AUSTIN, TX — Gov. Greg Abbott, Lt. Gov. Dan Patrick and House Speaker Dustin Burrows on Tuesday issued joint policy guidance directing state agencies and public higher education institutions to begin preparing Legislative Appropriations Requests for the 2028-29 biennium.
The guidance instructs agencies to reduce their base budget requests by 3% while preserving funding for key education programs and prioritizing affordability initiatives for Texas families.
State leaders identified four priorities for the upcoming budget cycle:
- Address affordability concerns for Texas consumers and homeowners.
- Require state agencies to reduce base spending requests by 3%.
- Protect funding for the Foundation School Program and the Texas Education Savings Account Program from any base budget reductions.
- Support teachers, continue property tax relief efforts and fully fund public education.
"Texas leads the nation with a strong economy and responsible governance that puts families first," Abbott said. "This guidance protects our historic investments in public education and teachers, delivers even more property tax relief, and makes the cost of living more manageable for Texas families through strict standards of efficiency and accountability from every state agency."
The governor's office said the guidance builds on actions taken during the 89th Texas Legislature, including teacher pay raises, investments in water infrastructure and healthcare innovation, and expanded property tax relief totaling $51 billion for Texas homeowners. Officials said those efforts also build on reforms established under House Bill 3 in 2019.
Patrick said the budget guidance is intended to maintain Texas' fiscal approach while supporting continued economic growth.
"As Lt. Governor, my goal is to ensure Texas remains the economic engine of America and the best place in the world to live, work, and raise a family," Patrick said. "The guidance provided to state agencies today will keep our state on a fiscally conservative path that guarantees we live within our means while continuing the Texas Miracle."
Burrows said reducing agency spending requests will help lawmakers develop a conservative budget while continuing investments in the state's priorities.
"While the rising cost of living continues to challenge families across America, Texas is protecting taxpayer dollars through fiscally conservative budgeting," Burrows said. "These spending reductions will provide the baseline for a conservative budget that prioritizes property tax relief and strategic investments to support our state's growth and keep Texas on solid footing."
The three leaders said they will work with state agencies and the 90th Texas Legislature to develop the 2028-29 state budget with an emphasis on fiscal responsibility, affordability and continued investment in public education.
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