Texas has a proven record of financial stability as it ranks fourth best in keeping state debt per capita low among the 10 most populous states. With historically high population growth rates accompanied by economic growth, Texas has remained steadfast even during times of economic uncertainty. Relatively sound fiscal management has provided Texans a certain level of comfort, but increasingly evident signs of vulnerability, such as ranking only16th nationwide in fiscal health, are raising concerns about the state’s financial condition.

Rising state debt and lack of debt transparency will contin- ue chipping away at the public’s well-being without key reforms. These issues could jeopardize Texas’ AAA credit rating by the three major credit rating agencies since 2013 and place increasing burdens on taxpayers. Providing key reforms to state debt will begin to lessen these burdens and move Texas toward sound fiscal management.