Across-the-Board Cuts to State Services

Less than a month after the Legislature approved property tax cuts based on the availability of more than $8 billion in “surplus” general revenue, the Governor’s office last week ordered 10 percent across the board cuts to vital services starting next year. The cuts amount to about $3 billion in general revenue.

In a letter to heads of state agencies, universities and other major institutions that are part of the state budget, the Governor’s budget director and the director of the Legislative Budget Board directed that all the institutions prepare budget requests for the next two years based on 90 percent of their current budgets. Exceptions would be allowed for only a few “budget drivers”—items that are federally or otherwise mandated over which the Legislature has little or no control such as prison population growth and payments on bond debts

Examples of items subject to the 10 percent cuts include the Children’s Health Insurance Program (CHIP), child protective services, and university enrollment growth

Texas Impact will bring you more information about the cuts and the state budget process as information becomes available. Public hearings will start later in the summer, but it’s never too early to start telling your concerns to lawmakers (and candidates for office).

Click here for analysis of the 10 percent cuts by the Center for Public Policy Priorities.