March 6, 2026—With six days left in the legislative session, lawmakers are rushing to finalize key pieces of legislation needed for the state to resolve its revenue shortages, and pass operating, capital and transportation budgets.
As of March 3, House and Senate leaders are “in conference,” privately negotiating with each other to reconcile the amended House and Senate operating budget proposals.
For Evergreen, the Senate proposal restores the $2.7 million cut levied on the college last session and imposes $101,000 in administrative cuts. The House proposal restores $1.345 million of the cut and imposes a $150,000 administrative cut. Our focus throughout session has been to persuade legislators to fully rescind the $2.7 million, which Governor Ferguson did in his budget proposed in December 2025.
Earlier today, state Democrats and Governor Ferguson came to agreement on SB 6346, which would impose a new 9.9% tax on household income over $1 million a year. It’s estimated this “millionaires’ tax” could raise $4 billion a year, with money going to K-12 and higher education, health care, human services, and the working families’ tax credit. The legislature is expected to pass the latest version of the bill, and the governor says he will sign it when it gets to his desk. If it survives an expected referendum and legal challenges, the new tax will take effect in 2029.
If the final days of session follow the pattern of past years, the reconciled conference operating budget will be released on March 10 and will be debated on the full House and Senate floors soon after.
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