In a sweeping press conference, Texas Lt. Gov. Dan Patrick laid out his vision for the 89th Legislative Session, covering everything from property tax relief for senior homeowners to the state budget and legislative priorities. As the session moves forward, Patrick emphasized urgency, bipartisan cooperation, and conservative fiscal responsibility.
Key Legal and Business Developments
Before diving into legislative matters, Patrick touched on two significant updates:
Texas Education Agency’s A-F School Rating Lawsuit Resolved
A lawsuit challenging the TEA’s school rating system ended with an appellate court ruling in the state’s favor. This decision solidifies the agency’s evaluation framework and ensures continued oversight of school performance.
CenterPoint’s $800M Generator Write-Off Post-Hurricane Beryl
After the massive power failures caused by Hurricane Beryl, CenterPoint has agreed to absorb the $800 million cost of generators that failed during the outages. The company will also donate these generators to the Electric Reliability Council of Texas (ERCOT) for strategic future deployment.
Legislative Progress: The Senate’s Fast Pace vs. The House’s Slow Start
Patrick expressed pride in the Texas Senate’s progress, highlighting that the chamber has passed over 200 bills compared to the House’s roughly 10. This pace disparity is common, given the Senate’s GOP supermajority, which allows for a more streamlined legislative process.
Despite this imbalance, Patrick voiced confidence in House Speaker Dustin Burrows (R-Lubbock), stressing that while early signs of cooperation are promising, execution is now critical. He warned that if the House doesn’t accelerate its legislative work in the next two weeks, concern will grow.
"We’re singing from the same songbook," Patrick said of his relationship with Burrows. "But now, during these next eight to nine weeks, the execution has to take place."
Addressing Rep. Brian Harrison’s (R-Midlothian) recent effort to oust Burrows as Speaker, Patrick largely distanced himself, noting that while he has intervened in past speaker races, he isn’t currently involved in the House’s internal politics.
New Property Tax Relief Plan for Seniors
One of the biggest announcements from Patrick’s press conference was his plan to expand property tax relief, particularly for senior homeowners.
Under the current system:
The general homestead exemption is $100,000.
Homeowners 65 and older receive an additional $10,000 exemption.
Patrick’s new proposal would:
Increase the standard homestead exemption by $40,000 (raising it to $140,000 for all homeowners).
Increase the elderly exemption by $50,000 (raising it to $200,000 for seniors).
This means most seniors in Texas would no longer pay school district Maintenance & Operations (M&O) property taxes, significantly easing their financial burden.
"We’re doing all we can at the state level to decrease your property taxes," Patrick said, while also calling on local governments to eliminate loopholes that allow tax burdens to remain high.
While both legislative chambers agree on the need for property tax relief, their approaches differ:
Patrick prioritizes homeowners, favoring direct exemptions.
Burrows leans toward business tax breaks.
Patrick anticipates a final deal including a mix of compression (state funds used to lower property tax rates), homestead exemption increases, and business tax cuts. The House recently passed its business tax relief plan, and next week, it will debate the $336 billion biennial budget already approved by the Senate.
Defending the State Budget: Is It Conservative Enough?
Patrick responded to criticism—primarily from Rep. Harrison—that the budget isn’t conservative enough. He pointed to Texas’ strong financial position as proof of its fiscal responsibility:
$40 billion budget surplus
$24 billion additional surplus
$28 billion in the state’s rainy day fund
"If someone says, ‘This is not a conservative budget,’ how is it we ended up with a $40 billion surplus?" Patrick asked. "We did not spend all the money; we saved money."
While budget debates will continue, Patrick firmly defended the Legislature’s track record of conservative spending.
Other Major Issues: THC, Online Lotteries, Teacher Pay, and Film Incentives
Patrick also touched on several other key topics:
THC Regulation: The Senate is pushing to ban THC-infused drinks, and liquor store chain Spec’s has already pulled them from shelves. Some restaurants have stopped serving them as well.
Online Lottery Couriers: The Senate has moved to ban third-party online lottery services, citing concerns over regulation and consumer protection.
Teacher Pay Raises: The Senate aims to increase average teacher salaries to $69,000, addressing longstanding concerns over educator compensation.
Film and Media Incentives: The Legislature is allocating $500 million to the Texas Moving Image Incentive Program, which supports film, TV, and video game production in the state.
Final Stretch: 60 Days to Go
With 60 days remaining before adjournment on June 2, the Texas Legislature has a packed agenda. Key battles remain over school choice, property taxes, and business incentives. While Patrick expressed optimism, he made it clear that the next two weeks will be crucial in determining whether the House can match the Senate’s momentum.
