Bill > HB265

This bill modifies the allocation of constitutional transfers to the economic stabilization fund (often called the "Rainy Day Fund"), the state highway fund, and the newly created Grow Texas fund. The bill establishes a mechanism for adjusting fund allocations if certain financial thresholds are not met, with provisions that change over time (current rules expire in 2042, with new rules taking effect thereafter). It also creates a new Grow Texas Grant Program, which will be administered by a commission and the state comptroller. Under this program, grants can be provided to fund infrastructure projects in areas significantly impacted by oil and gas production, including roads, schools, and health care facilities. The commission will establish eligibility criteria, grant guidelines, and application procedures, while the comptroller will manage the application process and monitor grant compliance. The bill is contingent on voter approval of a related constitutional amendment during the 2025 legislative session, and if approved, will take effect on September 1, 2027. The legislation aims to provide a structured approach to distributing state revenues and supporting infrastructure development in oil and gas-producing regions.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB265