Opinion: Texas Business Leaders United in Support of Preserving ERISA
Welcome to Friday Forum, a weekly segment where we explore diverse opinions on the topics shaping Texas politics and business. The views expressed here represent the perspectives of individual contributors and are not endorsements by TXLege News. Our aim is to encourage thoughtful discussion and present a range of viewpoints on issues that matter to Texans.Email info@uslege.ai for submitting opinion contributions.
Texas Business Leaders United in Support of Preserving ERISA
By Glenn Hamer
This week, the Texas Association of Business (TAB) led a coalition of nearly 50 companies and local chambers of commerce in writing a letter to Texas legislators calling for the preservation of the Employee Retirement Income Security Act (ERISA) – a crucial tool that provides businesses with consistency and uniformity in offering employee benefits.
ERISA was passed by Congress in 1974 and governs laws that affect the administration or design of employer-sponsored health plans. ERISA provides for a consistent regulatory framework that allows employers to operate confidently and seamlessly across state lines, minimizing the administrative burdens that would otherwise come with a patchwork of different state-level regulations.
In the letter to state leaders this week, TAB and its coalition partners write:
“ERISA's uniformity is essential to Texas' economic success, enabling businesses to offer competitive benefits and maintain operational efficiency without the complexities of varying state mandates. For small and medium-sized businesses in particular, ERISA’s protections are crucial for providing affordable and consistent benefits across their workforce.”
The letter also highlights the potential negative impacts Texas businesses and our workforce could see if lawmakers decide to pursue detrimental legislation to preempt ERISA:
“Unfortunately, recent legislative efforts have sought to circumvent ERISA’s protections by imposing state-level healthcare mandates on employers. These efforts risk significantly increasing healthcare costs for Texas employers and their employees. Allowing expensive state mandates to interfere with ERISA protections would create a patchwork of conflicting rules, making it harder for businesses to offer consistent, affordable health benefits and weakening Texas’ ability to attract and retain businesses.”
ERISA's protections have played a significant role in cementing Texas’ reputation as a pro-business powerhouse. Under these protections, private employers have been able to offer attractive benefit plans for their employees, establish consistent guidelines for retirement and health plans provided by multi-state private employers, and protect employers by supporting a uniform benefit program for all employees and by avoiding complications of a patchwork system between states.
As I wrote in the Dallas Morning News on the occasion of ERISA’s 50th anniversary last month:
“At the Texas Association of Business, we believe that preserving ERISA needs to be a top priority. State leaders must reaffirm their commitment to ERISA and resist the push for additional state-level regulations that could disrupt the delicate balance that has been so carefully maintained over the past 50 years. By standing with the business community and upholding the federal oversight that ERISA provides, Texas can maintain its position as a prime example of economic resilience and growth.
“The anticipated rise in health care costs in 2024 emphasizes the vital need to uphold the regulatory consistency provided by ERISA. Imposing additional state-level mandates would not only create a patchwork of regulations that increase compliance costs but also discourage businesses from expanding their operations in Texas — ultimately damaging our economy.”
The business community and its workforce need the security that ERISA provides to all parties involved. Supporting the health and well-being of our workforce shouldn’t be controversial, but a given. An industry standard like ERISA nationwide will help keep Texas the premiere destination for businesses and job creators. We hope the Legislature will avoid misguided attempts to undermine this important law that has helped make Texas the envy of the nation and work toward sustaining this crucial piece of legislation for the next 50 years.
To read the full letter, click here.
Glenn Hamer is the President & CEO of the Texas Association of Business (TAB). You can follow Glenn on X and Linkedin.
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Opinion: Texas Takes The Lead
Welcome to Friday Forum, a weekly segment where we explore diverse opinions on the topics shaping Texas politics and business. The views expressed here represent the perspectives of individual contributors and are not endorsements by TXLege News. Our aim is to encourage thoughtful discussion and present a range of viewpoints on issues that matter to Texans. Email info@uslege.ai for submitting opinion contributions.
Texas Takes the Lead: A Bold Plan for Advanced Nuclear Energy
This week, Texas Governor Greg Abbott and the Public Utility Commission of Texas (PUCT) unveiled a groundbreaking plan to further strengthen Texas’ global energy leadership. The Texas Advanced Nuclear Working Group’s final report charts a roadmap for establishing an advanced nuclear industry in Texas. The plan will solidify our energy dominance, enhance grid reliability and energy security, catalyze unprecedented economic growth, and unlock transformative opportunities for Texas’s growing workforce.
The Texas Association of Business (TAB) applauds this bold initiative as part of our ongoing commitment to an ‘all-of-the-above’ energy strategy that has propelled us to become the 8th largest economy in the world.
Upon releasing the working group report, Governor Abbott made clear that Texas is “ready to be No. 1 in advanced nuclear power,” adding:
“By utilizing advanced nuclear energy, Texas will enhance the reliability of the state grid and provide affordable, dispatchable power to Texans across the state. I thank Public Utility Commissioner Jimmy Glotfelty and the members of the Texas Advanced Nuclear Reactor Working Group for working tirelessly to put Texas on the path to be the global leader in advanced nuclear power. As we build an advanced nuclear industry in our great state, we will ensure Texas remains a leader in energy and strengthen the Texas grid to meet the demands of our growing state.”
With Texas being the energy capital of the world and the largest energy-producing state in the nation, the new report not only reflects the promise of nuclear power but also the responsibility Texas bears in leading the nation toward a future of secure, sustainable, and scalable energy solutions. By deploying a coordinated nuclear power strategy, Texas can capture economic opportunities and first-in-the-nation advantages to cement our national and global energy leadership.
The Lone Star State is home to around 8% of total domestic reserves of uranium. In addition to these natural resources, Texas is uniquely positioned to dominate the advanced nuclear energy landscape. Texas is primed to become a global economic powerhouse in this cutting-edge sector due to our deregulated energy market and robust industrial infrastructure.
As PUCT Commissioner Jimmy Glotfelty noted, reflecting on the Working Group’s report:
“Texas is well-poised to become the national, if not global, leader in using advanced nuclear energy technologies. Texas has the industrial and development needs – from oil & gas production to data centers and a burgeoning Artificial Intelligence sector – with demand growth projected at 8% a year for the next decade.”
The economic projections and implications of this plan are transformative. The deployment of advanced nuclear reactors (ANRs) – including small modular reactors (SMRs) – has the potential to generate an estimated $50.6 billion in economic output annually while supporting an annual average of 148,000 high-quality jobs directly and indirectly by the new SMR industry.
From reactor operations to nuclear-grade welding, these positions will fuel Texas’s economic engine and establish our workforce as a leader in one of the most advanced fields of modern technology. By embracing this plan and ANRs, we can provide a stable, carbon-free power source that enhances Texas’ grid resilience and lowers land and transmission requirements while also creating pathways to prosperity for countless Texans.
However, in order to secure new investments in nuclear energy generation, we must also advance policies that streamline federal pathways and establish state-supported early site permits, in addition to addressing workforce development through proactive recruitment and specialized training initiatives to ensure we can develop a Texas-based talent pool to build and operate these important new generation projects.
TAB is especially proud to recognize Stephanie Matthews, former Vice President for the Texas Association of Business, for her invaluable contributions as a member of the Working Group that produced this report. Her leadership highlights the essential role of TAB in shaping policies that advance our state’s economic and energy interests.
By harnessing the potential of advanced nuclear energy, our state will not only secure its energy future but also cement our role as the world's global energy superpower.
To read the full report, click here.
- Glenn Hamer, President & CEO, Texas Association of Business
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Opinion: Texas Businesses to Lawmakers
Welcome to Friday Forum, a weekly segment where we explore diverse opinions on the topics shaping Texas politics and business. The views expressed here represent the perspectives of individual contributors and are not endorsements by TXLege News. Our aim is to encourage thoughtful discussion and present a range of viewpoints on issues that matter to Texans. Email info@uslege.ai for submitting opinion contributions.
Texas Businesses to Lawmakers: Don’t Add to Employer Healthcare Costs
As Texas continues to lead the nation in economic growth, the mounting challenge of rising healthcare costs threatens to undermine our success. For businesses across the Lone Star State, providing competitive healthcare benefits is both a matter of employee satisfaction and a cornerstone of our economic stability. Healthcare costs remain a top concern for the state’s businesses, and government mandates toward employer-sponsored healthcare benefits present a significant challenge to maintaining competitiveness and supporting employees.
The Texas Association of Business (TAB) conducted the 2024 Texas Employers Healthcare Survey, gathering comprehensive insights into these challenges through over 200 responses from individual businesses across the state, collected via TAB’s members and chamber partners. The survey results offers a stark warning: without decisive legislative action, these escalating costs could jeopardize the state’s economic engine and constrain Texas businesses’ capacities for growth and employment, adversely raising prices for their goods and services. Lawmakers must act to shield employers from unsustainable financial pressures and ensure that healthcare remains an asset, not a liability, for Texas businesses.
According to the survey:
- 85% of Texas employers believe that healthcare costs are increasing at an unsustainable rate.
- 34% of respondents believe that healthcare benefits have become the fastest-growing expense in their business, surpassing even wages.
- 51% of surveyed employers say these escalating costs have directly interfered with their ability to raise salaries or hire new employees
More than half of respondents also concluded that government regulation of healthcare coverage is the cause of increased healthcare costs and oppose the introduction of any new state mandates that would further increase this cost.
This year’s Survey reflects many of the same – if not increased – concerns of the Texas legislature on the rising cost of healthcare for businesses from TAB’s 2022 Healthcare Survey. Our businesses’ concerns are not new.
For many Texas businesses, these costs are more than just numbers; they represent tangible barriers to growth, workforce investment, and the moral commitment to provide for their employees.
In Texas, where employer-provided health coverage insures roughly 14 million people, healthcare benefits are integral to attracting and retaining top talent. Over 75% of survey respondents identified health benefits as a crucial factor in workforce retention, with 36% ranking it as the most important benefit offered.
Yet, the rising cost of premiums – the primary reason 75% of businesses do not offer insurance – threatens employers’ ability to provide these healthcare benefits. These findings highlight the significant financial burden that rising healthcare costs impose on employers, often forcing them to reevaluate their ability to provide essential benefits.
The survey uncovers the growing opposition among Texas businesses to new state-imposed mandates that could further increase the cost of employer-sponsored healthcare benefits. More than 57% of respondents strongly oppose additional state regulations and more than 90% of employers support requiring cost estimates for any legislative proposal affecting health benefits. Texas businesses are calling for more transparency and accountability in policymaking.
We must not be complacent with policies that, in totality, infringe on the freedom and free enterprise that allows Texas to maintain a competitive and expansive economy.
Texas employers make clear that they want the Legislature to address the root causes of rising healthcare costs, not to pile on additional burdens. Specific solutions identified in the survey include:
- Transparency: 76% of respondents advocate for requiring healthcare providers to disclose their prices publicly.
- Flexibility: 73% want the option to purchase more affordable insurance plans without state-imposed mandates exceeding federal requirements.
Texas’ economic vitality depends on sensible healthcare policies that prioritize transparency and flexibility. Lawmakers must resist the temptation to impose additional mandates on employer-sponsored healthcare benefits. Instead, they should address the underlying issues driving up costs to ensure that Texas remains a place where businesses thrive, and where employees are protected.
To read more about the findings from TAB’s 2024 Texas Employers Healthcare Survey, please click here.
Glenn Hamer, President & CEO, Texas Association of Business
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Opinion: Texas at the Forefront of Economic Advancement
Welcome to Friday Forum, a weekly segment where we explore diverse opinions on the topics shaping Texas politics and business. The views expressed here represent the perspectives of individual contributors and are not endorsements by TXLege News. Our aim is to encourage thoughtful discussion and present a range of viewpoints on issues that matter to Texans. Email for submitting opinion contributions.
carbon capture and storage (CCS)
Texas has the ability to spearhead a new era of energy innovation as the carbon capture and storage (CCS) industry is presenting itself as a tremendous economic opportunity to lead in an all-of-the-above energy approach. The Lone Star State, long celebrated as a global energy powerhouse, now has a unique chance to bolster its dominance by embracing CCS technologies. This transformative technology offers a direct pathway to maintain our position as the energy capital of the nation while addressing critical environmental concerns.
A recent economic impact study by the Texas Association of Business (TAB) highlights the potential for CCS projects to inject $1.8 billion into the state’s economy through construction and ongoing operations. The study also estimates that these projects will create or support approximately 7,500 full-time jobs spanning multiple, highly skilled sectors such as construction labor, electrical power-line installers, and operations engineers. This is Texas at its best – delivering opportunities for hardworking Texans to excel in critical, in-demand industries. CCS projects are estimated to boost local tax revenues by $33.4 million, empowering communities to provide critical support for local services such as law enforcement and emergency services.
Matt Patten of Angelo Economics highlights this data and reiterates the economic impact of CCS projects:
“So, as we look at what CCS projects could mean across Southeast Texas, the average statewide impact would be close to $2 billion. The job ranges, these are pretty extraordinary, rounding out from about 1250 to nearly 17,000 jobs. We're talking about employing folks that are highly skilled…We're looking at an average wage of $45…county level tax revenues from the construction and operations are projected to increase roughly $33.4 million because of these types of projects. We're looking at 30 to 300 fire trucks, 300 to 400 ambulances or anywhere from 225 to 670 law enforcement.”
By bypassing federal red tape and utilizing private sector innovation rather than government intervention, Texas can lead the way in creating more sustainable uses of energy while maintaining our free market reputation. Companies across Texas are already investing in CCS technologies, including the world’s biggest carbon capture facility being built by Occidental Petroleum, putting Texas at the forefront of innovation creating a viable path toward net-zero emissions and energy innovation.
Erin Burns, executive director of Carbon180, a climate NGO that works on a range of different carbon-removal options highlights the importance of this new Texan project:
“It’s an extraordinarily big moment for carbon removal right now and for direct air capture in particular.”
About Carbon Capture and Storage
Carbon capture and storage is more than just a tool to reduce emissions—it’s a transformative opportunity for Texas to solidify its energy leadership for generations to come. By embracing CCS as part of an all-of-the-above energy approach, Texas can foster economic growth, environmental stewardship, and community investment. By redefining the economic viability of the private sector, The Lone Star State could redefine what it means to lead in energy innovation, creating high-paying jobs, and bolstering local economies. CCS projects can ensure that Texas remains the backbone of the nation’s energy economy.
TAB extends its gratitude to Angelo Economics for providing data illustrating the potential economic impact of CCS projects and ExxonMobil for their contributions to advancing carbon capture and storage technology. Their efforts exemplify the collaborative spirit and forward-thinking approach that define Texas's energy leadership. Thank you for your dedication to ensuring Texas remains at the forefront of energy innovation.
To read the full TAB Economic Impact Study, click here
Glenn Hamer, President & CEO, Texas Association of Business
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Opinion: When it Comes to Enhancing Government Efficiency, Texas Needs to Lead
2024 Election
The 2024 Election and the sweeping government reform proposals emanating from Washington to Austin have ignited a renewed conversation about how to ensure government – at both the federal and state levels – is working for Americans and their businesses. Here in Texas, we have an unprecedented opportunity to lead the nation enhancing government efficiency by both leveraging innovative technology and identifying ways to break down the bureaucratic barriers that impede the growth and operation of our businesses.
Cutting-edge tools like Artificial Intelligence (AI) have the ability to streamline bureaucracy by expediting permit approvals and modernizing agency workflows. AI offers transformative solutions to reduce costs, improve transparency and deliver faster, more reliable services.
More than one-third of Texas’ state agencies had already begun leveraging AI in 2022, according to the Texas Department of Information Resources (DIR), allowing them to find ways to improve how Texans interact with government. However, DIR most recently reported that “less than a quarter of state agencies are currently using or planning to use generative AI for chatbots, workforce productivity, process improvement, coding, and the like.”
As I wrote in the Dallas Morning News at the end of last year, Texas needs to embrace AI to enhance government efficiency, or risk falling behind:
“Texas is home to leaders in the development of AI, putting our state in a prime position to set the standard for responsible AI use. We can lead the nation in demonstrating how AI can streamline government operations, cut costs and improve service delivery, or we can fall behind the curve.
“Being at the forefront of technology development is not enough if we don’t apply these advancements at home to make our tax dollars work harder and cut down on waste.”
Beyond AI, there is work we can do right now to further strengthen our state’s appeal to businesses of all sizes by cutting unnecessary government regulations. The Small Business Freedom Council, on which I am honored to serve as co-Chair, has been tasked by Governor Greg Abbott with identifying “any rules, permits, fees, or regulations in your agency that may hamper small business formation, operation, and growth,” and agencies are required to deliver a report on any challenges and barriers to small business success by Monday, January 13th before the 89th Legislature commences.
As part of the Council’s work, we’ve launched a survey for small businesses to share any regulatory challenges in Texas. If you are a small business and would like to share your experience, and help guide our efforts to further enhance our state’s pro-business regulatory environment.
Overall, the formation and work of this Council is an enormous step forward in further empowering our state’s business owners and entrepreneurs to innovate and expand in Texas by eliminating unnecessary barriers that impede their growth. As the Dallas Morning News editorial board rightly pointed out shortly after the Council was established:
“Small business is the heart of Texas’ economy. Overregulation is the heart attack.
“…Some regulation is needed to keep standards high and residents safe. But aspiring small-business owners shouldn’t need to get an honorary degree in business regulation or spend thousands of dollars to hire an expert just to navigate the legal framework.”
This week, we held our second meeting of the Council, and I’m more confident than ever that the Texas business community and our fantastic economic development leaders at the state and local levels will speak with a unified voice to deliver recommendations that will ensure all job creators in our state can continue to thrive.
Members of the Texas Small Business Freedom Council meet on January 8, 2025.
For more information about Governor Abbott’s Small Business Freedom Council, click here.
Glenn Hamer, President & CEO, Texas Association of Business
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Opinion: TAB’s Voice in Washington is Critical to the Future of Texas Business
Welcome to Friday Forum, a weekly segment where we explore diverse opinions on the topics shaping Texas politics and business. The views expressed here represent the perspectives of individual contributors and are not endorsements by TXLege News. Our aim is to encourage thoughtful discussion and present a range of viewpoints on issues that matter to Texans. Email for submitting opinion contributions.
TAB’s Voice in Washington is Critical to the Future of Texas Business
While it’s always exciting to be in our nation’s capital, I’m even more excited by the outlook for the Texas business community as we engage with leaders in Washington and promote our 2025 Federal Policy Priorities that will enhance Texas’ position as an unrivaled global economic powerhouse. With Texas consistently ranking as the top U.S. state for exports, energy production, technological advancement and foreign direct investment, the policies enacted by Congress and federal agencies have an outsized impact on our business owners, their employees and the overall economic health of our state.
In fact, several important executive actions and announcements from President Trump shortly after taking office on Monday will have major implications for our state’s immediate and long-term economic growth.
First, President Trump repealed the Biden Administration’s ill-advised ‘pause’ on Liquified Natural Gas (LNG) export approvals. TAB has consistently highlighted the detrimental effects of this politically-motivated and short-sighted executive action by President Biden, which threatened to erode our state’s leadership in the global energy sector while weakening our nation’s energy security. We are glad that President Trump made ‘Unleashing American Energy’ a central theme within his flurry of executive orders issued shortly after taking the oath of office on Monday. TAB will continue to advocate for streamlined permitting for all energy infrastructure projects so that Texas energy producers can continue to play a leading role in securing the energy dominance of our state and nation. Texas must continue leading the charge not only in traditional oil and natural gas but also in innovative energy solutions such as solar and wind, where we are already leading, as well as nuclear, battery storage, carbon capture, geothermal, and hydrogen technologies—all of which are critical to achieving an all-of-the-above-and-below energy strategy.
President Trump also took the important step of formally establishing the Department of Government Efficiency (DOGE), designed to identify and eradicate inefficiencies, redundancies, and waste underpinning a bloated federal bureaucracy that has impeded the growth of businesses in Texas and across the nation. That’s why TAB’s top federal policy priorities include cutting federal spending and advocating for regulatory simplification and modernization of federal agencies. These policies should mirror Texas’ success and our vision for smaller, more efficient government, as encapsulated in Governor Greg Abbott’s recent formation of the Small Business Freedom Council, on which I am honored to serve as co-chair.
Texas’ leadership in AI innovation is also set to accelerate under the upcoming administration, with President Trump unveiling the largest AI infrastructure initiative in history. On Tuesday, President Trump announced an initial investment of $100 billion, with plans to scale up to an unprecedented $500 billion to develop cutting-edge AI data centers across the nation, with the first data center built under this initiative set to be located in the heart of the Big Country – Abilene, Texas. To ensure we can take full advantage of this moment, we must ensure that Texas has a prominent voice in shaping a uniform national framework that supports innovation while also addressing ethical concerns and preempting states from overburdensome regulations that stifle AI innovation. It’s important that any regulatory framework does not discourage the construction of new data centers in Texas and the U.S. more broadly, as doing so would risk ceding leadership in AI to adversarial nations like China and undermining our national security. My motto is that ‘AI’ means Advancement and Innovation!
In this same vein, Texas must accelerate its leadership in other critical industries like semiconductors, aerospace, and space exploration. Federal initiatives that enhance state investment and innovation in these fields will ensure Texas stays at the forefront of national security and advanced manufacturing while bolstering our global competitiveness.
Other federal priorities for the Texas business community include extending the 2017 Tax Cuts and Jobs Act. These tax cuts have driven economic growth nationwide – particularly for small business with the important small business tax deduction.
Another key focus is maintaining and strengthening the U.S.-Mexico-Canada Agreement (USMCA). As the best trade deal ever negotiated, USMCA ensures Texas businesses have tariff-free access to the dynamic North American market. It’s crucial to protect this framework, which has made Texas the leader in cross-border commerce.
As a border state, border security is not just a priority for Texas—it’s a necessity. For the past four years, Texas has shouldered the burden of protecting our border, and the federal government must do more to fulfill this critical responsibility, including enhanced infrastructure at ports of entry. At the same time, meaningful immigration reform is essential to meet the workforce demands of Texas’ booming economy. TAB supports H-1B visas and the creation of legal pathways for workers in other sectors. By tapping into the best and brightest talent, we can ensure Texas remains a global economic leader.
We look forward to a new golden age of American prosperity and innovation, with President Trump guiding the nation and Texas leading as the premier example of economic strength, opportunity, and leadership.
To read more about TAB’s 2025 Top Federal Priorities, click HERE.
Glenn Hamer, President & CEO, Texas Association of Business
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Opinion: Cutting Red Tape at Federal Level Will Help Texas Lead Nation in Energy Innovation
We are proud to be the No.1 energy-producing state in the U.S., leading the nation in crude oil refining capacity. With energy demand expected to nearly double by 2030, Texas must forge ahead to meet this challenge and secure America’s energy future. By harnessing Carbon Capture and Storage (CCS) technology, Texas can address our increasing energy demand, expand production and catalyze our world-class business environment while safeguarding our nation’s energy infrastructure.
Yet, in recent years, our economic prosperity has been choked by Federal red tape as the U.S Environment Protection Agency (EPA) grapples with a massive backlog of Class VI well applications. This bottleneck is stalling Texas’ primacy application to streamline these projects, crippling our ability to harness CCS technology and undermining the Lone Star States’ pro-job, pro-business climate.
The Letter
That’s why last week, the Texas Association of Business (TAB), along with Texas’ top business organizations, sent a letter to EPA Administrator Lee Zeldin urging immediate action to resolve this backlog. Our message was clear: the Lone Star State is ready to lead the nation in CCS innovation, and bureaucratic delays must not hinder the energy capital of America, its future or our economic security:
“Texas is currently pursuing primacy, a process that began over two years ago. We request that the EPA expedite – and approve – Texas' primacy application. By clearing out the massive backlog of Class VI applications and accelerating primacy for the states, the EPA can give industry the clear and predictable framework to do what it does best: invest in America.”
Texas is uniquely poised to take advantage of CCS technology, with research showing ideal conditions for this innovation in regions across the Lone Star State:
“Research has shown that the CCS opportunity in Texas is larger than anywhere else on earth. We have the right geological formations for CO2 storage, a world-class, highly skilled workforce, and robust infrastructure primed for the deployment of CCS. However, federal permitting delays are stalling billions of dollars of private sector investment.”
What is CCS Technology
CCS Technology not only streamlines energy efficiency – it is also a proven catalyst for economic prosperity. A recent TAB economic impact study unveils the transformative economic scope of CCS technology on the Texas economy, forecasting significant increases in job creation, tax revenue and immense state and county-level capital contribution and economic growth.
The study found that CCS projects in Texas have the potential to:
- Create 7,500 full-time American jobs in Texas, reaching various sectors, from construction and power-line installers to operation engineers;
- Contribute $1.8 billion in capital directly to the Lone Star State, driven by both the construction of pipeline networks, storage facilities and monitoring technologies as well as ongoing operations that are essential to safeguarding America’s industrial dominance; and
- Increase local tax revenues by $33.4 Million from construction and operations, which provide essential support for local services such as law enforcement and emergency services.
This week, TAB joined a broader coalition of Texas business leaders and local chambers of commerce in writing to the newly appointed EPA Region 6 Administrator, Scott Mason IV, calling for the swift approval of the State of Texas’ application for Class VI Well Primacy.
In our joint letter, TAB and our partners across sectors of the Texas economy make clear that the power of CCS technology, if effectively leveraged, can produce cascading economic and environmental benefits in communities throughout the Lone Star State:
“As the nation’s largest producer of oil and natural gas, carbon capture and storage is one of the most practical, necessary, and common-sense technologies for Texas because it can significantly reduce carbon emissions from existing energy and petrochemical facilities utilizing fossil fuels. These sectors produce critical building materials, petrochemical and agricultural materials, energy generation, and other industries that underpin our state’s economy. By maximizing adoption of carbon storage, the US Department of Energy estimates that Texas can sequester 500 billion metric tons of CO2, equal to 130 years of US industrial emissions.”
We at TAB, alongside business leaders across Texas, stand ready to work with the EPA and other federal agencies to ensure the Lone Star State fully leverages CCS technology to drive economic prosperity, strengthen energy security and create lasting opportunities for future generations. We have the resources, expertise and infrastructure to lead America’s energy future, but we need the EPA to act now by approving Texas’ primacy application, clear the permitting backlog, and unleash billions in private investment – because when Texas leads, America thrives.
To read the full letter sent to EPA Administrator Lee Zeldin, click here.
To read the full letter sent to EPA Region 6 Administrator Scott Mason IV, click here.
Glenn Hamer, President & CEO, Texas Association of Business
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Opinion: Strengthening Cross-Border Commerce
Strengthening Cross-Border Commerce
Our largest trading partner by far is Mexico, which accounted for $281 billion worth of trade just last year. Canada is out second top trading partner accounting for $75 billion. For 23 consecutive years, Texas has held the title of the nation's top exporting state, with nearly half of these exports going to Mexico and Canada. The U.S.-Mexico-Canada Agreement (USMCA) is the greatest trade deal negotiated in our nation’s history, and it’s critical for federal policymakers to champion measures that protect our North American trade bloc and maintain the Lone Star State’s position as a global trade leader.
About 3.6 million jobs in Texas are connected to trade, and about half of those are attributed to Mexico and Canada.
That’s why, earlier this month, TAB urged the U.S. General Services Administration (GSA) to reverse the previous administration’s ill-advised recommendation to eliminate all cargo traffic at the Bridge of the Americas (BOTA) in El Paso – one of our state’s most important trade arteries with Mexico. Commercial traffic at BOTA – which includes about 500 cargo trucks crossing the bridge daily – helps support Texas’ vibrant business environment, fueling economic growth, creating millions of American jobs and enhancing the competitiveness of Texas businesses on the global stage.
The Letter
As I wrote in the letter, the previous GSA leadership’s recommendation to end commercial traffic at BOTA would bring trade to a standstill at one of the most vital economic lifelines between our two nations:
“If implemented, this decision will have a significant negative economic impact on cross-border commerce between Texas and Mexico, our state and nation’s largest and most important trading partner. Furthermore, the implementation of this recommendation will lead to intense disruptions to supply chains vital to key industries in Texas and the entire United States. We strongly urge you to retract this misguided and hurtful recommendation.”
Rather than slowing the flow of commerce across the Texas-Mexico border, leaders at the federal level should be embracing ways to streamline the creation of new infrastructure to keep pace with growing business activity throughout the region. Last year, Texas Senators Ted Cruz and John Cornyn led the charge in passing bipartisan federal legislation to streamline the cross-border infrastructure permitting process – the most significant trade policy development since the passage of the USMCA. This reform was critical in expanding cross-border infrastructure along the Rio Grande, Without the support of the Texas delegation, efforts to expedite this reform would not have been stalled – jeopardizing the Lone Star State’s economic momentum and global competitive edge. Senators Cruz and Cornyn put it best when writing to then-President Biden:
“Mexico is a vital trading partner not only for Texas but for the entire United States. In 2023, $807 billion worth of goods moved across the U.S. southern border, making Mexico our country’s top trading partner.”
In addition to ensuring our cross-border infrastructure can efficiently facilitate international trade, it’s also critical we maintain the inherent strength of North America as the world’s preeminent trading bloc. That’s why TAB established the Texas Leads Trade (TLT) coalition – a strategic alliance dedicated to solidifying North America as an unrivaled force in global trade. With Texas as the backbone of North American commerce, TAB is committed to advancing tariff-free trade with Mexico and Canada, ensuring seamless economic exchange with our bordering neighbors. Now is not the time to backtrack on monumental agreements that benefit all Americans – we must prioritize a free-flowing channel of commerce to drive down costs on essential goods like groceries and gas – delivering tangible benefits for Texas businesses and families while reinforcing Texas’ role as the epicenter of North American Trade.
Whether it’s sustaining our cross-border infrastructure or ensuring that our nation’s trade policy continues to spur economic growth, TAB and the broader Texas business community are united in supporting efficient cross-border trade that impacts the economies of every single community across our great state. The Trump administration should continue to find ways to remove unnecessary barriers and ensure North American trade arteries remain open, efficient and tariff-free to support the continued economic growth of Texas, and positioning the U.S. to effectively compete with China and the rest of the world.
Glenn Hamer
President & CEO, Texas Association of Business
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Opinion: #DEXIT
The Lone Star State isn’t just open for business – it’s setting the gold standard: For the 13th consecutive year, we’ve won the Governor’s Cup for the most economic development projects, proving that no other state matches our momentum.
DEXIT
Meanwhile, as corporations are fleeing Delaware in what can only be described as a #DEXIT, Texas stands to capitalize on an opportunity to attract even more business incorporations.
SB 29 by Senator Bryan Hughes and HB 15 by Representative Morgan Meyer are catalysts for yet more economic growth, ensuring Texas becomes the unrivaled ‘Headquarters of Headquarters.’
These critical bills would amend the Texas Business Organizations Code (BOC) to provide greater certainty and clarity in corporate decision-making reviews, strengthening the Texas-sized magnet pulling business enterprises from across the nation and globe to incorporate here.
Earlier this week, I had the privilege of testifying before the Texas Senate Affairs Committee as well as the Texas House Committee on Judiciary & Civil Jurisprudence, where I highlighted the immense economic advantages and business opportunities the legislation will unlock. These bills sets their sights on making Texas the premier destination for legal incorporation. The proposed amendments to BOC will clarify how our courts review corporate decisions – fortifying businesses against opportunistic legal claim and ensuring their choices are safeguarded.
» Watch my testimony at the Texas Senate State Affairs Committee in support of SB 29
The bottom line? Delaware has dropped the ball. With Texas’ long-standing pro-business environment, we are seizing the moment to capitalize on their missteps by codifying our business judgment rule and shielding incorporated businesses from costly, frivolous litigation.
Just last week, Governor Greg Abbott emphasized the importance of this moment to harnessing the full potential of Texas’ pro-business regulatory climate in a column for the Wall Street Journal:
“Businesses domiciled in Delaware have a choice to make. They can stay and be subjected to increasingly unpredictable theories of liability. Or, like Americans before them, they can come to Texas. Unlike Delaware, the Lone Star State is open for business.”
“In 2023, I signed a law establishing the Texas Business Court—the state’s first new court system in more than half a century—to specialize in corporate governance disputes, derivative actions and complex commercial transactions… Texas’ Supreme Court, where any business appeals may ultimately land, is second to none.”
SB 29 and HB 15 are all about supercharging Texas' business-friendly environment, building on our favorable incorporation laws and specialized business courts. Paired with our pro-business atmosphere and new Texas Business Court system, these bills send a resounding message to companies, especially those fleeing regulatory landmines in Delaware and California: Texas is the place to be. As businesses flock to re-incorporate in the Lone Star State, we will experience a job-creating, innovation-driven future that will keep Texas firmly entrenched atop the economic ladder.
As Texans for Lawsuit Reform (TLR) Chairman Dick Weekley said following the introduction of SB 29 and HB 15:
“This critical legislation will further solidify Texas as the nation’s leader in business and economic development—and will draw even more companies to Texas, empowering them to create jobs and continue the Texas Miracle. TLR applauds Senator Hughes and Chairman Meyer for their strong leadership and for their commitment to business excellence in the state.”
SB 29 and SB 15 would cement Texas as the ultimate destination for business domestication. These bills deliver unmatched legal protection that will ease concerns found in states like Delaware that drown businesses in bureaucratic red tape. These bills would make Texas a far more reliable alternative to Delaware, whose laws have grown inconsistent and unpredictable.
These bills wouldn’t just sustain growth, but it by setting an even higher standard as the nation’s premier destination for business incorporations.
Glenn Hamer, President & CEO, Texas Association of Business
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Opinion: Addressing the Texas-sized Healthcare Mandate Problem for Employers and Hard-Working Texans
The views expressed here represent the perspectives of individual contributors and are not endorsements by TXLege News. Our aim is to encourage thoughtful discussion and present a range of viewpoints on issues that matter to Texans. Email info@uslege.ai for submitting opinion contributions.
Despite our state’s continued position as the top state for business, Texas grapples with some of the highest healthcare costs in the nation, ranking fifth overall. As a result, employer plan costs increased 16% in the last three years, forcing many businesses to drop coverage altogether. As a result, many hard-working Texas families are currently struggling to afford their children's medical care, often making painful sacrifices that jeopardize their health and financial stability.
Session after session, costly mandates and restrictive regulations pile up – undermining the ability of Texas businesses to lower costs and offer Texans affordable coverage. We have a Texas-sized mandate problem, ranking third in the nation for healthcare mandates that exceed federal requirements. As a result, private employers cover 50% of Texans, paying for most of their monthly premium costs. Meanwhile, 16.6 % of Texans remain uninsured – the highest rate in the nation.
This is just the tip of the iceberg; without urgent reform, we stand at the precipice of a full-blown health care disaster.
Small Businesses
Small businesses – the backbone of our economy – are disproportionately burdened by these mandates. Only 27% of small businesses are now able to offer health care coverage, a steadily declining figure. Additionally, Texas businesses are experiencing a 9% increase in health spending this year, making it harder to offer competitive employee benefits. Without immediate reform to curb excessive, outdated health care mandates and overregulation, the Lone Star State risks dismantling the very thing that makes our state great – a thriving business framework and unmatched opportunity. The Texas Legislature must act now before our bureaucratic red tape suffocates prosperity and leaves hardworking Texans behind.
This session, the Texas Legislature has the opportunity to begin reversing this troublesome trend by passing HB 138, sponsored by Representative Jay Dean (R-Longview). The bill introduces the Health Impact, Cost, and Coverage Analysis Program (HICCAP), a groundbreaking program designed to evaluate legislative proposals impacting Texas’ health care coverage.
This week, I testified in favor of HB 138, supporting the new HICCAP program to assess the financial impact of Texas health care legislation and bring cost transparency back to employers and Texas families:
» Glenn Hamer Testimony, HB 183
Texas already has the tools to bring back healthcare affordability to our hard-working residents. By utilizing Speaker Burrows’s , which passed in 2021 and established the Texas All-Payer Claims Database (APCD), lawmakers have access to readily available data with vital information on the legislative impacts mandates have on employers and families. By leveraging both APCD and the newly introduced HICCAP, Texas can bring pivotal transparency to health care policy and cost, ensure data-driven legislative proposals and protect affordable coverage for both employers and families. The tools are in place – now it’s time to use them.
HB 138 offers a bold opportunity to dismantle outdated, counterproductive policies that inflate costs and burden employers and families. This bill is a necessary step toward cutting through bureaucracy, eliminating unnecessary mandates and restoring affordability to our healthcare system.
We know that Texas’ status as an economic powerhouse is no accident – it is built on pro-business policies that attract employers here like a magnet. However, rising healthcare costs threaten to erode our competitive edge.
Critical Choice
The 89th Texas Legislature has a critical choice: Take decisive action and adopt HB 138 or allow outdated policies to jeopardize the very prosperity that has made Texas the economic envy of the world. We must re-instill affordability, transparency and stability in our healthcare system and rekindle the ‘Texas Miracle’ that makes our state one-of-a-kind.
Glenn Hamer
President & CEO, Texas Association of Business
We hope you enjoyed today’s read!
Opinion: From Classroom to Career
Welcome to Friday Forum, a weekly segment where we explore diverse opinions on the topics shaping Texas politics and business. The views expressed here represent the perspectives of individual contributors and are not endorsements by TXLege News. Our aim is to encourage thoughtful discussion and present a range of viewpoints on issues that matter to Texans. Email info@uslege.ai for submitting opinion contributions.
Last session
The Texas Legislature made a bold move to reshape the future of our state’s workforce development with the passage of HB 8. This landmark legislation introduced an innovative, outcomes-based funding model for community colleges, backed by an unprecedented $683 million investment. For the first time, the Lone Star State began rewarding colleges based on student success – whether that’s earning a degree or certificate, transferring to a four-year university or stepping directly into their careers. As the 8th largest economy in the world and home to 55 Fortune 500 companies, Texas must continue to invest in a dynamic, skilled workforce that fuels innovation, attracts global business and cements the Lone Star State as the nation’s premier hub for economic opportunity.
By 2030, over 60% of jobs in Texas will require a form of post-secondary education or training. Yet, fewer than 40% of Texas students earn a degree or workforce credential within six years of graduating high school. This workforce gap poses a serious problem – disqualifying young Texans from strong careers and making it increasingly difficult for employers to find qualified talent. With Governor Abbott declaring the expansion of career training an emergency item, Texas must act decisively to secure our economic future and preserve every student’s pathway to success.
Community colleges benefit businesses by providing a pipeline of skilled workers, offering affordable and accessible education, and fostering local economic growth through workforce development and business partnerships. TAB is proud of the work our friends at the Texas Higher Education Coordinating Board (THECB) and Texas Association of Community Colleges (TACC) do for the state of Texas.
This session
The Legislature has the chance to bridge this gap by passing HB 2110. Building on the innovative funding model established by HB 8, HB 2110 enhances support for work-based learning and deepens investments in strategic employer partnerships. This bill is designed to uplift the Texas workforce, closing critical skill gaps and attracting highly qualified talent to fill long-vacant positions – ensuring our state’s businesses and workforce quality keep pace with our rapidly growing economy.
Additionally, this legislation expands funding successful student transfers to four-year universities – an investment expected to increase the pipeline of degree-holding talent entering the Texas workforce. HB 2110 provides improvements built upon HB 8 making certain that our state’s students are not only equipped for academic success but are also prepared to meet the demands of an increasingly competitive and innovation-driven business environment.
Megan Mauro, TAB’s Executive Vice President and Chief of Staff, testified before the Texas House Higher Education Committee this week in strong support of HB 2110, highlighting the legislation as a strategic component of TAB’s mission to sustain Texas’ pro-growth, pro-jobs business climate and uphold the principles of free enterprise that define the Lone Star State:
»»» USLege@USLege_ai
TAB is proud to champion forward-thinking policies that invest in Texas’ future generations—cultivating a workforce equipped not only with in-demand skills, but with the credentials that align with the evolving needs of our state’s economy. The passage of HB 2110 sends a clear message to the nation: Texas is leading the charge in aligning education with workforce demands. This investment not only strengthens educational pathways but also fuels the engine of our world-class business environment – ensuring the Lone Star State continues to lead, thrive and redefine excellence on the national stage.
TAB applauds Representative VanDeaver and Governor Abbott for their leadership in advancing this vision and driving Texas’ innovative future. By working in partnership, the Texas business community and Legislature can help safeguard long-term prosperity and ensure the Lone Star State remains the nation’s – and the world’s – most dynamic economic engine.
Glenn Hamer
President & CEO, Texas Association of Business
We hope you enjoyed today’s read!