Donna Finley, a restaurant operator in East Texas, and others have expressed concerns that Senate Bill 2026 could render essential point-of-sale systems obsolete and jeopardize the operations of local restaurants, shops, and service providers. This statement was made in a press release on April 3.
"Point-of-sale system, which allows servers to manage tabs, calculate taxes, split checks and ensure accurate payment, would become obsolete," said Finley. "I have invested thousands of dollars in this system because it reduces fraud, streamlines service and allows customers to pay the way they want — by card."
Senate Bill 2026, authored by Senator Donna Campbell during the 89th Texas Legislative Session, seeks to prohibit the addition of swipe fees to taxes, tips, or other fees during electronic payment transactions. The bill authorizes the Texas Attorney General to pursue civil penalties of up to $1,000 per violation against businesses that fail to comply with the regulation. According to the Texas Legislature Online, after public testimony was heard on April 3, 2025, in the Senate Committee on Business & Commerce, the bill was left pending in committee.
According to a press release, Caroline Willard, President/CEO of the Cornerstone League, said "Senate Bill 2026 and House Bill 4124 pose a serious threat to the financial well-being of Texas consumers and the credit unions that serve them. These bills would disrupt the fair and balanced financial ecosystem by limiting credit unions' ability to offer competitive, member-focused services."
Christopher Williston, President and CEO of the Independent Bankers Association of Texas, added that "the perennial failure of this proposal around the country points to the fact that it is fundamentally inoperable, standing to disrupt the payment flow of every business in America. It’s an ill-conceived money grab by big retailers who benefit from the convenience of payments and banks’ covering the cost of rampant debit/credit fraud but don’t want to help cover the costs." A similar law in Illinois was recently blocked by a federal court. The Chicago Tribune described it as "credit card chaos," while the Illinois Office of Comptroller of Currency said in press reports that it was "ill-conceived," "largely unworkable," and "bad policy."
Proponents like Emily Knight Williams, President and CEO of the Texas Restaurant Association, said that "SB 2026 tackles the unjust practice of charging restaurants and other local businesses swipe fees for dollars they never keep—government taxes and employee tips."
