Moving right along.
Although the Texas House & Senate have only been in session for 10 days, they have already started work on the one thing they are constitutionally required to do during a legislative session: pass a budget for the next biennium of 2026 & 2027 – which cover school years 2025-26 and 2026-27. Both chambers filed their 1,083-page version of a budget for the state (Senate Bill 1 & House Bill 1) with property tax relief as the first item of business. Remember: the first version of the budget is just a starting place and will likely change before the end of the session.
Below is a brief and partial summary of where the money will go related to education:
PROPERTY TAXES
- Both the House and Senate have budgeted $51.0 billion for the 2026–27 biennium to maintain the property tax relief that was provided in previous sessions. Note: property tax relief funding is part of the education budget and as such appears as an increase in education funding. However, the funds are earmarked to maintain lower property taxes and are NOT new funds for public schools.
- Recommendations for new property tax relief include:
House $3.5 billion and Senate $3.0 billion provide for additional property tax relief contingent upon the passing of legislation.
The Senate provides property tax relief via increasing the homestead exemption from $100,000 to $140,000 and $150,000 for seniors, while the House provides property tax relief via further reducing (compressing) the school M&O (Maintenance & Operating) property tax by 6.8 cents.
EDUCATION FUNDING (2026 & 2027)
- $1.7 billion to fully fund requirements in current law for increased student population.
- $4.85 billion for increased public education funding, contingent upon passage of legislation to allocate those funds.
- The Senate specifies funding from this increase to provide a $4,000 teacher salary increase (includes counselors, nurses and librarians) and rural teachers would receive an additional $6,000.
- $400.0 million to increase the school safety allotment, contingent upon passage of legislation to allocate those funds.
- $1.0 billion for a new Education Savings Account program (vouchers) – to begin in school year 2026-27, contingent upon passage of legislation to set up such a program. (Note: maintaining this program for the next biennium in the 90th legislative session would cost $2.0 billion.)
Here are two recent news articles with additional information on the proposed budget:
Here’s how Texas may spend $150 billion in tax money
Texas budget writers prioritize school vouchers, teacher raises and border security in first drafts
Legislative Corner will be published periodically throughout the 89th legislative session. For more information about RISD’s legislative involvement, please visit the legislative page here. Other resources include Texas Legislature Online (TLO) – find legislation (bills), committee hearings, legislative member info, and more; The Quorum Report – sign-up for “Daily Buzz” or a listing of political news articles; Texas Tribune – online daily news, also a data dashboard for education.
