Regular Session
Government Affairs & Regulatory Compliance Analysis
Effective June 22, 2025, Texas law strictly prohibits businesses from paying School Superintendents or Assistant Superintendents for consulting or personal services if the business solicits or contracts with the district. For all other school administrators (Principals, Directors), such work is now banned unless the School Board formally votes to approve the specific contract.
Rep. William Metcalf·House Bill·Regular Session
Texas Attorney General (Civil Liability to the State) • Texas Education Agency (TEA)
This legislation has regulatory implications for the following Texas businesses and organizations:
Significant regulatory changes (effective 2025-06-22). Review with your legal and compliance teams to understand implications.
Affected business types:
lowMinimal cost impact anticipated.
JD Key Consulting provides government affairs and regulatory strategy services. We help businesses navigate Texas agencies, understand legislative impacts, and advocate for their interests.
JD Key Consulting provides strategic guidance on Texas regulatory compliance and legislative impact for your business.
Key implementation requirements and action items for compliance with this legislation
JD Key Consulting specializes in Texas regulatory compliance strategy. Work directly with James Dickey—former Chairman of the Republican Party of Texas—to understand this bill's impact on your operations and develop an actionable compliance plan.
Schedule a ConsultationInformation 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.
This bill's path through the Texas Legislature
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Common questions about HB3372
Effective June 22, 2025, Texas law strictly prohibits businesses from paying School Superintendents or Assistant Superintendents for consulting or personal services if the business solicits or contracts with the district. For all other school administrators (Principals, Directors), such work is now banned unless the School Board formally votes to approve the specific contract.
HB3372 was authored by Texas Representative William Metcalf during the Regular Session.
HB3372 was signed into law by Governor Greg Abbott on June 22, 2025.
HB3372 is enforced by Texas Attorney General (Civil Liability to the State) and Texas Education Agency (TEA).
The regulatory priority for HB3372 is rated as "critical". Businesses and organizations should review the legislation to understand potential impacts.
The cost impact of HB3372 is estimated as "low". This may vary based on industry and implementation requirements.
HB3372 addresses topics including business & commerce, business & commerce--general, education, education--primary & secondary and education--primary & secondary--general.
Key dates for HB3372: Effective date is 2025-06-22. Consult with legal counsel regarding applicability.
HB3372 establishes the following penalties: civil penalty of $10,000 per violation for Administrator receiving financial benefit for personal services from a prohibited entity (district vendor, education service provider, or other school district) without strict board approval or in violation of the absolute ban for superintendents.. Consult with legal counsel for specific applicability to your situation.
HB3372 primarily affects Texas businesses and commercial enterprises. These businesses should review the legislation with their legal and compliance teams to understand potential impacts.
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.
