The “One Big Beautiful Bill Act” (H.R. 1) and how it directly impacts Texans

The “One Big Beautiful Bill Act”, that passed a 215-214 vote at 1am this morning, presents several challenges for Texans, including reduced access to healthcare and food assistance, diminished support for renewable energy initiatives, and increased financial burdens on Texas. It’s essential for Texans to stay informed about these developments and engage with our tone-deaf, not-representing-us representatives to express concerns they won’t listen to and seek clarifications that they will never provide.

https://www.congress.gov/bill/119th-congress/house-bill/1/all-actions

https://www.congress.gov/119/bills/hr1/BILLS-119hr1rh.pdf

TAX PROVISIONS

Current Situation: Texas does not have a state income tax, and residents benefit from various federal tax provisions.

Proposed Changes: The bill extends tax cuts that would disproportionately benefit higher-income households. While Texas does not impose a state income tax, federal tax changes significantly affect residents. The proposed tax cuts in H.R. 1 would provide substantial benefits to high-income Texans, potentially widening the income gap. Middle-income Texans would see modest tax relief, while lower-income individuals might experience negligible benefits or even reductions in support due to associated cuts in programs like Medicaid and SNAP. According to the Congressional Budget Office, the legislation would decrease resources for the poorest households by up to 4% over the next decade, further increasing income inequality in Texas.

Effective Date: Taxable years beginning after December 31, 2025.

Bill Reference: H.R. 1, Title I, Subtitle A, Sections 101–105.

MEDICAID CUTS AND WORK REQUIREMENTS

Current Situation: Texas has not expanded Medicaid under the Affordable Care Act, leaving many low-income adults without coverage.

Proposed Changes: H.R. 1 introduces stricter work requirements for Medicaid recipients, accelerating their implementation to December 2026. This will lead to millions losing Medicaid coverage, particularly affecting Texans who are unemployed or underemployed.

Effective Date: December 31, 2026.

Bill Reference: H.R. 1, Title II, Subtitle A, Sections 201–203.

SNAP PROGRAM REFORMS

Current Situation: In Texas, Able-Bodied Adults Without Dependents (ABAWDs) must meet work requirements to receive SNAP benefits beyond three months. Exemptions exist for certain groups, including those over 55, veterans, and the homeless.

Proposed Changes: The bill extends work requirements to parents with children aged 7 to 18, mandating at least 20 hours of work per week to qualify for SNAP. This change will disproportionately affect single mothers and low-income families in Texas, greatly reducing food assistance for nearly four million children nationwide.

Effective Date: Upon enactment.

Bill Reference: H.R. 1, Title III, Subtitle B, Sections 301–303.

RENEWABLE ENERGY INCENTIVES ROLLBACK

Current Situation: Texas has been a leader in renewable energy, benefiting from federal tax credits established under the Inflation Reduction Act. These incentives have spurred job growth and investment in the state’s clean energy sector.

Proposed Changes: H.R. 1 aims to roll back these tax credits, hindering renewable energy development in Texas. The state will lose out on more than 115,000 potential jobs by 2035, and household energy costs will rise by up to 7% by 2035 due to decreased investment in clean energy. WHEN TEXAS FAMILIES NEED ECONOMIC RELIEF AND THE TEXAS POWER GRID NEEDS AS MUCH MAINTENANCE AND REINFORCEMENT AS IT CAN GET!

Effective Date: Upon enactment.

Bill Reference: H.R. 1, Title IV, Subtitle C, Sections 401–403.

INCREASED STATE FINANCIAL BURDENS

Current Situation: Texas relies on a combination of state and federal funding to support programs like Medicaid and SNAP.

Proposed Changes: By reducing federal funding for these programs, H.R. 1 shifts more financial responsibility to states. Texas will need to allocate additional state funds to maintain current service levels, catastrophically impacting other areas of the state budget, such as education and infrastructure. Where is the “how are we gonna pay for it?” crowd? I want them to weigh in on if they were willing to literally starve our most vulnerable populations, children and seniors.

Effective Date: Upon enactment.

Bill Reference: H.R. 1, Title V, Sections 501–503.

Note: This blog post is based on the information available as of May 22, 2025. For the most current updates on H.R. 1 and related legislative developments, please refer to the link above and other official state resources.

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