Texas Insider Report: AUSTIN Texas Thank you Speaker Straus and thank you Governor Dewhurst for your leadership and service to our state. The three of us are bound together by shared duties shared responsibilities and most importantly shared outcomes. When the final gavel sounds on this legislative session we wont get points for our speeches or extra credit for our process. Instead well be judged on our results by the outcomes we achieve for the people of Texas.
Im confident our efforts will be found wise prudent and effective.
So let me begin by greeting my fellow statewide officials members of the judiciary and the Legislature distinguished guests friends and fellow Texans. I am honored to uphold our constitutional tradition and speak to you today on the state of our state.
As you know I owe everything I am to Texas for raising me blessing me with opportunity and teaching me the value of good old fashioned hard work.
The shaping process that began under the watchful eye of my loving parents Ray and Amelia Perry continues to this day through the greatest gift of my life Anita Thigpen Perry. She represents all that is good about Texas women with her grace strength and compassion and wonderful smile.
She also shares in my greatest joy: our children Sydney Griffin and his wife Meredith.
I also credit the Boy Scouts for molding my character and shaping my values. I want to recognize the Scouts from the Capitol Area Council who are with us today and congratulate the Boy Scouts of America at the conclusion of their Centennial Celebration.
Throughout my life and service to this state my optimism about Texas and its people has never wavered and by any meaningful measure the state of our state is strong.
As I look out over this chamber and see the familiar faces of so many friends and colleagues Im reminded of those who are no longer with us especially my old roommate and mentor Edmund Kuempel. His passing was a reminder to all of us that life is fleeting that friendship matters and that we only have a short time to make a difference.
As legislators you get 140 days to make that difference and the clock is ticking.
As this session gets rolling some folks are painting a pretty grim picture of our situation so we need to balance their pessimism with the good news that
continues to flow from our comparatively strong economy.
Have the doomsayers forgotten that Texas added more jobs in 2010 than any other state? Last year the growth rate of Texas jobs was nearly double that of any other top ten state.
Some partisan commentators have tried to downplay our economic success by giving sole credit to our energy industry. Now let me tell you Im mighty proud of what our energy industry has done and still does for our state but our economic strength is built on a much broader base.
Our job growth occurred across a wide variety of sectors including business services healthcare construction manufacturing hospitality and of course our substantial energy industry.
According to the Brookings Institute Texas had six of the nations 20 Strongest-Performing Metros.
Those figures paint a much more encouraging picture dont you think?
Our economic strength is no accident. Its a testimony to our people our entrepreneurs and yes to the decisions made in this building. Employers from across the country and around the world understand that the opportunity they crave can be found in Texas and theyre headed our way with jobs in tow.
People are seeking opportunity as well and newcomers arrive every day ready to pursue their dreams. For the sixth year running research from Allied Van Lines showed that Texas was the top destination for relocations.
Need I go on? Well dont mind if I do.
Newsweek magazine had four Texas cities on their list of Top 10 American Cities Best Situated for Recovery" and Forbes considers our growth prospects best in the nation based on projected increases in jobs income and gross state product.
In a category that really affects the bottom line for Texas families our state leads the nation in strong home values. According to one industry analyst
the strongest appreciation in home values over the next seven months will take place in the Houston area the Metroplex and Amarillo.
According to our meticulous hardworking Comptroller Susan Combs Texas has ten consecutive months of sales tax growth.
I could keep listing accolades but I dont want to give the other states a complex and weve got a lot of ground to cover this morning. So let me boil it down to these simple truths: the core elements of our economy are strong and Texas is still the envy of our nation.
We have a strong advantage over those states that care more about the expansion and extension of government than the freedom and prosperity of their citizens.
As Exhibit A I submit the Illinois legislatures recent decision to raise taxes as much as 66. That may have seemed like an easy fix from Springfield Illinois but it takes on a completely different meaning for families on a budget or employers on tight margins.
Some experts have predicted that other states will follow their lead including our key competitors like California & New York. When those states dig deeper into their citizens wallets Texas looks even better by comparison.
I can assure you that we will compete and win jobs from those states or should I say more jobs since weve already won thousands.
It might be time to send a few more letters to their employers inviting them to move to Texas. Id include stories about business leaders like some that are here in this historic chamber today.
About ten years ago a small group of entrepreneurs in Los Angeles created a company called LegalZoom that grew rapidly. When it came time to expand they looked to Texas where they found the right mix of factors including our workforce our quality of life and investments from the Texas Enterprise Fund and the city of Austin.
We are proud to welcome them and their 600 jobs to Texas and thank them for their contribution to our economy. Those jobs are among the tens of thousands of jobs that the Enterprise Fund has brought to Texas along with nearly $15 billion in capital investment.
As the nation struggles to recover from the ongoing economic crisis and states go head-to-head for new jobs now is not the time for Texas to roll up our tents and go home. Instead its time to keep attracting good Texas jobs by funding our premiere economic development tools like the Enterprise Fund and the Emerging Technology Fund.
If we pulled the plug on our economic development efforts no one would be happier than my fellow governors in states like Oklahoma and New Jersey who are creating their own versions of the TEF to compete for the jobs weve been landing.
We owe it to our citizens to maintain our competitive edge especially because our economys relative prosperity does not extend into every single Texas home. I am deeply concerned about those Texas families that are dealing with joblessness and the fear and uncertainty that it cultivates. These are friends who live in our neighborhoods worship in our churches then wonder how long theyll have a roof over their heads.
An unemployment level that has hovered about a full point below the national average is a good indicator of our comparative strength but it also tells a tough story for more Texans than any of us can or should accept. When it comes to our vision for this state our work will not be done until every Texan who wants a job has a job.
Research and experience tell us that the only way to create those jobs is to knock down the senseless obstacles to economic growth. For more than a decade those of us elected to serve in this building have been working diligently to remove those obstacles and create a level playing field following a few simple rules.
For example setting aside resources for a rainy day has given us a resource that other states would love to have and some in our state would love for us to spend dry. Emptying the savings account to pay for recurring expenses is a bad idea whether it happens at home the workplace or in our state budget.
That approach would not only postpone tough necessary decisions but also leave us ill-equipped to handle bigger emergencies in the future. Therefore we must protect the Rainy Day Fund.
Second weve created a predictable regulatory environment so that employers know what to expect from one quarter to the next. Im talking about programs like our flexible permitting program that has contributed to cleaner air and economic development in Texas.
Between 2000 and 2009 this program helped Texas achieve a 27 reduction of statewide ozone levels more than any other state. NOx has fallen by 53-percent and almost every metropolitan area is meeting the current air standard. For those of you keeping track Dallas is within just one part per billion of meeting the standard as well. In true Texas style we made those air quality improvements while Texas employers were creating more private sector jobs than any other big state in the nation.
Third weve reformed our legal system to cut down on frivolous lawsuits so employers and doctors dont spend all their time in court. Since tort reform took effect more than 26000 medical license applications have been received and 33 counties got their first emergency room physician. Since the passage of reforms Senator Lucio the Rio Grande Valley has added 220 physicians to care for its growing population.
Joining us today is Dr. Javier Cardenas an OB/GYN who returned to his hometown of McAllen to practice medicine thanks to tort reform. He represents all those doctors who are able to practice medicine in our state without the ever-present threat of a frivolous lawsuit. Those doctors represent better access to care a higher quality of life and more importantly lives saved.
Fourth thanks to leaders like Representative Rob Eissler and Senator Florence Shapiro weve increased accountability in our public schools. Weve engaged legislators local districts teachers and parents in the process and genuinely reformed education in our state.
Over the past decade the states share of public education spending increased from $11 billion per year to $20 billion in 09. Thats an 82 increase. Part of our push for accountability has included a sharper focus on the basics like math science English & social studies.
Those efforts are paying off in the lives of our young people. For example Texas has been recognized as one of only four states closing the achievement gap in math. On the latest National Assessment of Educational Progress Texas children scored significantly higher than their peers.
The quality of education in our state is getting better and better preparing hardworking Texans to apply their legendary work ethic and provide for their families.
Those families sent a pretty clear message with their November votes. They want government to be even leaner and more efficient and they want us to balance the budget without raising taxes on families and employers.
Fortunately the leaders in this room led by Chairman Ogden and Chairman Pitts have balanced the budget before and theyll do it again. We just cant forget that dollars do far more to create jobs and prosperity in the peoples hands than they can in the governments.
Taking more money away from Texas families and employers is not the answer to our challenges because theyve already sacrificed plenty. Balancing our budget without raising taxes will certainly set a nice example for the rest of the nation but we have a bigger motivation.
Balancing our budget without raising taxes will keep us moving forward out of these tough economic times creating more jobs and opportunity and leaving Texas more competitive than ever.
Now the mainstream media and big government interest groups are doing their best to convince us that were facing a budget Armageddon. Texans dont believe it and they shouldnt because its not true.
Are we facing some tough choices? Of course but we can overcome them by setting priorities cutting bureaucracy reducing spending and focusing on what really matters to Texas families.
Fortunately we saw this challenge coming. Thats why we didnt touch the Rainy Day Fund during the last legislative session. Thats why Lt Governor Dewhurst Speaker Straus and I called on state agencies to get involved in the process.
Starting in January 2010 we asked them to identify 5 percent savings in the 2010-2011 biennium and 10 percent for the 12-13 biennium. Those agency leaders responded with a concerted effort taking stock of their organizations and coming up with proactive cuts that will keep Texas moving in the right direction. To keep that momentum going the three of us recently asked agencies to identify an additional 2.5 percent savings for the 2011 fiscal year.
My office is an agency as well and we cut $34.6 million in this cycle which equates to almost 11 percent of our budget. As all Texans tighten their belts we need to do more than just shave off a dollar here and there.
If ever there was a time to truly reform our approach to governance and streamline our organization it is now. Frank discussions about the true purpose of state government must be followed by a willingness to act on our convictions.
There should be no sacred cows in this business and that reality is reflected in the budget that I submitted this morning. To eliminate duplication lets consolidate functions like moving the Department of Rural Affairs into the Department of Agriculture.
Lets suspend non-mission-critical entities like the Historical Commission or the Commission on the Arts until the economy improves. Lets take an even closer look at the way we deliver essential services to make sure were taking the most efficient cost-effective approach.
We should follow the lead of HHSC whose inspector general has saved the state more than $5.3 billion dollars since its creation in 2004. Applied across all state agencies and departments these practices could significantly reduce wasteful spending and save taxpayers money. A state Inspector General would work directly with the agencies enhancing the state auditors efforts and improving efficiencies.
While were at it lets be sure were not burdening local authorities with unfunded mandates because theyre facing their own budget challenges.
In the end our decisions should always reflect a fundamental truth: we work for the people not the other way around.
With a balanced budget as our foundation I encourage you to move quickly on the emergency items Ive submitted. Most Texans regardless of party believe the integrity of elections would be improved by requiring participants to show a valid photo identification before voting. I wholeheartedly agree and thank Senator Fraser for carrying that bill.
We also need to protect property ownership with tougher eminent domain laws using the approach taken by Senator Estes & Representative Geren in their bill.
We need to protect the unborn by fast-tracking the sonogram bill so that women are fully medically informed before they make the life-changing decision to terminate a pregnancy.
We also need to hold Washington more accountable with a bill calling for a balanced budget amendment to the U.S. Constitution.
As those bills come to my desk for signature I hope theyll be closely followed by others aimed at improving our public education system especially efforts to reduce our dropout rate.
So lets expand our Virtual School Network with a Virtual High School that will not only enable students who have dropped out to earn a diploma online but also give students across the state access to classes their own schools may not offer.
To encourage students to stay in high school lets require them to either be enrolled or working towards a GED if they want to get and/or keep their Texas drivers license.
Lets also create an incentive program for employers who encourage their employees to continue their high school education.
Lets offer employers a $1500 tax incentive for every employee who earns their diploma or GED after receiving two hours off per week with pay to study or go to class.
Lets expand our STEM academies those innovative schools that teach young Texans the science technology engineering and math skills they need to compete for high tech jobs and college scholarships.
We also need to help school districts reduce their expenses in these tight budgetary times made worse by a certain Texas Congressman who singled out our state for punishment in pursuit of his own agenda.
One approach is to encourage districts to enter into shared service arrangements with other entities in their area.
On the higher education front weve experienced enrollment growth over the last two years higher than any time in Texas history. Our public institutions had 200000 more students enrolled in 2010 than they did in 2008 so lets be sure those students and their families are getting the best value for their time and money.
Change does not come easily or naturally to these big institutions but it is critical to educational effectiveness and efficiency. Back in September of 09 I ordered a review of cost efficiencies at our universities as a way to make education more affordable.
One idea that emerged from that process is called Outcomes-Based Funding" in which a significant percent of undergraduate funding would be based on the number of degrees awarded. Texans deserve college graduation for their hard-earned tax dollars not just college enrollment.
As families continue to struggle with the cost of higher education I am renewing my call for a four-year tuition freeze locking in tuition rates at or below the freshman level for four years.
As leaders like Senator Zaffirini search for more low-cost pathways to a degree its time for a bold Texas-style solution to this challenge that Im sure the brightest minds in our universities can devise. Today Im challenging our institutions of higher education to develop bachelors degrees that cost no more than $10000 including textbooks.
Lets leverage web-based instruction innovative teaching techniques and aggressive efficiency measures to reach that goal. Imagine the potential impact on affordability and graduation rates and the number of skilled workers it would send into our economy.
Speaking of skilled workers we have a ready source of technical skills living among us that too often goes untapped. Countless Texas veterans receive top-level training in the military but have a hard time getting credit for their knowledge and skills when they return to civilian life. We should support what one school calls College Credit 4 Heroes."
With the support of Senator Van de Putte the Texas Workforce Commission is working with Higher Education Coordinating Board and our community colleges on a plan to offer veterans credit for their skills & experience. The goal is to accelerate them into the Allied Health Occupations which are critically needed across our state and offer immense opportunity to these brave men and women.
As we increase the opportunity inherent in our economy lets increase the accountability transparency and efficiency of our legal system as well. Lets take the next step in our fight against lawsuit abuse by sparing our citizens and our job creators the financial burden of defending themselves from frivolous lawsuits.
Texas needs a loser pays" component in our legal system in which those who sue and lose are required to pay the court costs and legal expenses of those they sued.
Texas is one of a very few states who dont have an early dismissal" option for obviously frivolous lawsuits…but we should. We need to make our system more accessible to the little guy by setting up expedited trials and limited discovery for lawsuits with claims between $10000 and $100000 dollars.
These reforms would further improve the legal climate in our state and impart even more energy stability and security to our economy.
The pursuit of true stability and security also requires us to maintain law and order and keep our citizens safe. Last fall I proposed legislation targeting sex offenders to better protect our citizens. We should empower prosecutors to seek life without parole for certain repeat sex offenders and requiring active GPS monitoring of high risk offenders for three years after theyve done their time and been released by TDCJ.
On a broader scale we should also continue our investment in border security because the threat of cross-border violence has only grown as the drug wars escalate. I dont raise the issue of border security as a criticism of our neighbors to the south but to show our resolve and unity in the struggle as they deal with a wave of violence unlike anything outside of the worlds war zones.
Our relationship with Mexico predates our establishment as a state and our proud Hispanic citizens are friends neighbors partners and family Our desire is to strengthen our trade and cultural ties with Mexico through a climate of law and order that brings peace and security to our border region.
The vicious criminals who murdered American missionary Nancy Davis just two weeks ago are no doubt inflicting the same violence and intimidation on the people of Mexico and they must be brought to justice. I must admit that news of Mrs. Davis death brought the events of this last fall rushing back as we grieved with Tiffany Hartley over the loss of her husband David at the hands of narco-terrorists on Falcon Lake.
Tiffany is with us here today. Tiffany know that we continue to pray for you as we demand the perpetrators of this brutal crime be brought to justice.
Tiffanys presence reminds us that border security is not just a hot button issue for the talk shows but a matter of life and death for American citizens in the border region and in communities across our state.
We must keep taking the fight to vicious Mexican drug cartels and the gangs that operate in our state on their behalf as we support the men and women of law enforcement who remain on the front lines of this struggle.
I also want to thank Senator Williams and Representative Solomons for supporting my efforts to abolish sanctuary city policies restrictions that handcuff our police officers as they work to uphold the law and protect our communities.
Joining us today is Officer Joslyn Johnson from Houston whose husband Rodney was killed by an undocumented alien who had previously been in police custody multiple times. Texas law enforcement professionals must have the discretion to use their judgment; judgment honed by years of training and experience when it comes to inquiring about immigration status during lawful detentions and apprehensions. Thank you Sgt. Johnson for being here and for your grace and courage in these difficult times.
It is also time to seriously address the demand side of illegal immigration. We must establish criminal penalties for employers who knowingly hire workers who are here in violation of immigration law.
At the same time we need to increase the heat on the parasites who repeatedly exploit those seeking a better life in our state. I want to commend Representatives Senfronia Thompson and Randy Weber for their unrelenting focus on Human Trafficking which impacts far too many in our state. Its time to target the worst offenders with a 25-year minimum sentence for a first conviction for Continuous Human Trafficking and life without parole for repeat offenders.
Ill tell you its frustrating that were still having these border security conversations but Washington remains an abject failure in this area. It is part of that frustrating paradox where Washington neglects their responsibility for areas clearly within their purview while interfering in other areas in which theyre neither welcome nor authorized.
Despite our frequent requests Washington has yet to dedicate sufficient resources to secure our international border. We still need 1000 National Guard troops to support current law enforcement operations on our border until they can provide those 3000 more border patrol agents. We also need Predator drones flying along the Texas-Mexico border providing real time intel to our state and local operation centers.
Its time for our delegation in Washington on both sides of the aisle to step up and speak out in support of our states needs. If it seems that their interest in this legislative session is higher than usual thats to be expected in a redistricting year.
When you do hear from our Congressmen try guiding the conversation away from redistricting and suggest that they should be asking How can I help Texas by ending federal mandates or easing the growth of Medicaid costs?"
Then ask them about their progress on repealing the Doggett amendment that is taking more than $830 million from Texas schoolchildren and teachers right now.
Enlist them in our ongoing battle with an activist EPA intent on derailing our Texas air quality program which is cleaning our air as we create jobs.
Tell them its time to repeal Obamacare with its mandates that will cripple our healthcare system and a price tag that will bust our budget.
Our Medicaid population and accompanying financial burden are growing as we speak and in 2014 ObamaCare will cause them to explode. This Washington-centric healthcare plan puts many states on a collision course with bankruptcy.
Instead of oppressive mandates we need solutions like block grants and the freedom to improve health care delivery with innovation flexibility and local input from leaders like Senator Jane Nelson.
We most definitely do not need Washington encroaching even further on our individual liberties.
I hope youll support Representative Creightons legislation stating the simple truth upheld by at least two federal courts that its unconstitutional and wrong for the government to force someone to buy health insurance.
In this and other areas of overreach we must be united in sending one clear and simple message to Washington: Enough."
The differences between Texas values and Washingtons self-serving games have never been more stark than they are right now. The federal governments efforts to accumulate more power by bribing us with our own tax dollars are simply unacceptable.
We must continue to call attention to the essential truth of the 10th Amendment and commit these 28 words to memory: The powers not delegated to the United States by the Constitution nor prohibited by it to the States are reserved to the States respectively or to the people.
Our founders knew that a federal government powerful enough to run our lives would be powerful enough to rob us of our liberties. In this chamber where so many great Texas leaders have served we affirm the principle of state sovereignty and proclaim without reservation that Texans can run Texas better than bureaucrats in Washington DC.
Where Washington encroaches upon the rights of states this state will push back with resolve and the full force of the law. In that regard we are blessed to have a leader with the wisdom and courage of Attorney General Greg Abbott who is using every resource at his disposal and working with Texas lawmakers to protect the best interests of our state.
Some will say were just spoiling for a fight and Ill admit that Texans rarely walk away from a tussle but well also never walk away from our freedom. Our state was built on that that freedom and its unlimited opportunity.
The spirit of discovery and adventure that drove the earliest settlers still beats in the hearts of Texans everywhere as they push past the known into the unknown in the laboratory in the marketplace and in our universities.
Long known for our bountiful natural resources Texas is now esteemed for its greatest resource the intellect and character of our people.
Our culture of sturdy pragmatism forged through centuries of exploration exertion and endurance strengthens our resolve and equips us to overcome the challenges we now face together.
As other states flounder about oppressing their citizens with more taxes and driving away jobs with bad policy Texas will make the right decisions and emerge stronger.
As Ive said before I believe this will someday be regarded as the Texas century as our resolve our discipline and our commitment to one another carry us to brighter days and blazes a path for other states and even for our federal government to follow. Our charge is to lead and together we will blaze this path.
May God bless you all and through you may He continue to bless the great state of Texas.
