According to the Legislative Budget Board (LBB), HB 5515 is not expected to result in any fiscal impact to the State of Texas. The bill imposes a new restriction on how freight and shipping costs may be calculated and included in the price of instructional materials sold to Texas public schools and open-enrollment charter schools. Specifically, it requires that such charges not exceed the actual standard shipping rate and prohibits unrelated handling fees. However, these changes relate to the pricing structure and procurement requirements placed on private publishers, not on the operational costs of state agencies.
The Texas Education Agency (TEA), which oversees instructional material contracts and compliance with procurement standards, is not expected to incur additional administrative burdens or enforcement costs as a result of this bill. The new requirement fits within TEA's existing oversight functions related to instructional material contracts, so no appropriation or staffing changes are needed.
Similarly, the bill is anticipated to have no fiscal impact on local governments, including school districts and charter schools. While the bill may affect the pricing behavior of instructional material vendors, it does not impose any new financial obligations or compliance costs on local educational entities. If anything, the bill could contribute to cost savings or improved pricing transparency for school districts by ensuring that they are not paying inflated or unrelated fees in the cost of instructional materials.
In summary, HB 5515 is a regulatory clarification aimed at preventing overcharging or hidden costs in educational material procurement, and it achieves this without creating new state expenditures or imposing costs on local school systems.
HB 5515 merits a "Yes" vote as a narrowly tailored, fiscally responsible reform that protects public education funds and promotes fair market practices in the procurement of instructional materials. The bill addresses an unintended consequence of a prior legislative action—HB 396 (86th Legislature)—which inadvertently led to increased shipping costs for school districts after lifting geographic restrictions on freight reimbursement. In response, HB 5515 amends Section 31.151(a) of the Education Code to prohibit publishers and manufacturers from inflating the cost of instructional materials through excessive or unrelated shipping and handling fees.
Specifically, the bill ensures that any freight charges included in the price of instructional materials must reflect only the actual delivery cost as determined by published carrier rates and may not include add-on charges like handling fees unless they are directly tied to the shipment of physical materials. This clarification strengthens fiscal accountability and procurement transparency, enabling school districts and charter schools to better manage taxpayer dollars without undermining their access to high-quality instructional resources.
According to the Legislative Budget Board, the bill has no fiscal impact on the state or local governments, as it regulates vendor pricing rather than imposing new administrative burdens. The Texas Education Agency will continue to oversee compliance within its existing capacity. From a liberty perspective, HB 5515 protects limited government and responsible use of public funds, while preserving free enterprise by setting reasonable boundaries on pricing practices within an open instructional materials market.
In sum, HB 5515 advances good governance and fiscal stewardship by correcting a documented problem in a targeted, enforceable way. It ensures schools are not overcharged through opaque or inflated shipping practices and aligns with Texas’s broader commitment to accountability in public education spending. Texas Policy Research recommends that lawmakers vote YES on HB 5515.