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Special session to begin in one month
Tax panel: Lawmakers can reduce property tax without raising sales tax

Gov. Rick Perry late this morning announced that he will call the Texas Legislature into special session on April 17 to reform public school financing. This will be the Legislature's fifth attempt to fix the public school finance system since 2004.

Lawmakers must meet soon to beat a June 1 deadline set by the Texas Supreme Court for changing the tax system that funds public schools. A court ruling more than a year ago, which was later upheld by the state supreme court, concluded that the current method for financing schools is unconstitutional and amounts to a statewide property tax. Lawmakers failed to overhaul the system in the regular session of 2005 and in three special sessions in 2004 and 2005.

John Sharp

This time around, legislative leaders will use recommendations from the Texas Tax Reform Commission as a starting point. The Tax Reform Commission, formed by Perry and headed by former state comptroller John Sharp (pictured), intends to unveil its tax plan on Tuesday at the Capitol, with public testimony to follow on Wednesday.

Sharp's panel is expected to tell Texas lawmakers they can reduce property taxes by a third without raising the state sales tax. The alternatives include using $1 billion of the state's budget surplus, overhauling the business franchise tax and raising taxes on cigarettes. That would raise enough money to reduce property tax rates from $1.50 per $100 in property value to $1. An increased sales tax was a key part of failed legislative plans over the last several years.


TBPC reorganizes admin/statewide support division

The Texas Building and Procurement Commission's Administration and Statewide Support Division is being reorganized. Dan Contreras is leaving to pursue other opportunities and his position, Deputy Executive Director, is being eliminated with the reorganization of programs, said TBPC interim Executive Director Edward Johnson. To ensure a smooth transition the following organizational changes are effective immediately:

  • Information Systems, State and Federal Surplus Property, and Human Resources will report to Johnson;
  • Quick Copy and Mail Operations will report to TBPC CFO Luis Arellano;
  • Office of Vehicle Fleet Management will report to Shannon Franklin, director of State and Federal Surplus Property; and
  • Records Management, will report to Stephen Thomas, director of Human Resources and Risk Management.

Texas: 2 sites in the running for $1B FutureGen plant

Michael Williams

State officials announced this week that two Texas regions have been selected to compete to become home to the U.S. Department of Energy's FutureGen project, a $1 billion public-private initiative to build the world's first near-zero emissions coal power plant. The proposed sites in Texas are located near Jewett in East Texas and Odessa in West Texas, and are ideal spots for the innovative power plant, said Texas Railroad Commissioner Michael L. Williams (pictured). States competing for the FutureGen facility must submit their proposals to the FutureGen Industrial Alliance, a non-profit consortium of coal producers formed to partner with DOE for this initiative, by May 4. The Alliance is scheduled to announce its final selection in fall 2007 with groundbreaking set for 2008. The facility is projected to be operational as early as 2010.


TRS alters pension fund's investment policy

The Teacher Retirement System of Texas board voted recently to cleanse its investment portfolio of pornography and opened the door to what many call "social investing." The $99 billion pension fund's new policy says the agency "will not invest in . . . a company that derives a significant portion of its revenues from products or services intended exclusively to appeal to a prurient interest in sex. These would include, but not be limited to, sexually explicit (X- or NC17-rated) films, videos, publications, and software; topless bars and strip clubs; and sexually oriented telephone and Internet services." The policy also says "prudent portfolio management may require consideration of social or political issues," so long as those issues don't damage the "long-term interests of the company." The pension fund, the fourth-largest in the nation, pays retirement, health insurance, disability and other benefits to 1.1 million active and retired Texas public school employees. It paid out $5.4 billion in benefits last year.


Panhandle wildfires rage on, state to ask feds for help

With nine active fires currently burning almost a million acres in the Panhandle, Gov. Rick Perry said Texas needs help from the federal government soon. Perry's aerial tour yesterday covered McLean, Wheeler, Miami, Pampa and Skellytown, some of the hardest hit communities.

Farmers, ranchers and firefighters in the Panhandle are hoping rains come their way this weekend to bring relief to the worst fires in Texas history. Around 900,000 acres have burned and 11 people have died since the fires began this past weekend. About 30 planes and 54 bulldozer crews are aiding numerous fire units trying to contain the blazes. 29 states have provided fire support so far.


N. Texas officials eye subsidies for private roads

Morris

Money collected on private toll roads could subsidize some North Texas Tollway Authority projects, a transportation official said this week. Michael Morris (pictured), transportation director for the North Central Texas Council of Governments, told tollway board members Wednesday that if private companies are invited to build toll roads in the Metroplex, they might be willing to pay millions of dollars upfront, which could then help the tollway authority make ends meet on other projects.


A&M again stresses need for pharmacy school funding

Jim Pitts

After months of not knowing whether the state will appropriate funds to open a four-year pharmacy school at Texas A&M's Kingsville campus later this year, things are looking at least a bit more optimistic. The Texas A&M University System has sent a letter to the chairman of the Texas House Appropriations Committee, Jim Pitts (pictured), stressing the need to secure funding for the pharmacy school post haste and Wednesday saw another fairly dramatic development: Word that House Speaker Tom Craddick will visit A&M-Kingsville at the end of this month and include in his itinerary the Rangel School of Pharmacy.


Texas, 3 other states to share intelligence

Governors from Arizona, California, New Mexico and Texas have signed a Memorandum of Understanding (MOU) that will enable the four southern border states to share unclassified and, in some cases, classified intelligence information to provide better homeland security. The four states are formalizing a cooperative relationship between the Arizona Counter Terrorism Information Center (ACTIC), the California State Terrorist Threat Assessment Center (STTAC), the New Mexico Office of Homeland Security, and the Texas Fusion Center (TFC). Under the MOU, intelligence information will be shared on a routine basis and under special circumstances. The agreement is valid for five years, and then may be renewed annually if all parties agree.


Texas scrambles for hurricane-recovery funding

Texas lawmakers are still trying to win last-minute adjustments to a $19 billion federal spending bill to wrestle away more money for the state's hurricane recovery needs, which they say previous measures have shortchanged. The U.S. House approved the $19 billion bill Thursday, and the Senate is slated to take it up next month. It would be the fourth emergency spending bill, and potentially the last for a long time, resulting from last fall's deadly hurricane season. Texas lawmakers said they are still hopeful to affect change before the Senate takes action.


Cities north of Austin may partner for water

In a deal that will easily top $270 million, three rapidly growing Williamson County cities north of Austin - Round Rock, Cedar Park and Leander - and the Lower Colorado River Authority are talking seriously about creating a unique partnership that will secure their water supply for decades to come. Initially, the system would increase the cities' drinking water capacities 25 percent. When the plant ultimately expands to 106 million gallons per day, capacity could rise 300 percent in some areas, officials said. The first phase of the regional water system would open in 2009, would serve more than a half-million residents by 2050. No formal agreements have been reached, but an announcement is expected this spring. A contract could be finalized by summer.


Hutchison

Hutchison's port security amendment passes

A port security amendment sponsored by U.S. Sen. Kay Bailey Hutchison of Texas passed the Senate this week. The amendment to the Senate Fiscal Year 2007 Budget Resolution calls for $978 million for improved port security measures. No word yet on how much will be funneled to Texas ports.


Perry taps Austin banker for TEDC

Kerry Hall, regional president of Texas Capital Bank in Austin, has been appointed by Gov. Rick Perry to the board of the Texas Economic Development Corp. State lawmakers created the Texas Economic Development Corp. in 2003 to support activities of the governor's division of economic development and tourism. Under this corporation, the Texas One program was set up to promote Texas as a business location.


Abilene puts 7 bond proposals on May ballot

Abilene city officials said the seven bond proposals - totaling $30 million - voters will consider May 13 are necessary to keep up with growth. Proposition 1, the largest measure proposed, would devote $19.2 million for constructing and improving city streets. About 2.3 million is tagged for improvements at the Abilene Regional Airport, and the Abilene Zoo will get a $1.1 million makeover if voters approve Proposition 4.


S.A. mayor delays vote on Main Plaza project

Phil Hardberger

At the direction of San Antonio Mayor Phil Hardberger (pictured), the City Council there has extended the vote on the Main Plaza redevelopment proposal for an additional 60 days. The mayor wants City Council to give the public more time to provide input on the $10 million project, which would entail the city closing portions of Main, Main Plaza, Dolorosa and Commerce streets to revitalize historic Main Plaza downtown.

Proponents of the plan have said it could lead to greater pedestrian traffic downtown and encourage future development. Those against the plan have argued that construction and additional traffic congestion would harm local businesses by actually discouraging people from going downtown.


West Texas out of race for Bush library

Potential sites for the George W. Bush presidential library were narrowed to three Thursday when the selection committee eliminated a bid led by Texas Tech University. The decision pares the finalists down to Southern Methodist University in Dallas, Baylor University in Waco and the University of Dallas. The selection committee's statement did not provide a reason for taking Texas Tech's bid from the running. The school had partnered with Midland College, forming what it called the West Texas Coalition, in hopes of building the library that's expected to cost at least $200 million.


Longview city manager awaits news of Irving post

Childers

Longview City Manager Rickey Childers may learn today whether he is a finalist for the Irving city manager position. Childers, who has been Longview's city manager for almost seven years, has worked 30 years in city government. He previously served as assistant city manager in Arlington and Carrollton. Childers also was deputy city manager in Arlington. He is president of the Texas City Management Association.



Panel in S.A. looking at taxing district for libraries

The city and county have appointed a blue-ribbon commission to study a countywide public library district that would spend more tax dollars on a library system many describe as inadequate. The district could be a way for the library to have its own funding stream, said Lamont Jefferson, a member of the San Antonio Library Foundation and a city appointee to the new commission. City officials said the library district could be created under a law passed last year by the Legislature that allows such entities to be funded by sales or property taxes.


A&M hired to restore famed Omaha Beach

Chet Edwards

U.S. Congressman Chet Edwards of Texas has announced the selection of Texas A&M to spearhead the preservation of Pont du Hoc in Normandy, France. Pont du Hoc is the cliff on Omaha Beach that was scaled by the legendary Lieutenant Colonel Earl Rudder and Rudder's Rangers on D-Day. The half-million-dollar project from the American Battle Monuments Commission seeks to restore the spot which is slowly eroding away.

"For any other engineering firm or university, this would be just another job. But for Texas A&M, the home of Earl Rudder and a university that's so proud of the Rudder legacy for A&M and our country, this is going to truly be a labor of love," Edwards said.


Houston college to launch public safety institute

Houston Community College's Northeast campus recently broke ground for the first phase of a multi-million dollar project expected to be completed by August. The Public Safety Institute is designed to enhance training for students that want to take on public safety careers, as well as provide continuing education for those already in the industry. The first phase, estimated at $10 million, will include three training facilities, a 10,000-square-foot burn building to create fire-fighting scenarios, a 10,000-square-foot tower for fire and rescue training, and a 25,000-square-foot firing range.


Bush names Cornyn to national education foundation

Cornyn

U.S. Sen. John Cornyn has been selected by President Bush to serve on the board of the James Madison Memorial Fellowship Foundation, the White House announced this week. The Foundation provides fellowships to support graduate study for aspiring and experienced secondary school teachers of American history, American government, and social studies, and is intended to recognize promising and distinguished teachers, to strengthen their knowledge of the origins and development of American constitutional government, and thus to expose the nation's secondary school students to accurate knowledge of the nation's constitutional heritage. The award funds up to $24,000 of each Fellow's course of study towards a master's degree.


San Antonio to host 2009 NLC expo

San Antonio has been chosen to host the National League of Cities (NLC) 2009 Annual Congress of Cities and Exposition. As many as 10,000 delegates, including elected officials and other city leaders from across the country, are expected to attend. City officials said the six-day NLC event, based on previous indicators, could pump some $10 million into the San Antonio economy. The NLC is the oldest and largest national organization representing municipal governments. It is a resource and advocate for some 18,000 U.S. cities, towns and villages, which collectively serve 225 million people.


Projects in the pipeline

Mary Scott Nabers

By Mary Scott Nabers, CEO of Strategic Partnerships, Inc.

SPI's Research Division is constantly scouring the state for business opportunities in the public sector and uncovers dozens every day. Click here for this week's hot opportunities.


Humble tightens ordinance for vendors

Concerned about traffic, parking, safety and other issues, the Humble City Council voted to enact a city ordinance that will prohibit most roadside sales and solicitation and require licenses for other transient retail businesses in that part of Harris County, which has seen a proliferation of roadside vendors selling everything from puppies to cell phone equipment.


Stockdale manager, clerk retiring

Carl Lambeck, longtime city manager of Stockdale (east of San Antonio), is retiring after 30 years on the job. He plans to stay at the post until May 2007. City Secretary Liz Schroeder also announced that she will leave her post on March 24.


TxDOT counters fraud with tag redesign

Due to growing concern over the prevalence of fake dealer tags and the possibility of terrorists and other criminals using them to skirt the system, Texas Department of Transportation officials recently re-designed the format of the temporary paper tags. The new plates feature a unique serial number that can be used for tracking. Beginning in May, all new and used car dealerships in Texas will be required to use the new tags.


Westwood ISD superintendent resigns

After 21 years at Westwood Independent School District in Palestine and 38 years in education, Westwood ISD Superintendent Marvin Thompson has decided to move on to undisclosed education endeavors. The superintendent announced his pending resignation to trustees during a closed session meeting last month and the board approved his resignation at its regular meeting Monday.


Ask the experts

Q: Is the Legislature likely to take up any other issues besides tax reform and school finance when they meet for a special session?

Lynn Nabers

A: Probably not. As a result of the Texas Supreme Court holding the method of school financing as unconstitutional and its mandate of a June 1 deadline to solve the problem, tax reform will take center stage and probably stay there. However, there is a chance the Legislature may take up some appropriations issues based on unforeseen needs of various department and agencies affected by last year's hurricanes and the current wildfires in the Panhandle. The fires still raging to the north might prompt legislators to take another look at a statewide fire control plan, which was shelved several years ago.

-Lynn Nabers,
Government Affairs Consultant at Strategic Partnerships, Inc.

Have a question for one of SPI's government affairs experts?
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Procurement articles online

Click here to view recent articles on government procurement authored by Mary Scott Nabers, president and CEO of Strategic Partnerships Inc., and published in the Austin Business Journal and Houston Business Journal.

[Editor's note: Mary Scott Nabers' procurement columns run regularly in the Austin Business Journal, Houston Business Journal, San Antonio Business Journal and the Dallas Business Journal]


ONLINE POLL

Do you favor repealing the law that grants automatic admission to the top 10 percent of Texas high school grads to state colleges and universities?

(Non-scientific results next week)

Last week, 63% of respondents said they favor giving voters the power to choose a new form of local government that would consolidate city and county governments. 37% were opposed to the idea.

HAVE A STRONG KNOWLEDGE OF THE FEDERAL GOVERNMENT?

Strategic Partnerships, Inc., a full-service research and consulting firm based in Austin that specializes in government procurement consulting, governmental affairs services and customized research, is seeking a senior research analyst that can be the company's "go to person" for federal information. This individual will be responsible not only for conducting research but also presenting information to consultants and clients on the federal government. Job requirements will call for establishing relationships with governmental entities for information exchange. Click here for a full job description..

Event Links

HUB Forums in March

DIR's Internet Security Forumn - 3/28/06

TASSCC Technology Education Conference - 3/29/06

CAPCOG's Austin-San Antonio Conference on Entrepreneurship and Regional Competitiveness - 4/7/06

Fiesta Informacion 2006 - 4/24/06-4/27/06

2006 Lone Star Conference - 5/2/06-5/5/06

TCEQ's Environmental Trade Fair and Conference - 5/9/06-5/11/06

TAGITM Annual Conference - 5/16/06-5/19/06

Texas Hurricane Conference - 5/23/06-5/25/06

ICMA conference in San Antonio - 9/10/06-9/13/06

Upcoming Executive Women in Texas Government events

Texas Government Insider Archives

Volume 1, 2, 3 and 4 Archives - 11/7/03 - 3/10/06

Resources

The Role of States in Immigration Enforcement - NEW!

HRO’s Interim News- NEW!

Senate Interim Charges

House Interim Charges

2006 Election Calendar

Texas Fact Book '06-'07

LBB's Fiscal Size-up '06-'07

SAO report on full-time state employees for fiscal 2005

Texas Human Resources Management Statutes Inventory

TBPC Vendor Guide

State Budget Resources

HUB Forms Library

State Contract Management Guide

State Procurement Manual

Who Represents Me? Texas Districts By Address

Diagram of Texas' Biennial Budget Cycle


WANT TO DO MORE BUSINESS WITH CITY & COUNTY GOVERNMENTS? Reagan Weil

Contact Reagan Weil, SPI's business development manager, today to ask how Strategic Partnerships Inc. can help your firm secure more business on the local level. Reach Reagan at (512) 531-3917 or rweil@spartnerships.com.

2006 Lone Star Conference

The 2006 Lone Star Conference, hosted by the Southeast Texas Association of Public Purchasers, will be held May 2-5 at the historic Galvez Hotel in Galveston. The conference promises some of the most respected speakers and presenters in the public purchasing arena and an impressive vendor exposition. Visit the conference website for more information.


ICMA conference in San Antonio

The International City/County Management Association will be holding its annual conference in San Antonio between September 10 and 13. Click here for more information.