James Quintero, Policy Director at the Texas Public Policy Foundation's (TPPF) Taxpayer Protection Project, reported that Texas' local debt increased by $44 billion over one year, reaching $461.3 billion in 2023. This information was part of a broader analysis of local government debt in Texas.
"Texas' local debt rose $44 billion over one year to reach $461.3 billion in 2023," said Quintero, Policy Director, Taxpayer Protection Project.
According to the report by TPPF, public school districts have accrued the most debt, totaling $185.5 billion in Fiscal Year 2023. This figure represents over "40% of everything borrowed." Following public school districts are cities and water districts, accounting for 30.1% and 14%, respectively.
The Texas Comptroller Glen Hegar said that the 84th Legislature of Texas passed House Bill (HB) 1378 in 2015 to increase transparency regarding local government debt. Under Local Government Code §140.008, "political subdivisions, including counties, cities, school districts, junior college districts, certain special purpose districts, and other subdivisions of state government must annually compile their debt obligation data from the preceding fiscal year and either: 1. report it to the Comptroller of Public Accounts for posting or, alternatively, post the information on their own websites."
Outlined in the TPPF report are suggestions for reform for the next Texas Legislature that include: "requiring bond elections to be held exclusively in November so that the greatest number of voters have a say; establishing minimum voter turnout requirements so that a tiny minority isn’t making outsized decisions; reforming the use of certificates of obligation to prevent local governmental entities from abusing nonvoter approved debt instruments; and embracing greater government disclosure requirements so that voters know the cost of what they’re voting on."
Quintero has been with TPPF since 2008 focusing mainly on local government issues such as "taxes, spending, and debt." He holds a Bachelor's degree from the University of Texas at Austin and a Master's degree in Public Administration from Texas State University. He is currently pursuing a Ph.D. in public policy from Liberty University.
