According to the Legislative Budget Board (LBB), HB 5195 is not expected to have a significant fiscal impact on the state. The legislation requires state agencies to assess their digital platforms and adopt best practices for improving user accessibility, navigation, and digital service efficiency. It also tasks the Department of Information Resources (DIR) with providing technical support and guidance to facilitate consistent modernization across agencies.

The analysis assumes that agencies can absorb any costs associated with carrying out the bill’s directives within their existing resources. This suggests that the bill’s requirements—focused primarily on planning, self-assessment, and adherence to DIR-issued guidelines—are designed to be low-cost or cost-neutral, avoiding unfunded mandates or large-scale system overhauls in the near term.

Additionally, there are no anticipated fiscal implications for local governments. The bill's scope is confined to state agencies, and it does not impose any requirements on municipalities, counties, or other local entities. Given that no new appropriations or infrastructure mandates are created, and implementation relies on existing personnel and systems, the overall fiscal outlook is minimal in both the short and medium term.

HB 5195 represents a reasonable, cost-conscious effort to improve digital service delivery across Texas state agencies. The bill aligns with recommendations made by Governor Abbott’s Small Business Freedom Council, which found that outdated state websites were a top complaint among more than 700 surveyed small business owners. By facilitating better digital access and reducing the burden of paper-based processes, the bill aims to remove bureaucratic barriers to small business operations and improve the user experience for all Texans who interact with government services.

Crucially, the bill maintains fidelity to the principle of limited government by avoiding mandates that require new spending or large-scale technology overhauls. Instead, it emphasizes planning and coordination, with the Department of Information Resources (DIR) providing best practices, guidance, and optional working groups. Unlike the originally filed version, the committee substitute limits reporting obligations and narrows the scope of directives, effectively balancing reform with administrative flexibility. The sunset of the legislative reporting requirement by January 1, 2027, further underscores this restraint.

The fiscal note supports this limited government approach, confirming no significant financial impact to the state or local governments. Agencies are expected to absorb any minor costs within existing resources, reinforcing that the bill imposes no unfunded mandates. Given its promotion of accessibility, service efficiency, and regulatory streamlining—particularly for small businesses—HB 5195 supports the liberty principles of individual empowerment, personal responsibility, and administrative efficiency. Therefore, Texas Policy Research recommends that lawmakers vote YES on HB 5195.

• Individual Liberty: The bill enhances individual liberty by improving how Texans access public services online. By requiring agencies to assess and consider updates for usability, mobile accessibility, and digital alternatives to paper-based systems, the bill removes practical barriers that limit public participation. These improvements are particularly valuable for individuals with disabilities, those in rural areas, and people without consistent access to in-person services. Enhancing digital accessibility empowers citizens to engage with their government on more equal footing.
• Personal Responsibility: The bill encourages self-sufficiency by streamlining government websites and digital services. When agency systems are intuitive and easy to use, individuals can more readily complete applications, submit forms, and access information without needing intermediaries. This strengthens civic responsibility and makes it easier for Texans to manage their own interactions with government services, including licensing, benefits, and reporting requirements.
• Free Enterprise: The bill responds directly to small business concerns identified in the 2025 Small Business Freedom Council report, which cited state websites as a significant barrier to business formation and compliance. By promoting more user-friendly digital services and reducing paperwork burdens, the bill makes it easier for entrepreneurs to navigate regulatory requirements. This supports economic growth and reduces the friction that excessive bureaucracy can impose on private enterprise.
• Private Property Rights: The bill does not directly impact private property rights. While better digital access to regulatory compliance tools may indirectly assist property owners—especially those managing land use, permits, or licenses—the bill does not alter any legal rights or protections related to property ownership.
• Limited Government: Though the bill directs agencies to assess and plan for improvements, it does so without creating burdensome mandates or new regulatory enforcement mechanisms. The committee substitute notably scaled back prescriptive elements from the original filing, including compliance audits, mandatory implementation deadlines, and biennial reporting. Instead, it relies on guidance and a one-time legislative report from the Department of Information Resources. This restrained approach helps ensure that modernization efforts do not lead to expanded bureaucratic control, but rather streamline what already exists.