87th Legislative Session Update

On Monday, the Texas Legislature adjourned the 87th Regular Session. Since we only meet for 140 days every-odd numbered year there are always many issues to address. We started this session in January to address the impact the Coronavirus pandemic had on our economy, our schools, our healthcare system, and our workforce. Tackling these issues was the top priority. Then, in February another crisis hit our state. Winter Storm Uri shut down much of the electric grid causing the death of hundreds of our citizens. This forced us to contend with yet another issue that had to be addressed.

We all know of the many challenges presented by the pandemic. Our top goal was to enact policies that would help us not just return to normal, but actually emerge stronger than before. We began by passing laws that help protect our local small businesses and keep their doors open. We also passed bills to strengthen public health, including measures that ensure adequate personal protective equipment during a public health disaster and streamlined information sharing between various levels of government to better coordinate response efforts and communicate with the public. Hopefully, we will never need to use these new tools, but should a public health threat like COVID-19 emerge in the future, we will be much better prepared to address it and prevent its spread.

In February, Winter Storm Uri revealed serious shortfalls in the Public Utility Commission and ERCOT’s management of our electricity grid. We were able to pass significant structural reforms to these entities, both in terms of management and physical infrastructure. Notably, both those generating the power and the gas companies that supply the fuel to make that power will have to appropriately weatherize their facilities. Further, the board that manages ERCOT will no longer be dominated by industry insiders. Instead, the board will be comprised of independent experts who are from Texas and have our interests first in mind. We also provided needed financial stability to ERCOT and providers within the market, which will help lower electric bills for consumers. Finally, we implemented improved coordination and communication both between regulators and the public so that we are able to better prepare for future weather events that might affect our grid. These are real changes that will help to ensure that the next time we face a storm like this, our grid will be ready and the people of Texas will be safe.

The state budget we passed this session will also help the state recover from the pandemic and the winter storm. The state’s $248 billion budget for the next two years fully funds the state’s commitment to the public education investments made by HB 3 during the 2019 session and includes the necessary funds for teachers to keep their pay raises. It also continues our investments in higher education and includes $1.2 billion for financial aid programs. The approved budget bolsters our healthcare workforce by increasing funding for graduate medical education by $48 million for a total of $199 million to maintain a 1.1 to 1.0 ratio for residency slots. It also strengthens our commitment to mental health services by including $8.4 billion in behavioral health funding. Transportation funding also remained a priority and $26.5 billion has been approved for highway planning and design, construction, and other purposes. What’s more, many of my other funding priorities for South Texas that I have included in previous sessions, are also in this budget.

This session we also passed House Bill 5 which will create a statewide plan to expand broadband access across Texas. With the passage of House Bill 4, we made telemedicine permanent making it easier for patients to communicate with their physician regarding preventive health and wellness, case management, and behavioral health services. Another important bill this session was HB 133 which extends coverage of women on Medicaid from 60 days to six months after childbirth. Texans will also be able to continue to purchase alcohol to go from restaurants with their food order. Additionally, we passed SB 1102 to establish the Texas Reskilling and Upskilling through Education (TRUE) Program to support workforce education, to get Texans back to work in high-demand occupations, and accelerate the Texas economic recovery.

While this was clearly a busy and productive session, we sadly fell short in some key areas — namely police reform and Medicaid expansion. After the death of George Floyd, police reform was expected to be a priority this session. However, few of the recommended reforms will become law. As a strong supporter of law enforcement, I voted for legislation that ensures police departments are not defunded in our communities and also supported and authored legislation that would have made our police departments more transparent and held bad police officers accountable. On Medicaid, Texas again missed out on an opportunity to leverage billions of dollars in federal funds by not expanding Medicaid. Despite the fact that the state would actually save billions of dollars if we expanded Medicaid, state leaders continue to refuse to use your tax dollars to help provide millions of Texans with health insurance and lower healthcare costs for everyone.

Lastly, this session we saw a persistent assault on democracy. In the aftermath of the events of Jan. 6, I thought we had finally learned the dangers of hyperpartisanship and come together to move our country forward. However, that was short lived as we saw bill after bill that restricted the voting rights of Texans, particularly those of color. The most significant of these was Senate Bill 7, which was crafted behind closed doors without the input of minority members of the legislature and would have created significant barriers to exercising the fundamental right to vote. We spent the entire session fighting this bill, including questioning its author all night about its harmful effects, but we were unable to block it in the Senate. However, the Democrats in the Texas House took the brave step of denying this bill from even getting a vote. There is no doubt we will see future voter suppression bills, but we will continue to fight and use every tool we have to prevent them from becoming law.

We know that the work of the 87th Legislature is not done. We expect to come back later this year for the redistricting process that will establish new political maps for the next ten years. We also have $16 billion in federal funds that have to be allocated, and Governor Abbott has already said we will have a special session to address election issues and bail reform. These issues affect everyone, so I encourage you to stay involved and make sure your voice is heard. Democracy only works if everyone participates.

Texas Legislature Unanimously Passes Senator Hinojosa’s Bill to Support Catastrophically Injured State Law Enforcement Officers

AUSTIN, TEXAS — Today, Senator Juan “Chuy” Hinojosa passed Senate Bill 1071 which will provide appropriate disability retirement benefits to state law enforcement officers who have been catastrophically injured in the line of duty. The bill will now be sent to Governor Greg Abbott for final approval.

The current benefit for an officer who is catastrophically injured in the line of duty is based on an amount equal to 100% of the officer’s average monthly compensation at the time of their injury. This amount is not sufficient to assist in the long-term financial needs of the officer and their families. The benefit also does not take into consideration what the officer might have earned had their career not been cut short.

SB 1071 will adjust the disability retirement benefit to an amount based on a monthly amount computed using the maximum salary authorized under the position classification salary schedule prescribed by the General Appropriations Act. It will also allow for adjustments from time to time, ensuring these officers and their families will always receive sufficient benefits even with changing inflation and cost of living.

Senator Juan “Chuy” Hinojosa issued the following statement:

“Law enforcement officers have very dangerous jobs and they take extraordinary risks every day to keep our communities safe. Senate Bill 1071 ensures that our state law enforcement officers whose lives have been permanently altered by a catastrophic injury in the line of duty get the financial support they need for their families. I appreciate DPSOA President Richard Jankovski for bringing this issue to my attention and for Lt. Governor Dan Patrick’s support to get this bill passed.”

The bill was sponsored in the House of Representatives by Rafael Anchia, Chairman of the House Committee on Pensions, Investments & Financial Services. If signed by the Governor, this bill will take effect September 1, 2021.

Senator Hinojosa Passes Bill to Ease Regulatory Burden Affecting Small Business Owners

AUSTIN, TEXAS — Senate Bill 424 by Senator Juan “Chuy” Hinojosa has passed the Texas Senate and the House of Representatives and will soon be on its way to Governor Greg Abbott’s desk for his signature. The bill ensures that small businesses across the state are given the opportunity to remedy a first-time regulatory violation before an administrative penalty is imposed.

In 2020, Texas had 2.8 million small businesses representing 99.8% of businesses statewide. These businesses employ over 4.8 million Texans and cover a wide range of industries.

Senator Hinojosa filed SB 424 following a recommendation made by the Office of Small Business Assistance Advisory Task Force which Senator Hinojosa created in 2013 and is within the Office of the Governor. The task force regularly produces reports highlighting issues that small businesses in Texas are facing, as well as recommendations for improvement. Their 2019 biennial report pointed out that many small businesses are unlikely to have compliance teams or resources available to ensure regulatory compliance, which can result in costly penalties and fines. This burden was only heightened during the COVID-19 pandemic when small businesses struggled to keep up with frequently changing regulation and rules.

Senator Juan “Chuy” Hinojosa issued the following statement:

“Small businesses are without a doubt the backbone of the Texas economy. We have seen how this past year the pandemic has affected small businesses and they need our support more than ever. Senate Bill 424 will allow a small business an opportunity to remedy a first violation before an administrative penalty is imposed by one of our state agencies. I look forward to Governor Abbott signing this bill into law in a few weeks.” 

The bill was sponsored in the House of Representatives by Todd Hunter, Chairman of the House Redistricting Committee. If signed by the Governor, this bill becomes effective September 1, 2021.

Jim Wells County and the Cities of Alice and Premont Among 81 Grantees Awarded Funding from the GLO

AUSTIN, TEXAS — Yesterday, the Texas General Land Office (GLO) announced that Jim Wells County and the cities of Alice and Premont were among the 81 recipients of flood mitigation funding through the Hurricane Harvey State Mitigation Competition. The three projects were awarded a total of $29.7 million to improve drainage infrastructure, benefiting a total of 8,725 residents. This will help alleviate future flooding and mitigate damage to roads, residential properties, and critical utilities.

The City of Alice was awarded approximately $6.9 million for the Virginia St. Area Drainage Project. This project will increase the resiliency of the existing drainage system in the Virginia Street area, which lacks adequate drainage structures to direct water away from homes. In addition, the project will reconstruct the existing streets, upgrade storm sewers, and will improve roadside ditches.

The City of Premont will receive $13.1 million for the Drainage Improvements and Flood Mitigation Project, which will increase the resiliency and capacity of the drainage system to allow storm water to flow off-site faster and be detained.

Jim Wells County was awarded $9.7 million for a mitigation project that will improve the drainage system in the Rancho Alegre and Alice Acres Census Designated Places (CDPs). The drainage project will hasten the flow of storm water runoff away from the CDPs, restore resiliency, and reduce the risk to public health and safety.

The GLO received a historic $4.3 billion allocation in Community Development Block Grant Mitigation (CDBG-MIT) funds from the U.S. Department of Housing and Urban Development (HUD) to mitigate against future damage from hurricanes, flooding and other natural disasters in repetitively damaged areas.

Drainage improvements are costly to local governments and large projects can cost tens or hundreds of millions of dollars. The 2019 Texas Legislature added another funding option with the creation of the Flood Infrastructure Fund (FIF) through Senate Bill 7. The new FIF program, administered by the Texas Water Development Board (TWDB), provides financial assistance in the form of loans and grants for flood control, flood mitigation, and drainage projects. As Vice Chair of the Senate Finance Committee and a co-author of Senate Bill 500 during the 86th Legislative Session, Senator Juan “Chuy” Hinojosa was instrumental in securing funding to start the FIF program through a one-time transfer of $793 million from the “Rainy Day” Fund.

Senator Hinojosa issued the following statement:

“The residents of Jim Wells County have been hit hard by multiple flooding events since 2015. The $29.7 million will go a long way to improve the drainage systems, upgrade storm sewers, and prevent future flooding. I am pleased the GLO has approved these three applications. I appreciate the leadership of the Jim Wells County Commissioners Court, the City Council of the City of Alice, and the City Council of the City of Premont for their hard work in completing the application for funds. I commend our public officials and their staff for identifying and securing this funding that will protect our residents and their property from future flooding events.”

Senator Hinojosa’s Response to Rio Grande Guardian Article on Water District No. 3

AUSTIN, TEXAS — The misleading article, “Valley Farmers Send Message to State Lawmakers: Leave McAllen Area Water Districts Alone,” written by Steve Taylor and published in the Rio Grande Guardian supports the existence of Hidalgo County Water Improvement District No. 3.  This makes sense, because the author of the article stayed in a District-owned home rent free for more than 2 years.  In reality, the hit piece serves as a distraction from decades of lack of accountability, transparency, and excess spending on the part of District No. 3 that has increased the cost to McAllen taxpayers.  A State Audit on the District clearly identified that the District has “a lack of financial controls; the absence of a formal, comprehensive master plan; noncompliance with procurement requirements; and noncompliance with certain requirements of the Texas Water Code.”

90% of District No. 3 falls within the City of McAllen.  The parts that don’t fall within the City of McAllen, including the landowners who actually support the bill dissolving District No. 3, will soon be better served by the McAllen Public Utility.  It’s important to remember that one of the farmers who testified against the bill in the Senate doesn’t even own the land where he farms.  In fact, the actual owner of that land supports the bill.  I look forward to those farmers and the City of McAllen getting water with better service at a better price with better management when District 3 no longer exists.

Below are additional responses to some of the statements in the article:

First

From the article:

Asked to respond to claims by supporters of SB 2185 that most of the raw water pumped out of the Rio Grande by HCWID No. 3 goes to the City of McAllen, Jones said:

“It does serve farmers. They (HCWID No. 3) are still delivering water almost daily to farmers. And the city gets its water piggy-backed for free. The district is not charging them any conveyance from the river to the city’s pump because it is all still being carried by the farmers’ water. It takes a certain amount of water to quote, unquote, prime the pumps from the canals to get the water from the river to the city. None of that is ever deducted from the city’s account and the city is not charged extra for that because they are also pushing water all the time to the farmers.”

Senator Hinojosa’s Response:

This is false.  HCWID charges McAllen for water at a dollar amount that is 80% more than it charges any other district it serves.  The District delivers water to ONLY a handful of farmers, who will be guaranteed protection in SB 2185.  OVER 90% of the District revenue received by the District is from the City of McAllen, not through service to farmers.  Brian Jones’ statements are misleading and false.

Second:

From the article:

Reporter Steve Taylor said, “Hinojosa claimed the author of this article is not qualified to report objectively simply because I lived briefly in a property owned by the water district. In exchange for rent, I provided security for the facilities located at a high-drug and migrant traffic area on the border. This commercial agreement was simply a matter of business and does not disqualify me from providing fair journalism. Further, Hinojosa and other members of the Texas legislature consistently take cash donations from business interests to promulgate laws that help those businesses, which would definitely be a conflict under Hinojosa’s implied definition in his note to this reporter.”

Senator Hinojosa’s Response:

Steve Taylor reporter previously stated publicly that he did NOT provide security, just informally “have a pair of eyes and ears there at night” on the property: “Othal (Brand) said it would be great for the Water District to have a pair of eyes and ears there at night, in case their equipment or vehicles got stolen or vandalized,” Taylor wrote. “But, there was no formal agreement for this. I am not a security guard in my spare time.”  Source here.

Further, Steve Taylor has now changed his tune about living for free in a District-owned home.  Previously, he said “for me and my family the key thing was having a safe place to live that offered maximum protection. I put my family first.” Source here. Now he’s saying it was “simply a matter of business.”  These two inconsistencies prove that Steve Taylor should not be writing about HCWID No. 3, because he has no more credibility as a fair and unbiased reporter.

Third

From the article:

Asked to respond to Hinojosa’s claim that farmers will be protected under his legislation, Jones said: “I agree that the bill says that but once it is turned over to a non-electable board, i.e., the city commission, then what is the recourse for the farmers when all of a sudden there are no penalties or provisions, no protections for any of the farmers to say they will continue to receive Ag water? There are no provisions in there for the day that they quit delivering water to the farmers.”

Senator Hinojosa’s Response:

This is false.  The McAllen Public Utility Board is elected separately from the city commission, which is also elected.

DSHS Awards COVID-19 Vaccination Grants to Corpus Christi-Nueces County Public Health District and Hidalgo County Health Department

AUSTIN, TEXAS — This week, the Texas Department of State Health Services (DSHS) announced a recent award to the Hidalgo County Health Department of $6,771,723 to bolster COVID-19 vaccination efforts. An award was also made to the Corpus Christi-Nueces County Public Health District of $18,073,609 for the same purpose. These funds can be used to increase COVID-19 vaccination capacity across the counties, including among high-risk and underserved populations, ensure high-quality administration of the vaccine, and ensure the equitable distribution of the vaccine.

Senator Hinojosa issued the following statement:

“Our South Texas county and public health leaders have been working tirelessly to ensure all of our residents are able to get vaccinated against COVID-19. I am encouraged by this award from DSHS as it will bolster the efforts in our community to get as many vaccines to those who want them as fast as possible. This is another step in our long path back to “normal” life. I am confident that together we will achieve the level of vaccinations to make that a reality soon.”

Senator Hinojosa’s SB 1334 to Provide Additional Financing Tools to Border Bridges Sent to the Governor

AUSTIN, TEXAS — Senator Juan “Chuy” Hinojosa’s Senate Bill 1334 has now been sent to Governor Greg Abbott for final approval before becoming law. This bill will give city and county owned toll bridges another funding tool to invest in our port of entry infrastructure. The Texas-Mexico border is a key contributor to the local, regional, state, and national economies of the U.S. and Mexico. Trade between Texas and Mexico has grown rapidly, increasing by 267 percent from $58 billion in 1994 to $213 billion in 2019.

This bill was filed after City of Pharr Mayor Dr. Ambrosio Hernandez met with Senator Hinojosa requesting assistance to address concerns from the Texas Attorney General’s Office regarding their ability to permit the issuance of bonds for assets that would be donated to the federal government. Currently, cities and counties are not permitted to issue bonds to invest in facilities, technology, or other infrastructure to donate to the federal government for port improvements.

“I appreciate Mayor Ambrosio Hernandez for his leadership and for bringing this issue to my attention,” said Senator Hinojosa. “We will recover our investments and more, by growing our economy, creating new jobs, and making the movement of people and goods at our bridges more efficient. This is a common sense bill that will help cities and counties that own bridges leverage their local dollars to expedite bridge projects which will strengthen our economy and the safety of our ports of entry.”

Mayor Hernandez also commented on the passage of SB 1334. “The city of Pharr prides itself on remaining proactive and innovative when it comes to infrastructure development at the Pharr International Bridge,” said Mayor Hernandez. “The bridge now crosses 65% of the nation’s produce imported from Mexico and over $36 billion in annual trade, and I am happy to see that our state leaders recognize that it is vital to continue prioritizing infrastructure needs for our port of entry.” He also added, “Senate Bill 1334 will allow for local government entities to invest in port of entry infrastructure that can provide greater efficiency of cross-border movement of people and goods and to better accommodate future growth. Specifically, I want to thank Senator Hinojosa and Chairman Canales, who represent our South Texas region on their respective Committees on Transportation, for sponsoring this bill and getting this done for our border communities.”

This bill was sponsored in the House of Representatives by Terry Canales, Chairman of the House Transportation Committee. If approved by the Governor, Senate Bill 1334 will take effect immediately.

TWDB Approves Funding for the City of Alton from the Flood Infrastructure Fund

AUSTIN, TEXAS — Today, the Texas Water Development Board (TWDB) approved a project application from the City of Alton for financial assistance through the Flood Infrastructure Fund (FIF) for the North Stewart Boulevard Drainage Improvement Project. The proposed project will also reduce flood risk, improve roadways and travel conditions, improve water quality, and reduce infiltration and inflow to the wastewater collection system during flood events.

Following the June 2018 storms, the City experienced flooding of roadways and structures that lasted for several days—resulting in several areas receiving between 10 to 15 inches of rainfall. The City qualified for a $2.975 million grant under the FIF equal to 35 percent of the total project cost of $8.5 million. The remaining 65 percent, equal to $5.525 million will be in FIF financing. The project’s foreseen completion is July 15, 2024.

The 2019 Texas Legislature passed Senate Bill 7, which created the FIF program to provide funding for flood mitigation projects. The FIF program provides financial assistance in the form of loans with an interest rate of 0% and grants for flood control, flood mitigation, and drainage projects. As Vice Chair of the Senate Finance Committee and a co-author of Senate Bill 500 during the 86th Legislative Session, Senator Juan “Chuy” Hinojosa was instrumental in securing funding to start the FIF program through a one-time transfer of $793 million from the “Rainy Day” Fund.

Senator Juan “Chuy” Hinojosa issued the following statement:

“The City of Alton has been proactive in addressing flooding problems over the past five years by seeking funding through our state programs. I appreciate the continued efforts of Mayor Salvador Vela and the City Commissioners to improve their flood infrastructure in areas that experienced severe flooding following the June 2018 storms. I commend the City of Alton for taking advantage of this great opportunity available under the Flood Infrastructure Fund program. The City and its citizens will greatly benefit due to these investments.”

Texas Gains Two New Congressional Districts

AUSTIN, TEXAS — Today, the United States Census Bureau announced the apportionment count based on the 2020 Census. This count revealed that Texas will add two new Congressional districts due to its rapidly growing population. This means Texas will now have 38 Congressional districts. Senator Hinojosa (Vice Chair – Senate Special Committee on Redistricting) issued the following statement:

“Today’s announcement affirms what we already know – Texas is growing rapidly. This is especially true among minority communities. While we do not have the demographic breakdown of Texas’ population growth, according to the State Demographic Center minority populations account for 83.6%, or 5 out of every 6 new residents.

I am confident that when the detailed data is provided later this fall it will confirm this rapid growth in minority communities, especially the Hispanic community. I have seen this growth first hand in the Rio Grande Valley and across the state, especially in urban and suburban areas.

The bedrock principle of our democracy is that we are fairly and adequately represented by our elected representatives. As such, when the new Texas Congressional districts are drawn, those districts should be located in the areas that experienced this rapid growth. That means communities like the Rio Grande Valley and large urban areas should increase their representation. But it is not enough to just draw the new districts in these areas; these new districts must be drawn to provide a meaningful opportunity for those minority communities to elect the candidates of their choice, as required by the Voting Rights Act. I am confident that if we strictly adhere to the requirements of the Voting Rights Act, we can arrive at a Congressional map that is fair and provides all Texans a true chance of having their voice represented in the halls of Congress.”

Senator Hinojosa Files SB 2185 to Dissolve Hidalgo County Water Improvement District No. 3

AUSTIN, TEXAS — Today, Senator Juan “Chuy” Hinojosa filed Senate Bill 2185 relating to procedures for the dissolution of the Hidalgo County Water Improvement District No. 3 (District). The bill is a local bill that sets forth an option for the City of McAllen to dissolve the District and upon dissolution would take over its obligations, rights, operation and responsibilities. The bill also contains safeguards to ensure that all current customers and farmers of the District continue receiving services. Further, the bill eliminates any flat tax paid by farmers if the District is dissolved.

Senator Hinojosa released the following statement on the filing of SB 2185:

“There is no greater waste of taxpayer money than the continuation of the Hidalgo County Water Improvement District No. 3. This irrigation district was founded in 1921 to provide water to serve agricultural interests, but now serves less than 10 active farmers. Its biggest customer is the City of McAllen, nearly 150,000 in population, which accounts for almost 85% of the District’s operating revenue. The District has outlived its purpose and simply serves as an expensive middleman driving up the cost of supplying water to citizens and businesses in the City of McAllen at nearly $1.3 million per year.

The District has a long history of mismanagement, as was as identified by the State Auditor’s Office in a report published in 2012. That report found that services were provided by businesses that were owned or operated by the individual who is both general manager of the District and president of the board of directors for the District. This is a conflict of interest and should not be permitted for any governmental entity. For too many years, this individual has used the District to financially benefit his businesses at the expense of the ratepayers in the City of McAllen. This must stop.

Not much improvement has been made in management and accountability since the audit in 2011 and some of those same issues persist today. The general manager and the board of directors continue failing in their responsibility to follow procurement policies for contracts and remain inconsistent with handling matters regarding potential conflicts of interest. In 2019, the annual audit of the district again identified issues with procurement. The auditors found several purchases without written approval.

After reviewing the finances of the District, I am not surprised to learn that the expenses of the District continue to exceed the revenue. What’s more, in addition to paying for water supply, the McAllen taxpayers in 2019 paid more than $500,000 to the District for crossing fees and higher than market value for purchase of easements.

Year after year the citizens of McAllen support an obsolete, burdensome, and unnecessary layer of government. The Hidalgo County Water Improvement District No. 3 has outlived its purpose, lacks proper oversight, and is an unnecessary waste of taxpayer funds. It is time to dissolve it and transfer the operation to the City of McAllen.”