The Austin region invests in quality of life that makes it attractive to people and businesses.
Policy and Advocacy Team communications aim to provide OA Investors and stakeholders with greater transparency and opportunities for involvement in the public policy making process, helping advance the quality-of-life goals for the Austin region.
AUSTIN CITY BUDGET UPDATE AND A NEW SPECIAL SESSION
The Legislature’s second called Special Session gaveled in on August 15th. Five days later, the House passed the Congressional redistricting maps at the center of the political upheaval during the first called session. Since then, a handful of bills related to disaster preparedness and easing permit requirements for dams addressing erosion, floodwaters, and sediment control have passed both chambers. About a dozen other bills have passed one chamber and are moving through the process.
Affordability Under Pressure
The Legislature’s first called Special Session is coming to an end more quickly than expected due to political gamesmanship. The issues in the House are well documented in national news. Less reported is some of the work the Senate has done, passing numerous disaster relief and preparedness items for the July 4 floods, a bill to further limit the annual increase in local government budgets without voter approval, a redistricting map, and other items on the Governor’s 18-item special session call.
Session recap
With the conclusion of the 2025 Legislative Session on June 2, Opportunity Austin is pleased to celebrate several key wins and is already looking ahead to how recent policy decisions will shape economic development and business activity across the region. Planning is now underway for the interim period leading up to the next legislative session in 2027, with a focus on proactive and strategic advocacy. As with any session, not all priority items made it to the governor’s desk. However, several significant pieces of legislation did pass and are expected to positively impact our region’s economy. Overall, Texas—and the Austin region in particular—remains in a strong position for continued economic growth.
What’s Passed, What’s Pending
May 15th marked the deadline for the House to pass House Bills. Any “HB” that didn’t get passed by the House and doesn’t have an “SB” companion is effectively dead for the session. With just two weeks left in the session, several other deadlines are approaching. Many of the bills OA has supported have made good progress, while others, including one notable priority bill, ran out of time and will have to wait until 2027. Meanwhile, SB 1, the state budget, remains in Conference Committee as negotiators work to reconcile the House and Senate versions. The Senate has also yet to pass the supplemental budget (which addresses cost overruns from the previous session’s budget). With critical decisions still in play, Opportunity Austin will remain engaged until the final gavel falls.
94th legislative day
The end of session is just 46 days away. While the legislature has now appointed a conference committee to negotiate the final budget, attention can turn to other important legislation. OA continues to push for action on priority bills like the R&D Tax Credit, critical workforce development programs, JETI reform and other issues that advance economic development in the region. Meanwhile, we are entering the phase of session where unrelated and good bills will become victim to political grievances. With the Easter holiday this weekend, time is dwindling rapidly.
OA DAY AT THE CAPITOL
Opportunity Austin is maintaining strong momentum this session, recently hosting our first-ever OA Day at the Capitol, where more than 40 investors joined us to meet with legislators and share the region’s economic development story. In addition to advancing key bills like the R&D Tax Credit reauthorization and the Texas Future Fund, we’re actively supporting a broad array of education and workforce policy aimed at aligning talent pipelines with the demands of industry.
R&D Tax Credit Reauthorization
The bill filing deadline has passed, bringing the total number of substantive bills filed this Session to 8,901—5,794 in the House and 3,107 in the Senate. The March 14th deadline also marked the end of the 60-day constitutional waiting period to consider non-emergency legislation. In other words, we’re officially off to the races.
Opportunity Austin continues to maintain a strong presence at the Capitol, advocating for our legislative priorities. We are also working closely with our regional partners to ensure their needs are represented on key issues, including facilitating opportunities for them to testify in front of legislative committees.
Infrastructure and Power Needs
In the last few weeks, the legislature has picked up momentum. The House committees have begun meeting and hearing bills, the Senate has passed several more items, including some significant changes to the Texas Lottery Commission and the creation of a new Dementia Prevention and Research Institute. With the March 14th bill filing deadline fast approaching, legislative activity is ramping up. Meanwhile, Governor Abbott announced the state’s fourth economic development agreement under the new JETI program, which was passed as HB 5 last session.
Action Picking Up Quickly
Nearly three weeks after the Governor’s State of the State address, the Senate has passed three of his emergency items: school choice, property tax relief, and bail reform. On Thursday, Feb. 13, the House finalized committee assignments, with OA’s delegation members well positioned to represent the region in key areas, including workforce and economic development, higher education, and appropriations.
Activity Ramping Up
Two weeks into the legislative session, and we have Senate Committee appointments, both budget bills have been filed (SB 1 and HB 1), and the Senate has also filed the Education Savings Account bill (SB 2). Budget hearings began this week in the Senate, while the House is awaiting Speaker committee appointments—typically expected in early February. Last week, the House adopted new rules, including the creation of three new committees, the abolition of seven, and a rule prohibiting minority party members from serving as committee chairs.
Introducing Advocacy Updates
As the legislature kicks off the 2025 session we will provide insights into the work our team is doing in the Capitol, City Hall, and elsewhere.
Wrapping up a successful 2024, which saw major wins like a new police contract and an Austin Energy generation plan that prioritizes reliability, we will keep you informed on our work by making our updates more frequent and providing more in-depth information on key policy issues of interest.