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Texas Will Likely Spend More than $330B in Biennial Budget

Budget bills filed Wednesday reflect overall spending to include $150 billion in general revenue with hundreds of millions in tech spending for some agencies.

Rows of empty leather seats with a seal for the state of Texas on them.
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The Texas House and Senate have filed their versions of the 2026-27 general appropriations bills, which each include about $150 billion in general revenue.

The state budget is comprised of state revenue and federal funding. Senate Bill 1 proposes $332.9 billion in total spending, while House Bill 1 proposes $335.7 billion.

Now that the bills have been filed, hundreds of stakeholders will testify in committee. For instance, the Health and Human Services Commission will be part of the 10 a.m. Feb. 3 Finance Committee hearing.

HHSC has a laundry list of IT and tech-related projects that made SB1. There are 24 items listed under "Acquisition of Information Resources Technology" costing $483.3 million in FY2026 and $416.6 million in FY2027.

In addition, dozens of agencies large and small have requested more technical staff and multiple IT projects in the coming years, from the Historical Commission asking for about $1 million for an online ticketing and shopping system to the Department of Public Safety requesting $221 million for critical IT infrastructure.

A few items of note, as reported by The Dallas Morning News, include:
  • $6.5 billion for Operation Lone Star, SB1
  • $5 billion for the Texas Energy Fund, SB1
  • $1.1 billion to secure public data and address cybersecurity, HB1
  • $509 million for emergency preparedness, SB1
Read more Industry Insider — Texas 89th Legislature reporting here.
Rae D. DeShong is a Dallas-based staff writer and has written for The Dallas Morning News and worked as a community college administrator.