Venezuela Impact on Texas
Topping the headlines this week were the accounts of US forces conducting a major military operation in Venezuela that seized President Nicolas Maduro and brought him to the US to face federal charges, including alleged drug trafficking. This followed months of US military buildup and strikes aimed at drug-related charges. This action has been justified by the Trump administration, stating that this is to combat narcotics trafficking into the US and human rights violations in the country. Democrats in Congress and some other foreign nations have said this violated Venezuelan sovereignty and reflects nothing more than a desire for strategic control over Venezuela’s resources. The US has since blockaded Venezuelan oil tankers, seized sanctioned vessels, and taken custody of Venezuelan oil stocks.
The actions could have an effect on the state of Texas, including an increase in border and immigration enforcement due to some Venezuelan criminal groups and gangs that have been designated as foreign terrorists that are allegedly operating in Texas. Authorities have already made Venezuelan gang activity a target of Operation Lone Star, the state’s border enforcement initiative that began in 2021. Pressure could potentially increase on Texas border related resources as continued instability in Venezuela – along with US military involvement – could produce additional flows of migrants.
Venezuela also sits on one of the world’s largest oil reserves. The goal of the US is to now redirect oil production and revenues back into US control. President Trump has publicly indicated a desire to use Venezuelan oil strategically, which could benefit oil companies – such as Texas-based Chevron – by incentivizing the companies to invest in rebuilding Venezuelan oil production infrastructure once the situation stabilizes. This could positively affect Texas oil revenues, exports, and energy policy. However, Texas oil companies could face huge backlash in the geopolitical world depending on future developments and reaction to the situation in Venezuela.
New Laws in Effect
Several new laws – passed in both the regular and special sessions — went into effect on January 1st. A top priority of state leadership during the regular session was Senate Bill 8, which now requires county sheriffs to work with Immigration and Customs Enforcement by allowing immigration enforcement measures related to detainees in county custody. Counties are also allowed to seek grants of up to $140,000 – depending on their population – to help with costs of the enforcement measures.
Texas businesses will now be able to exempt up to $125,000 in taxable inventory from local entities. Prior to this law, businesses could only exempt $2,500 in inventory, which will allow a savings of nearly $500 million to business owners statewide. Another major initiative passed allows property owners to streamline and expedite the eviction process, aimed at “squatters” who have unlawfully occupied a property.
Other bills passed that are now in effect include a revision of the process that allows counties to temporarily raise property tax rates in times of a disaster by more specifically defining the purposes for the rise in rates – debris removal, emergency services, etc – and limits the amount of time during which the rates can be in effect. Another law requires insurance companies to provide in writing the reason for any change in a policy including cancellation, rate increase, or any other policy revision.
More Buoys Installed
Texas officials originally placed border buoys in the Rio Grande River near Eagle Pass in 2023 as part of Gov. Abbott’s border security effort. The buoys are intended to act as a waterborne barrier on the international boundary in the river, backed with detection technology and anchored systems. They are large, floating, cylindrical devices that can measure up to 15 feet long and forty-five feet in diameter.
The installations have sparked protests from activists concerned about migrant safety and a formal complaint from the Mexican government alleging that these buoys violated water treaties between Mexico and the US. They also drew legal challenges from the federal government under the Biden Administration, with Texas being sued over similar concerns. However, the US Fifth Circuit Court of Appeals has allowed the buoys to remain in place pending the final outcome of the judicial process.
Officials have not confirmed exactly how many miles are already physically installed in the river. During a recent visit to the Rio Grande Valley, Homeland Security Secretary Kristi Noem announced plans to expand on Texas’ floating barrier system, stating that the Trump Administration plans to add 500 miles of migrant-deterring buoys in the Rio Grande River. Officials have said about 130 miles of buoys are currently under contract, and installation has begun near Brownsville. This project will be funded by the 2025 “One Big Beautiful Bill”.
Andrew Mahaleris, press secretary for Governor Greg Abbott states, “Texas finally has a partner in the White House. The floating marine barriers deployed by Texas have been a resounding success, and Governor Abbott is proud to work with the Trump Administration and Border Patrol to expand the program.”
Rural Texas Receives Health Care Funds
Rural healthcare access throughout the U.S. has been steadily declining, with more than 100 rural hospitals having closed across the US within the past decade and almost ⅓ of all rural hospitals at risk of closing. In Texas, 26 rural hospitals affecting 22 communities have shuttered since 2010. With significant Medicaid cuts passed into law with the Trump Administration’s “Big Beautiful Bill”, even further negative impacts on rural communities were inevitable. However, the Rural Health Transformation Program was a last-minute add-on to the “Big Beautiful Bill” in order to win over a handful of Republican holdouts that were concerned about the Medicaid cuts. This program – a lifeline for rural hospitals – will be distributing $50 billion over the next five years to strengthen rural health care across all 50 states, with each state that submitted applications receiving $200 million on average.
Recently, the program announced that Texas has been awarded the largest amount of money to any state for the first year in the program. Texas was awarded $281.3 million for 2026 alone, and roughly $1.4 billion total over the five years. The funding is intended to support grants to reduce chronic disease, provide investments in technology, enhance programs to recruit and retain rural health professionals, provide upgrades to equipment and facilities, and expand access to mental health care services. This federal investment is unprecedented and could significantly strengthen rural health infrastructure and workforce.
HHS Executive Commissioner Cecile Young states in a press release, “We are grateful for the federal government’s investment in increasing access to preventive and lifesaving care for people who live in rural communities across the state. Thanks to the input of our rural healthcare stakeholders, Texas now has the opportunity for innovative and tailored solutions that will improve health care for current and future generations of Texans.”
While Texas did receive the largest dollar amount in rural health care funds, it should be noted that Texas has one of the largest rural populations in the country with an estimated 4.3 million residents living in a rural setting. Even with this huge infusion of resources, the funding translates to approximately $65 per rural resident, which ranks relatively low compared to other states on a per-capita basis.
Age Verification Law Blocked
One law scheduled to take effect January 1st has been temporarily blocked by a federal judge. Senate Bill 2420 passed during the regular session established age verification requirements and mandates parental consent before a minor is allowed to download or make purchases of apps. The intent of the law is to protect children as they navigate social media online. A federal judge has declared the law to be “exceedingly broad” and vague to the point of unconstitutionality. In particular, the Judge points to the requirement in the law that requires the owners and operators of the social media apps to verify every person that attempts to download the apps. Under the proposed law, app developers must assign age ratings to their app and notify the app stores of all changes regarding the law.
The law was challenged by Texas teens who began a youth advocacy group called Students Engaged in Advancing Texas. Their argument focused on the law’s infringement on their First Amendment rights and the rights of parents to invoke their own values and judgement when safeguarding their children when online.
This bill follows the theme of online restrictions regarding online activity by minors. In 2023, the legislature passed a law now in effect that requires operators of adult websites to institute reasonable age verification measures to ensure all users were over the age of 18. The adult entertainment industry sued to stop the law, saying it violated free speech protections. Ultimately, the US Supreme Court allowed the law to go into effect, saying the law contained “simple and safe restrictions.”
Abbott Calls for State Prosecutor
In a move to target progressive prosecutors, Gov. Abbott is proposing to create a Chief State Prosecutor that would have the authority to prosecute crimes in local jurisdictions when the district attorneys decline to prosecute certain criminal cases. In the announcement of the proposal, Abbott specifically pointed to the Travis County DA, who has been criticized for his refusal to aggressively prosecute repeat offenders. One example of the criticism of the Travis County DA involves a local man who has accumulated a total of 34 criminal charges over the last five years that have either been dismissed or reduced.
Setting up the new office would require the passage of legislation by the legislature, which is not scheduled to convene until January of 2027. No other details regarding the legislation were given. Under current law, prosecutorial authority lies with the locally elected district and county attorneys. The state Attorney General – contrary to popular belief – has very little authority over state criminal statutes. The only areas in which the state AG has jurisdiction over criminal matters are human trafficking and election fraud.
National Guard Deployment Blocked
In a surprising 6-3 decision, the US Supreme Court has blocked the deployment of the Texas National Guard in Chicago. Gov. Abbott – at the request of President Trump – had ordered the deployment of 400 National Guardsmen to assist with security at an ICE enforcement processing center in Chicago in October. Local and state officials objected, saying no emergency existed and the troops’ presence was not justified. Under federal law, the National Guard is to be deployed when there is danger of rebellion or foreign invasion, or if federal law cannot be otherwise enforced.
In this case, lawyers for ICE argued that the agents faced ongoing risks to their lives and safety from protestors that consistently interfered with their ability to enforce federal immigration law. The mayor of Chicago and governor of Illinois countered that the deployment was unnecessary and was an infringement of state sovereignty and further threatened to escalate tensions. A majority of the Supreme Court agreed, saying the protests at the immigration facility did not justify the extraordinary use of military power to enforce domestic statutes.
The Texas National Guard – composed of part-time troops who hold civilian jobs – was deployed to Chicago from October 7th through mid-November. This ruling ensures the Texas National Guard will not be deployed in Illinois or in other states where the Trump administration has asked for assistance with immigration enforcement.
Political Notes
Democratic gubernatorial hopeful Andrew White of Houston has dropped out of the race for governor and endorsed Austin state Rep. Gina Hinojosa for the Democratic nomination. In his announcement, White said his inability to raise money led to his decision, and that stepping aside allowed Hinojosa to save her resources for the general election. Polls have shown Hinojosa to have a substantial lead over both Democratic rivals. A recent poll conducted by Texas Southern University showed Hinojosa polling at 41%, with White sitting at 6% and former Congressman Chris Bell at 5%. Hinojosa welcomed White’s endorsement, saying “it takes courage to step down when you know what’s at stake.”
State Rep. Briscoe Cain can now tout the endorsement of Gov. Abbott in his campaign for Congress. Cain is running for a newly drawn Congressional district in southeast Harris County comprising the areas of Baytown, Deer Park and LaPorte. Cain received the endorsement over his chief rival in the Republican primary, Alexandra del Moral Mealer, who ran unsuccessfully for Harris County Judge in 2022. Mealer announced this week she has raised $1 million since launching her campaign. The Cain campaign has not announced fundraising totals.
After pardoning Democratic Congressman Henry Cuellar of Laredo less than a month ago, President Trump has now endorsed Cuellar’s Republican opponent, Webb County Judge Tano Tijerina. Immediately after the pardon, Cuellar – who had been under indictment for bribery and money laundering charges – filed for reelection as a Democrat, frustrating Trump. In the announcement of the endorsement, Trump said Tijerina’s views align more with the priorities of the Trump administration and criticized Cuellar for not being more responsive and cooperative after the pardon. Trump also said that he never expected Cuellar to seek reelection, regardless of the pardon.
Staying in Congress, US House Minority Leader Hakeem Jefferies along with 40 Democratic members of the US House have endorsed Congresswoman Julie Johnson of Farmers Branch over former Congressman and former two-time US Senate candidate Colin Allred of Dallas. Johnson is now running in the newly drawn Congressional District 33 based in Dallas County after her current district was redrawn to elect a Republican. Allred was making a second run for the US Senate until Congresswoman Jasmine Crockett entered the race, driving Allred to seek a seat in the US House.
In response to the announcement of endorsements by Johnson, Allred released a poll this week showing him with a 28 point lead over Johnson, 58% to 30% among those questioned for the survey. Allred also announced that he has a war chest of $1.7 million, having raised $550,000 since his announcement entering the race in December.
In the race for the Democratic nomination for the US Senate, state Rep. James Talarico announced this week he has raised nearly $7 million since October 1st and a total of $13 million since entering the race in September. Candidates for federal office have until January 31st to report fundraising totals from the last quarter of 2025. Talarico’s opponent – Congresswoman Jasmine Crockett of Dallas – entered the race on December 8th and will have nominal numbers to report for the final quarter of the year.
For Longhorns fans, former UT quarterback Colt McCoy has been appointed by Gov. Abbott to the Higher Education Coordinating Board, which oversees the state’s colleges and universities. McCoy played 14 years in the NFL and now lives in Aledo and works in the real estate industry in the Fort Worth area.
Former Harris County Judge and state Senator Jon Lindsay has passed away. Lindsay served 20 years as Harris County Judge from 1975-1994, making him the longest serving Judge in the county’s history. He also served in the Texas Senate from 1997-2006, representing an area in northwest Harris County. Lindsay is credited with several transportation related initiatives during his time in public office, including the creation of the Harris County toll system and the creation of freight rail districts.
What’s Next??
No interim committee activity on the immediate horizon, but along with the new year, we could start to see some committee hearings, specifically on the property tax issue, that could not only include discussions on property tax relief, but also how to further regulate and restrict local governments regarding appraisals and procedures for local option elections.
With the primary election now just 55 days away, legislators are once again ramping up their fundraising activities. January 15th is the deadline for candidates and office holders to report their latest fundraising totals, reflecting activity from July 1st through December 31st.