Farm Bureau’s Legislative Wins Secure Strong Future For Ag
Texas lawmakers approved several bills during the 89th legislative regular session that will impact farmers, ranchers and rural Texans.
“These wins are the result of strong grassroots advocacy by our members across the state,” Texas Farm Bureau President Russell Boening said. “When lawmakers hear directly from farmers and ranchers, it makes a difference. Supporting agriculture means strengthening the backbone of our rural communities and ensuring a stable, secure food supply for all Texans.”
Expanding ag economic assistance
Texas agriculture continues to face financial challenges that threaten the livelihoods of farmers and ranchers. HB 43 by Rep. Stan Kitzman and Sen. Kevin Sparks addresses those concerns by expanding financial support programs under the Texas Agricultural Finance Authority to better serve farmers and ranchers.
The bill removes age restrictions from agricultural assistance programs, allowing all farmers—not just those ages 18 to 46—to apply for grants and low-interest loans.
It also significantly increases available funding by raising loan caps to $1 million, along with significantly buying down interest rates, and it expands grant awards from $20,000 with a 100% matching requirement to $500,000 with a 10% match.
Eligibility was broadened to include businesses essential to agriculture, like feed stores and cotton gins, in an effort to support the rural agricultural economy amid rising costs and economic pressures.
Also included in HB 43 is funding for the Texas Animal Health Commission and Texas A&M AgriLife Extension to address disease outbreaks, pests and wildlife depredation.
The total amount appropriated for HB 43 is now $100 million, a significant increase from $500,000 previously.
Further protecting the right to farm and ranch
One of TFB’s priority issues this session was ensuring municipalities comply with the state’s right to farm and ranch laws.
SB 1035 by Sen. Kevin Sparks and Rep. David Spiller strengthens those protections by including an attorney’s fee provision in the statute. It allows farmers and ranchers to recover legal fees when successfully suing local governments for violating protections already guaranteed by state law and the Texas Constitution.
Water
Water security remained top of mind for rural Texans and agriculture.
TFB supported SB 7 and its companion resolution, HJR 7, by Sen. Charles Perry and Rep. Cody Harris.
These measures establish the Texas Water Fund, dedicating $1 billion annually through 2047 from state sales tax revenue exceeding $46.5 billion. Funds will support rural water and wastewater infrastructure, as well as flood mitigation projects.
The legislation prohibits the acquisition of property for reservoir construction associated with the new water supply fund and limits water rights transactions to leasing—protecting rural landowners from forced sales. Fresh groundwater projects are not eligible for funding under the new fund.
The governor signed SB 7, so the next step lies with Texas voters. HJR 7 will appear on the statewide constitutional amendment ballot in November, where voters will decide on its approval.
Modernizing livestock branding records
TFB advanced efforts to modernize livestock brand records and registrations.
SB 503 by Sen. Charles Perry and Rep. Ryan Guillen creates a centralized, statewide electronic brand registry system.
Currently, the process for registering livestock brands varies by county, and law enforcement lacks easy access to brand records. This can create confusion or difficulties when determining ownership of stray or stolen livestock.
The new system will digitally store all earmarks, brands, tattoos, electronic IDs and other generally accepted identification methods.
The bill calls for the Texas Animal Health Commission to create a process for farmers and ranchers to register brands online, as well as allowing for an authorized agent of the farmer or rancher to register the brand on behalf of the brand owner.
State law requires ranchers to re-register their livestock brand every 10 years. This legislation does not change that requirement.
Preserving working lands
HB 2018 by Rep. Trent Ashby and Sen. Adam Hinojosa prioritizes the conservation of working agricultural lands by enhancing the Farm and Ranch Land Conservation Program.
The bill helps safeguard ag lands from the pressures of urban development.
Feed inventory tax exemption
The Texas Legislature passed both a bill and a constitutional amendment aimed at easing the tax burden on livestock feed retailers and ultimately, Texas farmers and ranchers.
HB 1399 and HJR 99 by Rep. Cody Harris and Sen. Robert Nichols establish an inventory property tax exemption for livestock feed held in inventory by a retailer.
Under current law, livestock feed is only taxed while it sits in feed stores as inventory, a cost that is often passed down to producers in the form of higher prices.
Texas voters will decide on the fate of HB 1399 this fall when it is on the statewide constitutional amendment ballot.
TFB-monitored bills
Gov. Greg Abbott signed into law more than 1,100 pieces of legislation during the regular session.
For a legislative overview and details on the bills monitored and supported by TFB, visit texasfarmbureau.org/advocacy/austin-newsletter.
