HOUSE BILL 2:
School h ol Funding
u n d i ng
House Bill 2 wasn’ t the slam‐dunk many expected. It entered the session as a high-priority school finance bill, widely expected to advance quickly. It passed the Texas House early with near-unanimous bipartisan support, 128 to 18, signaling strong consensus around increasing public education funding. However, the bill encountered delays in the Senate, where members made substantial revisions that narrowed the funding scope and deviated from the House’ s broader approach.
These changes created a prolonged impasse between the two chambers. Negotiations stalled for several weeks as each side worked to protect its priorities. With time running short, a compromise was ultimately reached, and the House accepted the Senate’ s version just before the end of the session. The Governor signed HB 2 into law on June 20, 2025.
The final 231-page bill includes significant investments in public education. It provides salary increases for classroom teachers ranging from $ 2,500 to $ 8,000; creates a new allotment to help districts cover basic operating costs such as transportation, utilities, and insurance; and allocates $ 430 million for school safety, more than doubling the current school safety allotment. The bill also includes $ 250 million in additional special education funding, shifts to an intensity-based funding model for services, and introduces a $ 1,000 allotment for each full and individual evaluation. Additionally, it increases the basic allotment by $ 55, using funds reallocated from the golden penny yield.
Though the path to passage was complex, HB 2 ultimately reflects a comprehensive and substantial commitment to strengthening public schools across Texas.
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