Investing in the future of Texas
This is a preview of our Texas 2036 newsletter with our recap of voters saying yes to the future of Texas by investing in water and workforce development. To receive this weekly look at our work, sign up here.
Voters Approve
High-ROI Investments In the Future of Texas
Texas voters this week invested in their economic future, saying YES to key high-ROI investments in two basic building blocks of the state’s economy.
Our team put in the long hours over the past two years organizing coalitions, putting out good data and talking to our press partners to get these smart investments across the finish line on Election Day!
Prop 4: A Historic Win for Texas Water
✅ Prop 4: dedicates up to $1 billion annually from sales tax collections for 20 years toward the Texas Water Fund, which was established by voters in 2023.
💰 Budget writers earlier this year appropriated $2.5 billion for water infrastructure projects to bridge the gap between now and arrival of the voter-approved funds.
This long-term financial strategy will ensure Texas has the robust water infrastructure needed by a drought-prone and growing state, fix leaking water systems, and protect businesses, communities, and lives from the risk of floods.
Prop 1: Big Investments in Workforce Development
✅ Prop 1: establishes a permanent fund to support buying land, buildings and equipment in support of the Texas State Technical College System which provides career and technical education to thousands of students at 11 campuses across the state.
💰 Budget writers earlier this year appropriated $850 million to this endowment fund for capital projects contingent on passage of the constitutional language.
This long-term investment in Texas’ workforce will help ensure that all Texans have access to the career and technical education necessary to secure the good paying jobs that keep the Texas economy running.
🎥 Check out Jeremy and Grace as they talked about Props 1 and 4 as part of KVUE-TV’s Election Day coverage!
🗳️ DID YOU KNOW?
Close to 3 million Texans voted in this year’s constitutional amendment election, beating the record for off-year election turnout by nearly 400,000 votes. Way to go, Texas voters!
Building a solid foundation to support our future
While there are many reasons to be optimistic about our state’s economic future, we can’t afford to let our guard down.
That’s what makes long-term investments in critical infrastructure and workforce development like the ones adopted this week so important — they’re essential to building a strong foundation for a better tomorrow.
What we’re watching: sales tax revenue
As the state’s single largest source of tax revenue, sales tax collections serve as a good proxy for the overall state of the retail economy in the state.
Sales tax collections were up 4.0% for fiscal year 2025, increasing significantly over growth in 2024 but below the 10-year annual growth rate of 5.6%.
Source: Texas Comptroller of Public Accounts
Texas voters are optimistic — but need relief from higher prices
In our recent poll of Texas voters, we found a great deal of optimism about the Texas economy’s trajectory, with voters picking Texas over the rest of the U.S. by three-to-one margins as the better place for:
- good jobs and economic advancement (44% to 16%)
- a stronger economy (54% to 18%)
Texas voters are also more likely to vote for candidates who support doing something to address the affordability of many of the basics of daily life — from health care and energy to homeowners insurance and property taxes.
Texas 2036: Turning insight into impact
These numbers help shape the state’s policy decisions that will shape Texas’ future: where to spend taxpayer dollars wisely, how to prepare for both a young and aging population and how to expand opportunity for every Texan.
At Texas 2036, we provide the trusted data to guide those choices.