Monitoring the Session

HB 5246

Bonnen Space Bill Lets Space Commission Buy Space On Rockets

Became law, effective Sep 1, 2025

Verdict: No flags

No flagsInitial review
Rep. Greg BonnenRHouse 24

Initial review · graded Oct 22, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to the administration, powers, and duties of the Texas Space Commission and Texas Aerospace Research and Space Economy Consortium, to other governmental entities regarding aerospace, aviation, and space exploration initiatives and activities, and to the abolishment of the spaceport trust fund.

Caption from analyzed text · version S.

Summary

Closed sessions on certain grants. Leftover spaceport fund money moves to general revenue.

This bill reworks the Texas Space Commission and its research consortium, widens their grant and contracting powers, and shuts down the old spaceport trust fund. It touches the commission's board, universities and businesses in the space and aeronautics field, the governor's aerospace advisory committee, and spaceport development corporations. On the ground, the commission gets a general counsel, can buy space on rockets and satellites, can meet in closed session on certain grants and federal facility deals, and can keep grant applications secret, while leftover spaceport fund money moves to general revenue.

Labels

Labels: BUZZER BEATER. Final vote Jun 1, 2025: the House adopted the conference committee report. 1 day before the session ended Jun 2, 2025.

Receipt

The receipt

89R-HB5246 · 2025-03-14

SOLD BY

ITEM

relating to the administration, powers, and duties of the Texas Space Commission and Texas Aerospace Research and Space Economy Consortium, to other governmental entities regarding aerospace, aviation, and space exploration initiatives and activities, and to the abolishment of the spaceport trust fund.

WHAT IT DOES

Closed sessions on certain grants. Leftover spaceport fund money moves to general revenue.

This bill reworks the Texas Space Commission and its research consortium, widens their grant and contracting powers, and shuts down the old spaceport trust fund. It touches the commission's board, universities and businesses in the space and aeronautics field, the governor's aerospace advisory committee, and spaceport development corporations. On the ground, the commission gets a general counsel, can buy space on rockets and satellites, can meet in closed session on certain grants and federal facility deals, and can keep grant applications secret, while leftover spaceport fund money moves to general revenue.

CHARGES

[ ] NONE FOUND

TOTAL

Net to General Revenue · FY 2026$7,206,000

LBB estimate, flow · fiscal note version F · ( ) = negative · source

Sources

Fiscal note · version F · May 30, 2025

Estimated Two-year Net Impact to General Revenue Related Funds for HB5246, Conference Committee Report: a positive impact of $7,206,000 through the biennium ending August 31, 2027. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

First year · FY 2026 · $7,206,000

Probable Net Positive/(Negative) Impact to General Revenue Related Funds

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

  1. Filed
  2. Read first time
  3. Referred to Delivery of Government Efficiency
  4. Scheduled for public hearing on . . .
  5. Considered in public hearing
  6. Testimony taken/registration(s) recorded in committee
  7. Left pending in committee
  8. Considered in formal meeting
  9. Reported favorably w/o amendment(s)
  10. Comte report filed with Committee Coordinator
  11. Committee report distributed
  12. Committee report sent to Calendars
  13. Considered in Calendars
  14. Placed on General State Calendar
  15. Read 2nd time
  16. Amended 1-Bonnen
  17. Passed to engrossment as amended
  18. Record vote RV#1216
  19. Statement(s) of vote recorded in Journal
  20. Read 3rd time
  21. Passed
  22. Record vote RV#1317
  23. Statement(s) of vote recorded in Journal
  24. Reported engrossed
  25. Received from the House
  26. Read first time
  27. Referred to Finance
  28. Scheduled for public hearing on . . .
  29. Considered in public hearing
  30. Left pending in committee
  31. Reported favorably as substituted
  32. Recommended for local & uncontested calendar
  33. Committee report printed and distributed
  34. Co-sponsor authorized
  35. Placed on intent calendar
  36. Rules suspended-Regular order of business
  37. Vote recorded in Journal
  38. Read 2nd time & passed to 3rd reading
  39. Vote recorded in Journal
  40. Three day rule suspended
  41. Record vote
  42. Read 3rd time
  43. Passed
  44. Record vote
  45. Senate passage as amended reported
  46. Senate Amendments distributed
  47. Senate Amendments Analysis distributed
  48. House refuses to concur in Senate amendments
  49. House requests conference committee
  50. House appoints conferees
  51. House refuses to concur-reported
  52. House requests conference committee-reported
  53. House appoints conferees-reported
  54. Senate grants request for conference comm.
  55. Senate appoints conferees
  56. Senate grants request for conf comm-reported
  57. Senate appoints conferees-reported
  58. Conference committee report filed
  59. Conf. Comm. Report distributed
  60. Senate adopts resolution to go outside bounds SR 715
  61. Senate adopts conference committee report
  62. Record vote
  63. Senate adopts conf. comm. report-reported
  64. Point of order overruled Rule 13, Section 9(a)(4)
  65. Point of order withdrawn Rule 12, Section 1(d), and Rule 13, Section 10(a),
  66. Point of order withdrawn Article III, Section 30
  67. House adopts conference committee report
  68. Record vote RV#4129
  69. Statement(s) of vote recorded in Journal
  70. House adopts conf. comm. report-reported
  71. Reported enrolled
  72. Signed in the House
  73. Signed in the Senate
  74. Sent to the Governor
  75. Signed by the Governor
  76. Effective on 9/1/25
FILED UNDER

GOVERNMENT GROWTH UNDER A CONSERVATIVE BANNER

THE TEXT

“The board shall employ a general counsel to advise the commission and the consortium and perform other duties assigned by the board.”

Bill text, Senate committee report version (S)

The bill creates a new staff position at the space commission.

CORPORATE WELFARE

THE TEXT

“an economic incentive a governmental body may offer to a private entity or nonprofit organization to meet a match requirement”…

Bill text, Senate committee report version (S)

The bill lets the board discuss economic incentives for private entities tied to federal space and defense deals behind closed doors, though any vote must be public.

SIGNED FOR BY

House · 123 yea · 8 nay

Senate · 30 yea · 1 nay

Sources

House: Final passage · May 2, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

Senate: Final passage · May 23, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

All floor motions and other positions below.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Donors

Donors report through Friends of Dr. Greg Bonnen.

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Jul 1, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Money

Missing data does not establish zero giving. Display amounts are rounded.

Votes7

House Jun 1, 2025

Yea
83
Nay
52
Present, not voting
2
Absent
8
Excused
5
Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 4129

Representative Bonnen moved to adopt the conference committee report on HB 5246. The motion to adopt the conference committee report on HB 5246 prevailed by (Record 4129): 83 Yeas, 52 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

  • Yea: 83 (published)
  • Nay: 52 (published)
  • Present, not voting: 2 (published)
  • Absent: 8 (derived from named list)
  • Excused: 5 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Senate May 31, 2025

Yea
21
Nay
10
Present, not voting
Not printed
Absent
0
Excused
0
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Sources

On motion of Senator Huffman, the Conference Committee Report was adopted by the following vote: Yeas 21, Nays 10.

Published stock of positions for this vote, except where marked derived.

  • Yea: 21 (published)
  • Nay: 10 (published)
  • Present, not voting: Not printed
  • Absent: 0 (derived from named list)
  • Excused: 0 (derived from named list)

Senate journal. Source snapshot 2026-10-19, Central time.

Senate May 23, 2025

Yea
30
Nay
1
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Names were not printed for yea. Only the named positions are included in member records.

Sources

The bill was read third time and was passed by the following vote: Yeas 30, Nays 1. (Same as previous roll call)

Published stock of positions for this vote, except where marked derived.

  • Yea: 30 (published)
  • Nay: 1 (published)
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Senate May 23, 2025

Yea
30
Nay
1
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Names were not printed for yea. Only the named positions are included in member records.

Sources

Senator Huffman moved that Senate Rule 7.18 and the Constitutional Rule requiring bills to be read on three several days be suspended and that CSHB 5246 be placed on its third reading and final passage. The motion prevailed by the following vote: Yeas 30, Nays 1.

Published stock of positions for this vote, except where marked derived.

  • Yea: 30 (published)
  • Nay: 1 (published)
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Senate May 23, 2025

Yea
Not printed
Nay
Not printed
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Names were not printed for yea. Only the named positions are included in member records.

Voice vote. No numeric tally or individual yeas are inferred.

Sources

Senator Huffman moved to suspend the regular order of business to take up for consideration CSHB 5246 at this time on its second reading: CSHB 5246, Relating to the administration, powers, and duties of the Texas Space Commission and Texas Aerospace Research and Space Economy Consortium, to other governmental entities regarding aerospace, aviation, and space exploration initiatives and activities, and to the abolishment of the spaceport trust fund. The motion prevailed. Senator Hagenbuch asked to be recorded as voting "Nay" on suspension of the regular order of business. The bill was read second time and was passed to third reading by a viva voce vote.

Published stock of positions for this vote, except where marked derived.

  • Yea: Not printed
  • Nay: Not printed
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

House May 2, 2025

Yea
123
Nay
8
Present, not voting
1
Absent
7
Excused
11
Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 1317

HB 5246 was passed by (Record 1317): 123 Yeas, 8 Nays, 1 Present, not voting.

Published stock of positions for this vote, except where marked derived.

  • Yea: 123 (published)
  • Nay: 8 (published)
  • Present, not voting: 1 (published)
  • Absent: 7 (derived from named list)
  • Excused: 11 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

House May 1, 2025

Yea
142
Nay
1
Present, not voting
1
Absent
2
Excused
4
Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 1216

HB 5246, as amended, was passed to engrossment by (Record 1216): 142 Yeas, 1 Nays, 1 Present, not voting.

Published stock of positions for this vote, except where marked derived.

  • Yea: 142 (published)
  • Nay: 1 (published)
  • Present, not voting: 1 (published)
  • Absent: 2 (derived from named list)
  • Excused: 4 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Witnesses18
For
16
Against
0
On
2
Names

For

  • City of Houston1 registration
  • Firefly Aerospace1 registration
  • Lockheed Martin Aeronautics1 registration
  • North Texas Commission2 registrations
  • Opportunity Austin1 registration
  • Self1 registration
  • Starlab Space2 registrations
  • Texas 20362 registrations
  • Texas Association of Business1 registration
  • Texas Association of Manufacturers1 registration
  • Texas Economic Development Council1 registration
  • The Boeing Company2 registrations

On

  • Texas Space Commission2 registrations
Sources

18 parsed registrations across the loaded witness lists.

Derived stock of witness registrations. Repeated appearances count separately. Organizations and self-representation appear as printed.

House witness list. Source snapshot 2026-10-20, Central time.

Senate witness list. Source snapshot 2026-10-20, Central time.

Fiscal
Net to General Revenue · FY 2026$7,206,000

LBB estimate, flow · fiscal note version F · ( ) = negative · source

Sources

Fiscal note · version F · May 30, 2025

Estimated Two-year Net Impact to General Revenue Related Funds for HB5246, Conference Committee Report: a positive impact of $7,206,000 through the biennium ending August 31, 2027. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

First year · FY 2026 · $7,206,000

Probable Net Positive/(Negative) Impact to General Revenue Related Funds

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version S by claude-opus-5-5, Oct 22, 2026, against the published rubric.

Sources

Texas House · Filed Mar 14, 2025

06/20/2025 E Effective on 9/1/25

Texas Legislature Online · Introduced · House Committee Report · Engrossed · Senate Committee Report · Enrolled

Data snapshot Oct 26, 2026 at 4:19 AM CDT. Grades, charges, quotes and corrections follow the published record.

Sponsors
Cosponsors

House committee · Delivery of Government Efficiency · Committee vote 12 aye, 0 nay, 1 absent · Out of committee

Senate committee · Finance · Committee vote 13 aye, 0 nay, 2 absent · Out of committee

Subjects

Aeronautics

Business & Commerce--General

Economic & Industrial Development--General

Education--Higher--Institutions & Programs

Governor

Intergovernmental Relations

Lawyers

Military & Veterans

State Agencies, Boards & Commissions--Newly Proposed

State Finances--Management & Control

Transportation--Aviation

LIEUTENANT GOVERNOR

SPACEPORTS

SPEAKER OF THE HOUSE

TEXAS A&M ENGINEERING EXPERIMENT STATION

TEXAS A&M UNIVERSITY SYSTEM

ECONOMIC DEVELOPMENT & TOURISM OFFICE, TEXAS

SPACE COMMISSION, TEXAS (VP0UH)

Text

The text as introduced · 3,851 words

89R4660 SCR-F

By: Bonnen
H.B. No. 5246

A BILL TO BE ENTITLED

AN ACT

relating to the administration, powers, and duties of the Texas

Space Commission, the Texas Aerospace Research and Space Economy

Consortium, and other governmental entities and institutions

regarding aerospace, aviation, and space exploration initiatives

and to the abolishment of the spaceport trust fund.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Sections 481.0066(d), (e), and (e-1), Government

Code, are amended to read as follows:

(d) The aerospace and aviation office shall:

(1) analyze aerospace-related [ space-related ] and

aviation-related research currently conducted in this state and may

conduct activities designed to further that research;

(2) analyze the state's economic position in the

aerospace and aviation industries;

(3) develop short-term and long-term business

strategies as part of an industry-specific strategic plan to

promote the retention, development, and expansion of aerospace and

aviation industry facilities in the state that is consistent with

and complementary of the office strategic plan;

(4) as part of and to further the purposes of the

industry-specific strategic plan described by Subdivision (3),

develop short-term and long-term policy initiatives or recommend

reforms the state may undertake or implement to:

(A) increase investment in aerospace and

aviation activities;

(B) [ support the retention, development, and

expansion of spaceports in this state;

[ (C) ] identify and encourage educational,

economic, and defense-related opportunities for aerospace and

aviation activities;

(C) [ (D) determine the appropriate level of

funding for the spaceport trust fund created under Section 481.0069

and ] support ongoing projects that have been assisted by the former

spaceport trust fund[ , including recommending to the legislature an

appropriate funding level for the fund ]; and

(D) [ (E) ] partner with the Texas Higher

Education Coordinating Board to foster technological advancement

and economic development for aerospace [ spaceport ] activities by

strengthening higher education programs and supporting aerospace

activities; [ and

[ (F) partner with the Texas Workforce Commission

to support initiatives that address the high technology skills and

staff resources needed to better promote the state's efforts in

becoming the leading space exploration state in the nation; ]

(5) act as a liaison with other state and federal

entities with related economic, educational, and defense

responsibilities to support the marketing of the state's aerospace

and aviation capabilities; and

(6) provide technical support and expertise to the

state and to local [ spaceport ] authorities regarding aerospace and

aviation business matters[ ; and

[ (7) be responsible for the promotion and development

of spaceports in this state ].

(e) The governor shall appoint an aerospace and aviation

advisory committee consisting of[ :

[ (1) ] seven qualified members to assist in the state's

economic development efforts to recruit and retain aerospace and

aviation jobs and investment[ ; and

[ (2) one member for each active spaceport development

corporation in the state who represents the interests of each

respective spaceport development corporation ].

(e-1) The aerospace and aviation advisory committee shall:

(1) advise the governor on the recruitment and

retention of aerospace and aviation jobs and investment;

(2) assist the office and the aerospace and aviation

office in meeting the state's economic development efforts to

recruit and retain aerospace and aviation jobs and investment;

(3) [ advise the office, the aerospace and aviation

office, and the governor on an appropriate funding level for the

spaceport trust fund;

[ (4) ] advise the office, the aerospace and aviation

office, and the governor on recruitment, retention, and expansion

of aerospace and aviation industry activities; and

(4) [ (5) ] collect and disseminate information on

federal, state, local, and private community economic development

programs that assist or provide loans, grants, or other funding to

aerospace and aviation industry activities.

SECTION 2. Sections 482.101(a) and (b), Government Code,

are amended to read as follows:

(a) The Texas Space Commission is established to strengthen

this state's proven leadership in civil, commercial, and military

outer space [ aerospace ] activity.

(b) The purpose of the commission is to promote :

(1) innovation in the fields of space exploration and

commercial aerospace ;

(2) commercial aerospace opportunities ; and

(3) [ , including ] the integration of the space and [ , ]

aeronautics[ , and aviation ] industries into the economy of this

state.

SECTION 3. Section 482.103, Government Code, is amended to

read as follows:

Sec. 482.103. SUNSET PROVISION. The commission is subject

to Chapter 325 (Texas Sunset Act). Unless continued in existence as

provided by that chapter, the commission is abolished and this

chapter expires September 1, 2033 [ 2032 ].

SECTION 4. Section 482.105, Government Code, is amended by

amending Subsections (a), (b), (c), (e), and (f) and adding

Subsection (a-1) to read as follows:

(a) The commission is governed by a [ nine-member ] board of

directors [ . The board is ] composed of the following nine voting

members :

(1) three members appointed by the governor;

(2) three members appointed by the lieutenant

governor; and

(3) three members appointed by the speaker of the

house of representatives.

(a-1) The executive director of the Texas Economic

Development and Tourism Office serves as an ex officio nonvoting

member of the board.

(b) In making appointments under Subsection (a), the

governor, lieutenant governor, and speaker of the house of

representatives shall prioritize appointing individuals with

experience in:

(1) the nongovernmental commercial space industry

[ aerospace ];

(2) governmental space operations [ civil aviation ];

(3) military space operations [ aerospace ];

(4) space-related [ space ] economic development;

(5) space-related academic research; and

(6) nonprofit support of the space economy.

(c) Voting members [ Members ] of the board appointed by the

governor, lieutenant governor, and speaker of the house serve [ at

the pleasure of the appointing office ] for staggered six-year

terms, with the terms of three [ two ] members expiring on January 31

of each odd-numbered year.

(e) Not later than the 30th day after the date a voting board

member's term expires, the appropriate appointing authority shall

appoint a replacement.

(f) The board shall elect a presiding officer from among the

voting members of the board.

SECTION 5. Section 482.107, Government Code, is amended to

read as follows:

Sec. 482.107. BOARD OF DIRECTORS: AUTHORITY. (a) The board

shall:

(1) direct the activities of, establish goals for, and

provide oversight to the commission;

(2) develop and execute a strategic plan in accordance

with Section 482.201;

(3) establish the appropriate standards and executive

bodies to ensure the proper use of funds authorized under this

chapter for research and facilities development;

(4) identify research and funding opportunities for

entities within this state that:

(A) strengthen and enhance this state's proven

leadership position in civil, commercial, and military aeronautics

research and development and space flight infrastructure;

(B) enhance the integration of the space and [ , ]

aeronautics[ , astronautics, and aviation ] industries into this

state's economy; and

(C) promote and further research involving

materials derived from or developed through space exploration and

space flight;

(5) capitalize, promote, and assist in the development

of workforce training to further the development of emerging

technologies required for all aspects of space exploration; [ and ]

(6) solicit proposals from the Texas Aerospace

Research and Space Economy Consortium established under Chapter 483

for projects [ on funding ] and [ research ] opportunities related to

the objectives in this chapter that could be funded with money from

the fund; and

(7) enter into an interagency agreement with the Texas

Aerospace Research and Space Economy Consortium regarding the

submission of proposals for projects eligible for a grant from the

fund [ from the Texas Aerospace Research and Space Economy

Consortium established under Subchapter G ].

(b) The board shall employ a chief compliance officer to

monitor and report to the board regarding compliance with this

chapter and rules adopted under this chapter. The chief compliance

officer shall ensure that all grant proposals comply with this

chapter and rules adopted under this chapter [ before the proposals

are submitted to the board for approval ].

(b-1) The board shall employ a general counsel to advise the

commission and perform duties assigned by the board.

(c) The board may:

(1) establish ad hoc advisory committees as necessary

to carry out the board's duties under this chapter;

(2) adopt and use an official seal;

(3) solicit and accept gifts , [ or ] grants, or

donations and contract with any entity;

(4) establish a nonprofit corporation as necessary to

carry out the purposes of this chapter;

(5) [ (4) ] acquire and convey property or an interest

in property;

(6) [ (5) ] procure insurance and pay premiums on

insurance of any type, in accounts, and from insurers as the board

considers necessary and advisable to accomplish any of the

commission's purposes;

(7) [ (6) ] make grants to public or private persons

with an established presence within this state to encourage

economic development related to space and aerospace;

(8) [ (7) ] make grants to enhance the capacity of

institutions of higher education to participate in and support

classified research;

(9) [ (8) ] provide matching funding to external

funding provided by relevant federal agencies, private industry, or

private research organizations; [ and ]

(10) [ (9) ] engage in the planning and implementation

of space exploration and spaceflight-related [ aerospace-related ]

educational opportunities within this state in coordination with

the Texas Aerospace Research and Space Economy Consortium

established under Chapter 483;

(11) in order to carry out the purposes of the

commission, charter any state-owned aircraft, including aircraft

held by an institution of higher education, the Texas Department of

Public Safety, or the Texas Department of Transportation, or other

aircraft to travel to visit proposed project sites in this state,

including travel by persons approved by the executive director and

the board's presiding officer; and

(12) contract with The Texas A&M University System as

necessary to carry out the purposes of this chapter [ Subchapter G ].

SECTION 6. Section 482.201(a), Government Code, is amended

to read as follows:

(a) The commission shall develop and annually update a

strategic plan for the promotion of space and [ , ] aeronautics[ , and

aviation ] economic development in this state.

SECTION 7. Section 482.302, Government Code, is amended by

amending Subsections (a) and (b) and adding Subsections (b-1), (e),

(f), (g), and (h) to read as follows:

(a) Using money available in the fund, the commission may

provide grants to eligible entities described by Subsection (b) for

the purposes of:

(1) development of emerging technologies required for

any aspect of human space flight , including aeronautics ;

(2) research involving any aspect of space exploration

and space flight , including aeronautics ;

(3) workforce training to promote space exploration

and space flight , including aeronautics ;

(4) curation of post-mission materials involved in

space exploration and space flight; and

(5) development of infrastructure useful or necessary

for the establishment or maintenance of a spaceport.

(b) The following entities are eligible for a grant made

under this subchapter:

(1) a business or nonprofit entity involved in the

space exploration and space [ , ] research industry [ , ] or the

aeronautics industry; [ and ]

(2) a governmental entity involved in the space

exploration and space research industry or the aeronautics

industry; and

(3) the Texas Aerospace Research and Space Economy

Consortium established under Chapter 483 [ with which the commission

has entered into an intergovernmental agreement for that purpose ].

(b-1) If the board approves a grant for a governmental

entity described by Subsection (b)(2), the governmental entity

shall enter into an intergovernmental agreement with the commission

with respect to the project or activity for which the grant was

awarded.

(e) The commission shall establish sufficient controls to

ensure that a grant awarded under this subchapter promotes the

purposes listed in Subsection (a).

(f) The commission shall adopt a policy on advance payments

to grant recipients.

(g) Except as otherwise provided by this section, money

awarded under this subchapter may be used for authorized expenses,

including honoraria, salaries and benefits, travel, conference

fees and expenses, consumable supplies, other operating expenses,

contracted research and development, capital equipment, and

construction or renovation of state or private facilities.

(h) An entity receiving money under this subchapter for

space exploration or aeronautics research may not spend more than

five percent of the money for indirect costs. For purposes of this

subsection, "indirect costs" means the expenses of doing business

that are not readily identified with a particular grant, contract,

project, function, or activity, but are necessary for the general

operation of the entity or the performance of the entity's

activities.

SECTION 8. Section 482.501, Government Code, is amended to

read as follows:

Sec. 482.501. RULES FOR GRANT AWARD PROCEDURE. (a) The

board shall adopt rules regarding the procedure for awarding grants

to applicants [ an applicant ] under this chapter, including

obtaining information from the [ a procedure for the ] Texas

Aerospace Research and Space Economy Consortium established under

Chapter 483 as necessary to make award determinations [ to make

recommendations to the board for grant awards ].

(b) The board may not award a grant to an applicant who has

made a gift or grant to the commission or a nonprofit organization

established to provide support to the commission during the

preceding two years .

SECTION 9. Subchapter G, Chapter 482, Government Code, is

redesignated as Chapter 483, Government Code, and amended to read

as follows:

CHAPTER 483 [ SUBCHAPTER G ]. TEXAS AEROSPACE RESEARCH AND SPACE

ECONOMY CONSORTIUM

Sec. 483.001 [ 482.601 ]. DEFINITIONS. In this chapter

[ subchapter ]:

(1) "Commission" means the Texas Space Commission.

(2) "Consortium" means the Texas Aerospace Research

and Space Economy Consortium.

(3) [ (2) ] "Executive committee" means the executive

committee of the consortium.

(4) "Institution of higher education" has the meaning

assigned by Section 61.003, Education Code.

Sec. 483.002 [ 482.602 ]. SUNSET PROVISION. The consortium is

subject to Chapter 325 (Texas Sunset Act). Unless continued in

existence as provided by that chapter, the consortium is abolished

and this subchapter expires September 1, 2033 [ 2032 ].

Sec. 483.003 [ 482.603 ]. ESTABLISHMENT; PURPOSE. The Texas

Aerospace Research and Space Economy Consortium is established to:

(1) identify research opportunities for entities

within this state that:

(A) strengthen this state's proven leadership in

civil, commercial, and military space-related [ aerospace ]

activity;

(B) enhance this state's position in aeronautics

research and development[ , astronautics ], space commercialization,

and space flight infrastructure and in the development of space

travel technologies ; and

(C) enhance the integration of the space and [ , ]

aeronautics[ , astronautics, and aviation ] industries into this

state's economy; and

(2) provide [ funding and ] research recommendations to

the commission.

Sec. 483.004 [ 482.604 ]. CONSORTIUM COMPOSITION. (a)

Subject to Subsections (b) and (c), the [ The ] consortium is

composed of:

(1) each participating institution of higher

education; and

(2) any other entity that the executive committee

considers necessary.

(b) An institution of higher education is considered a

participating member of the consortium if the institution submits

to the executive committee the name of a local campus liaison to

represent the institution on the consortium.

(c) Selection of an entity for membership in the consortium

under Subsection (a)(2) must be based on an application process

established by the executive committee.

Sec. 483.005 [ 482.605 ]. ADMINISTRATIVE ATTACHMENT. (a) The

consortium is administratively attached to the Texas A&M

Engineering Experiment Station [ office of the governor ] for the

purpose of receiving and administering appropriations and other

funds under this subchapter. The Texas A&M Engineering Experiment

Station [ office of the governor ] is not responsible for providing

to the consortium staff, human resources, contract monitoring,

purchasing, or any other administrative support services.

(b) The executive committee shall establish procedures for

entering into contracts with The Texas A&M University System or

applicable subcontractors as necessary to provide administrative

and staff support to the consortium.

Sec. 483.006 [ 482.606 ]. EXECUTIVE COMMITTEE COMPOSITION.

(a) The consortium is governed by an independent executive

committee composed of the following nine members:

(1) two members appointed by the governor;

(2) two members appointed by the lieutenant governor;

(3) two members appointed by the speaker of the house

of representatives;

(4) the chancellor of The Texas A&M University System

or the chancellor's designee;

(5) the chancellor of The University of Texas System

or the chancellor's designee; and

(6) the president of Rice University or the

president's designee.

(a-1) An appointed member of the committee serves at the

pleasure of the appointing official.

(b) In making appointments under Subsection (a), the

governor, the lieutenant governor, and the speaker of the house of

representatives, respectively, shall:

(1) prioritize appointing individuals with experience

in:

(A) aeronautics;

(B) space economic development; and

(C) academic engagement with the space economy;

and

(2) ensure that the appointments reflect, to the

extent possible, the ethnic and geographic diversity of this state.

(c) If a [ A ] vacancy occurs on the executive committee , the

appropriate appointing official shall appoint a successor [ is

filled ] in the same manner as the initial appointment. The

appropriate appointing official shall appoint the successor not

later than the 30th day after the date the vacancy occurs.

(d) The executive committee shall:

(1) elect a presiding officer from among the members

of the committee; and

(2) meet at the call of the presiding officer.

Sec. 483.007 [ 482.607 ]. GIFTS, GRANTS, AND DONATIONS. On

behalf of the consortium, the [ The ] executive committee may

solicit , [ and ] accept , give, or spend any [ on behalf of the

consortium ] gifts, grants, or donations from any public or private

source for the purpose of carrying out this subchapter.

Sec. 483.008 [ 482.608 ]. GENERAL DUTIES. (a) The executive

committee shall:

(1) develop and execute a comprehensive statewide

strategic plan to further the purposes of the consortium;

(2) gather and coordinate recommendations from

consortium members on [ funding and ] research opportunities in

accordance with the purposes of the consortium; and

(3) establish procedures and policies for the

administration of the consortium, including:

(A) procedures for documenting compliance by

members of the committee and members of the consortium [ and

consortium staff ] with applicable laws governing conflicts of

interest;

(B) designation of a member of the committee as

the committee's liaison to the commission; and

(C) procedures for submitting to the board of

directors of the commission a request for a grant from the space

exploration and aeronautics research fund established under

Chapter 482 for recommended projects and activities and for

entering into necessary agreements if awarded a grant [ entering

into contracts with The Texas A&M University System as necessary

for that system to provide administrative and staff support to the

consortium ].

(b) A member of the consortium may participate in consortium

fact-finding and strategic planning and the formation of

recommendations for purposes of Subsections (a)(1) and (a)(2).

Before assisting the executive committee as provided by this

subsection, a member of the consortium must designate a liaison to

the executive committee to represent that member.

Sec. 483.009 [ 482.609 ]. BIENNIAL REPORT. Not later than

December 31 of each even-numbered year, the executive committee

shall submit to the commission a written report that includes for

that biennium:

(1) the activities and objectives of the consortium;

(2) a synopsis of the funding and research

opportunities identified by the consortium;

(3) legislative recommendations, if any;

(4) prospective grants or funding the consortium

members expect to receive, if any; and

(5) research accomplishments associated with the

consortium, if any.

Sec. 483.010. COMPENSATION; EXPENSES. Executive committee

members serve without compensation but are entitled to

reimbursement for actual expenses incurred in attending committee

meetings. Those expenses are paid from funds appropriated to the

consortium.

Sec. 483.011 APPLICABILITY OF OTHER LAW. Chapter 2110 does

not apply to the size, composition, or duration of the executive

committee.

SECTION 10. Section 481.0069, Government Code, is repealed.

SECTION 11. (a) In this section:

(1) "Office" means the Texas Economic Development and

Tourism Office.

(2) "Spaceport development corporation" has the

meaning assigned by Section 507.001, Local Government Code.

(b) On September 1, 2025, the spaceport trust fund is

abolished and the balance of the fund is transferred to the general

revenue fund for use in accordance with legislative appropriation,

except as provided by Subsections (d) and (e) of this section.

(c) The abolishment of the spaceport trust fund and the

repeal of Section 481.0069, Government Code, do not affect the

validity of a contract between the office and a spaceport

development corporation that is entered into under Section

481.0069(e), Government Code, before September 1, 2025.

(d) Money that was deposited in the spaceport trust fund as

a gift, grant, or donation under Section 481.0069(c)(1), Government

Code, shall be held in trust by the comptroller outside the state

treasury and shall be administered by the comptroller as trustee as

provided by this subsection. The comptroller may:

(1) spend money encumbered by the specific terms of

the gift, grant, or donation only in accordance with those terms;

(2) return to the donor or grantor, on request, any

portion of the amount of a gift, grant, or donation described by

this subsection that remains on deposit; or

(3) transfer to the general revenue fund for use in

accordance with legislative appropriation any other remaining

money deposited as a gift, grant, or donation under Section

481.0069(c)(1), Government Code.

(e) Money from the spaceport trust fund that is encumbered

because the money is obligated by contract before September 1,

2025, but under the terms of the contract will not be distributed

until a later date shall be held in trust by the comptroller as

trustee outside the state treasury and shall be administered by the

comptroller as trustee to ensure that the money is distributed in

accordance with the terms of the contract. If the office determines

that the money will not be distributed in accordance with the terms

of contract, the office shall certify that fact to the comptroller.

On that certification, the comptroller shall transfer that money to

the general revenue fund to be used in accordance with legislative

appropriation.

(f) On or after the effective date of this Act, the

following payments or other amounts shall be remitted to the

comptroller for deposit to the general revenue fund:

(1) any interest or income earned on the investment of

money in the spaceport trust fund;

(2) any money returned by a spaceport development

corporation under a contract entered into under Section 481.0069,

Government Code; and

(3) any money received by a donor or grantor under

Subsection (d)(2) of this section that is subsequently returned to

the state.

SECTION 12. The term of a member serving on the aerospace

and aviation advisory committee immediately preceding the

effective date of this Act expires on that date. The member may be

reappointed to the committee.

SECTION 13. This Act takes effect September 1, 2025.