In the weeks before early voting, the Greater Houston Partnership will share essential information on key ballot initiatives impacting our region. This week, we focus on state propositions 5 and 6, which would allow Texas to invest in its higher education system and improve deteriorating water infrastructure. The 2023 Ballot On November 7, Texas will hold a statewide general election, allowing voters to decide on 14 to the state’s constitution. Since Houston will be the only major city in Texas conducting local elections, Houston voters will disproportionately impact the statewide results. In this general election, Texas could invest in its higher education system, improve deteriorating water infrastructure, expand equitable broadband access, and incentivize biomedical manufacturing and job creation. In addition, Harris County could receive much-needed funds to enhance and expand the Harris Health System. Proposition 5: Boosting Texas Universities with $3.4B Fund A strong college-educated talent pipeline is becoming increasingly important to attract the companies and investments that can power economies for decades. There are just two national top 50 public universities in Texas: The University of Texas at Austin (ranked 9th) and Texas A&M (ranked 20th). Consequently, Texas is ranked 23rd nationally in the number of students attending a top 50 public university.  With the goal of elevating other Texas universities to top-50 status and improving Texas’ competitiveness, the 2023 Legislature passed House Bill 1595 and House Joint Resolution 3, which will establish the Texas University Fund (TUF). The TUF is a permanent $3.4 billion research endowment that will appropriate up to $100 million dollars annually to four Texas public universities, including the University of Houston.  Why it matters: This historic investment will strengthen Texas’ higher education institutions by providing the necessary funding to improve Texas universities’ national rankings, which will help the state attract top talent and reduce “brain drain.” Additionally, it will allow Texas schools to compete for federal research grants, secure private research funding, drive increased alumni support, and position Texas as a top destination for premier higher education.   What’s next: Establishing the fund is contingent on voters passing Proposition 5. The Partnership urges support for the constitutional amendment creating the Texas University Fund, which will expand educational opportunities for all Texas students and strengthen the state’s economy. Proposition 6: One positive step toward addressing looming water challenges According to the most recent State Water Plan, the population in Texas is expected to grow by 73 percent from 2020 to 2070, while the water demands are projected to rise by nine percent. Meanwhile, the existing water supply is expected to decline by around 18 percent. The result would be a crisis-level water shortage of 6.9 million acre-feet per year by 2070. To address this need, the Texas Legislature passed a constitutional amendment to establish the New Water Supply Fund, the Texas Water Fund, and the Statewide Water Public Awareness Account and put dollars toward crumbling water infrastructure across the state. The measure will help address future shortfalls by enabling the state to take on new water infrastructure projects, thereby increasing access to water for residents.   What’s next: Establishing these funds and funding is contingent on voters passing Proposition 6. The Partnership urges support for the constitutional amendment creating the Texas Water Fund to assist in financing water projects in Texas. Important Election Information: Early Voting: Oct. 23 – Nov. 3 General Election Day: Nov. 7 Find more information on voting and polling locations. Find more information on each of these ballot measures supported by the Greater Houston Partnership at Houston.org/2023ballot.

During the final days of the session, House Bill 5 passes off the Senate floor and heads to conference, the budget moves one step closer to the Governor’s desk, and we take a look at Houston-specific bills passing the legislature. Economic Development Bill Clears the Senate Floor House Bill 5 was voted out of the Senate Committee on Business & Commerce on Sunday, paving the way for a vote on the Senate floor on Wednesday. The bill author, Charles Schwertner (R-Georgetown), accepted five amendments and the final measure passed with a decisive 27-4 vote.  What’s next: The Senate made significant changes to the version that passed the House earlier this month. We expect a conference committee to be named to work out the two versions. Following the work of the conference committee, each chamber must accept the conference committee report before the bill can head to the Governor’s desk.  The bottom line: Stakeholders have raised concerns about the changes made to the legislation, but all parties recognize the importance of creating a new school property tax abatement program. Without a new program, Texas will fall behind other states in landing large-scale, capital-intensive projects.  What they’re saying: During the committee hearing on Sunday, Senator Creighton (R-Conroe) emphasized the transformational change that comes when new and emerging industries decide to locate in local Texas communities: “If we’re going launch into a new phase of new economic development incentives… [we need to think about] the culture we want to create to really land these companies that will change lives forever for Texans.” House Bill 1 and Senate Bill 30 - The State’s Budget  The budget bill is the only bill the Texas Legislature must pass each session. This week, the two chambers struck a deal on a two-year budget for the State of Texas totaling $321.3 billion.  The Legislature entered this session with an unprecedented budget surplus. However, due to constitutionally mandated restrictions on spending, the Legislature had more money available than it could spend. The budget prioritized spending on tax cuts, colleges and universities, grid resiliency, broadband, and water infrastructure.  Houston in Focus: The budget deal includes $1.25 billion for flood mitigation and storm surge protection.  $625 million for the Flood Infrastructure Fund out of one-time General Revenue Funding.  $550 million for the Gulf Coast Protection District, with $350 million of the appropriation allocated to be used as state matching funds for the Coastal Texas Program.  $50 million for the Lake Houston Dam Improvement Project.  What’s next: After the Legislature passes House Bill 1, the General Appropriation Act, and Senate Bill 30, the Supplemental Appropriations Act, both bills head to the Governor’s desk, where the Governor has line-item veto power for budget items. The Governor’s veto period ends 20 days after the last day of the legislative session.  Houston in Focus: Bills Impacting the Region    Here is a look at several bills that have passed that will directly impact the Houston region:  Senate Bill 1057, by Senator John Whitmire (D-Houston), allows the City of Houston and Houston First access to funds for much-needed renovations to the George R. Brown Convention Center.  House Bill 3474, by Representative Jeff Leach (R-Plano), the state’s omnibus courts bill, establishes six new criminal courts for Harris County.  House Bill 2416, by Representative Dennis Paul (R-Houston), creates the Gulf Coast Protection Trust Fund. The funding will be used for flood infrastructure developments within the Gulf Coast Protection District (GCPD), including the Texas Coastal Program, better known as the Coastal Spine or the Ike Dike.  House Bill 1595 and House Joint Resolution 3, by Representative Greg Bonnen (R-Friendswood), establishes the Texas University Fund (TUF), a permanent endowment fund investing in four Texas public university systems. The University of Houston will receive as much as $50 million dollars annually from the Fund.  What’s Next: End-of-Session Report    Upon final adjournment, the Partnership’s Public Policy Division will send one final update with a link to a comprehensive end-of-session report.  The overview of outcomes will provide insight into key policy issues facing the greater Houston region and how the Partnership advocated for these priority areas during the 88th Legislative Session. We look forward to sharing our work with you.    During the 88th Legislative Session, the Greater Houston Partnership will provide a weekly update on newsworthy items from Austin. You can view more policy news and archives of our weekly updates here. Subscribe here to get our weekly legislative updates