SB 449 would prohibit Texas' local governments from issuing capital appreciation bonds, an exotic type of municipal bond that defers payment of principal and interest for many years, sometimes decades, putting in jeopardy future taxpayers.
Local Government
Reinvigorating Federalism and Fiscal Discipline in Texas: Establishing the Office of State Sovereignty
Texas governments received $84.3 billion in federal funding in 2023, raising concerns over financial dependency and regulatory consequences. Creating an Office of State Sovereignty to monitor the application, receipt, and conditions of this aid could mitigate fiscal risk and improve transparency. Key points: Texas lacks a centralized system to oversee federal grants potentially flowing to...
September 9, 2026