Monitoring the Session

SB 771

diesel tax refund for fuel burned by auxiliary power units

Became law, effective Sep 1, 2025

Verdict: No flags

No flagsInitial review
Sen. Juan "Chuy" HinojosaDSenate 20

Initial review · graded Oct 20, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to a credit or refund for diesel fuel taxes paid on diesel fuel used in this state by auxiliary power units or power take-off equipment.

Caption from analyzed text · version I.

Summary

Truck operators running on-board equipment off the engine get a credit or refund.

The bill lets people who paid Texas diesel tax get a credit or refund for diesel burned by auxiliary power units or power take-off equipment on motor vehicles in this state. It touches licensed fuel sellers and unlicensed fuel buyers, such as truck operators whose vehicles run on-board equipment off the engine. Fuel can be measured with a comptroller-approved meter, or the comptroller sets a flat percentage, but fuel used for cab comfort heating or cooling and for idling does not qualify.

Labels

Labels: NO AUTOGRAPH. Became law without the governor's signature on May 24, 2025.BACK FROM THE DEAD. Same text as a bill filed before that died: 88R SB 1438 by Sen. Springer (Died in committee). Filed in 2 sessions, counting this one. Checked against 88R only.TRY NO. 2. Filed in 2 sessions: 88R and 89R. Checked against 88R only.CROSS-PARTY HANDOFF. Lead author Juan "Chuy" Hinojosa (D) in the Senate. Lead sponsor Trent Ashby (R) in the House. Party as the Legislative Reference Library lists it for the 89th Legislature.

Receipt

The receipt

89R-SB771 · 2025-01-13

SOLD BY

Sen. Juan "Chuy" HinojosaDSenate 20

ITEM

relating to a credit or refund for diesel fuel taxes paid on diesel fuel used in this state by auxiliary power units or power take-off equipment.

WHAT IT DOES

Truck operators running on-board equipment off the engine get a credit or refund.

The bill lets people who paid Texas diesel tax get a credit or refund for diesel burned by auxiliary power units or power take-off equipment on motor vehicles in this state. It touches licensed fuel sellers and unlicensed fuel buyers, such as truck operators whose vehicles run on-board equipment off the engine. Fuel can be measured with a comptroller-approved meter, or the comptroller sets a flat percentage, but fuel used for cab comfort heating or cooling and for idling does not qualify.

CHARGES

[ ] NONE FOUND

TOTAL

Net to General Revenue · FY 2026($2,473,000)

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

Sources

Fiscal note · version I · April 21, 2025

Estimated Two-year Net Impact to General Revenue Related Funds for SB771, As Introduced: a negative impact of ($5,230,000) through the biennium ending August 31, 2027.

First year · FY 2026 · ($2,473,000)

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. Received by the Secretary of the Senate
  2. Filed
  3. Read first time
  4. Referred to Finance
  5. Scheduled for public hearing on . . .
  6. Considered in public hearing
  7. Testimony taken in committee
  8. Vote taken in committee
  9. Reported favorably w/o amendments
  10. Committee report printed and distributed
  11. Placed on intent calendar
  12. Rules suspended-Regular order of business
  13. Read 2nd time & passed to engrossment
  14. Vote recorded in Journal
  15. Three day rule suspended
  16. Record vote
  17. Read 3rd time
  18. Passed
  19. Record vote
  20. Reported engrossed
  21. Received from the Senate
  22. Read first time
  23. Referred to Ways & Means
  24. Considered in formal meeting
  25. Reported favorably w/o amendment(s)
  26. Comte report filed with Committee Coordinator
  27. Committee report distributed
  28. Committee report sent to Calendars
  29. Laid out in lieu of companion HB 1663
  30. Read 2nd time
  31. Passed to 3rd reading
  32. Record vote RV#1919
  33. Statement(s) of vote recorded in Journal
  34. Read 3rd time
  35. Passed
  36. Record vote RV#2067
  37. Statement(s) of vote recorded in Journal
  38. House passage reported
  39. Reported enrolled
  40. Signed in the Senate
  41. Signed in the House
  42. Sent to the Governor
  43. Filed without the Governor's signature
  44. Effective on 9/1/25
FILED UNDER

No verified beat found.

SIGNED FOR BY

House · 124 yea · 0 nay

Senate · 31 yea · 0 nay

Sources

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

Senate: Final passage · Apr 30, 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

Juan "Chuy" Hinojosa

Donors

Texans for Lawsuit Reform PAC$18KTexas Trial Lawyers Association PAC$15KAssociated General Contractors of Texas PAC$15K

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 23, 2024 to Jun 30, 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.

Texans for Lawsuit Reform PAC$17,500.00

Texans for Lawsuit Reform PAC

$17,500.00

Cash
$17,500.00
Paid by others
$0.00
Total
$17,500.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Sep 3, 2024 to Jun 27, 2025. 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.

Report IDs: 100977616, 101009664.

Texas Trial Lawyers Association PAC$15,000.00

Texas Trial Lawyers Association PAC

$15,000.00

Cash
$15,000.00
Paid by others
$0.00
Total
$15,000.00

Also funds 137 other sitting lawmakers.

Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jul 24, 2024 to Nov 25, 2024. 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.

Report IDs: 100977616.

Associated General Contractors of Texas PAC$15,000.00

Associated General Contractors of Texas PAC

$15,000.00

Cash
$15,000.00
Paid by others
$0.00
Total
$15,000.00

Also funds 120 other sitting lawmakers.

Derived recipient stock · Jul 19, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Oct 25, 2024 to Jun 15, 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.

Report IDs: 100977616, 101059341.

Money

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

×

Texans for Lawsuit Reform PAC

$17,500.00

Cash
$17,500.00
Paid by others
$0.00
Total
$17,500.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Sep 3, 2024 to Jun 27, 2025. 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.

Report IDs: 100977616, 101009664.

×

Texas Trial Lawyers Association PAC

$15,000.00

Cash
$15,000.00
Paid by others
$0.00
Total
$15,000.00

Also funds 137 other sitting lawmakers.

Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jul 24, 2024 to Nov 25, 2024. 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.

Report IDs: 100977616.

×

Associated General Contractors of Texas PAC

$15,000.00

Cash
$15,000.00
Paid by others
$0.00
Total
$15,000.00

Also funds 120 other sitting lawmakers.

Derived recipient stock · Jul 19, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Oct 25, 2024 to Jun 15, 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.

Report IDs: 100977616, 101059341.

Votes5

House May 10, 2025

Yea
124
Nay
0
Present, not voting
2
Absent
6
Excused
18
Names

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

House journal

Sources

Record 2067

SB 771 was passed by (Record 2067): 124 Yeas, 0 Nays, 2 Present, not voting.

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

  • Yea: 124 (published)
  • Nay: 0 (published)
  • Present, not voting: 2 (published)
  • Absent: 6 (derived from named list)
  • Excused: 18 (derived from named list)

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

House May 9, 2025

Yea
125
Nay
1
Present, not voting
2
Absent
3
Excused
19
Names

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

House journal

Sources

Record 1919

SB 771 was passed to third reading by (Record 1919): 125 Yeas, 1 Nays, 2 Present, not voting.

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

  • Yea: 125 (published)
  • Nay: 1 (published)
  • Present, not voting: 2 (published)
  • Absent: 3 (derived from named list)
  • Excused: 19 (derived from named list)

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

Senate Apr 30, 2025

Yea
31
Nay
0
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Senate journal

Names were not printed. No individual positions are inferred.

Sources

Senator J. Hinojosa moved that Senate Rule 7.18 and the Constitutional Rule requiring bills to be read on three several days be suspended and that SB 771 be placed on its third reading and final passage. The motion prevailed by the following vote: Yeas 31, Nays 0. The bill was read third time and was passed by the following vote: Yeas 31, Nays 0.

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

  • Yea: 31 (published)
  • Nay: 0 (published)
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

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

Senate Apr 30, 2025

Yea
31
Nay
0
Present, not voting
Not printed
Absent
Not printed
Excused
Not printed
Names

Senate journal

Names were not printed. No individual positions are inferred.

Sources

Senator J. Hinojosa moved that Senate Rule 7.18 and the Constitutional Rule requiring bills to be read on three several days be suspended and that SB 771 be placed on its third reading and final passage. The motion prevailed by the following vote: Yeas 31, Nays 0.

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

  • Yea: 31 (published)
  • Nay: 0 (published)
  • Present, not voting: Not printed
  • Absent: Not printed
  • Excused: Not printed

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

Senate Apr 30, 2025

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

Senate journal

Names were not printed. No individual positions are inferred.

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

Sources

The bill was read second time and was passed to engrossment 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.

Witnesses7
For
6
Against
0
On
1
Names

For

  • AECT1 registration
  • Association of Electric Companies of Texas1 registration
  • Ryan LLC.1 registration
  • Self; Refrigerated Transport Inc1 registration
  • Sysco1 registration
  • Texas Trucking Assoc1 registration

On

  • Texas Comptroller of Public Accounts1 registration
Sources

7 parsed registrations across the loaded witness lists.

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

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

Fiscal
Net to General Revenue · FY 2026($2,473,000)

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

Sources

Fiscal note · version I · April 21, 2025

Estimated Two-year Net Impact to General Revenue Related Funds for SB771, As Introduced: a negative impact of ($5,230,000) through the biennium ending August 31, 2027.

First year · FY 2026 · ($2,473,000)

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 I by claude-opus-5-5, Oct 20, 2026, against the published rubric.

FILED BEFORE

Filed 2 times: 88R and 89R. Checked against 88R only.

88R SB 1438

by Sen. Springer, different lead author · Died in committee · same text

Introduced text

Last action, May 15, 2023: Referred to Ways & Means

Relating to a credit or refund for diesel fuel taxes paid on diesel fuel used in this state by auxiliary power units or power take-off equipment.

Caption, 88R bill history

Sources

Texas Senate · Filed Jan 13, 2025

05/24/2025 E Effective on 9/1/25

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

Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.

Sponsors
Trent AshbyRHouse 9

House committee · Ways & Means · Committee vote 13 aye, 0 nay · Out of committee

Senate committee · Finance · Committee vote 11 aye, 0 nay, 4 absent · Out of committee

Companion

HB 1663 by Ashby (identical)

Subjects

Taxation--Motor Fuels

COMPTROLLER OF PUBLIC ACCOUNTS

Text

The text as introduced · 376 words

89R4129 SRA-F

By: Hinojosa of Hidalgo
S.B. No. 771

A BILL TO BE ENTITLED

AN ACT

relating to a credit or refund for diesel fuel taxes paid on diesel

fuel used in this state by auxiliary power units or power take-off

equipment.

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

SECTION 1. Section 162.227, Tax Code, is amended by adding

Subsection (d-1) to read as follows:

(d-1) A license holder may take a credit on a return for the

period in which the purchase occurred, and a person who does not

hold a license may file a refund claim with the comptroller, if the

license holder or person paid tax on diesel fuel and the diesel fuel

is used in this state by auxiliary power units or power take-off

equipment on any motor vehicle. If the quantity of that diesel fuel

can be accurately measured while the motor vehicle is stationary by

any metering or other measuring device or method designed to

measure the fuel separately from fuel used to propel the motor

vehicle, the comptroller may approve and adopt the use of the device

as a basis for determining the quantity of diesel fuel consumed in

those operations for a tax credit or tax refund. If there is no

separate metering device or other approved measuring method, the

license holder may take the credit and the person who does not hold

a license may claim the refund on a percentage of the diesel fuel

consumed by each motor vehicle equipped with an auxiliary power

unit or power take-off equipment. The comptroller shall determine

the percentage of diesel fuel for which the credit or refund may be

claimed. The climate-control air conditioning or heating system of

a motor vehicle that has a primary purpose of providing for the

convenience or comfort of the operator or passengers is not a power

take-off system, and a credit or refund may not be allowed for the

tax paid on any portion of the diesel fuel that is used for that

purpose. A credit or refund may not be allowed for the diesel fuel

tax paid on that portion of the diesel fuel that is used for idling.

SECTION 2. This Act takes effect September 1, 2025.