Texas brightens budget outlook but warns of trade war risks
AUSTIN, Texas (AP) -- Rising oil prices and economic growth has Texas officials projecting a bigger financial cushion to pay for Hurricane Harvey, school safety and health services for the poor.
Texas Comptroller Glenn Hegar on Wednesday raised his revenue estimate by nearly $3 billion. He warned that a trade war or a U.S. withdrawal from the North American Free Trade Agreement could sour that outlook between now and January.
That's when the Texas Legislature will return facing a list of big expenses. Lawmakers underfunded Medicaid by more than $2 billion and bills remain from Hurricane Harvey.
Teachers are also expected to pressure the GOP-controlled Legislature for money in the wake of protests by educators across the country.
Hegar says sales tax collections in Texas are up 10 percent from a year ago.