This Legislative Session is starting to feel like a normal session after a really slow start. Most of our Chamber legislative priorities are moving along:
1. Chapter 313 reauthorization, which will permit school district to continue to participate in tax incentives to support economic development, looks like it will pass in some form. There is a negotiation ongoing between school districts and business associations which threatens to scuttle the 313 reform package which we support. There is also sentiment in the Senate to eliminate alternative energy generation from the allowable list of activities. Chapter 313 will be reauthorized, but in what form we don’t know yet.
2. HB3, the education funding bill from last session, looks like it will be fully funded for the next two year budget. Fully funding education has been made a condition of drawing down $18 billion of federal funds for schools. That’s motivation.
3. There is a bill on the House floor today that is an HB3 “Clean-up” bill. It is expected to pass.
4. Texas is about to join the rest of the country with a plan to make broadband available everywhere in the state. (We are one of six states without a plan.) We won’t know until the budget passes if there is any money to activate the plan. Stay hopeful.
5. Transportation funding is not getting much play. We support 5 bills, three of which are slowly moving but all will probably run out of time in this session.
6. Texas has been getting about $5 billion in federal healthcare funds through a federal 1115 waiver program. It is set to expire next year. The Trump administration extended it for 10-years. The Biden administration cancelled the extension. There is significant financial incentive for Texas to finally expand Medicaid in some form. Look for a special session.
7. Covid protections for businesses to prevent frivolous lawsuits is moving through the Senate and expected to pass and go to the Governor this session. A bill to protect businesses from a giant increase in unemployment tax next year is moving quickly toward the Governor’s desk as is a bill to exempt PPP loan forgiveness from the Franchise Tax.
8. Three bills to provide funding for upskilling and reskilling displaced workers are moving. Two of the bills would provide training for 30,000 adults with the goal of getting them employed within 6 months. We are supporting all three.