The 90th Texas Legislative Session will address key issues, including state budget priorities, property tax reform, school finance and data center regulation. The session also presents important challenges for the accounting profession. Learn how TXCPA is preparing its 2027 legislative agenda to protect the profession and keep members informed of developments.
By Kenneth Besserman, JD, LLM
On January 12, 2027, the 90th Session of the Texas Legislature will begin. Texas is one of four states that meet biennially. Meeting for only 140 days every two years significantly compresses and speeds up timelines, deadlines, committee work, coalition building, state budget negotiations, and passing meaningful legislation for the state.
While 140 days is not considered an exceptionally long session, much can be done in that brief time. The classic Texas political joke is appropriate for the start of every legislative session – the state would be much better off if the Legislature met for two days every 140 years instead of 140 days every two years.
The 2027 legislative session will be consequential for a number of reasons. First, the state will not have the large budget surpluses it has had for the last many sessions. While a small surplus is expected, it will not be close to the $20 or $30 billion surpluses of years past. Smaller federal funding allocations and a growing state with growing infrastructure needs are priorities that state legislators must tackle in 2027.
The perennial debates and battles over property tax reform and school finance will be center stage once again in 2027. Beyond property tax reform, the state budget and school finance, the issues surrounding data centers – from regulation, usage and taxation – have become the hot issue in Texas and the nation. The sizable number of data centers in Texas, along with the large number under consideration and early construction, has placed Texas at the forefront of the issue.
The regulation of data centers is focused on whether state governments, local governments or some combination of both should oversee the development, regulation, tax policy, and oversight of data centers. This debate is not partisan but cuts across all sectors of Texas – from rural to urban, from Democrat to Republican, from counties/cities to state government, and many other segments of the state.
Much of what will be discussed, debated and voted upon during the 2027 legislative session depends on the November 2026 general election. (At the time of writing, the election has not occurred, and the final makeup of the Texas House and Senate is unknown.) While the Republicans will likely continue to control both houses and state offices, the makeup of the Legislature may create different coalitions and different priorities.
The accounting profession may also face some headwinds in the 2027 session. Legislation has been filed in many states over the last several years that seeks to deregulate professional licensing – everything from reorganizing boards of accountancy to lowering educational and experience requirements to legislating different continuing professional education requirements. All of these legislative initiatives would affect the accounting profession, the CPA license and, most importantly, would affect CPA practice mobility.
TXCPA and state societies around the country have worked diligently and quickly to ensure that an additional pathway to CPA licensure passed and also to modernize and strengthen CPA practice mobility. CPA practice mobility is often referred to as the “gold standard” of professional practice mobility. TXCPA will be closely watching all of these deregulatory efforts and this will become the highest priority for TXCPA in its 2027 legislative agenda.
TXCPA’s Legislative Advisory Committee and Board of Directors will be finalizing the Society’s legislative agenda in the coming months, ensuring that the profession maintains its high degree of credibility in the Legislature and with the public. Ensuring a coordinated approach amongst the states in relation to CPE and the use of the CPA title will be discussed as part of the TXCPA 2027 legislative agenda. During the session, TXCPA will continue to provide you with updates about the key issues, TXCPA’s legislative initiatives and other items of session interest.
Make Your Voice Heard in AustinTXCPA encourages you to become involved with our advocacy program by becoming a TXCPA Key Person and joining TXCPA in Austin on January 26-27, 2027, for a full Advocacy Day program. TXCPA and our members and advocates will make our way to the Texas Capitol on January 26 to meet with legislators to advocate for our issues. Your participation is vital in our efforts to advance and protect the CPA profession. See you in Austin. |
About the Author: Kenneth Besserman, JD, LLM, is TXCPA’s Director of Government Affairs and Special Counsel. Contact him at kbesserman@tx.cpa.
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