BILL ANALYSIS

H.B. 530

By: Troxclair

Intergovernmental Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

There currently exists no prohibition under the Local Government Code on political entities in Texas creating guaranteed income programs. The bill sponsor has informed the committee that these programs redistribute taxpayer funds unfairly, ultimately undermining their intended purpose by pulling resources from the very communities they aim to support, exacerbating poverty rather than alleviating it. H.B. 530 seeks to avoid the inappropriate expenditure of taxpayer money by prohibiting political subdivisions from operating guaranteed income programs.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 530 amends the Local Government Code to prohibit a political subdivision, unless explicitly authorized by law, from adopting or enforcing an ordinance, order, regulation, or other measure that establishes or provides for the operation of a guaranteed income program. The bill defines "guaranteed income program" as a program under which an individual is issued an unconditional cash payment on a regular basis to be used by the individual for any purpose. The term does not include a program under which an individual is required to seek employment, perform work, or attend career or job training as a condition of receiving a payment.

H.B. 530 establishes that an ordinance, order, regulation, or other measure that establishes or provides for the operation of a guaranteed income program in effect before the bill's effective date may be enforced until the earlier of January 1, 2026, or the expiration of the ordinance, order, regulation, or other measure.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2025.