Governor-elect Gina Hinojosa made a one-time $1,500 check to Texas households a central promise of her campaign, under an economic agenda called "Money in Your Pocket." The rebate would go to each household rather than each resident, to help with rising living costs, rent and groceries.
The plan would be paid for from the state's Economic Stabilization Fund, often called the Rainy Day Fund. Hinojosa's campaign estimates the cost at about $17 billion, leaving roughly $10 billion in reserves for emergencies. The campaign calls the payment a "corruption tax refund." Hinojosa has said state reserves grew under prior leadership while working families struggled, and that surplus tax money should go back to Texans.
The governor cannot spend the reserves alone. The Texas Legislature would have to pass a law authorizing the payments. The Texas Constitution requires a two-thirds vote in both the House and Senate to spend Rainy Day Fund money for general purposes. Democrats now control the Texas House, while Republicans hold a majority in the Senate.