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Gina Hinojosa Sets 5 Bold Priorities for Texas

Gina Hinojosa outlined her first-year agenda as Texas governor-elect, from a $1,500 household refund to a data center permit pause. Here is what she said, what the bill would do, how Republicans and experts responded and what it means for you.

Texas State Capitol dome in Austin, where Gina Hinojosa will take office as governor

Gina Hinojosa, the Democrat elected governor of Texas this month, laid out her first-year agenda in a wide-ranging interview with Hearst Newspapers on Friday, putting a $1,500 household refund, a pause on new data center permits and higher teacher pay at the top of her list. The interview, published Saturday by the Houston Chronicle, came days after a state senator filed a bill to carry out her signature payment plan.

The governor-elect will take office in January with a divided Legislature: Democrats now control the Texas House for the first time since 2002, while Republicans keep a 19-12 majority in the state Senate. That split will shape how much of the Gina Hinojosa agenda can pass.

Texas State Capitol dome in Austin, where Gina Hinojosa will take office as governor
Photo: Unsplash

What Gina Hinojosa Said About Her First Priorities

In the interview, Gina Hinojosa described the $1,500 payment as a tax refund rather than a new social program. She said it would be funded with $17 billion from the state's rainy day fund and called it a top priority when lawmakers return in January.

Gina Hinojosa also said she plans to declare a cost-of-living emergency on her first day in office, with its end tied to prices stabilizing, and promised an economic development plan that favors small businesses. She said she sees no need to raise state revenue and would look for savings in state contracts and the Texas Education Agency.

Data centers and the power grid

Gina Hinojosa told Hearst she will impose a moratorium on state permits for data centers until laws are in place to protect Texans, including projects that have permits but are not yet running. She said ending state tax breaks for data centers is something that needs to happen, and described a Republican senator's bill to do that as not enough on its own. She said she also wants local communities to have a real say, along with water and grid protections, and called the lack of such protections by the end of the session a red line.

Earlier in the campaign, she told KPRC in Houston that she wants data centers to pay sales tax on the electricity they use, saying the current exemption costs the state more than $1 billion a year. See our earlier coverage of a proposed data center moratorium in Congress.

Schools, vouchers and teacher pay

On education, Gina Hinojosa said she wants what she called real teacher compensation rather than performance-based pay, and more money for public schools. She described a full school finance overhaul as a heavy lift that may not happen this session, but said she sees bipartisan support for school funding. On the 2025 education savings account program, she said she wants the money directed to public schools and pre-K, and described the next six months as "one big negotiation."

"My priority is public money and public schools," she told KPRC during the campaign.

The $1,500 Bill Behind the Gina Hinojosa Plan

The payment plan already has legislation behind it. On Nov. 10, Democratic state Sen. Roland Gutierrez of San Antonio filed Senate Bill 297, which would send a one-time $1,500 payment to each Texas household, according to the Texas Tribune and FOX 7 Austin. The bill text is available through the Texas Legislature Online portal.

  • Amount: $1,500 per household, not per person.

  • Eligibility: households living in Texas as of Jan. 1, 2027, according to the Tribune. The bill does not say whether recipients must be U.S. citizens, the Tribune reported.

  • Who runs it: the state comptroller would set up eligibility and distribution and could use data held by state agencies to verify residents.

  • How to claim: residents could apply online or by mail with documents such as a lease or utility bill. The bill directs the comptroller to write rules for people without a permanent address.

  • Timing: the target is to pay most households by the end of 2027, with applications open through the end of 2028.

  • Cost: $17 billion from the Economic Stabilization Fund, which holds more than $27 billion.

The Tribune estimated that about 11.6 million households live in Texas and said the $17 billion, minus up to 1% for administration, would fall at least $400 million short of covering all of them. State law generally bars direct payments to individuals except in a "public calamity," and the bill declares the affordability crisis to be one. The Tribune said it is unclear whether that approach is legal.

The votes it would need

Spending from the rainy day fund requires a two-thirds vote of members present in each chamber. With Democrats in control of the House, the bigger test is the Senate, where the Tribune reported the plan would need support from at least nine Republicans.

How Republicans and Experts Have Responded

No Republican statement on Senate Bill 297 itself appeared in the reports reviewed for this article. The Texas Tribune noted that GOP lawmakers have criticized efforts to send cash directly to Texans in the past and have instead pursued relief through property tax cuts. During the campaign, Gov. Greg Abbott's campaign said Gina Hinojosa had voted 40 times to raise property taxes, a claim she disputed in her KPRC interview while defending local control.

Lt. Gov. Dan Patrick, a Republican, has called for Senate rule changes that would reduce the powers of Democratic Lt. Gov.-elect Vikki Goodwin before she takes office, according to Texas Public Radio. Under Texas law, outgoing Republicans keep power through the first week of the session, a window in which the Senate can change its rules by simple majority and confirm appointees.

Some economists have raised inflation concerns. John Diamond of Rice University's Baker Institute told the Tribune that $17 billion is modest compared with the state's roughly $2.9 trillion economy but could still add to price pressures. "You really don't want to add any fuel to the fire," he said. Gina Hinojosa has said economists who reviewed the plan believe a state payment would not have the same effect as federal pandemic checks because of its smaller scale.

Gina Hinojosa on Immigration, ICE and the Border

In the Hearst interview, Gina Hinojosa said she will not tolerate what she called political theater in Operation Lone Star spending and will review what state troopers do during ICE operations and under what authority. She also said she does not believe the votes exist to overturn the law requiring most sheriffs to seek 287(g) agreements with ICE.

The Texas Observer reported this week that about 350 Texas law enforcement agencies have entered task-force partnerships with ICE since President Trump took office, including Department of Public Safety divisions. Those agreements let DPS withdraw at any time, a decision that rests with the agency's director. Randy Erben, Abbott's former legislative director, told the Observer, "Agencies are not going to continue conduct that the governor, once she takes office, is unhappy with."

Working with Republicans and the White House

Gina Hinojosa said she has not met resistance from Republican legislators so far but has not yet held policy talks with them. She said she has not spoken with President Trump and would welcome the opportunity, and that she is open to working with Elon Musk on terms that are good for Texans.

What It Means for You

For Texas households, nothing changes yet. No payment has been approved, and there is no application to fill out. Any claim that you can sign up now for the $1,500 refund should be treated as a possible scam. If the bill passes, the state comptroller would announce how to apply, and official details would appear on comptroller.texas.gov.

Our analysis: if you want to be ready in case the plan becomes law, it may help to make sure a lease, mortgage statement or utility bill shows your current Texas address. Renters who move often may want to keep records showing where they lived on Jan. 1, 2027, since that is the date the bill uses.

Bills, schools and health care

Utility customers and communities near proposed data centers may be affected if a permit moratorium takes effect, since supporters say it is meant to protect water and grid capacity. Parents and teachers should watch the school funding and teacher pay debate once the session begins. Gina Hinojosa has also said she supports pushing for Medicaid expansion, which would require legislative approval; our coverage of federal Medicaid work rules explains separate changes coming at the national level.

Our analysis: because Republicans hold the Senate and spending from the rainy day fund needs a two-thirds vote, the final shape of any refund, if one passes, could differ from the governor-elect's proposal. Following Gina Hinojosa's negotiations with Senate Republicans in January will be the best guide to what reaches your mailbox.

This article is for information only and is not financial advice.

Sources: Houston Chronicle/Hearst Newspapers (via Longview News-Journal), The Texas Observer (via San Antonio Current), The Texas Tribune, Texas Public Radio/San Antonio Report, KPRC Click2Houston, FOX 7 Austin, Texas Legislature Online.

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