Record-Setting Budget Could Be Key for IT Upgrades, Broadband Expansion

The Texas Legislature convened with an “astonishing” $32.7 billion cash carryover in the estimated biennial budget, as per State Comptroller Glenn Hegar.

Hegar released the Biennial Revenue Estimate (BRE) on Monday, “showing the state is projected to have a record $188.2 billion in revenue available for general-purpose spending during the 2024-25 biennium, a 26.3 percent increase from 2022-23,” according to the release.

These funds could be key to an unprecedented upgrade of state IT systems. There is an ongoing push for IT modernization and to streamline data and processes while upgrading the customer experience for residents across the state.

“State revenue from all sources and for all purposes is expected to reach $342.3 billion for the 2024-25 biennium, including about $108.4 billion in federal receipts, along with $68 billion in other income and revenues dedicated for specific purposes and therefore unavailable for general-purpose spending,” the release said.

Hegar, whose office oversees the Broadband Development Office, said that these funds “can impact people for decades to come,” and it is imperative to make prudent decisions while looking to the future, he said later during an interview webcast by the Texas Tribune.

He spoke of the 1,000 people moving to the state each day.

“People move here for economic opportunity. That means that we have got to continue to invest in our infrastructure, whether that's road infrastructure, or one that is … near and dear to me … connecting this world.”

About broadband, he emphasized that “connectivity is literally the highway system of this century.”

“It's amazing that we have 3 million households in the state of Texas, 7 million people that have no connectivity in and out of their home. Even if they want it, they don't have it,” Hegar said. “I think that infrastructure is so needed.”

He also reminded the audience that most funding is earmarked and would go to traditional spends such as public health, education and transportation.

Hegar didn’t explicity mention IT; however, there are multiple agencies requesting supplemental funding for IT and tech projects, which include the state’s Department of Health and Human Services, multiple universities, the Texas Secretary of State and Department of Information Resources (DIR). Agencies hope for funds to start, continue or complete projects of various sizes.