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Signed Into Law
Signed June 20, 2025Effective 2025-09-01
HB2844

Regular Session

Relating to the regulation of food service establishments, including retail food stores and mobile food vendors; requiring an occupational license; imposing fees; authorizing an administrative penalty.

Government Affairs & Regulatory Compliance Analysis

HB2844: Government Affairs Overview

HB2844 fundamentally restructures the regulatory landscape for the Texas food industry by preempting municipal authority over Mobile Food Vendors (MFVs) and "small-scale food businesses" (revenue under $1. 5M). Effective July 1, 2026, the current patchwork of local permits is replaced by a centralized state license issued by the Department of State Health Services (DSHS), prohibiting local jurisdictions from enforcing restrictions on operating hours, GPS tracking, or proximity to brick-and-mortar restaurants.

Rep. Brooks Landgraf·House Bill·Regular Session

Moderate
Low Cost
Effective:2025-09-01
Enforcing Agencies

Department of State Health Services (DSHS) • Health and Human Services Commission (HHSC) • Local Authorities (Municipalities/Counties) - only under collaborative agreement with DSHS • State Office of Administrative Hearings (SOAH)

Business Impact

Who HB2844 Affects

This legislation has regulatory implications for the following Texas businesses and organizations:

Regulatory Priority: moderate

Notable regulatory updates (effective 2025-09-01). Consider how these changes may affect your operations.

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Healthcare

Affected business types:

  • Hospitals
  • Healthcare systems
  • Medical practices
  • Health insurance providers
View all healthcare legislation

Key Operational Considerations

  • 1Waste Disposal: While commissary requirements are loosened, grease and waste disposal contracts remain mandatory. Ensure these are standalone agreements not tied to a kitchen lease.
  • 2Asset Purchase Agreements: State licenses are non-transferable. If acquiring a competitor’s fleet, the license does not convey with the asset; a new application is required prior to operation.

Estimated Cost Impact

lowMinimal cost impact anticipated.

Enforcing Agencies

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HB2844
Relating to the regulation of food service establishments, including retail food stores and mobile food vendors; requiring an occupational license; im...
Moderate Urgency
Heavily Contested
House Vote86 - 31
YEA
NAY
74% in favor117 voting
Senate Vote29 - 2
YEA
94% in favor31 voting
33
Total Opposition Votes
Cost Impact
Low
Effective
2025-09-01
Enforcing Agencies
DSHSHHSCLocal AuthoritiesSOAH
Primary Author: Rep. Brooks Landgraf
89th Texas Legislature
jdkey.com
01

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

  • Effective Date: September 1, 2025 (Grants DSHS/HHSC authority to begin rulemaking).
  • Compliance Deadline: July 1, 2026. By this date, all MFVs must hold the new state license, and local preemption takes full effect.
  • Agency Rulemaking: HHSC is statutorily required to adopt final rules by May 1, 2026.
  • *Regulatory Gray Zone:* Between Sept 1, 2025, and May 1, 2026, the agency will define "Type I, II, and III" vendor classifications and inspection fee structures. Active participation in public comment periods is essential.

Immediate Action Plan

  • 1. Revenue Audit: Confirm if your business falls under the $1.5M threshold to claim the local fee exemption in 2026.
  • 2. Fleet Audit: Consolidate VINs, insurance policies, and fire inspection dates for all units to prepare for the centralized application portal launch (Est. May 2026).
  • 3. Lease Review: Identify commissary contracts expiring after July 2026 and prepare to renegotiate based on the "self-sufficiency" clause.
  • 4. Monitor Rulemaking: Assign a compliance officer to track the HHSC rulemaking docket starting September 2025 to contest unfavorable definitions of "Type III" vendors.

Operational Changes Required

Contracts

  • Commissary Leases: Review immediately. The law prohibits regulators from requiring a commissary base if your vehicle is "self-sufficient" (equipped for storage/sanitation). You may have grounds to terminate or renegotiate costly kitchen leases after July 1, 2026.
  • Waste Disposal: While commissary requirements are loosened, grease and waste disposal contracts remain mandatory. Ensure these are standalone agreements not tied to a kitchen lease.
  • Asset Purchase Agreements: State licenses are non-transferable. If acquiring a competitor’s fleet, the license does not convey with the asset; a new application is required prior to operation.

Hiring/Training

  • Social Media Management: Designate a staff member responsible for "Itinerary Compliance." The law requires DSHS to track your location. You satisfy this by maintaining a public-facing social media page or website with your schedule. Failure to post requires manual itinerary filing with the state.
  • Inspection Protocol: Train staff to recognize valid inspectors. Inspections may be conducted by DSHS agents *or* local health officials acting under a "collaborative agreement." Staff must grant access to either.
  • Driver Qualifications: The statute links MFV operation to transportation code requirements. Ensure all drivers meet commercial driver standards relevant to the vehicle weight class.

Reporting & Record-Keeping

  • Vehicle Compliance File: Maintain a physical or digital file for each VIN containing:
  • Current State License (displayed conspicuously).
  • Proof of Insurance (mandatory for licensure).
  • Most recent Fire Inspection (valid for 12 months statewide; local jurisdictions cannot require a new one if a valid one exists).
  • Menu Management: You must notify DSHS *before* changing menu items if the change alters your classification (e.g., moving from pre-packaged to food prep).

Fees & Costs

  • License Fee: Capped at $150 per vehicle annually.
  • Inspection Fee: Variable. The law allows DSHS to charge the "cost of conducting the inspection." If DSHS contracts this out to a local municipality, costs may remain comparable to current local rates.
  • Small Business Exemption: Entities with <$1.5M annual gross revenue holding a state manufacturer/distributor license are exempt from local municipal health permit fees starting July 1, 2026.

Strategic Ambiguities & Considerations

  • "Collaborative Agreements": The law allows DSHS to partner with cities for inspections. It is unclear if cities hostile to preemption will refuse to collaborate, forcing DSHS to use state inspectors. This could create significant inspection backlogs in Summer 2026.
  • Vendor Classifications (Type II vs. III): The distinction between "limited handling" (Type II) and "preparation" (Type III) is not defined in the statute and will be determined by HHSC rules. This classification dictates your inspection frequency and fee schedule.
  • "Reasonable" Inspection Costs: While the license fee is capped, the inspection fee is not. Rulemaking will determine if "travel time" for state inspectors is billable to the business.

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Information presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.

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Legislative Timeline

This bill's path through the Texas Legislature

Filed
Feb 14, 2025
Passed House
May 16, 2025
Passed Senate
May 26, 2025
Signed
Jun 20, 2025
Effective
Sep 1, 2025
TopicsElectronic Information SystemsHealthHealth--generalOccupational RegulationOccupational Regulation--other Trades & ProfessionsMobile Food Vendor Regulatory Consistency ActFoodHealth & Human Services CommissionState Health Services, Department ofBusiness & CommerceBusiness & Commerce--small Business & Minority BusinessRestaurantsAdministrative Hearings, State Office of
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House Authors

Rep. Brooks LandgrafRepublican · Primary Author
Joint Authors

Senate Sponsor

Sen. Lois KolkhorstRepublican · Primary Sponsor

Bill Text(with markup)

Showing first 50k characters.

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

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Quick Reference

Frequently Asked Questions

Common questions about HB2844

Q

What does Texas HB2844 do?

HB2844 fundamentally restructures the regulatory landscape for the Texas food industry by preempting municipal authority over Mobile Food Vendors (MFVs) and "small-scale food businesses" (revenue under $1. 5M). Effective July 1, 2026, the current patchwork of local permits is replaced by a centralized state license issued by the Department of State Health Services (DSHS), prohibiting local jurisdictions from enforcing restrictions on operating hours, GPS tracking, or proximity to brick-and-mortar restaurants.

Q

Who authored HB2844?

HB2844 was authored by Texas Representative Brooks Landgraf during the Regular Session.

Q

When was HB2844 signed into law?

HB2844 was signed into law by Governor Greg Abbott on June 20, 2025.

Q

Which agencies enforce HB2844?

HB2844 is enforced by Department of State Health Services (DSHS), Health and Human Services Commission (HHSC), Local Authorities (Municipalities/Counties) - only under collaborative agreement with DSHS and State Office of Administrative Hearings (SOAH).

Q

How significant are the changes in HB2844?

The regulatory priority for HB2844 is rated as "moderate". Businesses and organizations should review the legislation to understand potential impacts.

Q

What is the cost impact of HB2844?

The cost impact of HB2844 is estimated as "low". This may vary based on industry and implementation requirements.

Q

What topics does HB2844 address?

HB2844 addresses topics including electronic information systems, health, health--general, occupational regulation and occupational regulation--other trades & professions.

Q

What are the key dates for HB2844?

Key dates for HB2844: Effective date is 2025-09-01. Rulemaking: Adopt rules implementing Chapter 437B, including vendor classifications (Type I, II, III), inspection criteria, and grading systems. (2026-05-01). Consult with legal counsel regarding applicability.

Q

What are the penalties under HB2844?

HB2844 establishes the following penalties: administrative penalty of Determined by DSHS for Operating as a mobile food vendor after license suspension or revocation.; administrative penalty of License Suspension/Revocation for Fraud, misrepresentation, failure to cooperate with investigation, receiving an 'F' grade inspection, or receiving 3+ citations in a 12-month period.. Consult with legal counsel for specific applicability to your situation.

Q

Which Texas businesses are affected by HB2844?

HB2844 primarily affects healthcare providers and medical facilities, Texas businesses and commercial enterprises. These businesses should review the legislation with their legal and compliance teams to understand potential impacts.

Need Strategic Guidance on This Legislation?

JD Key Consulting is an Austin, Texas-based government affairs firm led by James Dickey, former Chairman of the Republican Party of Texas. We specialize in Texas regulatory compliance and legislative strategy for data centers, energy, banking, and manufacturing.

Legislative data provided by LegiScanLast updated: January 11, 2026