Texas 88th Legislature 2023: Venture Bills

For this 88th Texas Legislative session, there are a few venture bills that encourage support for innovative companies and/or provide financial incentive to grow and invest in startups across the state.

THE PROCESS

Bills are legislative proposals that are introduced by at least one representative, and are assigned a number in the order they are introduced. The representative(s) then host public committee or sub-committee hearings to research, deliberate, and make changes to the bill. It’s then voted on by either the House of Representatives, and/or the Senate Chamber depending on which it was introduced. If it’s successful in one chamber, it moves through the other. When a bill is finally signed, it then becomes the law.

The legislative session ends May 29th and only occurs every other year here in Texas. As a side note, most states meet and pass laws every year, but because of Texas’ history and being such a large state, it was difficult to meet every year back in the “horse and buggy” days. This of course is just a summary of the process, but more information can be found here.

OVERVIEW OF TEXAS HOUSE BILL 2466 / SENATE BILL 1478

Bill Summary: Relating to the creation of a grant matching program for the federal small business innovation research and small business technology transfer programs. The State of Texas funding amount is proposed to be $10M-$25M, with at the moment currently defined grant brackets of $2,500, $100,000, and $100,000 per year, for no more than two years.

OVERVIEW OF TEXAS HOUSE BILL 1718

Bill Summary: Relating to rural development funds and insurance tax credits for certain investments in those funds; authorizing fees. This effort will incentivize venture capital investment into rural towns.

These venture bill efforts will continue to evolve and grow, but this page will be the most up-to-date record and resource the Texas Venture Alliance organizes to communicate the progress in the Texas Capitol. More updates on how and when to participate will be regularly shared via newsletter as well.

Other bills to keep an eye on:

Texas House Bill 2060: Relating to the creation of the artificial intelligence advisory council.
Texas House Bill 5174 / Texas Senate Bill 2288: Relating to the creation of the Texas semiconductor innovation consortium and fund.
Texas House Bill 1515: Relating to the continuation and functions of the Texas Economic Development and Tourism Office (regarding space and aviation industries).

RELATED:
We have conducted a summary review of former venture efforts, the Emerging Technology Fund from 2005-2015, here.