Texas Transfers $5.48 Billion to Funds

Texas Comptroller Glenn Hegar has announced the transfer of $5.48 billion to the State Highway Fund (SHF) and the Economic Stabilization Fund (ESF), commonly known as the 'Rainy Day Fund', with each fund receiving approximately $2.74 billion. This transfer, based on severance tax revenues from crude oil and natural gas production exceeding 1987 levels, underscores the state's robust economy, which is adapting to moderate growth amidst global economic uncertainty. Hegar emphasized the importance of maintaining a healthy ESF balance, which acts as a financial cushion for future challenges and supports infrastructure investments. The transfers comply with a 2014 constitutional amendment that mandates at least half of severance taxes be allocated to the ESF. With this latest transfer, the ESF's balance has risen to about $23.96 billion, demonstrating Texas' commitment to financial stability and infrastructure development.