Statement from Dean Senator Judith Zaffirini and Senator Juan “Chuy” Hinojosa Regarding Decision Not to Walk Out During Redistricting Debate

Yesterday, Governor Greg Abbott and Lt. Governor Dan Patrick issued statements indicating that the Senate and House will sine die on Friday, August 15, 2025, ending the First Called Special Session. Governor Abbott also announced that he would immediately call the Legislature back into session on the same day to begin the Second Called Special Session with the same agenda.

In light of the statement from the Governor and Lt. Governor, when Senate Bill (SB) 4, which changes the Texas Congressional district boundaries, was brought up for debate, 9 of the 11 Senate Democrats left the Senate Chamber. However, Dean Senator Judith Zaffirini and Senator Juan “Chuy” Hinojosa chose to remain in the chamber to cast a vote against SB 4.

Dean Zaffirini and Senator Chuy Hinojosa issued the following statement regarding their decision to stay in the Senate Chamber:

“We respect the decisions of the nine Democratic senators who left the Senate to support the House Democrats. By breaking quorum, 55 state representatives met their goal of preventing passage of the untimely, unfair Congressional redistricting bill and making it a national issue.

Having spent 45 days in New Mexico in 2003, however, we learned that quorum breaks can delay but not defeat this effort. Legislators cannot stay away forever, and the Governor will call as many special sessions as needed to prevail. Our greatest hope is at the courthouse, and the sooner we get there, the better.

We stayed in the Senate to question the author and to speak out in opposition. Most important, we made a record of voting against the bill. When it became obvious that redistricting would be argued anew during the second special session expected to convene on Friday, we reserved our right to raise questions and to make opposing statements at that time.”

Get Involved in the Redistricting Discussion…Again

Redistricting is one of the most important and partisan tasks legislators undertake every ten years, occurring after the completion of the federal census. With the last census in 2020, I had the privilege of serving as Vice Chair of the Senate Redistricting Committee in 2021, when we passed the current maps for congressional and state districts. The maps were designed to remain in effect for a decade until the next census in 2030. It is important to note that in 2021, Republicans controlled both the Texas House and Senate, as they do today. But now, under the current federal administration, we face partisan pressure to redraw our congressional districts.

Earlier this month, the U.S. Department of Justice sent a letter to Governor Greg Abbott and Attorney General Ken Paxton informing them that three districts in Houston and one in Fort Worth are deemed “unconstitutional ‘coalition districts’” due to their composition. Coalition districts are primarily made up of minority voters who often vote together.

During a federal lawsuit challenging the current maps, Republican leadership argued that the maps were drawn “race blind.” However, when Governor Abbott called for a special legislative session starting July 21 to redraw the maps again, in his proclamation he referenced the DOJ letter and stated that race had been improperly considered in shaping at least four majority-minority districts held by Democrats. Ironically, Governor Abbott approved this map when he signed Senate Bill 6 into law in 2021, the very legislation he now suggests is unconstitutional.

I voted against SB 6 because I believed the map undermined minority voting strength and lacked competitiveness. I proposed an amendment to SB 6 with the purpose of making Congressional Districts 15 and 34 more competitive, allowing candidates to campaign and persuade voters as to why they should be the Congress person representing them in the Rio Grande Valley.

At the time, my amendment was based on the vote percentages from the 2020 presidential election results with Congressional District 15, based out of Hidalgo County, being drawn with Democrats at 50.8% and Republicans at 48.2%. For Congressional District 34, based out of Cameron County, I proposed Democrats at 51.8% and Republicans at 47.1%, making both congressional districts extremely competitive. Unfortunately, Republicans opposed my amendment, citing potential negative impacts on political dynamics and increased litigation risks. As a result, the amendment failed along partisan lines with a 13-18 vote.

This is not the first time Republicans have modified maps in the middle of the decade to change the rules before an election. In 2003, when Democrats held a majority of congressional seats despite Republicans controlling the Legislature, then-U.S. House GOP Leader Tom DeLay pressured state lawmakers to abandon the maps drawn in 2001 and create new ones designed to help President George W. Bush and secure a Republican majority in Congress. However, this time, the situation is even more alarming. Republicans are redrawing maps created by fellow Republicans under direct pressure from the President of the United States, who aims to retain Republican control in Congress following the 2026 elections. This move is a clear expression of a raw political power grab.

The Trump administration is leveraging their influence to push for maps that serve their interest in the short term. They are using the DOJ to question minority “coalition districts” when according to the Texas Demographic Center, white residents comprise less than 40% of the Texas population, yet attempts are being made to draw a map that would allow white voters to dictate 28 to 30 of Texas’s 38 congressional seats. This maneuver not only risks further marginalizing minority voters but will also set the stage for lengthy and costly litigation that will burden Texas taxpayers for years to come.

Just like we did four years ago, it is important for the public to stay informed and engage in the redistricting process. Participation in the upcoming hearings is very important. We must voice our regional issues and concerns to the redistricting committees in the House and the Senate. The Senate Committee on Redistricting will begin public hearings on July 25, and, like in 2021, these hearings will be held virtually to allow public testimony via Zoom videoconference. The House Redistricting Committee will begin hearings on July 24 in Austin.

Engaging in these hearings or submitting written testimony is an opportunity for voters to express their views on the congressional maps. Each of us is impacted by the decisions made during this special session. We must speak up to ensure our voices are heard. Voters should elect their representatives, not representatives cherry-picking their voters.

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SENATE SPECIAL COMMITTEE ON CONGRESSIONAL REDISTRICTING REGIONAL HEARING DATES AND FOCUS AREAS

July 25, 2025 – 10am https://bit.ly/457XpuG

Regional focus: South and Central Texas including Bexar County, Travis County and the Rio Grande Valley regions

July 26, 2025 – 10am https://bit.ly/4mbxlFU

Regional focus: North Texas including the Dallas-Fort Worth region

 July 28, 2025 – 3pm https://bit.ly/4o2pR9Q

Regional focus: East Texas including the Harris County region

 July 29, 2025 – 9am https://bit.ly/40YGtoY

Regional focus: West Texas including the Panhandle and El Paso regions

Live streaming of the regional hearings is available here: https://senate.texas.gov/events.php

To submit written comments and attachments via the public-input portal, please visit the committee’s website at https://senate.texas.gov/redistrictingcomment/

Within a few days after conclusion of the regional hearing, a video archive of the hearing will be available at the following link: https://senate.texas.gov/cmte.php?c=660#vide

*All testimony is welcome at any hearing, regardless of the regional focus. Pursuant to Senate Resolution 5 (89th (1)), public testimony at these regional hearings will be by Zoom videoconference only. Details on how to register to testify appear in the publicly posted notice of each of these regional hearings.

QUICK LINKS

Who Represents Me?:

https://wrm.capitol.texas.gov/

View Proposed Redistricting Maps:

https://dvr.capitol.texas.gov/

View Redistricting Data:

https://data.capitol.texas.gov/

Learn More About Redistricting:

https://redistricting.capitol.texas.gov/

Senator Chuy Hinojosa Attends the Ribbon Cutting Ceremony for the New Bridge in Corpus Christi

On Saturday, State Senator Juan “Chuy” Hinojosa, and the Coastal Bend legislative delegation joined the Texas Department of Transportation and the community of Corpus Christi for the Ribbon Cutting Ceremony celebrating the new bridge. With a main span length of 1,661 feet and a total span length of 3,295 feet, this bridge is now the largest cable-stayed bridge in the United States, featuring towers that reach 538 feet— surpassing One Shoreline Plaza by over 100 feet. This impressive height makes it the tallest point in South Texas, capable of housing the old Harbor Bridge beneath it.

For more than two decades, Senator “Chuy” Hinojosa has been instrumental in working with TxDOT and local stakeholders to secure funding for the Harbor Bridge Replacement Project, which ended up costing about $1.2 billion.

Senator Hinojosa issued the following statement:

“It has been a privilege to be part of the process of replacing the Harbor Bridge from start to finish. This monumental undertaking was made possible through the collaboration of the port, industry leaders, the business community, government officials, and the dedicated citizens of Corpus Christi and the Coastal Bend.

I was honored to participate in the ribbon-cutting ceremony and celebrate with the Coastal Bend community. We broke ground on this $1.2 billion project nine years ago, and it was a special moment to be among the first to drive on the new bridge.

The completion of the new bridge complements the Port of Corpus Christi’s recently completed Channel Improvement Project, which deepened the ship channel from 47 feet to 54 feet and widened it from 400 feet to 530 feet. With a vertical clearance of 205 feet above water, the new bridge allows the Inner Harbor to accommodate larger vessels and tankers needed by port customers. As the nation’s leading oil exporter and the fourth-largest port by total tonnage, the Port of Corpus Christi is well-positioned for further growth.

Together, our community, along with our state and federal partners, has forged a legacy that will provide growth and opportunity for generations to come. The new bridge is not just a structure; it symbolizes our commitment to progress, prosperity, and a bright future for Corpus Christi. Just as the Harbor Bridge initiated our economic transformation, this new bridge will pave the way for even greater achievements ahead.

Today is the beginning of a new chapter for the Coastal Bend. As we move forward, let us continue to work together to build a prosperous future and ensure that the legacy of this new bridge reflects the strength and resilience of our community. Thank you to all who made this historic project a reality.”

A New Chapter for Corpus Christi — A Bridge for Progress and Prosperity

Since I took office as your State Senator in 2003, replacing the Harbor Bridge has been a top priority. Back then, we were still assessing the feasibility of a new bridge to replace the Harbor Bridge, which opened on October 23, 1959. While the Harbor Bridge improved traffic flow and allowed the Port of Corpus Christi to thrive by enhancing ship navigation, the city’s population had grown from about 167,000 to an estimated 277,000 by 2002. The “Napoleon’s Hat” bridge had ushered in an era of economic growth for Corpus Christi, but to sustain this growth and continue prospering, a new bridge was needed. The call for action was strong, yet the journey toward a replacement bridge required immense work and time.

In 2002, pushback from various stakeholders emerged regarding the need for a taller bridge, along with significant concerns about costs and funding. Over the next few years, TxDOT began engineering and environmental studies, initiating coordination with stakeholders to address these concerns.

By 2005, TxDOT and the Federal Highway Administration announced the project, but funding remained a critical issue. Several ideas, including managed lanes and toll strategies, were explored, but the project was put on hold in December 2007 due to funding constraints at TxDOT.

Despite this setback, the community remained committed to making this project a reality. In January 2009, I was appointed vice chair of the Senate Finance Committee, where I continued to push TxDOT leadership for action. In September 2009, we revived the project, and after two more years of planning, an agreement was reached with TxDOT that eliminated the need for tolling.

In early 2011, under the leadership of Texas Transportation Commission Chair Deirdre Delisi, TxDOT agreed to allocate $500 million for the bridge, contingent on our ability to raise $100 million in local matching funds. At that time, Corpus Christi faced an $11.5 million deficit and over $1 billion in necessary street repairs. Yet, visionary leaders from the city, including then-Mayor Joe Adame, Nueces County Judge Loyd Neal, and prominent business figures recognized the potential benefits for the community to replacing the Harbor Bridge and committed to making progress.

One of these leaders was Judy Hawley, former Chair of the Port Corpus Christi Commission, who recognized the bridge’s importance for our future. She played a key role in advocating for and securing the local matching funds, working alongside the Port of Corpus Christi, the Corpus Christi MPO, the City of Corpus Christi, and Nueces and San Patricio Counties to contribute funds or land.

In 2012, the Texas Transportation Commission reaffirmed their commitment during a visit to Corpus Christi. By 2013, TxDOT confirmed the funding needed to complete the project, and I made securing additional resources a priority. I successfully included the Harbor Bridge project in Senate Bill 1730, which authorized TxDOT to enter into a comprehensive development agreement, allowing for expedited development through a public-private partnership.

In June 2013, the Texas Transportation Commission committed an additional $601 million in state funding, making the project fully funded. In 2015, TxDOT selected Flatiron/Dragados, a joint venture, to lead the design and replacement project. On August 8, 2016, I had the honor of joining Governor Greg Abbott, Texas Transportation Commission Chairman Tryon Lewis, and other public officials at the groundbreaking ceremony. Fast forward to today, we now have a completed bridge. At the end of the project, due to unforeseen challenges and increased costs, the project ended up costing $1.2 billion.

The new bridge now stands as the largest cable-stayed bridge in the United States, with towers reaching 538 feet, surpassing One Shoreline Plaza by over 100 feet. This makes it the tallest point in all of South Texas, capable of housing the old bridge beneath it. The new structure addresses traffic, safety, and navigation issues and will significantly boost our regional economy.

The bridge will also enhance maritime traffic, complementing the newly completed Port of Corpus Christi’s Channel Improvement Project, which deepened the ship channel from 47 feet to 54 feet and widened it from 400 feet to 530 feet. Now, with a vertical clearance of 205 feet above water, the new bridge allows the Inner Harbor to accommodate larger vessels and tankers needed by Port customers. Given its status as the nation’s leading oil exporter and the fourth-largest port in total tonnage, the Port of Corpus Christi is well-positioned for even further growth.

This monumental undertaking could not have been possible without collaboration among the port, industry leaders, the business community, government officials, and the dedicated citizens of Corpus Christi. It has been a privilege to have been part of this process from the beginning to the end. I have been joined every step of the way by Texas House of Representatives Chairman Todd Hunter and former Representative Abel Herrero.

I extend my gratitude to all contributors, including Nueces County Judge Connie Scott and former Judges Loyd Neal and Barbara Canales; San Patricio County; City of Corpus Christi Mayor Paulette Guajardo and former Mayors Joe Adame, Nelda Martinez, and Joe McComb; Port of Corpus Christi Chairman David Engel and former Chairs Judy Hawley, Ruben Bonilla, and Charlie Zahn; the Corpus Christi MPO; TxDOT District Engineer Mike Walsh and former DE’s Chris Caron and Valente Olivarez; the Texas Transportation Commission Chairman J. Bruce Bugg, Jr., and former Chairmen Deirdre Delisi, Ted Houghton, and Tryon Lewis; Senator John Cornyn; Governor Abbott; and many others.

Together, we have forged a legacy that will provide growth and opportunity for generations to come. The new bridge is not just a structure; it symbolizes our relentless commitment to progress, prosperity, and a future that shines bright for Corpus Christi. Just as the Harbor Bridge marked the beginning of our economic transformation, this new bridge will pave the way for even greater achievements ahead.

A Mistake for Texas and Our Future

Column by State Senator Juan “Chuy” Hinojosa, June 2025

The recent decision by the U.S. Department of Justice to challenge Texas’ policy allowing Dreamers — undocumented students who came to the United States as children and have lived in our country, many for most of their lives — to pay in-state tuition is not just a bad legal move; it goes against the values we cherish as Americans. In a state known for its commitment to opportunity, growth, and strong values, we should be supporting our young people, not pushing them away.

Since 2001, Texas has been a leader by letting undocumented students access in-state tuition if they meet certain requirements. This policy, started by former Governor Rick Perry, has opened doors for thousands of students who contribute to our communities. At the University of Texas Rio Grande Valley (UTRGV), which I represent, this decision will take away affordable education from over 800 Dreamers.

The financial difference is shocking: at UTRGV, the cost for in-state tuition for one semester is $4,993.20, while the non-Texas resident tuition is nearly double at $9,913.20. For a whole year, in-state tuition is $9,986.40 versus $22,136 for non-Texas residents. This isn’t just a few dollars; it’s a real barrier for many families. If Dreamers lose in-state tuition, they will be treated like out of state students and will likely not be able to afford college.

The effects of this change go far beyond just these students. Taking away in-state tuition will keep many talented people from finishing their degrees or even attending college, hurting Texas in the long run. College graduates are important for our families and communities, and they help our economy grow, filling key jobs in areas like healthcare, education, and technology.

Research shows that ending in-state tuition could cost Texas about $461 million a year in economic activity—this includes $244.4 million in lost wages and $216.9 million in reduced spending. These outcomes will hurt businesses and communities across our state and weaken our economy.

Attorney General Ken Paxton claims this law is “un-American.” I strongly disagree. This policy reflects our commitment to hard work and the belief that those who contribute to our state deserve opportunities to succeed. Supporting education for these students is not only good for them but also for the future of Texas.

This decision weakens the community spirit that defines us as Texans. When we work toward a better future, we must lift each other up. Supporting in-state tuition for undocumented students aligns with our values and shows our commitment to a brighter future for our state. To do anything else would indeed be un-American.

89th Legislative Session Update

The 89th Legislature has finally adjourned. With only 140 days to address pressing issues every odd-numbered year, I take my responsibilities as a state senator seriously. Together with my colleagues, we worked to support our communities and strengthen the Texas economy. This session, I proudly passed 31 pieces of legislation, joint authored 111 bills that have been sent to the Governor, and secured millions in funding for important projects in the Rio Grande Valley and Coastal Bend regions.

When we began this session, key priorities were identified, including property tax relief, increasing teacher pay, and investing in water infrastructure. Governor Greg Abbott highlighted many of these as emergency items, while Lieutenant Governor Dan Patrick added focuses on dementia research, artificial intelligence issues, and bail reform. Additionally, I worked on bills that addressed the specific needs of cities and counties in my district.

Several notable pieces of legislation passed this session:

Budget Bills: SB 1, the General Appropriations Act, is the state’s budget for the next two years. The approved budget is a total of $338 billion in All Funds and includes $149 billion in General Revenue Fund (state) dollars. The budget prioritizes public education, tax relief, public safety, infrastructure, and improved taxpayer services for both individuals and businesses while also making important investments to maintain Texas’ economic competitiveness. HB 500, the Supplemental Appropriations Act, adds an additional $13 billion to the current budget. Both SB 1 and HB 500 include significant investments for projects in the Rio Grande Valley and the Coastal Bend.

Property Tax Relief: SB 4 increased the exemption for residence homesteads from $100,000 to $140,000 for school district taxation. SB 23 further increases the homestead exemption for disabled homeowners and those aged 65 and older by raising that exemption from $10,000 to $60,000 which amounts to a $200,000 homestead exemption. Additionally, HB 9 provided a $125,000 exemption from ad valorem taxation on tangible personal property held or used for income production to support economic growth. These property tax relief proposals are subject to voter approval in November.

Increasing Public School Funding: HB 2, a historic $8.5 billion in additional funding for public schools, establishes funding allotments for several educational programs, including a permanent salary increase for teachers and certain school employees, free pre-k for children of teachers, millions for school safety, funding for teacher literacy initiatives, and more. This legislation ensures millions of dollars are allocated to enhance educational services, improve teacher preparation, and support early childhood education.

School Discipline: HB 6 is a comprehensive reform to school discipline management to address classroom disruptions, emphasizing student safety and mental health support. Students facing in-school suspension still complete schoolwork in a different classroom on school grounds. The bill clarifies that those students must be under the supervision of faculty. The bill would allow schools to use out-of-school suspensions to discipline all students when they engage in “repeated and significant” classroom disruption. The bill includes expanding access to telehealth services and introducing virtual disciplinary programs, ensuring accountability and parental involvement.

Funding Water Infrastructure: HJR 7 proposes a constitutional amendment to dedicate $1 billion per year of sales and use tax revenues to the Texas Water Fund for 20 years, starting in the 2028-29 Biennium. This funding will be allocated among the program delivery funds supported by the Water Fund through statute or concurrent resolution. Senate Bill 7 is linked to HJR 7 and will allocate a minimum of 50% of the Water Fund’s constitutionally dedicated funding to the New Water Supply for Texas Fund (NWSTF) and the State Water Implementation Fund for Texas (SWIFT). Additionally, it will enhance legislative oversight of the Texas Water Fund, improve statewide coordination of water supply infrastructure for better interoperability, clarify that the NWSTF can finance water imports from out-of-state, prioritize specific rural projects, protect freshwater aquifers, and preserve local control over in-state surface water rights. HJR 7 would still require approval by the voters through an election in November.

Drainage Infrastructure: SB 1967, which I authored and passed this session, paves the way for important funding opportunities for flood mitigation projects. The definition of a “flood project” has been changed to include projects that control and repurpose floodwater and stormwater for drinking and other uses to be eligible for funding from the Texas Water Development Board Flood Infrastructure Fund. The new law also authorizes projects that contain a flood component to be eligible for assistance from the State Water Implementation Fund and the Water Supply Account within the Water Loan Assistance Fund.

Bail Reform: SB 9 introduced stricter regulations to enhance public safety in bail procedures. This legislation mandates detailed reporting for pretrial programs and integrates public safety data systems to better track outcomes. SJR 5 proposes a constitutional amendment to require that bail be denied pending trial to a person accused of certain felony offenses. SJR 5 would still require approval by the voters through an election in November.

Addressing Deepfake Content: SB 20 creates a criminal offense for the possession or promotion of obscene AI-generated materials that resemble children. This law addresses the emerging challenges posed by technology to protect our youth. The offense would be a state-jail felony (180 days to two years in a state jail and an optional fine of up to $10,000), except that the offense would be enhanced for repeat offenders. This session, I authored and passed SB 441, which strengthens enforcement against the creation or distribution of deepfake media that falsely depicts individuals in sexually explicit situations without their consent. The bill also enhances criminal penalties for repeat offenders and those who target minors. It also provides clear legal remedies for victims facing the emotional and reputational harm of this exploitation.

Dementia Research Fund: SB 5 established the Dementia Prevention and Research Institute of Texas to fund research on Alzheimer’s and other related disorders. SJR 3 proposes a constitutional amendment to establish the funding for DPRIT. If approved by the voters in November, $3 billion from the state’s general revenue will be allocated to fund research, prevention, treatment, and rehabilitation efforts related to dementia, Alzheimer’s disease, Parkinson’s disease, and related disorders. DPRIT will award grants, support research institutions, and oversee the proper use of funds to advance therapies and prevention programs in Texas.

Life of the Mother Act: SB 31 does not expand abortion access but clarifies when doctors can exercise their medical judgment regarding life-threatening situations related to saving a pregnant mother’s life.

Firefighter and Wildfire Support: SB 34 mandates a study to assess wildfire risk zones and creates a real-time database of firefighting resources to improve response efforts during emergencies. The budget approved during the session includes $257 million for the purchase and operation of aircraft for wildfire suppression, $192.3 million to address the backlog for Fire Department Assistance, $124.8 million to cover the use of firefighting aircraft, and $135 million to the Texas Division of Emergency Management for regional operations facilities and emergency response support.

Rural Health Stabilization and Innovation Act: HB 18, known as the Rural Health Stabilization and Innovation Act, would establish or make changes to several offices, programs, and services that administer or provide health care services to rural counties of the state. HB 18 would build upon existing programs and initiatives aimed at supporting rural hospitals while providing resources for critical areas, including rural obstetrics, pediatric behavioral health, financial training for rural hospital leadership, and rural collaboratives.

Homeland Security: SB 36 established the Homeland Security Division within the Texas Department of Public Safety to enhance coordination across agencies for border security and critical infrastructure protection.

These legislative victories, backed by millions in funding for our communities, reflect our commitment to the people of Texas. By working together, across party lines and communities, we can continue to address the needs of our citizens and pave the way for a brighter future. I am proud of what we accomplished this session and look forward to building on this progress during the interim and the next legislative session in 2027.

Statement from Senator Chuy Hinojosa on the Passage of State Budget Bills

On Saturday, May 31st, the Texas Senate approved the final version of Senate Bill (SB) 1, the General Appropriations Act (budget bill) for the 2026-27 biennium. This bill was authored by Senator Joan Huffman, Chair of the Senate Finance Committee. On May 27th, the Senate also approved House Bill 500, the Supplemental Appropriations Bill, also led by Senator Huffman. Both bills are now headed to Governor Greg Abbott for final approval. Senator Juan “Chuy” Hinojosa serves as the Vice Chair of the Senate Finance Committee.

Senator Hinojosa issued the following statement:

“I was proud to vote for Senate Bill 1, the state budget for the next two years. When we began the budget process earlier this year, the All Funds budget, including federal funds, was $332.9 billion. The budget we passed today has grown to $338 billion. This figure includes $149 billion in General Revenue Fund (state) dollars.

Our approved budget prioritizes public education, tax relief, public safety, infrastructure, and improved taxpayer services for both individuals and businesses while also making important investments to maintain Texas’ economic competitiveness.

Throughout the session, public education funding has been a top priority. This budget allocates an additional $8.5 billion to provide a much-needed permanent pay raise for teachers, librarians, janitors, food service staff, and other support personnel. SB 1 provides resources for school safety, makes significant investments in special education, and allows schools greater flexibility in utilizing increased funding from the basic allotment.

Property tax relief was another priority. This budget adds $10 billion from the introduced bill for property tax relief, bringing the total tax relief package to $51 billion for the upcoming biennium. These funds will allow for an increase in the homestead exemption from $100,000 to $140,000 for all homeowners, with an additional $60,000 exemption for homeowners over 65 and disabled homeowners, contingent upon voter approval of the constitutional amendments in November.

The budget also includes the following significant investments: $40 billion for the Texas Department of Transportation, $10.8 billion for higher education formula funding, $6.4 billion for the state contribution to the Teacher Retirement System, $5 billion for the Texas Energy Fund, $3 billion to establish the Dementia Prevention and Research Institute of Texas, $850 million for a Texas State Technical College endowment fund to support capital projects, $304 million for the Graduate Medical Education Expansion program, and $100 million for grants for farmers. These are just a few examples of the investments included in the budget.

In addition to SB 1, the Legislature recently finalized HB 500, the Supplemental Appropriations bill, which is also on its way to the Governor’s desk. Key highlights include: $2.5 billion for water infrastructure and related grants, $131.3 million to access matching federal funds, $1.3 billion for the Texas University Fund, $350 million for the Texas Advanced Nuclear Development Fund, $250 million for semiconductor initiatives, $257 million for the purchase and operation of aircraft for wildfire suppression, $192.3 million to address the backlog for Fire Department Assistance, $124.8 million to cover the use of firefighting aircraft, $135 million to the Texas Division of Emergency Management for regional operations facilities and emergency response support, $369.2 million to the Teacher Retirement System of Texas (TRS) for the benefit of TRS-ActiveCare, and more.

These balanced budgetary decisions reflect our commitment to investing in Texas’ future, ensuring the continued growth and prosperity of our communities.”

Both SB 1 and HB 500 include significant investments for projects in the Rio Grande Valley and the Coastal Bend including:

Public Safety/Emergency Response/Military Support

·     $110.2 million for Grants for Local Border Security

·     $34.5 million for Anti-Gang Programs

·     $30 million for Defense Economic Adjustment Assistance Grants to military defense impacted communities.

·     $3 million for Grants for Border Zone Fire Departments

Transportation

·     $10 million for South Texas International Airport in Edinburg

·     $18 million to Weslaco Airport for Hangar and Runway Expansion

·     $40 million for Port Access Improvements grants.

Education

·     $351 million for UTRGV General Academics

·     $97 million for UTRGV School of Medicine

·     $154 million for Texas A&M University – Corpus Christi

Water Infrastructure

·     $15 million for Delta Region Water Management Project in Hidalgo County

·     $30 million for Nueces River Ground Water Wells

·     $16 million for Mary Rhodes Pipeline Upgrades

·     $4 million for Nueces County Drainage District #2

·     $5.3 million for City of Alamo Lift Station Upgrades

·     $8 million for City of Weslaco Water and Drainage Improvements

·     $750,000 City of Penitas Lift Station

Parks and Economic Development:

·     $30 million for the Ritz Theater in Corpus Christi

·     $5 million for Quinta Mazatlan in McAllen

·     $2 million for Texas State Aquarium in Corpus Christi

·     $1 million for the City of Pharr All-Abilities Park

·     $1 million for Sullivan City Park Upgrades

·     $1 million for City of Granjeno Park

·     $1 million for City of Alton Park

·     $1 million for City of La Joya Parks

Once approved by the Governor, items funded in SB 1 will take effect September 1, 2025. Items funded in HB 500 become effective as soon as the Governor signs the bill.

City of Corpus Christi Project Finance Zone Boundaries Fixed by Bill Sent to the Governor

City of Corpus Christi Entitlement Could Total $177 Million Over 30 Years

The Texas Legislature has approved a priority legislative request from the City of Corpus Christi, pending final approval from Governor Greg Abbott. In 2023, Senator Juan “Chuy” Hinojosa, alongside the Coastal Bend legislative delegation, passed House Bill 5012, which allowed for the creation of a Project Finance Zone (PFZ) around the American Bank Center. This PFZ authorized the City to retain 4% of the Hotel Occupancy Tax (HOT) from hotels within a three-mile radius of the American Bank Center to fund improvements and expansions of the convention center.

As of 2023, the only cities authorized to designate PFZs are Fort Worth, Dallas, Houston, Austin, San Antonio, and Corpus Christi. Cities receive incremental hotel-associated revenues from hotels located within the three-mile radius for a 30-year period.

On December 10, 2024, the Corpus Christi City Council acted to create Corpus Christi PFZ #1, centered on the American Bank Center and covering a three-mile radius. However, unlike the five other cities authorized to establish a PFZ, 56.74 percent of Corpus Christi’s PFZ #1 (16.04 square miles) is located in the Gulf of Mexico, where no hotels exist. In response, Senator Hinojosa and Representative Denise Villalobos filed SB 1250 and HB 2877 during this legislative session to address this issue.

Senator Hinojosa stated, “Unfortunately, the fish in the Gulf do not pay hotel taxes. To maximize the benefit of this PFZ, we needed legislation to fix the boundaries and capture more hotels, which will increase the funding available for planned improvements at the American Bank Center. The passage of House Bill 2313, which was amended to include the language to adjust Corpus Christi’s PFZ, is a significant victory for the City of Corpus Christi.” He added, “The American Bank Center is a great venue, and these upgrades will attract more events to the Convention Center, Selena Auditorium, and the Arena, bringing more tourists and business to our community.”

According to the Legislative Budget Board, for the first five years after the new zone designation authorized by this bill, estimated state tax revenue entitlements are expected to increase by almost 90%, rising from $6.7 million to $12.7 million. Over the 30-year life of the zone, the estimated entitlement to state tax revenue is projected to grow from $94.1 million to $177.5 million.

“I appreciate the leadership of Mayor Paulette Guajardo, the members of the City Council, and city staff for their tireless efforts in educating legislators about the importance of this legislation,” said Senator Hinojosa. “Teamwork is important for getting any bill passed during the session. I also thank Representative Denise Villalobos, Chairman Todd Hunter, Senator Perry and Representative Tepper for their work in passing HB 2313.”

Historic Property Tax Relief Bills Passed by the Legislature

Yesterday, the Texas Senate granted final passage to significant pieces of legislation that will help reduce the burden of rising property taxes on Texas homeowners: Senate Bill 4/Senate Joint Resolution 2 and Senate Bill 23/Senate Joint Resolution 85. Authored by Senator Paul Bettencourt and joint-authored by Senator Juan “Chuy” Hinojosa, these bills will increase the school district homestead tax exemption.

SB 4/SJR 2 will raise the homestead tax exemption from $100,000 to $140,000. Additionally, SB 23/SJR 85 provides an increased homestead tax exemption for disabled homeowners and those aged 65 and older, raising it from $10,000 to $60,000.

Both measures ensure that school districts will not face funding losses from the higher homestead exemptions, as the state will compensate for the difference through general revenue under the new state aid formulas. If approved by voters in November, these exemptions will apply to property taxes for the current year.

Senator Chuy Hinojosa stated, “Rising property taxes are a pressing concern for Texans and a top priority for Lt. Governor Dan Patrick and the Texas Senate. Over the past decade, we have focused on reducing property tax burdens for families, which often feel like a second mortgage. High property taxes strain homeowners and businesses, making it difficult for families to stay in their homes and hindering economic growth.”

Hinojosa continued, “If approved in November, this legislation will provide significant tax relief by raising the homestead exemption to $140,000 and up to $200,000 for homeowners over 65 and individuals with disabilities. This is the largest tax relief package yet and will save families hundreds of dollars on their property tax bill.”

In 2015, the Texas Legislature approved an increase in the residence homestead exemption from $15,000 to $25,000, followed by a voter-approved increase to $40,000 in May 2022. Most recently, in 2023, the Legislature raised the homestead exemption to $100,000 with an overwhelming 83% approval from voters. Texans will have the opportunity to vote on these new proposed increases in the upcoming November election.

Fuel Smuggling at the Border: A Silent Crisis Threatening Texas

How fuel depots are fueling cartel profits, tax fraud, and safety risks—and how SB 2949 strikes at the heart of those issues

When most Texans think about border crime, they picture drugs or weapons—not fuel. But in recent years, a different kind of smuggling has taken hold across the Texas-Mexico border: fuel theft and tax evasion through transloading operations, increasingly linked to Mexican cartels and enabled by unregulated fuel depots. In 2024, Lt. Governor Dan Patrick assigned the Senate Committee on Border Security to do a deep dive into this issue. What I learned is that this is not just a regional issue. It affects statewide tax integrity, environmental safety, and the security of our international trade routes.

During committee hearings the Texas Department of Public Safety (DPS) and the Comptrollers’s Criminal Investigation Division testified that what started as isolated schemes has evolved into a coordinated system to export fuel to Mexico without paying taxes. Known in Mexico as huachicol, the black-market fuel trade once referred to thefts from Pemex pipelines. But today, a new variant has emerged—huachicol fiscal—where fuel purchased tax-free in Texas is smuggled into Mexico, bypassing both U.S. and Mexican fuel tax systems.

Unregulated Fuel Depots: The Hidden Infrastructure of Huachicol

According to DPS and the Comptroller’s Office, these transloading facilities known as fuel depots operating near ports of entry and mostly connected by designated overweight corridors are the key for smuggling operations. Trucks carrying tax-free loads of fuel intended for export pull into nearby depots to shift fuel from U.S. trucks to Mexican tankers or offload it into above-ground storage tanks to manipulate load weights and bypass tax regulation. Fuel intended for export is often blended, resold, or smuggled across the border using false shipping documents and unlicensed transporters. The result: millions in lost tax revenue, increased environmental risks, and a black-market infrastructure that enables cartel-linked actors to profit at the state’s expense.

Many of the workers at these facilities are untrained in dealing with hazardous materials and use pumps, hoses, and other equipment not safe for the handling of fuel. DPS and the Comptroller’s Office reported that the use of overweight three-axle trucks to carry up to 140,000 pounds, far above the standard 80,000-pound limit, are an integral part of the scheme to get the fuel across to Mexico. While some trucks operate on permitted overweight corridors like the route from the Port of Harlingen to the Los Indios Bridge, many others illegally use roads not designated as overweight routes under state law leading to the Pharr International Bridge—posing serious safety and enforcement challenges. These activities are occurring in residential areas creating dangerous situations for our families.

Law enforcement reports show these operations routinely violate environmental and hazardous material laws. Spills seep into the soil. Fumes escape into neighborhoods. Some depots sit just blocks from schools, homes, and international bridges—turning border communities into staging grounds for cartel-linked fuel crime.

Federal Action and the Texas Response

This is not theoretical. On May 1, the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN) issued a warning about fuel smuggling operations run by Mexican cartels. These groups exploit our border infrastructure and weak regulations to move stolen crude oil into the United States, often disguised as waste oil shipments. Through American associates using shell companies appearing to be legitimate businesses in the fuel industry, the cartels are enabled to launder billions of dollars in illegal profits nationwide, harming our communities and economy.

Last month, four people were arrested in a crude oil smuggling case connected to a Rio Hondo facility. This followed months of investigations by federal agencies, DPS, and the Comptroller’s Criminal Investigation Division into tax fraud, illegal transloading, and unlicensed tanker operations in Cameron and Hidalgo Counties.

SB 2949: Closing the Loopholes, Protecting Texas

In response, I filed Senate Bill 2949, which passed the Senate unanimously last April and is now in the House. The purpose of this legislation is to shut down fuel depots in border counties, where the risk of smuggling and fraud is greatest. The bill establishes strong civil and criminal penalties, tightens motor fuel transporter licensing requirements, and enhances fuel export tracking, specifically targeting undocumented transloading, fraud, and illegal fuel transport. By improving state oversight, we can stop fuel tax evasion at the source and eradicate the infrastructure supporting illegal fuel trade.

What sets SB 2949 apart as passed in the Senate, is its clarity: it does not create new loopholes or regulatory confusion. It targets unregulated infrastructure while protecting lawful IRS-registered terminals, refineries, and exporters. It holds both the operator and the licensed supplier accountable for any misuse of tax-exempt fuel. And it gives state and local authorities the tools they need to shut down dangerous fuel depots.

What to Watch For

Texans should be alert for signs of this growing trade:

·     Three-axle fuel trucks from Mexico using local roads not designated for overweight travel.

·     Above-ground tanks on vacant lots or near ports of entry with no visible signage or safety barriers.

·     Frequent fuel transfers between trucks using hoses and portable pumps without proper documentation.

·     These are not harmless logistics hubs—they are hubs for tax fraud, smuggling, and criminal activity.

The Stakes

We cannot allow cartel-linked fuel crime to take root on Texas soil. The economic impact is real, the public safety risks are rising, and the credibility of our tax system is on the line. SB 2949 strikes the right balance: strong enforcement, protection for legitimate commerce, and a clear message that Texas will not tolerate black-market fuel routes—northbound or southbound. Texas cannot compromise its security or lawful commerce in the face of this growing threat. We must work together to fight against huachicol (fuel theft) and huachicol fiscal (tax evasion) to work toward a safer future for our communities.