According to the Legislative Budget Board (LBB), HB 3335 would have no fiscal implications for the State of Texas. The LBB concluded that the bill's expansion of county authority to donate surplus or salvage property to qualifying civic or charitable organizations would not result in any measurable increase in state expenditures or reduction in state revenue.
The LBB also determined that no significant fiscal implication to units of local government is anticipated. While the bill provides counties with greater flexibility by removing the requirement to first determine that a competitive sale would likely be unsuccessful or uneconomical before making a donation, the LBB does not expect this change to materially affect local government finances. Counties would continue to determine whether donations serve a public purpose and provide adequate consideration, such as avoiding transportation or disposal costs associated with surplus property.
HB 3335 removes an existing statutory safeguard governing the disposition of taxpayer-owned property by allowing county commissioners courts to donate surplus or salvage property without first determining that a competitive sale would likely fail or generate less revenue than the cost of conducting the sale. Although the bill retains the requirements that donations serve a public purpose, that the county retain sufficient control to ensure that purpose is accomplished, and that the recipient provide adequate consideration, it nevertheless expands local officials' discretion over the transfer of public assets.
The bill does not create a new government program, increase taxes, or impose additional regulatory requirements on individuals or businesses. Likewise, the LBB determined that it has no fiscal implication for the state and no significant fiscal implication for local governments. However, the absence of a fiscal cost does not eliminate concerns regarding stewardship of taxpayer-funded property.
From a limited-government perspective, the competitive sale requirement serves as an objective safeguard that promotes transparency, accountability, and the recovery of value for taxpayers before public assets are transferred to private organizations. Removing that requirement increases administrative discretion and reduces the incentive to maximize the return on taxpayer-owned property. It also creates greater potential for favoritism or politically connected organizations to receive public assets, even if no misconduct occurs.
While the bill is narrow in scope and preserves several existing safeguards, it weakens a statutory protection designed to ensure government disposes of public property in a transparent and fiscally responsible manner. For lawmakers who prioritize limiting discretionary government authority and protecting taxpayer assets, those concerns outweigh the bill's administrative efficiencies. As such, Texas Policy Research recommends that lawmakers vote NO on HB 3335.