HB 3134

Overall Vote Recommendation
No
Principle Criteria
negative
Free Enterprise
neutral
Property Rights
negative
Personal Responsibility
negative
Limited Government
neutral
Individual Liberty
Digest

HB 3134 establishes a framework for regulating and facilitating the development of Advanced Air Mobility (AAM) systems in Texas. AAM refers to emerging air transportation technologies that utilize electric or hybrid-powered aircraft, including vertical takeoff and landing vehicles, to transport passengers or cargo within urban and regional environments. The bill adds a new Section 21.073 to the Transportation Code and sets minimum standards for aircraft covered under the legislation, specifically those with a gross takeoff weight of 300 pounds or more.

To implement the state’s AAM strategy, the bill directs the Texas Department of Transportation (TxDOT) to establish a dedicated office within its aviation division. This office will offer technical support and coordinate infrastructure development, especially at airports, with a focus on electric and autonomous aircraft. TxDOT is also tasked with creating a statewide strategic plan in collaboration with the FAA, USDOT, public airports, air carriers, and other stakeholders to ensure public safety, promote airspace efficiency, and guide uniform zoning and vertiport standards across Texas.

Additionally, the bill requires coordination with the Public Utility Commission and ERCOT to assess the electric generation and transmission needs of AAM implementation phases. TxDOT is further authorized to develop public educational campaigns, provide technical resources to local governments, and publish AAM-related information online. The agency may also administer a matching grant program to support public universities in securing federal research funding related to AAM technologies.

Importantly, the bill includes a preemption clause that prohibits political subdivisions from enacting local rules regulating AAM operations, unless the subdivision operates an airport, thereby ensuring regulatory consistency across the state. HB 3134 repeals Section 21.072 of the Transportation Code.

The originally filed version of HB 3134 laid the groundwork for regulating and promoting advanced air mobility (AAM) in Texas, but the Committee Substitute for HB 3134 made several refinements and expansions to clarify roles, broaden collaboration, and enhance uniformity in standards and governance.

One of the most notable differences is in the collaborative scope of the strategic planning process. The original bill required the Texas Department of Transportation (TxDOT) to develop the statewide strategic plan “in collaboration with industry and community representatives.” The committee substitute expands this to include the U.S. Department of Transportation, the Federal Aviation Administration (FAA), commercial air carriers, and political subdivisions that own or control airports, making the strategic planning more integrative with federal and local stakeholders.

Additionally, while the original version referred to the development of “consensus-based vertiport standards”, the substitute strengthens this language by encouraging “uniform vertiport standards”. This subtle shift moves the emphasis from industry-driven consensus to state-led standardization, supporting consistency across jurisdictions.

The substitute also clarifies and strengthens the state preemption clause. In the original bill, local governments were restricted from regulating AAM unless they were airport operators, and only for regulations affecting operations within the airport boundaries. The committee substitute retains this limitation but removes the conditional language around what local regulations may govern. It now clearly prohibits any local rule or regulation on ownership or aerial operation of AAM unless the local entity is an airport operator, thereby reducing ambiguity and enhancing regulatory certainty.

Furthermore, the matching grant program in both versions allows TxDOT to provide funds to higher education institutions seeking federal grants. The substitute version includes an additional requirement for the Transportation Commission to adopt rules specifying a minimum percentage of matching funds from industry partners, increasing the emphasis on shared investment and cost-sharing with the private sector.

Lastly, the Committee Substitute expands public outreach and education efforts. While the original bill required outreach materials to focus on “electric powered lift aircraft,” the substitute broadens this to include the entire field of advanced air mobility and technology developments, reflecting a more comprehensive and inclusive communication strategy.

In summary, the Committee Substitute provides more defined roles for stakeholders, promotes greater standardization and regulatory uniformity, and enhances the bill’s strategic, educational, and administrative clarity, all while reaffirming the state’s lead role in shaping the future of advanced air mobility.

Author (5)
David Cook
Suleman Lalani
Caroline Harris Davila
Mary Perez
Stan Gerdes
Co-Author (37)
Fiscal Notes

According to the Legislative Budget Board (LBB), HB 3134 is projected to result in a negative fiscal impact of approximately $9.4 million to General Revenue-related funds over the 2026–2027 biennium. This includes $8.1 million in one-time startup costs, primarily incurred by the Texas Department of Transportation (TxDOT), to establish the Office of Advanced Air Mobility (AAM) within its Aviation Division, implement public education campaigns, and develop the required statewide strategic plan.

The bill also requires TxDOT to coordinate with the Public Utility Commission (PUC), the Texas Education Agency (TEA), the Higher Education Coordinating Board (THECB), and other stakeholders to evaluate infrastructure, energy, and educational needs related to AAM. As a result, five new full-time employees would be added, with annual personnel costs totaling $649,600 beginning in fiscal year 2026. These recurring staffing costs are projected through at least fiscal year 2030.

A key fiscal component involves the administration of a new matching grant program for public institutions of higher education seeking federal funds for AAM research. However, the precise cost of this program cannot currently be determined, as it is dependent on the number and size of federal grants awarded.

Despite these expenditures, the bill does not authorize any appropriations directly. Rather, it provides the statutory framework that could support future appropriations. Importantly, the bill is not anticipated to create significant fiscal burdens for local governments, as most new responsibilities fall on state agencies and are presumed to be manageable within existing resources.

Vote Recommendation Notes

While HB 3134 seeks to prepare Texas for the emergence of advanced air mobility (AAM) systems and electric aircraft technologies, the bill ultimately expands government involvement into a sector that has not demonstrated a present need for state intervention or oversight. Though framed as a facilitative measure, the bill imposes new fiscal and administrative burdens on the state without clear justification or measurable public benefit. For these reasons, a vote against the bill is warranted.

At its core, the bill authorizes the creation of a new Advanced Air Mobility Office within the Texas Department of Transportation (TxDOT), adding five full-time employees and imposing nearly $9.4 million in General Revenue costs over the next biennium. These costs include public education campaigns, statewide planning exercises, and technical support functions that could and should be developed by the private sector. The long-term personnel costs and the open-ended matching grant program for university research further raise concerns about ongoing financial commitments with uncertain returns for taxpayers.

HB 3134 also raises red flags regarding government interference in free markets. By engaging in state-led planning, education, and promotion of a specific transportation sector, particularly one as speculative as AAM, the bill effectively provides government preference and soft subsidies to certain emerging technologies. This runs contrary to the principle that the private sector, not government, should drive innovation and determine the success of new industries.

Moreover, the bill lays the groundwork for future state and interagency coordination on AAM issues, including energy infrastructure, education curricula, and local zoning. While not regulatory in nature today, these mechanisms could evolve into future mandates or regulations, especially as technologies mature and pressure builds to formalize safety, environmental, or operational standards. For those concerned about regulatory creep and the slow expansion of government authority, this bill represents a problematic precedent.

Additionally, the legislation preempts local authorities by prohibiting political subdivisions, except for airport operators, from adopting ordinances related to AAM operations. While this promotes uniformity, it also strips local communities of their ability to respond to constituents' concerns about land use, safety, noise, and property rights. For lawmakers who support local governance and subsidiarity, this top-down limitation is reason enough to oppose the bill.

In summary, while the intentions behind HB 3134 may be well-meaning, the bill conflicts with key liberty-aligned policy principles by expanding state functions, incurring unjustified fiscal burdens, privileging certain technologies, and limiting local self-governance. The better approach is to allow the AAM sector to develop organically, guided by market demand and private innovation, without the weight of state planning and taxpayer-backed facilitation. For these reasons, Texas Policy Research recommends that lawmakers vote NO on HB 3134.

  • Individual Liberty: The bill does not create criminal penalties, surveillance tools, or direct constraints on individual behavior. To that extent, it does not directly infringe on individual liberty. However, by laying the foundation for future planning and coordination between state agencies and regulators, it may enable future rules or zoning restrictions that could limit where and how people use emerging aircraft technology, such as personal drones or autonomous vehicles. Any future regulatory creep from this infrastructure could indirectly infringe upon individual liberty.
  • Personal Responsibility: The bill signals that the state, not private actors, is responsible for advancing, organizing, and educating the public about advanced air mobility. This undermines the principle of personal responsibility by replacing bottom-up, market-driven experimentation with top-down state facilitation. The bill also introduces a matching grant program to incentivize federally funded research, which further implies that government, rather than private industry or institutions, should carry the load in developing this sector. A better approach would let market actors assume risk, explore use cases, and educate stakeholders organically.
  • Free Enterprise: Although the bill claims to support innovation, it inadvertently distorts the free market by prioritizing a specific industry (AAM) through state-level strategic planning and promotion, offering matching funds to institutions involved in AAM R&D (effectively using tax dollars to benefit select technologies or sectors), and creating a “clearinghouse” function within TxDOT that offers technical support and coordination traditionally provided by industry. These actions signal government favoritism, even if indirect, and could crowd out smaller or alternative players that lack access to the state's planning apparatus or grant programs. True free enterprise thrives in the absence of government incentives and planning, not because of them.
  • Private Property Rights: The bill does not directly threaten private property rights through eminent domain or forced land use. In fact, it limits local governments' ability to regulate AAM activity unless they operate an airport. While this may appear to protect AAM operators from burdensome local regulation, it also erodes local control over how communities govern land use and airspace, which are closely tied to property rights. In this sense, the bill undermines the right of communities and landowners to shape their own environments, particularly in cases where aircraft use may impact noise levels, safety, or neighborhood character.
  • Limited Government: This is where the bill most clearly violates a core liberty principle. The bill creates a new office within TxDOT, adds new full-time state employees, authorizes long-term strategic planning, and initiates state-led education and public information campaigns. All of these functions represent a clear expansion of the state’s role in a speculative and still-developing industry. The bill also creates the legal framework for future appropriations and possible new regulatory regimes. While it does not create direct mandates now, it sets in motion the machinery of government expansion, which may be hard to reverse later. This is antithetical to the principle of limited government.
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