Relating to the amount and allocation of the annual constitutional appropriation to certain agencies and institutions of higher education and to the permissible uses of that money.

More funding for Texas public colleges

Beginning September 1, 2025, annual funding for eligible Texas public colleges rises from $393.75 million to $590.625 million. The new amount starts in fiscal year 2026, ending August 31, 2026. It is the increase set for the five-year period beginning September 1, 2025. The law sets annual amounts for named institutions across the North Texas, Texas State, Texas Tech, Texas Woman’s, Houston, Texas A&M, and Texas State Technical College systems, plus Texas Southern University. Examples include $82.671774 million for Texas Tech, $70.708909 million for the University of Houston, and $65.142741 million for North Texas and its Frisco campus. Allocations reflect space needs, building condition, and institutional complexity, with a separate amount for the technical college system. Texas Woman’s University’s board divides its system’s $19.536274 million among its institutions. Payments require a claim and state payment authorization, generally after eligible goods or services are delivered; authorized debt and library-material payments are exceptions. Participating boards can also choose to pay principal and interest on Chapter 55 bonds used for constitutionally allowed purposes. Houston–Victoria’s $6.030405 million follows the university into the Texas A&M system if Senate Bill 2361 or similar transfer legislation becomes law. The funding increase and five-year determination require approval by two-thirds of both legislative chambers. This funding goes to institutions, not directly to households.