Institute for Legislative Analysis

John Lujan

The Herrero amendment #45 to the appropriations bill. This amendment prohibits any funds in the bill from being used for school choice programs, including school vouchers, education savings accounts, tax credit scholarships, or grants that allow students to attend private schools. Oppose is the Limited Government Position as this amendment worsens educational outcomes for all students by blocking competition and a market in education, which encourages schools to provide the best education so they can attract parents to enroll their child and receive the associated funding.

Blocking School Choice by Prohibiting Any Appropriations within the Budget for School Choice Programs.

This bill creates a statewide framework for natural gas utility companies to offer energy conservation programs. These programs typically involve subsidies for purchasing higher energy efficiency appliances or for retrofitting a home or business to increase energy efficiency. The programs are paid for by raising natural gas utility rates on all customers through "rate recovery" which also provides utility companies a larger guaranteed profit. Additionally, the bill allows utility companies (which heavily lobbied for the bill) to receive additional profit for designing, marketing, administering, and delivering an energy conservation program. Oppose is the Limited Government Position as this and many other energy efficiency schemes are largely designed to enrich select product manufacturers, service providers and utility companies at the expense of all other Texans. Such cronyism is especially harmful to low-income and elderly individuals on fixed incomes who can't afford rising utility costs.

Hiking Natural Gas Utility Costs for Texans to Enrich Utility Companies and Create New Energy Conservation Programs.

This bill establishes a new health insurance mandate relating to "biomarker testing" which is applicable to all private policies offered in the state and Medicaid. Specifically, the bill requires all policies to cover biomarker testing to diagnose, treat, manage, or monitor a person's disease or condition if the test is supported by "medical and scientific evidence." Oppose is the Limited Government Position as each and every health insurance mandate or price control on co-payments prevents an individual from selecting a plan with just basic or customized coverages to fit their specific needs. As a result, health insurers are forced to only offer costly plans loaded with coverages that most individuals do not need. This can result in lower-income or younger individuals choosing to purchase no insurance plan at all due to the high cost.

Increasing Health Insurance Premiums by Mandating All Policies Provide Coverage for Biomarker Testing.

This bill allows individuals who are not alcohol permit or license holders to sell wine to restaurants, provided the wine is at least 20 years old and still sealed. The restaurant may then sell the wine for on-premises consumption. Support is the Limited Government Position as this bill expands consumer choice and individual liberties while also removing an unnecessary restriction on alcohol sales.

Expanding Individual Liberties by Allowing Individuals to Sell Sealed 20+ Year Old Wine to Restaurants.

This bill, the Fiscal Years 2024-2025 Operating Budget, represents a 21.3% increase over the prior budget, and the largest in state history. Some of the major new and increased spending initiatives within the bill include $1 billion for land acquisition for parks (3603.7% increase over the $27 million appropriated in the previous budget), an additional $100 million for the Texas Water Development Board Economically Distressed Areas Program, and $45.9 billion for business and economic development (25.8% increase). Oppose is the Limited Government Position as the budget is chock-full of countless wasteful and unnecessary spending initiatives which directly violate limited government principles and far exceed the basic and necessary functions of government. The state must pursue every available avenue to reign in its out-of-control spending, as, when coupled with the over $185 trillion federal liabilities, represents the greatest existential threat facing this country. Democratic lawmakers who opposed the bill for not containing even greater levels of spending were recording as opposing the limited government position.

Fueling Out-of-Control Spending Through a $321.3 Billion Budget (21.3% Increase) with Countless Provisions that Further Grow the Size and Scope of Government.

This bill, the Texas Jobs, Energy, Technology, and Innovation Act, provides select businesses which meet certain investment thresholds and job requirements with property tax exemptions. Under the bill, businesses will receive tax exemptions ranging between 50% and 75% for a period of 10 years, and a 100% tax exemption during the construction phase. Oppose is the Limited Government Position as all state and local tax codes should be constructed in a broadly applied manner with as low of rates as possible for everyone. This and other tax cronyism schemes merely dilute the tax base which results in higher taxes on all other individuals and products to make up for the lost revenue. The free market (by lowering taxes for all businesses) can provide much greater returns on investment than this central planning by politicians.

Expanding Cronyism and Enriching Government-Favored Corporations through a New Property Tax Exemption Scheme.

This bill requires cities to provide written notification of any proposed zoning change which could cause a non-conforming use for a property owner or business. If the owner is required to close or cease operations, they would be entitled to compensation, such as the loss in market value of the property. The bill is, in part, in response to a case where a shingle factory operating for 80 years was forced to shut down without any compensation. Support is the Limited Government Position as many of the zoning and land use ordinances enacted across the state are overreaching and oftentimes designed to benefit select property owners or restrict competition. Similar to cases of eminent domain, any business forced to shut down for public good reasons should be provided with just compensation.

Strengthening Property Rights by Protecting Businesses from Local Zoning Changes.

This bill requires anyone who provides sewage disposal system pumping services in the state to become licensed and empowers the Texas Commission on Environmental Quality to determine the qualifications. Oppose is the Limited Government Position as the state already has certain licensing and regulatory protections in place surrounding septic tanks and this measure represents an excessive employment barrier. Ultimately, the private sector, via certifications, rating systems, and the free market, is much better equipped to provide consumer protection while also ensuring competition and low consumer costs.

Increasing Employment Barriers and Reducing Competition by Forcing Sewage Disposal Pump Technicians to Obtain a License.

This bill authorizes El Paso County to issue bonds (debt) to be repaid by higher sales or property taxes in order to finance the construction of recreational facilities, if approved by voters. Oppose is the Limited Government Position as constructing "recreational facilities" is not a core role nor duty for any level of government. The private sector is much better equipped to determine the need and level of investment required for initiatives surrounding recreation.

Authorizing El Paso County to Indebt Taxpayers to Construct Recreational Facilities.

This bill provides that a person who sells or leases a vehicle weighing at least 6,000 lbs. is not liable for not retrofitting the vehicle with equipment, or selecting certain equipment, that was not required under federal regulations when the vehicle was manufactured or sold. Support is the Limited Government Position as this measure helps protect against frivolous litigation devised by ambulance chasing plaintiffs' attorneys which ultimately drives up costs for businesses and consumers.

Protecting Truck Rental Companies from Frivolous Litigation for Not Retrofitting Trucks with Safety Equipment Upon their Sale.

This bill, the Texas Sports and Entertainment Recovery Act, legalizes online sports betting. Under the bill, Texas would join neighboring states Arkansas and Louisiana which have legalized sports gambling. The bill imposes a 15% tax on adjusted gross wagering revenue, with some of the revenue utilized for addiction treatment and all remaining funds dedicated to property tax relief. Support is the Limited Government Position as individuals - not bureaucrats - should have decision rights over how to utilize the fruits of their labor - even when it comes to risky endeavors such as betting. Not only does this measure provide desperately needed property tax relief which will make housing more affordable, but it also helps eliminate the financial fraud and other significant societal harms that the current black market in gambling presents to Texans.

Strengthening Individual Liberties and Lowering Property Taxes by Legalizing Online Sports Betting.

This bill requires all individuals who provide ridesharing services (through companies such as Uber and Lyft) to undergo annual training on human trafficking awareness and prevention. The training materials provided by rideshare companies must meet a long list of requirements and be approved by the Attorney General. Oppose is the Limited Government Position as while human trafficking is certainly a tragedy which society should work to combat, the solution is not the further expansion of the government regulatory state and imposition of new mandates and costs onto the private sector. A much more laudable approach is for the private sector and companies within to invest and establish their own individual procedures to solve societal problems as opposed to the imposition of one-size-fits all government mandates.

Expanding Government Overreach through New Annual Mandates on Ridesharing Drivers Pertaining to Human Trafficking Training.

This bill expands the list of medical conditions for which a physician may prescribe low-THC cannabis (medical marijuana). Under the bill, physicians who would otherwise prescribe a patient an opioid could now prescribe cannabis. The bill also increases the maximum dosage that may be prescribed by replacing the 1% THC cap with a 10-milligram cap. Texas' medical marijuana program is currently among the strictest in the nation. Support is the Limited Government Position as this bill strengthens medical freedom by ensuring physicians - not politicians - are able to determine and provide the most effective treatment for their patients. The bill also helps combat the addiction crisis currently plaguing our nation.

Strengthening Medical Freedom and Reducing Addiction by Permitting Physicians to Prescribe Low-THC Cannabis in Cases where Opioids would Otherwise be Prescribed.

This bill provides an increase in the vehicle asset allowance under the supplemental nutrition assistance program (SNAP). As a result, an individual may now own a vehicle valued at up to $22,500 (previously $15,000) and still be eligible for the welfare program. Oppose is the Limited Government Position as this measure further grows government dependency, which oftentimes leads to intergenerational poverty. Instead of increasing welfare eligibility, lawmakers should work to reduce government barriers to employment and help empower the private sector to care for individuals who are in need.

Growing Government Dependency by Increasing the Vehicle Asset Allowance Under the SNAP Welfare Program from $15k to $22.5k.

This bill primarily targets a business model within the optometry industry which has been deployed by Visionworks of America, which is owned by an insurance company called Vision Services Plan (VSP) Insurance Co. The bill prevents VSP from incentivizing its enrollees to utilize the optometry company it owns (Visionworks) through the offering of discounts or other value-added benefits. Other optometry companies have alleged that since VSP owns its own optometry company and can "steer patients" it is provided an unfair competitive advantage in the industry. Oppose is the Limited Government Position as this measure represents one of the worst examples of cronyism and utilization of government power to stifle competition. This protectionism merely enriches select businesses and prevents the free market from expanding competition and lowering costs for consumers.

Expanding Government Power to Shutdown Competition within the Optometry Industry.

This bill provides $100 million in funding to establish a new state border policing unit made up of commissioned peace officers. Funding is also directed to a number of initiatives designed to boost border security such as detention facility upgrades, temporary border barriers and compensation to certain property owners impacted. Support is the Limited Government Position as ensuring public safety and national defense is arguably the most important role of government. Failure to secure our nation's border not only has catastrophic implications on the ability to maintain law and order, but also creates countless other issues ranging from welfare to the education system.

Strengthening National Security and Helping to Combat Illegal Immigration and Human Trafficking Through Additional Border Security Funding and Property Owner Compensation.

This bill earmarks $1.54 billion in state funds to continue construction of barriers along the Mexico border. Additionally, the bill provides $40 million for State Troopers to patrol Colony Ridge which has high levels of illegal immigrants. Support is the Limited Government Position as ensuring public safety and national defense is arguably the most important role of government. Failure to secure our nation's border not only has catastrophic implications on the ability to maintain law and order, but also creates countless other issues ranging from welfare to the education system.

Restoring Law and Order by Earmarking $1.54 Billion in State Funds to Construct Barriers Securing the Mexico Border.

This bill requires public information that is stored in a searchable or sortable electronic spreadsheet or database to be made available upon public request and provided in a format which is easily searchable or sortable. Additionally, public requests for this information may not be denied on the basis that the request would require searching, sorting, or filtering electronic information. Finally, the bill requires government contracts for electronic public information to use reasonable efforts to ensure that public access to the information is not restricted or more difficult to access than other government records. Support is the Limited Government Position as this bill strengthens transparency and makes it easier for individuals, the press and government watchdog organizations to hold officials accountable and report on government operations.

Strengthening Government Transparency and Accountability by Requiring Government Data Be Provided in an Easily Searchable Database to the Public.

This bill provides that businesses with revenue up to $2.47 million are not required to pay any franchise tax (previously $1 million). Additionally, those businesses are no longer required to file a tax information report. Support is the Limited Government Position as this bill provides broad tax and regulatory relief for small and medium size businesses by increasing the franchise tax exemption and eliminating the burdensome reporting requirement.

Expanding Economic Growth by Increasing the Franchisee Tax Exemption from $1 Million to $2.47 Million.

This bill allows counties and municipalities which have established a "reinvestment zone" (i.e. tax increment financing) the ability to also utilize the funds to subsidize "legacy homeowners". As a result, individuals who have owned their property for at least 7 years and experienced a significant increase in their property taxes (due to a rise in their home value) would be eligible to have a portion of their property taxes subsidized. Oppose is the Limited Government Position as government central planning schemes such as tax increment financing should not be deployed in the first place. This measure merely worsens the cronyism by further distorting the tax code and providing advantages to select homeowners. Government should instead ensure property taxation is conducted in a broadly applied manner without carveouts and as low of rates as possible for all property owners.

Worsening Tax Cronyism by Providing Subsidies for Certain "Legacy Homeowners" in Government-Created Reinvestment Zones.

This bill requires homeowner's, renter's, and condominium owner's insurance policies that include replacement cost coverage to pay 80% of the repair or replacement cost of a claim upfront, minus the deductible. Once documentation is provided showing that the repair or replacement is complete, and any deductible has been paid, the remaining balance is to be paid. Oppose is the Limited Government Position as this bill further grows the regulatory state and government interference in the free market. While there is a role of government to protect individuals from fraudulent practices, this overreach significantly adds to the already overregulation of the insurance industry, limiting policy options and driving up costs for both businesses and consumers.

Growing Government Regulation of Property Insurance Through a New Mandate Requiring Payment of 80% of Replacement Value Up Front.

This bill allows professional sports team charitable foundations to sell raffle tickets at their home venue or rodeo venue through a website or mobile application, provided the person is physically located at the venue. The bill also requires the use of a third-party vendor to ensure nobody under 18 purchases tickets. Support is the Limited Government Position as this measure strengthens individual liberties and helps expand charitable giving. While the bill should expand the raffle ticket offerings to individuals beyond just the physical location, the bill still serves as a strong step in the right direction.

Strengthening Individual Liberties and Charitable Giving by Authorizing Professional Sports Team Charitable Foundations to Offer Raffle Tickets Online.

This bill expands coverage under Medicaid (government-provided healthcare) to now include behavioral health intensive outpatient and partial hospitalization services. The expansion is estimated to cost an additional $12.3 million over the next five years. Oppose is the Limited Government Position as this bill further traps individuals into government dependency by growing benefits under the government welfare state. The state must pursue every available avenue to reign in its out-of-control spending, as, when coupled with the over $185 trillion federal liabilities, represents the greatest existential threat facing this country.

Increasing Government Dependency by Expanding the Medicaid Welfare Program to Now Cover Behavioral Health Intensive Outpatient and Partial Hospitalization Services.

This bill amends the existing state law which prohibits firearms on school grounds or buildings when a school-sponsored activity is taking place. Under this bill, the "gun free zone" only applies to the actual premises owned by a school (not off-campus locations). Support is the Limited Government Position as "gun free zones" do not protect communities, rather they place individuals in defenseless positions against criminals who do not abide by the law. While the restriction should be eliminated entirely, this measure serves as a step in the right direction.

Strengthening Self-Defense and Second Amendment Rights by Limiting School "Gun-Free Zones" to Only School-Owned Property.

This bill creates the Texas Energy Efficiency Council within the Public Utilities Commission to, among other purposes, "provide a statewide collaborative approach to promoting energy efficiency" and "make recommendations for improving energy efficiency programs." Oppose is the Limited Government Position as this further expands the size and scope of government in order to promote a politized environmental agenda. The bill also has the potential to advance future mandates on property owners, like those passed under SB 2453 this session.

Expanding Government and Paving the Way for Additional Energy Efficiency Mandates through the Creation of a Texas Energy Efficiency Council.

This bill initiates a large release of prisoners within the state correctional system by significantly shortening the sentences of prisoners who committed violent crimes when they were under the age of 18. Under the bill, prisoners who committed first degree felonies as a juvenile must now only serve a quarter of their sentence or 15 years (whichever is shorter) and prisoners who committed capital offenses (sentenced to life in prison) must now only serve 20 years before being eligible for parole. Additionally, the bill establishes certain factors parole boards must consider that are expected to result in earlier releases such as "greater capacity of juveniles for change, as compared to that of adults". Oppose is the Limited Government Position as ensuring public safety and protecting property rights serve as essential components of government. Unfortunately, this bill is one of many so-called criminal justice "reforms" which have led to skyrocketing crime rates and are being advanced in state legislatures by George Soros and other radical-left billionaires through their funding of advocacy organizations on both sides of the political aisle.

Threatening Public Safety through a Mass Jailbreak for Prisoners who Committed Murder and other Violent Crimes as Juveniles.

This bill creates the Texas Hydrogen Infrastructure, Vehicle, and Equipment Grant Program within the Texas Emissions Reduction Plan. The bill allocates up to $8 million for the Hydrogen program while also making a few other funding reallocations within the bill. Oppose is the Limited Government Position as while the bill does make some reallocations to offset some of the spending for the new program, the bill still creates yet another avenue for new spending and government interference in the marketplace. The free market - not government central planning - is the best mechanism to advance energy development. The state should instead eliminate the entire grant fund as well as take additional actions to reign in its out-of-control spending, as, when coupled with the over $185 trillion federal liabilities, represents the greatest existential threat facing this country.

Expanding Cronyism and Government Interference in the Energy Sector through a New Hydrogen Vehicle and Infrastructure Grant Program.

This bill prohibits localities from banning the construction or lease of an accessory dwelling unit (ADU), along with several other limitations. Localities must also approve or deny a permit to build an ADU within 60 days, and may only consider whether the proposal meets applicable codes and standards. Support is the Limited Government Position as this bill strengthens both property rights and helps combat overreaching zoning and land use ordinances. While some may argue this bill undermines "local control", our founding fathers only recognized three entities within the U.S. Constitution - federal government, state government, and the individual. It is not the role for any level of government to unduly infringe the rights of individuals, therefore making preemption measures, such as this bill, necessary.

Strengthening Property Rights by Prohibiting Localities from Banning or Regulating Accessory Dwelling Units (ADUs).

This bill creates the "Lone Star Workforce of the Future Fund" which provides grants to select public junior colleges, technical institutes, and nonprofits for workforce training programs. The bill allows the grants to be utilized for a wide range of purposes including staff salaries and curriculum development, with entities eligible to receive a grant of up to $15,000 per participant. Oppose is the Limited Government Position as the free market - not central planning by government bureaucrats - is best equipped to determine the most in-demand career fields and direct resources to the most effective training entities. This measure merely enriches government-favored entities (some which may be ineffective) while further increasing out-of-control spending.

Fueling Runaway Spending and Enriching Government-Favored Educational Entities through the Creation of the "Lone Star Workforce Future Fund".

This bill prevents state employees and officers from downloading or accessing TikTok or other applications declared by the Governor to pose a risk to the state, on state devices. Support is the Limited Government Position as the installation of such systems poses a significant and unnecessary threat to state and federal networks. Additionally, state employees should not be utilizing government equipment to access entertainment apps such as TikTok.

Strengthening National Security by Banning TikTok from Being Accessed on State-Issued Devices.

This bill prohibits home-rule municipalities from submitting any climate change charter to voters for approval unless the charter has been approved by the state legislature. This includes any rule or policy statement related to climate change or environmental impact. Support is the Limited Government Position as a number of state and local governments across the country have imposed "clean energy" mandates on utility companies which unnecessarily drive-up consumer costs in order to advance a politized environmental agenda. While some may argue this bill undermines "local control", our founding fathers only recognized three entities within the U.S. Constitution - federal government, state government, and the individual. It is not the role for any level of government to unduly infringe the rights of individuals, therefore making preemption measures, such as this bill, necessary.

Protecting Texans from Politicized Climate Change Agendas by Requiring Municipal Charters on Climate Change be Adopted by the Legislature.

The Raney amendment #2 to the education omnibus bill. This amendment removes the school choice provision from the bill which provides voucher-like educational savings accounts (ESAs). Each qualifying student would receive an ESA with $10,500 towards private or parochial school tuition. Oppose is the Limited Government Position as this amendment worsens educational outcomes for all students by blocking competition and a market in education, which encourages schools to provide the best education so they can attract parents to enroll their child and receive the associated funding.

John Lujan

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