According to the Legislative Budget Board (LBB), the fiscal impact of HB 2498 is indeterminate due to uncertainty surrounding the volume and complexity of licensing cases involving criminal history. The Texas Department of Licensing and Regulation (TDLR) noted that being required to provide a "preponderance of evidence" in contested licensing decisions would have some fiscal effect, but the extent of that impact cannot be projected without knowing the number of cases that would be affected.

HB 2498 imposes new requirements on Texas occupational licensing authorities regarding the treatment of applicants with prior criminal convictions. These requirements include providing notices on applications and websites, maintaining detailed records on application outcomes, and submitting annual reports to the legislature. The bill also introduces evidentiary and procedural standards for license denial, suspension, and revocation.

While some state agencies indicated they would need to develop new procedures to comply with HB 2498, the LBB concluded that most of these costs could be absorbed using existing resources. Additionally, no significant fiscal implications are anticipated for local governments, as the bill's mandates apply primarily to state-level licensing bodies​.

HB 2498 delivers a thoughtful and balanced reform to Texas’ occupational licensing system, particularly as it relates to individuals with prior criminal convictions. The legislation enhances transparency, ensures fair treatment of applicants, and creates a clearer, more consistent process for determining eligibility based on criminal history. By focusing on individualized assessment and requiring agencies to meet a “preponderance of evidence” standard before denying licensure, the bill protects due process and expands opportunities for reintegration into the workforce—especially for those who have completed their sentences and pose no ongoing risk to public safety.

Importantly, HB 2498 does not grow the size or scope of government in a meaningful way. It assigns additional reporting and transparency responsibilities to existing licensing authorities but does not create new programs or bureaucracies. The Legislative Budget Board notes that while some agencies, like the Texas Department of Licensing and Regulation (TDLR), may experience fiscal impacts, most costs are expected to be absorbed within existing resources. There is no increase in taxes or financial burden on Texas taxpayers, and no significant fiscal impact is anticipated for local governments​.

The bill also reduces the regulatory burden on individuals, particularly rehabilitated persons with criminal records, by limiting how and when their history can be used to deny licenses. It introduces reasonable time limitations and exceptions for disqualification, helping remove outdated or overly broad barriers to economic participation. For businesses, there are no new mandates or compliance obligations imposed. On the contrary, by increasing access to licensure for qualified individuals, the bill may help alleviate labor shortages in certain licensed professions.

HB 2498 is aligned with principles of individual liberty, personal responsibility, and limited government. It removes unnecessary regulatory obstacles, improves fairness in state processes, and opens pathways to employment without expanding government authority or taxpayer costs. Texas Policy Research recommends that lawmakers vote YES on HB 2498.

• Individual Liberty: HB 2498 expands the ability of individuals—particularly those with past criminal convictions—to pursue meaningful work and reintegrate into society. It recognizes that once a person has served their sentence, they should not be indefinitely barred from earning a living in licensed professions, unless there's a clear public safety reason. By limiting blanket disqualifications and requiring agencies to justify denials with evidence, the bill protects individuals from arbitrary or overly broad government restrictions on their right to work.

• Personal Responsibility: The bill supports people who take responsibility for their past and want to rebuild their lives. It incentivizes rehabilitation by removing unjustified licensing barriers for those who remain offense-free for a period of time. In doing so, HB 2498 helps formerly incarcerated individuals become productive, self-sustaining members of society, rather than being pushed toward dependency or recidivism.

• Free Enterprise: By widening access to occupational licenses, the bill allows more Texans to participate in the job market, especially in skilled trades and professions facing workforce shortages. It reduces artificial barriers to entry in the labor market, which helps grow the economy and promote entrepreneurship. This fosters a healthier, more competitive free-enterprise system.

• Private Property Rights: The bill does not directly impact property rights, but by enabling more Texans to legally earn income, it supports the broader economic freedoms that make private property acquisition and maintenance more attainable.

• Limited Government: HB 2498 holds state licensing boards more accountable by requiring transparent processes, clear communication, and public reporting. It curbs unchecked government discretion by requiring agencies to prove—using a “preponderance of the evidence”—that a person’s conviction is relevant to the license being denied. It also avoids creating new agencies or programs, instead improving how existing ones operate, which respects the principle of minimal and effective governance.

• SB 1053 (Same As)