The Texas 89th Legislative Session was marked by significant legislative activity, with lawmakers considering a substantial volume of proposed legislation across both chambers. According to our tally, 9,014 bills and resolutions underwent review and consideration in the House and Senate during this session.
Of the total legislation considered, 1,185 measures ultimately became law through various mechanisms and about 13% of all filed legislation reached the governor’s desk for consideration.
Gov. Greg Abbott exercised his veto authority on 26 bills during the regular session, reflecting selective use of this constitutional power to shape the legislative agenda.
A special session has been announced: What it is and what you should know
Following the conclusion of the regular session, Gov. Greg Abbott formally called a special session that began on Monday, July 21, 2025, addressing priority issues that remained unresolved. The governor outlined 18 priorities for the special session, with lawmakers having 30 days to tackle a packed agenda that spans multiple policy areas, including flood mitigation and preparation, relief funding for Hill County, cutting property taxes, water project incentives and redistricting congressional districts. This concentrated 30-day session creates unique opportunities for targeted advocacy efforts, as lawmakers must focus intensively on the governor’s specified agenda items. However, if the governor does not feel sufficient progress has been made, he has the authority to call additional special sessions.
The impacts to the construction industry
This flurry of activity has significantly impacted the construction industry, with several key changes already in effect or set to take effect on September 1. Here’s what you need to know.
- Senate Bill 929 clarifies the Texas Property Code for lien notice and filing deadlines by extending the deadline to the next business day when statutory deadlines fall on weekends or legal holidays. This legislation aims to streamline payment processes and protect contractors, mechanics and material suppliers from losing lien rights due to calendar timing issues. The measure took effect upon passage that occurred on May 21, 2025.
- Senate Bill 687 expands liability protections of Section 130.002 of the Texas Civil Practices and Remedies Code from architects and engineers to include land surveyors. The law establishes a standard of care for land surveyors. It will be effective September 1, 2025.
- Senate Bill 783 provides the State Energy Conservation Office with the authority to adopt newer energy codes for commercial and residential buildings. It will be effective September 1, 2025.
- Senate Bill 841 amends the Texas Property Code to clarify the process and qualified beneficiaries for the assignment of construction trust fund claims. It now allows contractors, subcontractors, and suppliers to assign involved in improving real property. However, to enforce such an assignment, specific conditions must be met: the assignment must be in writing and made only after the assignee has paid the original beneficiary with valid funds; it cannot be part of the original construction contract; the assignee must be directly involved in the project as a beneficiary, trustee, or property owner; and written notice of the assignment must be given to both the property owner and the contractor within seven days of the assignment. The legislation becomes effective on September 1, 2025.
- House Bill 2960 modifies venue requirements for construction contract disputes by mandating that litigation must occur in the Texas county where the project is situated when out-of-state venue clauses are deemed void. The legislation preserves parties’ ability to agree on alternative venues after disputes emerge but establishes a default Texas venue requirement to prevent enforcement of potentially unfair out-of-state forum selection clauses in construction agreements. This legislation becomes effective on September 1, 2025.
What comes next?
The groundwork for future legislation begins now. While lawmakers are working through the July special session (and potentially more), committee chairs are setting priorities and advocacy groups are crafting their agendas. Legislative staff are actively working to research emerging issues and draft proposals for the next session.
This interim period offers the greatest opportunity for meaningful policy influence. Organizations that engage early—before legislative positions solidify—consistently see better results than those who wait until bills hit the floor. The current environment allows for proactive strategy rather than reactive responses.
Whether your goal is advancing new legislation, blocking unfavorable proposals, or ensuring your perspective shapes important debates, success depends on early preparation.
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