Rising property taxes are something we all feel on an annual basis. These taxes have continued a painful increase for too long and our families are burdened with paying a property tax bill that sometimes feels like a second mortgage. Texans need meaningful property tax reduction, and this May we will vote on two constitutional amendments that if approved will provide tax relief. I was proud to co-author both of these proposals passed during the 2021 special sessions and will continue to advocate for additional property tax relief in the future.

The first item on the ballot, Proposition 1, allows for school property taxes to decrease year after year for homeowners who are disabled or 65 or older. This fixes an oversight from 2019 legislation that reduced property taxes but excluded these homeowners from this reduction because their tax rates were frozen.

Current law puts a ceiling in place for these taxpayers, and their school property taxes cannot rise above that for as long as they are in their home. However, the ceiling for these homeowners cannot be adjusted downward either. Proposition 1 fixes this error by adjusting the ceiling downward to reflect the new ceiling at the lower amount anytime tax rates are lowered.

The second proposition on the ballot, Proposition 2, makes a serious down payment on decreasing property taxes for all homeowners by increasing the homestead exemption from $25,000 to $40,000. This follows an increase in the homestead exemption, which I also co-authored and the voters approved in 2015, from $15,000 to $25,000. Just like in 2015, this increase in the homestead exemption will lower the amount of your home’s value subject to school taxes – the largest share of property tax bills.

If approved, Proposition 2 will save Texans over $350 million in 2023; a number which will only increase in subsequent years. These savings will be made up by the state and have zero effect on the funding for our schools.

Texas is blessed to have a strong robust economy to help cover these costs. However, we must also recognize that we were able to not only balance the budget but walk away with a surplus thanks to federal stimulus dollars provided in the American Rescue Plan.

I hope you will join me in supporting both of these overdue propositions and provide real property tax relief to Texans. You work hard to earn your money, let’s keep more of it in your pocket. You can vote early on these propositions from Monday, April 25th through Tuesday, May 3, and Election Day is Saturday, May 7th.

Senator Juan “Chuy” Hinojosa proudly represents the counties of Nueces, Jim Wells, Brooks, and Hidalgo (part). Senator Hinojosa currently serves as Vice-Chairman of the Senate Committee on Finance, Senate Committee on Jurisprudence, and the Senate Committee on Redistricting, and serves on the Senate Committees on Border Security; Criminal Justice; Natural Resources & Economic Development; and Transportation.

AUSTIN — Recently, the Texas Parks and Wildlife Commission (TPWC) approved a Local Parks Grant for the City of Robstown’s “Robstown Swimming Pool.” The City of Robstown received a $41,250 grant for the re-plastering and retiling of the swimming pool. This grant was a part of the $12.5 million awarded by TPWC to help create and enhance outdoor recreational opportunities. Funding for the Local Parks Grant comes from a portion of the state sales tax attributable to sporting goods and from the federal Land and Water Conservation Fund Stateside Assistance Program.

Senator Hinojosa issued the following statement:

“I am pleased that the Texas Parks and Wildlife Commission has approved a Local Parks Grant for improvements to the Robstown Swimming Pool. The funds will help the City of Robstown meet its recreational needs and improve the quality of life for their residents. Local parks are a vital part of creating a livable community. I applaud Robstown officials for applying for this grant and for their efforts in improving their community.”

Senator Juan “Chuy” Hinojosa proudly represents the counties of Nueces, Jim Wells, Brooks, and Hidalgo (part). Senator Hinojosa currently serves as Vice-Chairman of the Senate Committee on Finance, Senate Committee on Jurisprudence, and the Senate Committee on Redistricting, and serves on the Senate Committees on Border Security; Criminal Justice; Natural Resources & Economic Development; and Transportation.

Austin, TX – Senator Juan “Chuy” Hinojosa wants to remind Texans that the Texas Sales Tax Holiday on Emergency Preparation Supplies is coming up soon. Beginning Saturday, April 23 through midnight on Monday, April 25, Texans can purchase emergency supplies and hurricane-proofing materials without paying a sales tax.

This sales tax break is thanks to Senate Bill 904, which was authored and passed by Senator Hinojosa in 2015. Under this legislation, Texans will be better able to prepare themselves for severe weather events like winter storms, hurricanes, floods, and wildfires.

Senator Hinojosa issued the following statement:

“Sadly, in recent years natural disasters have become more and more frequent and intense across Texas. Due to climate change, these disasters are likely to continue and even worsen.

I was proud to pass legislation in 2015 that makes it easier for families across Texas to purchase the supplies necessary to be ready for any disaster their communities might face. I urge all Texans to have an emergency preparedness plan and ensure you have all the supplies necessary to keep loved ones safe during an emergency. Despite our inability to prevent disasters from occurring, we are able to be as prepared as possible.”

Tax free items include certain portable generators and hurricane shutters, as well as smaller emergency and storm preparedness items such as weather radios, rope ladders, smoke detectors, fire extinguishers, and first aid kits. There is no limit on the number of qualifying items you can purchase. A full list of emergency preparation supplies can be found on the Comptroller’s website:

https://comptroller.texas.gov/taxes/publications/98-1017.php

Austin, TX – The American Council of Engineering Companies of Texas (ACEC Texas) presented Senator Juan “Chuy” Hinojosa (D-McAllen) with the Champion of Infrastructure Award for his work on behalf of Texas engineering firms during the 2021 Texas Legislative Session.

The Champion of Infrastructure Award recognizes elected officials who support the engineering community by promoting policies that encourage infrastructure development and create a fair, business-friendly environment in the State of Texas. The award recipients are chosen by the members of the ACEC Texas Public Policy Council (PPC).

Senator Hinojosa worked with ACEC Texas and several stakeholders in the design and construction industry to pass legislation that would uphold our laws on the appropriateness of energy savings performance contracts (ESPC) and remove unintended loopholes in procurement statutes to protect the public.

“Prior to the legislative session, there were instances of ESPCs being used in ways outside their original intended purpose, which unfairly altered the public procurement process,” stated ACEC Texas President Peyton McKnight. “Senator Hinojosa recognized this problem and worked with stakeholders to pass legislation that would enforce EPSC laws as originally intended and close loopholes to prohibit abuse of these contracts.”

“I’m honored to receive the Champion of Infrastructure Award from the American Council of Engineering Companies of Texas,” said Senator Hinojosa. “Our engineers play a key role in building infrastructure, creating jobs, and growing our economy and our state. I look forward to continue working with ACEC Texas and supporting legislation that protects taxpayers and keeps Texas strong.”

ACEC Texas is the business association of Texas engineering firms. The organization is committed to advancing the private practice of consulting engineering, enhancing markets for private engineering services, educating the public on the importance of infrastructure investment, and promoting sound business practices within the industry and its client base.

On March 29, 1973, the last remaining members of the United States armed forces withdrew from Vietnam and returned home. To commemorate this day, in 2009, I passed legislation to designate March 29 as Texas Vietnam Veterans Day. Eight years ago, on this day, we dedicated the Texas Capitol Vietnam Veterans Monument to welcome home our Texas Vietnam Veterans. This beautiful monument on the northeast grounds of the Capitol honors the loyalty and the courage of those Texans who served in Vietnam.

The Vietnam war was a controversial and unpopular war, where over 58,000 American soldiers lost their lives, and many others were MIA or POWs. It was a war that we as a country did not understand. We often confused its unpopularity with the courage and valor of our soldiers. Because of this, many of us never felt welcomed upon our return home to our own country.

Many of us Vietnam Veterans, still remember the rice paddies and jungles of Chu Lai, Da Nang, Huề, Khe Sanh, and of course Saigon to name a few. Every day of my life as I enjoy my freedom, I am grateful and reminded of my fellow Marines in Vietnam. In Vietnam, we created a family away from home. We were all Americans; we were united. We stood together ready to fight and die for our country — our freedom. We were all the same despite our different races, religions, backgrounds and cultures, and states of residence. We were all the same then, and continue to be the same now. We understood that our diversity represented what makes our country a great nation — The United States of America!

But who were these soldiers in Vietnam? Many of us were volunteers, and many were drafted without a choice. Many were taken away from their families to fight a war in an unknown place. Those soldiers were us — our brothers and sisters, our fathers and mothers, our neighbors, and our friends. They courageously answered the call to serve our country, and many died for our freedom and the freedom of others. Vietnam taught our country a lesson, one that I hope we never forget — and that is — always honor and respect our soldiers, their sacrifice and courage, whether fighting in Afghanistan, Iraq, Vietnam or other wars. Throughout our nation’s history, it is our servicemen and women and their families who sacrifice and stand committed to defend our country.

This Texas Vietnam Veterans Day, I hope you join me in honoring our Texas Vietnam soldiers and remember the 3,417 Texans who lost their lives in Vietnam. I will be remembering all my fellow servicemen including three of my high school classmates: Jesus Martinez, Walter Merle Langford, and Leonel Buntello. I hope that as long as we honor and remember our soldiers’ sacrifice, they will always be with us in memory and spirit.

Semper Fi. God Bless our country.

Senator Hinojosa proudly co-authored House Concurrent Resolution 36 during the 79th Legislative Session in 2005 authorizing a Vietnam Veterans War monument on the Capitol grounds. Senator Hinojosa then worked to secure funding through a legislative rider in 2011 by obtaining a $500,000 matching grant towards the installment of this historic monument. 

Finally, Senator Hinojosa passed legislation in 2009 to declare an official day of recognition specifically for Vietnam Veterans. On March 29, 1973, the last remaining members of the United States armed forces withdrew from Vietnam; thus, March 29 has been declared “Vietnam Veterans Day.”

CORPUS CHRISTI, TX — Today, Senator Juan “Chuy” Hinojosa received the Gold Star Award from the Texas State Aquarium, its highest honor, in recognition of his contributions to the Aquarium over the past several legislative sessions.

As Vice Chair of Senate Finance, in 2015 Senator Hinojosa was able to help the Aquarium receive $9 million for the Caribbean Journey expansion, which nearly doubled the Aquarium’s indoor exhibit space. Along with the Coastal Bend delegation, he then helped build on this investment in 2019 by securing $500,000 for the construction of the Aquarium’s new Wildlife Rescue Center. The delegation continued their support for the Aquarium this session by obtaining $500,000 for the operation of the Rescue Center and a dedicated $3 million for the Aquarium’s Wildlife Research with federal stimulus dollars passed by the Biden administration.

Senator Hinojosa issued the following statement:

“The work done by the Texas State Aquarium is nothing short of amazing. We all saw the incredible impact they had during Winter Storm Uri in helping protect and rehabilitate sea turtles, but their impact on our community has not stopped there. Their new state-of-the-art Rescue Center will both provide life-saving care to coastal wildlife and educate veterinary students.

Beyond the direct impact the Rescue Center will have on wildlife, it is also a teaching tool for visitors to learn about what they can do to protect our birds and sea life. Thousands of people visit the Aquarium every year and have the opportunity to learn about coastal wildlife and understand our role in preserving and protecting this critical ecosystem.

I am honored to receive this recognition from the Aquarium, but the true honors belong with those doing this important work for our community. I will continue to advocate for the Aquarium to ensure they are able to maintain their critical contributions to our Coastal Bend community.”

Austin, TX — Today, Lt. Governor Dan Patrick announced new interim assignments for multiple Senate committees which include the appointment of Senator Juan “Chuy” Hinojosa as Vice Chair of the powerful Senate Finance Committee.

Senator Juan “Chuy” Hinojosa issued the following statement:

“I am honored that Lt. Governor Patrick has entrusted me with the important responsibility of serving on the Senate Finance Committee as Vice Chair. I look forward to re-joining this committee and working with Chair Joan Huffman and the committee members to meet the financial needs of our state while keeping taxes low to benefit our Texas families and ensure our state’s continued prosperity.

Texas has the 9th largest economy in the world and despite the ongoing COVID challenges, our revenues have continued to outperform expectations. That said, we will continue monitoring situations around the world, inflation, and supply chain issues that can change our budget outlook at any time.  

I am fully committed to using my experience and knowledge of the budget process to continue prioritizing funding for education, health care, infrastructure, public safety, growing our economy and creating jobs. I will also continue advocating for and ensuring the needs of South Texas are put at the forefront of critical discussions and negotiations.”

Senator Juan “Chuy” Hinojosa proudly represents the counties of Nueces, Jim Wells, Brooks, and Hidalgo (part). Senator Hinojosa currently serves as Vice-Chairman of the Senate Committee on Jurisprudence and the Senate Committee on Redistricting, and serves on the Senate Committees on Border Security; Criminal Justice; Natural Resources & Economic Development; and Transportation.

Austin, TX — On March 10, 2022, the Texas Tribune reported that employees of The Refuge, a state-contracted facility located in Bastrop, TX, charged with caring for female foster children who are victims of sex trafficking, were found to be abusing and trafficking the same children in their care. Reports allege that multiple children suffered from sexual and physical abuse, neglectful supervision, and medical neglect.

According to the article, an employee of the Refuge originally reported the abuse to the Texas Department of Family and Protective Services on January 24, 2022, but the children were not removed until five weeks later.

Senator Hinojosa issued the following statement:

“This is infuriating and unacceptable. Our children are our most precious gift and should never undergo this type of abuse. I’m pleased the Texas Rangers will be investigating and pursuing charges against any suspect involved in this matter. However, this should not stop there. For a facility to subject already-victimized children to further abuse and trafficking is absolutely repulsive, especially after the Legislature has dedicated nearly $120 million over the past two session for prevention, investigation, and prosecution of these very activities. We must have a legislative hearing at the appropriate time to discuss this issue, hold those responsible to account, and work to prevent this from happening again.”

Austin, TX — Today, Lieutenant Governor Dan Patrick appointed Senator Juan “Chuy” Hinojosa to the newly created Border Security Committee. The committee will oversee the funding and policies of Texas’ effort to secure the Texas-Mexico border. The members of the committee will work closely with Governor Greg Abbott’s office, the Texas Department of Public Safety (DPS), the Texas National Guard and other state agencies.

Senator Hinojosa offered the following statement regarding his appointment:

“I appreciate Lt. Governor Dan Patrick appointing me to the Border Security Committee. It is important to have someone on the Committee from the border who understands the challenges we are facing. As a lifelong border resident, I am proud of our border communities, culture, thriving economy, and proximity to Texas’ number one trading partner, Mexico. However, we cannot ignore the challenges we face along the border such as human trafficking, stash houses, drug smuggling, damages done to fences along our ranches and farms by smugglers, and the large number of immigrants seeking asylum in our border cities that stretch public, private, and non-profit resources to the limit. Responding to these challenges requires cooperation, coordination, and consultation between our local, state, and federal partners to work together to keep our communities safe.

For these reasons, I have supported funding and legislation that strengthens our border security efforts without harming our businesses, our relations with Mexico, and that allows our region to continue to thrive. While this is a federal issue, we the state, cannot turn a blind eye to the federal government’s inadequate response. As a state, we cannot just throw up our hands and give up and ignore the problem. It is also our responsibility to protect our communities.

I do not support open borders. As a nation we have the right to define and defend our border. A country that fails to secure its border ceases to be a nation. We also have the right to know who comes into our country to keep our communities safe. I look forward to working with Lt. Governor Patrick, Chairman Brian Birdwell, Chairman Bob Hall, the Governor’s office and our state agencies to provide oversight of our border security funding and monitor implementation of our policies.”

Senator Hinojosa, while vice chair of the Senate Finance Committee from 2009 to 2020, was instrumental in securing the following border security items for South Texas:

• Created the Texas Transnational Intelligence Center (TTIC) & the Texas Anti-Gang (TAG) Center in McAllen.
• Established the Regional Center for Public Safety Excellence at South Texas College.
• Created a Texas Ranger Company focused on border crimes.
• Enhanced funding for the Border Prosecution Grant Program.
• Provided Funding for Local Law Enforcement Agencies for border security efforts.
• Worked with TABC to establish the Special Investigation Unit to combat human trafficking and money laundering along the border and in our state.
• Built and expanded a hangar at the Edinburg airport to stage border security equipment.
• Millions in funding for law enforcement equipment: Pilatus aircraft; Marine vessels; Helicopters.

An ongoing federal investigation has recently revealed that energy savings performance contracts (ESPCs) were being used to make kickback and bribe payments to local elected officials in western Hidalgo County. The wide-ranging investigation involves Performance Services Inc. (“PSI”), an Indiana-based company that convinced these local governments to borrow millions for “energy savings” projects. The investigation came to light after five local governments and more than a dozen public officials or companies affiliated with them received federal grand jury subpoenas in May 2021. As the FBI continues its investigation, federal prosecutors already secured the conviction of a La Joya ISD trustee who admitted to receiving more than $234,000 in kickbacks.

ESPCs have been abused in other ways. This past session, I passed House Bill 3583 that begins to address the misuse of ESPCs. Recently, there have been instances where local governments used ESPCs as a back door for no-bid contracts to circumvent procurement statutes related to public works projects. ESPCs were being inappropriately expanded beyond their original scope to build unrelated facilities and structures.

Understanding this type of procurement misuse requires some background of how ESPCs are formed. Often times, the idea of using an ESPC comes from construction contractors or service companies with the pitch to local officials that they are losing thousands of dollars in energy costs and that the solution is an ESPC. Although ESPCs are often thought of as a financing mechanism, ESPCs are more accurately characterized as a construction procurement method for energy, water, renewables, and resilient capital improvement projects that are paid for using money saved from improved energy efficiency and reduced operating expenses. Local governments obtain the services of companies like PSI using the same procurement method for the professional services of architects and engineers. State law prohibits the use of the more comprehensive procurement method used for construction projects which provides more regulation of bidding and transparency. This law, as it relates to ESPCs, needs to be changed.

The cost of ESPCs can be increased by millions of dollars by simply executing a “change order” proposed by the contractor. What starts out as a defined, narrowly focused ESPC project to address certain facilities may soon grow into a proposal through a change order to overhaul heating, ventilation, and air conditioning (HVAC) systems, lighting, plumbing, and water systems. Expanded project scope increases will result in an even larger financial burden to taxpayers if the promised savings fail to materialize.

HB 3583 partially addresses this problem. HB 3583 prohibits certain change orders to ESPCs and specifies that ESPCs do not include the design or new construction of certain water projects. The new prohibitions apply to counties, cities, and other political subdivisions of this state; but not to school districts. ESPCs were never intended to open the door to accruing massive public debt under the auspices of energy savings and undermining transparency and competition.

In practice, ESPCs may be based on “too good to be true” guarantees that fail to deliver the promised savings, leaving taxpayers on the hook for expensive construction-related projects. Government entities commonly enter into lease-purchase agreements (“LPAs”) with the service company to finance the upfront costs of the ESPC. LPAs create a problem because LPAs are also a debt instrument that does not require an election seeking taxpayer approval. Entities can often avoid voter referendums by treating LPAs as “off-balance sheet” transactions if the LPA includes the right clauses. PSI has contracts with the City of Mission in 2021, La Joya ISD in 2017, and Agua SUD in 2018. La Joya agreed to borrow a total of $44 million for their two-phase project, Mission agreed to borrow nearly $17.3 million for their project, and Agua SUD’s ESPC project reached $11.5 million.

Considering the FBI’s ongoing investigation, I will continue to study the procurement method of ESPCs and the lack of oversight of local governments and school districts using ESPCs. Unlike ESPCs for state agencies and institutions of higher education, there is no state agency providing guidelines and approving contracts to verify that ESPCs contain the required amount of guaranteed savings. I will also look into extending the change order limitations established under HB 3583 to school districts. Eliminating this loophole, which poses significant financial and operational risk, should be applicable to all governmental entities.