Opinion: Texans are Demanding Universal ESAs
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.
The Debate
The debate about school choice is over. What matters most now is the integrity of the education savings accounts (ESAs) program that the legislature will create during the 89th session.
The debate is over for three essential reasons. First, the governor, lieutenant governor and speaker all support school choice. In 2024, Governor Greg Abbott spearheaded a fierce political campaign to unseat House Republicans who torpedoed ESAs in November 2023 during the fourth special session. The new class of Republicans features some amazingly talented people – Katrina Pierson, Hillary Hickland, Joann Shofner, Janis Holt, Shelly Luther, Brent Money and Marc LaHood to name a few – who campaigned on school choice and will help lead passage of the bill.
Lt. Governor Dan Patrick has been a stalwart on the issue for years. As a senator in 2013, he authored SB 23 to create a school choice program and successfully passed the bill out of the Education Committee. Since then, the Texas Senate has passed no less than six bills to empower parents with educational choices, including several universal ESA bills. Dan Patrick is chiefly responsible for those victories.
Speaker Burrows voted for ESAs at least three times in 2023, twice supporting Chairman Brad Buckley’s work on an ESA bill and opposing former Rep. Abel Herrero’s decade-long budget amendment to prohibit funding for any type of school choice program.
Second, President Trump is solidly for school choice. Any Republican who opposes school choice now risks the ire of the President, who has made it de rigueur to expose wayward Republicans on social media and recruit candidates in primaries. Relatedly, every right-of-center think tank that engages in education policy supports school choice led by TPPF and TCCRI and Families Empowered in Texas; AFC, Yes Every Kid, EdChoice and Heritage Foundation nationally. There’s no daylight between President Trump and these organizations on the issue of school choice.
Third, the respective education committee chairmen, Sen. Brandon Creighton and Rep. Buckley, have done the spadework with their colleagues to establish credibility for an ESA bill. In 2023, Chairman Creighton passed out of the Senate a universal ESA bill three times. At the same time, Chairman Buckley sponsored SB 8, a parent’s bill of rights which included an ESA, and authored a nearly universal ESA, but neither was enacted.
The political debate is done.
Now, the legislature must fashion a bill that learns from best (and worst) practices in other states. A sound ESA plan would include several key provisions.
1. Universal eligibility with appropriations mechanisms to fund demand. Like the public school system that will accept any student, the ESA program should not exclude any school-aged child. While appropriations will ultimately cap how many children can enter the program in the first year, every child should be eligible. In future years, the program should fully fund an ESA for every eligible applicant. This will avoid the current situation in Texas public charter schools, where 76,000 children sit on waitlists as their parents seek, but are denied, educational opportunity. As a parallel, Florida has more than 500,000 students in its ESA and has 3.8 million school-age children. Because Texas has 6.4 million school-age children, we expect our ESA student population to quickly eclipse Florida’s.
2. A payment system that is trusted, ubiquitous, fast, and secure. Other states have online plus out-of-pocket systems using a single online web portal through which parents purchase educational expenses from approved vendors. However, a state-approved web portal cannot include all approved expenses from all approved vendors, which leads to a stop-gap solution in which states encourage parents to pay out-of-pocket for approved educational expenses and then seek reimbursement. As Arizona shows, this is a mistake that has caused transactions to take months to process. Texas can do better by designing a payment system that should meet four criteria:
- Allow parents to conveniently pay providers for educational expenses
- Complete transactions almost instantaneously
- Maintain privacy, and
- Prevent fraud and theft.
If these criteria are met, a Texas ESA will earn the trust of parents and schools. A model already exists in Health Savings Accounts (HSAs).
3. Support for parents is essential. Marketing research from other states shows there is a remarkable lack of awareness about ESAs: 46% of parents in Florida and Arizona are not aware of their state’s ESA program despite Arizona’s launching in 2011 and Florida’s in 2019. The Texas program should support participating parents:
- Select a provider chosen by the parent
- Complete an application for a provider such as a school
- Manage a student account, including payment planning
- Comply with program requirements, including deadlines, and
- Appeal a program decision.
4. Protect religious liberties and guard against regulation of families and schools. This could be achieved by making the program entirely opt-in for both students and providers and holding the money in an account for the benefit of the student and not a provider or vendor. The law should also clearly protect educational creeds, practices, admissions policies, curricula, performance standards, and employment policies. The only substantial requirement would be for program participants to take a nationally norm-referenced test or the STAAR exam to track performance.
5. Allow public institutions to serve ESA students. One of the least known provisions of the 2023 ESA bills was that any accredited public or private school could serve ESA students. This would allow visionary public school leaders to serve key groups that they know need support, including pre-kindergarten children or students who are especially vulnerable to summer slide. They could also offer programs of study to homeschooled high school students - and this is only the beginning.
The Covid-19 pandemic was eye-opening for many parents, with 60% reporting that their educational preferences and expectations changed and 80% now saying that their child’s learning could and should happen anywhere. Remarkably, half (48%) of parents are interested in new or different learning pathways. As a result, ESAs expanded rapidly. In the 2018-19 school year, just under 20,000 children participated in ESAs. Preliminary data for the 2024-25 school year shows that there are currently about 860,000 ESA students.
Texas families want educational opportunity, and they elected lawmakers who will deliver it.
John Colyandro and Michael Barba
Colyandro Public Affairs
John Colyandro served as Senior Advisor and Policy Director for Gov. Greg Abbott and his policy director on three statewide campaigns. Colyandro also served as Director of the Texas Conservative Coalition, a legislative caucus. Barba most recently served as the Policy Director of K-12 Education at the Texas Public Policy Foundation. Prior to this, he served as a specialist on the System of Great Schools (SGS) team at the Texas Education Agency.
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Opinion: The Texas Century
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.
For Texas, the hits keep coming. You’ve seen the news:
- Chief Executive Magazine has named Texas the best place for business for 23 straight years
- We just took home a 12th straight Governor’s Cup from Site Selection Magazine for the best state for business
- We are the Top Exporting state for 21 years in a row
- Home to the most Fortune 500 headquartered companies (55)
- And we’ve led the nation in population growth for the past 18 years
Oh, and Texas is the 8th largest economy in the world.
This is not an overnight success story, and it’s not the so-called “Texas Miracle.” It’s a story about the value of free enterprise, visionary entrepreneurs, innovation, and YES – limited government that allows these things to flourish.
It’s a success story built – purposely -- over the last 30 years. Let me explain.
Let’s talk about the future and how we got here.
The Texas entrepreneurial spirit – yes. Vast natural resources – true. But it’s also about state government not overtaxing and overspending.
And not just staying out of the way but supporting public policy to allow business – particularly small business, which is 55% of net new jobs– to flourish.
And we’re not slowing down; Texas added 78,000 jobs in August, a 12th straight month of growth, while most states are contracting. Texas led all states for jobs gained over the month and over the year and again set new records for total jobs, the number of Texans working, and the size of the Texas labor force.
In the mid-2010’s, an organization I co-founded (“Texas 2050”) with major Texas business and trade organizations began planning for a job-creating, strong Texas economy. Our core mission was to position Texas for economic growth over the long term. Today, we are seeing some of those objectives come to fruition.
In 2023, the 88th Texas Legislature:
- Made big investments in infrastructure (roads, water, broadband, semiconductors, and space)
- Cut property taxes for homeowners and businesses by $ 18 Billion
- Made new investments in manufacturing by passing HB 4 to create Chapter 403
- Invested substantially in public and higher education, including community colleges
- And kept a sizable surplus for good measure
What’s the next world-class industry for Texas to lead? In addition to space and semiconductors, it may very well be data centers. A recent hearing of the Texas Senate Business and Commerce Committee made clear: expansion of the Texas data center sector will be critical to meet the needs of our modern economy.
In the digital age, data is not just a byproduct of our activities; it is the core asset that fuels innovation, drives efficiency, and propels economic growth.
As organizations increasingly rely on data analytics, cloud computing, and advanced technologies to gain a competitive edge, the demand for robust data center infrastructure has never been higher. The industry is poised to invest $ 200 Billion a year – and almost $ 1 Trillion over the next five years – in data centers to process information in our modern world. That’s an incredible amount of capital investment and Texas should see a good chunk of it if we don’t regulate ourselves out of the conversation.
This makes Governor Abbott, Lt. Governor Patrick, and others’ call to double investment in the Texas Energy Fund a wise move, indeed.
That data flow will include Artificial Intelligence (AI), supportive of legislative information like the USLege platform, another obvious boom sector that Texas can and should understand, lead, and control. Some consider it a national security issue.
Forward-thinking isn’t new to Texas. The oil and real estate crash in Texas in the mid-1980’s was a tough time for many. Amid the crash, the Texas Legislature had the foresight to establish the Economic Stabilization Fund (ESF), more commonly known as the “Rainy Day” Fund, to sock money away for the next tough time.
Today, the ESF is approaching $20 Billion dollars and helps Texas keep the highest credit rating on the market.
Has Texas benefited from bad decisions in other states? Sure. But we didn’t follow those states over the cliff.
While Texas has inherent advantages and a policy climate built for growth, tax incentives still help. A modernized incentive called the “Texas Jobs, Energy, Technology, and Innovation Act” (JETI Act) will encourage development of projects for things to add capacity to our power grid, such as a natural-gas-fueled generator or batteries, production of hydrogen fuel, a seawater desalination project, oil and gas facilities, fossil fuel power generators and semiconductor fabricators.
I fully expect the 89th Texas Legislature to continue investing in job growth, perhaps with emphasis on skills training and workforce development and, dare we say, more tax cuts. After all, we are expecting a budget surplus of around another $ 20 Billion when the Legislature convenes in January.
I mentioned earlier that Texas is the 8th largest economy in the world. If recent trends continue, today Texas will add another 2,500 jobs and U-Haul will rent 10 trucks on the way from job-killing California to business-friendly Texas, and just 1 truck going the other way.
We are almost a quarter into the 21st Century and a strong foundation is set to carry Texas for many more years.
- Texas has a public policy climate built for growth. We encourage innovation, we don’t stifle it with needless regulations
- No state income tax – attractive for employers because their employees love it
- A strong economic development ecosystem – from the executive branch to local Chambers of Commerce and EDC’s, the best in the country
- A robust and skilled workforce that’s growing and adapting to innovation
We are set up for long-term success that we might someday call the “The Texas Century.”
Craig Casselberry is the Founder & CEO of Quorum Public Affairs, Inc. You can follow Craig on X and Linkedin.
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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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Texas Political Spotlight: Texas GOP Divided on THC Ban Plans
Welcome back, friends
Miller urges GOP unity on the issue and supports expanding medical marijuana access while opposing recreational use.
Today’s Insights:
- Texas GOP Divided on THC Ban Plans
- Lawmakers Eye Social Media Restrictions for Minors
- Texas Grid Ready for Winter, but Cold Risks Remain
Image Credit: Brian Rosenthal, Houston Chronicle
Texas GOP Divided on THC Ban Plans
Texas Agriculture Commissioner Sid Miller disagrees with Lt. Gov. Dan Patrick on the future of THC in the state. Patrick recently announced a bill to ban all consumable THC but clarified it would not impact the Compassionate Use Program for medical cannabis. Miller, however, believes the GOP should unify on this issue and reflect the will of Texans, citing a Texas Lyceum Poll where 60% supported marijuana legalization. Although Miller opposes recreational marijuana use, he advocates for expanding medical marijuana access to all Texans with legitimate needs. He states:
“It’s about freedom. It's about less regulation. It's about less government. It's about freedom between you and your doctor and getting government out of your life.”
"So, I think it's a conservative issue."
Lawmakers Eye Social Media Restrictions for Minors
Texas lawmakers are considering measures to protect children from online dangers, including a proposed ban on minors creating social media accounts, outlined in House Bill 186 filed by Rep. Jared Patterson. Educators and law enforcement officials have raised concerns about cyberbullying, online grooming, and exposure to harmful content, much of which originates from students’ widespread access to smartphones, including on school campuses. Schools report difficulties in addressing these issues due to limited resources and students’ ability to bypass campus internet restrictions.
During legislative hearings, testimony highlighted the impacts of social media on minors, including cases of mental health struggles, exploitation, and grooming facilitated by online platforms. Proposed solutions include funding internet crimes units, deploying artificial intelligence to detect explicit content, and strengthening legal requirements for technology companies to monitor and remove harmful material. Law enforcement agencies report being inundated with thousands of monthly tips about online child exploitation but face challenges due to staffing shortages.
Supporters of House Bill 186 and other proposed initiatives point to studies showing nearly all teens and many younger children regularly use social media, often without adequate safeguards. The upcoming legislative session will prioritize addressing these risks while navigating challenges around enforcement and the role of technology companies.
Image Credit, FOX 4 KDFW
Texas Grid Ready for Winter, but Cold Risks Remain
Texas’ main power grid is better prepared for extreme cold this winter, thanks to new power generation and weatherization improvements made since the devastating 2021 Winter Storm Uri. ERCOT officials highlighted the addition of over 10,000 megawatts of capacity, including 5,155 megawatts of solar power, 3,693 megawatts of storage, 724 megawatts of natural gas, and 616 megawatts of wind. These upgrades have reduced the risk of grid emergencies during peak demand from 11.6% last winter to 8.7% this year. ERCOT meteorologist Chris Coleman forecasts a warmer-than-average winter overall but warned of a higher likelihood of extreme cold events, with current atmospheric patterns resembling those seen during Uri.
Governor Greg Abbott emphasized the state’s readiness this past week, pointing to legislative measures and ERCOT’s 2,892 inspections of facilities to enforce new weatherization standards. Despite the improvements, ERCOT acknowledged ongoing challenges, such as increased winter electricity demand, which reached a record-breaking 78,349 megawatts in January 2023. Additionally, renewable sources like solar and wind generate less power during cold months, making consistent supply a concern. Officials noted that while conditions are better than in 2021, another extreme storm would still test the grid’s resilience.
We hope you enjoyed today’s read!
