Key takeaways
- Texas state government spent $144.6 billion in fiscal 2024, the 3rd most of any state.
- Statewide purchasing runs through the Comptroller, Statewide Procurement Division, and vendors register and find bids in Electronic State Business Daily (ESBD); CMBL.
- The fiscal year starts Sept. 1; the governor's FY2028-29 budget proposal usually comes early in session.
- The 2027 legislative session convenes Jan. 12 and is scheduled to adjourn May 31.
- A new governor, Gina Hinojosa, takes office Jan. 19, 2027.
Texas government at a glance
| Fact | Texas |
|---|---|
| State spending, FY 2024 | $144.6 billion (3rd of 50) |
| Fiscal year starts | Sept. 1 |
| Next budget | FY2028-29 · proposal usually early in session |
| 2027 legislative session | Jan. 12 to May 31 (140 days) |
| Governor-elect | Gina Hinojosa, takes office Jan. 19, 2027 |
| Central procurement office | Comptroller, Statewide Procurement Division |
| Bid and vendor portal | Electronic State Business Daily (ESBD); CMBL |
| State CIO | Tony Sauerhoff, Executive Director and CIO |
| Local governments | 5,533 total, including 2,984 special districts and 1,070 school districts |
| Public power and co-op utilities | 72 public power utilities and 67 electric co-ops |
| State prison population | 149,264 (end of 2023) |
How Texas buys
- Central purchasing. The Comptroller, Statewide Procurement Division handles statewide contracts and purchasing rules for state agencies.
- Where bids are posted. Electronic State Business Daily (ESBD); CMBL is where vendors register and find state solicitations.
- Registering as a vendor. Our Texas vendor registration guide walks through the steps, fees and documents.
- Agencies and local buyers. Many agencies, universities, cities, counties and school districts buy on their own or through cooperative contracts; see our cooperative purchasing guide.
Purchase thresholds
| Tier | Rule |
|---|---|
| Little or no competition | $10,000 or less |
| Informal quotes | Over $10,000 to $25,000: at least 3 informal bids, including HUBs |
| Formal solicitation | Over $25,000 (formal bids and ESBD posting) |
Source: Gov't Code §2155.132; 34 TAC §20.82. Agency and local thresholds can differ; see our state procurement thresholds guide.
Budget and legislative calendar
- Fiscal year. Texas' fiscal year starts Sept. 1. The next budget covers FY2028-29.
- Governor's proposal. Usually released Early in session. Status as of Nov. 8, 2026: not yet released. Track it in our governor budget proposals tracker.
- 2027 session. Convenes Jan. 12 and is scheduled to adjourn May 31. Meets in odd-numbered years only. See the 2027 legislative session calendar.
- New administration. Governor-elect Gina Hinojosa takes office Jan. 19, 2027. New administrations often bring new agency leaders and priorities; see new governors in 2027.
Technology and AI
- State CIO. Tony Sauerhoff, Executive Director and CIO, leads the Department of Information Resources. See the full state CIO directory.
- AI policy. Our tracker counts no executive orders, 5 laws and 4 agency policies on government AI use, plus an AI office or council. See the state AI policy tracker.
- How IT buying works. See how state agencies buy technology.
Largest public buyers in Texas
The biggest Texas entities on our national rankings. Each one runs its own budget and, in most cases, its own purchasing.
| Buyer | Type | Size | National rank |
|---|---|---|---|
| Houston | City | 2,397,315 residents (2025) | 4 of 100 largest cities |
| San Antonio | City | 1,548,422 residents (2025) | 7 of 100 largest cities |
| Dallas | City | 1,329,491 residents (2025) | 9 of 100 largest cities |
| Harris County | County | 5,045,026 residents (2025) | 3 of 100 largest counties |
| Dallas County | County | 2,661,397 residents (2025) | 8 of 100 largest counties |
| Tarrant County | County | 2,248,466 residents (2025) | 14 of 100 largest counties |
| Houston ISD | School district | 194,607 students (fall 2021) | 9 of 100 largest districts |
| Dallas ISD | School district | 143,558 students (fall 2021) | 16 of 100 largest districts |
| Cypress-Fairbanks ISD | School district | 117,217 students (fall 2021) | 21 of 100 largest districts |
| Texas A&M University-College Station | Public university | 78,321 students (fall 2024) | 3 of 40 largest |
| Lone Star College System | Public university | 73,077 students (fall 2024) | 4 of 40 largest |
| Metro. Transit Auth. of Harris County, Texas | Transit agency | 68,575,800 trips (2023) | 13 of 50 largest |
| Dallas Area Rapid Transit | Transit agency | 48,736,400 trips (2023) | 23 of 50 largest |
| Dallas-Fort Worth International | Airport | 41,297,009 passengers boarded (2025) | 2 of 100 busiest |
| George Bush Intcntl/Houston | Airport | 23,265,028 passengers boarded (2025) | 15 of 100 busiest |
| Houston Water (Houston Public Works) | Water utility | 2,202,531 people served | 5 of 208 largest |
| San Antonio Water System (SAWS) | Water utility | 1,999,472 people served | 6 of 208 largest |
| CPS Energy | Public power utility | 962,272 electric customers (2024) | 5 of 50 largest |
| Austin Energy | Public power utility | 562,004 electric customers (2024) | 7 of 50 largest |
| Houston (TX) Police | Police department | 5,203 sworn officers (2016) | 5 of 50 largest |
| Dallas (TX) Police | Police department | 3,408 sworn officers (2016) | 7 of 50 largest |
| Harris County Sheriff's Office | Sheriff's office | 2,207 sworn personnel (2016) | 2 of 50 largest |
| University Health | Public hospital system | $3.46 billion operating revenue (FY2025) | — |
| Harris Health | Public hospital system | $2.76 billion net revenue (FY2025) | — |
| Port Houston | Port | 4,303,345 TEUs (2025) | 5 of 16 largest |
| Texas Health and Human Services Commission | State agency | About $47B Per year; $94.0B for 2026-27 biennium budget | 6 of 16 largest |
| Texas Education Agency | State agency | About $44B Per year; $88.8B for 2026-27 biennium (recommended) budget | 7 of 16 largest |
Sources: KSG rankings of the largest cities, counties, school districts, public universities, transit agencies, airports, water utilities, public power utilities, police departments and other lists. Figures are from each list's source year.
Local government and utilities
- 5,533 local governments. That includes 2,984 special districts and 1,070 school districts. See special districts by state.
- Utilities. 72 public power utilities and 67 electric cooperatives serve 5,118,264 customers, 35% of the state. See Texas utilities.
- Budget cycles. Cities, counties and school districts set their own fiscal years; see city and county budget calendars.
Texas state holidays in 2027
Besides the 11 federal holidays, Texas state offices close on these days in 2027:
- Good Friday: Friday, March 26 (About a dozen states, including Connecticut, Delaware, Hawaii, Indiana, Kentucky (half day), Louisiana, New Jersey, North Carolina, Tennessee and Texas)
See the full 2027 federal and state holiday calendar.
How KSG helps
Kensington Sales Group's SDRs book meetings with public agencies across Federal, SLED, K-12 & Higher Ed, Healthcare, Tribal, Special Districts and Utilities. We research Texas buyers, time outreach to state and local budget cycles and get you in front of the people who own the problem you solve. See how our state and local sales development works.
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