotel and convention center project for 10 years. This carve-out directs millions in state revenue to a single city project instead of using those funds for broad statewide needs. It further entrenches a system where certain favored cities are given special treatment, encouraging others to seek similar entitlements. From a fiscally conservative perspective, these subsidies represent government picking winners and losers in the hospitality industry and undermine free market development. The bill shifts financial risk away from developers and onto taxpayers, who must cover the cost of lost state revenue. HB 2289 exemplifies a growing trend of local projects feeding off the state’s tax base instead of standing on their own merits.

Subject: House Bill 2011 (HB 2011) – Protects property owners

• Author: State Rep. Cecil Bell Jr (R-Magnolia)
• Caption: Relating to the right to repurchase from a condemning entity certain real property for which ad valorem taxes are delinquent.
• TFR Position: SUPPORT
• Background: 
  • HB 2011 ensures greater accountability for government and quasi-government entities that seize private land through eminent domain. If a condemning entity fails to pay required property taxes for two years, the former owner has the right to buy back the land. This creates a strong incentive for entities to maintain financial responsibility and discourages the unnecessary or careless seizure of private property. The bill empowers property owners by granting them the ability to monitor tax compliance and act early to reclaim land. It promotes limited government by returning unused or mismanaged land to private hands.

Texas Senate

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NONE

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