According to the Legislative Budget Board (LBB), SB 1147 is not expected to have a significant fiscal impact on the State of Texas. The withdrawal from the Interstate Mining Compact and the subsequent dissolution of the Texas Mining Council and the office of the Interstate Mining Compact Commissioner may produce some cost savings. However, those savings are anticipated to be minimal and not substantial enough to affect the overall state budget in a meaningful way​.

The analysis also confirms that no fiscal impact is expected for local governments. This is because the entities being eliminated—such as the Texas Mining Council—are state-level institutions, and the responsibilities they carried do not directly translate to costs or obligations for local units of government.

Overall, SB 1147 would result in a small reduction in administrative expenditures, but the change is largely symbolic and policy-driven rather than financially motivated. The fiscal analysis supports the view that the bill's primary purpose is regulatory and structural realignment rather than budgetary reform.

SB 1147 presents a targeted reform that aligns closely with the principles of limited government and fiscal responsibility. Originally enacted when coal production in Texas was growing, the state's membership in the Interstate Mining Compact Commission (IMCC) no longer provides the strategic value it once did. With the regulatory focus of the Railroad Commission of Texas (RRC) shifting and alternative associations offering better value and alignment, continued participation in the compact has become more of a fiscal and administrative burden than a benefit.

The bill analysis underscores that membership dues—reaching up to $50,000 annually—are primarily driven by the production of non-coal minerals, which the RRC does not regulate. This misalignment means Texas is paying a high price for benefits it no longer fully receives. Efforts to renegotiate these costs have been unsuccessful, further reinforcing the rationale for withdrawal. SB 1147 takes a prudent and structured approach by adhering to the compact’s withdrawal process, directing the governor to issue formal notifications, and ensuring that administrative bodies tied to the compact are dissolved appropriately.

In terms of liberty principles, SB 1147 advances Limited Government by abolishing two state administrative bodies and repealing an outdated statute. It also modestly supports Free Enterprise by potentially reducing unnecessary regulatory entanglements. The fiscal note confirms there are no significant costs or savings to the state or local governments, making the bill fiscally neutral while still achieving policy streamlining​.

In summary, SB 1147 represents a strategic realignment of state priorities with minimal fiscal risk and tangible administrative benefits. As such, Texas Policy Research recommends that lawmakers vote YES on SB 1147.

• Individual Liberty: The bill indirectly supports individual liberty by affirming the state's right to self-determination in regulatory matters. By withdrawing from the Interstate Mining Compact, Texas reduces its exposure to externally influenced standards and retains full control over mining policy, which can lead to more accountable and transparent governance. While individuals aren't directly impacted, the move limits unnecessary bureaucratic layers that can affect private enterprise and land use.
• Personal Responsibility: This principle is reinforced as Texas assumes full control over its mining regulations, eliminating reliance on a multistate body for oversight or advocacy. With more localized governance, state agencies and stakeholders must take direct responsibility for policy development and enforcement. This aligns with the idea that governing bodies should be accountable to their constituents rather than to regional compacts with diluted responsibility.
• Free Enterprise: The bill promotes free enterprise by simplifying the regulatory environment. Businesses operating in the mining sector may benefit from streamlined interactions with state agencies rather than navigating policies influenced by multistate collaboration. This could reduce compliance burdens, especially since the Railroad Commission of Texas (RRC) is focusing on industry-specific associations more aligned with the needs of Texas businesses.
• Private Property Rights: Although not directly altered by this legislation, private property rights may benefit indirectly. Texas’s withdrawal from the compact allows for more state-specific approaches to land use and mineral extraction, which can lead to more predictable and responsive regulation. This supports the ability of landowners and operators to engage in lawful resource development without added layers of external policy influence.
• Limited Government: This bill most strongly advances the principle of limited government. It abolishes the office of the Interstate Mining Compact Commissioner for Texas, the Texas Mining Council, and repeals Chapter 132 of the Natural Resources Code. These actions eliminate administrative structures no longer deemed necessary, reducing bureaucratic overhead and reinforcing Texas's autonomy in governance. It also avoids unnecessary spending—membership dues as high as $50,000 annually—on a compact that no longer serves its intended purpose.

• HB 3506 (Same As)