2025 Texas Legislative Session: A Recap of Wins and Challenges

The 89th Texas Legislative Session concluded on June 2nd, and we extend our gratitude for your continued engagement and support of TPEA as we championed the interests of retired and active state employees like yourself. One of our primary goals was procuring a 13^th check for retired state employees.

Although we achieved some progress (like HB 886 which passed out of the House but died in the Senate), it is with regret that we report the 13th check was not approved. This outcome was particularly unexpected, as our TPEA team had received indications from key members of the Conference Committee that approval seemed promising. However, shortly thereafter, we were informed that the Lt. Governor identified a necessity to remove $1 to $3 billion from the budget. Consequently, not only was funding for the 13th check unavailable, but the additional $1 billion earmarked for the ERS pension fund was redirected to other allocations.

This session focused significantly on public education, which received a funding increase of $8.5 billion, and property tax relief, amounting to $51 billion—an increase of $10 billion compared to the previous biennium. According to the Lt. Governor's press release, "The average senior homeowner will no longer pay any school property taxes for the rest of their life as long as they live in their home."  Hopefully, this will provide significant assistance to many of our retirees.  

Fortunately, the Legislature upheld its commitment to the biennial legacy payments as outlined in SB 321 from the 2021 legislative session. However, the $1.02 billion allocated for these payments was transferred to HB 500, the supplemental appropriations bill. This funding helps to maintain solvency and buy down the unfunded liability faster. Additionally, the Legislature appropriated an extra $770+ million for the ERS health insurance plan, ensuring coverage for the 8% annual increase in premiums for state employees and retirees.

TPEA did secure several victories that significantly impacted the well-being of our members. Imagine the potential setbacks and outcomes had TPEA not been present to advocate on behalf of state employees. One particular bill, HB 5196 which addresses the telework policy for state employees, generated a significant surge of communication across our phone lines, social media platforms, email inboxes, and our Advocacy Action Center. Numerous members expressed that telework held greater significance for them than a salary increase. Understanding its substantial impact on thousands of TPEA members, TPEA worked closely with the Legislature to secure a positive result. TPEA helped champion this bill by holding private meetings with the Legislature, testifying at hearings, contacting the media for coverage, blogging about the potential impact to tax payers, and talking to members. Ultimately this bill passed and is now awaiting the Governor's approval. The bill has received considerable backing, and we are optimistic about its success.

State agencies that requested salary increases where TPEA testified also received targeted pay raises. This process began last fall during the Joint Budget hearings and continued into the Legislative Session. To see who is receiving a targeted pay raise, click here.

Each legislative session presents a significant number of bills filed and funding priorities, including property tax relief, public education, and investments in water and energy, all essential for maintaining the vitality of Texas. TPEA continues to be committed to advocating and amplifying the voices of our dedicated state employees and retirees who have helped to enhance our state's greatness. More than 9000 bills were introduced this year, TPEA will be poised to tackle even more next session but we can't do it without the help of those benefitting from our efforts. Join TPEA today. Invest in your career. 

See below for more bills TPEA supported and helped pass to the Governor. The Governor's deadline is June 22nd.