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Signed Into Law
Signed June 20, 2025Effective 2025-06-20
HB3627

Regular Session

Relating to allowing the chair of the State Board of Education to employ personnel to assist in performing the board's duties.

Government Affairs & Regulatory Compliance Analysis

HB3627: Government Affairs Overview

HB3627 fundamentally alters the power dynamic within Texas education governance by granting the State Board of Education (SBOE) Chair independent hiring authority, severing total reliance on Texas Education Agency (TEA) staff. While this legislation imposes no new direct compliance mandates, fees, or reporting requirements on the private sector, it necessitates an immediate strategic pivot for any entity engaged in lobbying, curriculum adoption, or Permanent School Fund (PSF) contracting.

Rep. Carl Tepper·House Bill·Regular Session

Low
Low Cost
Effective:2025-06-20
Business Impact

Who HB3627 Affects

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

Regulatory Priority: low

Standard regulatory changes (effective 2025-06-20). Review during normal business planning.

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Education

Affected business types:

  • School districts
  • Charter schools
  • Private schools
  • Education service providers
View all education legislation

Key Operational Considerations

  • 1If you employ external lobbyists or government affairs firms, amend their scope of work to include engagement with the new independent SBOE staff.
  • 2If you hold direct consulting contracts with the TEA that support the SBOE, anticipate a change in your "Project Manager" or oversight point of contact.
  • 3This law regulates state government internal operations. It does not mandate changes to private sector HR policies, training, or certifications.
  • 4The burden of record-keeping (personnel files, benefits administration) falls strictly on the TEA.

Estimated Cost Impact

lowMinimal cost impact anticipated.

Enforcing Agencies

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HB3627
Relating to allowing the chair of the State Board of Education to employ personnel to assist in performing the board's duties.
Low Urgency
Passed with Opposition
House Vote136 - 10
YEA
93% in favor146 voting
Senate Vote24 - 7
YEA
NAY
77% in favor31 voting
17
Total Opposition Votes
Cost Impact
Low
Effective
2025-06-20
Enforcing Agencies
SBOETEA
Primary Author: Rep. Carl Tepper
89th Texas Legislature
jdkey.com
01

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

  • Effective Date: June 20, 2025 (Immediate Effect).
  • Compliance Deadline: September 1, 2025. While the legal authority is immediate, funding for these 5.0 FTE positions ($758,272) aligns with the Fiscal Year 2026 start date. Expect new staff to be seated and operational by Q4 2025.
  • Agency Rulemaking: No public rulemaking is required. However, internal TEA/SBOE Memoranda of Understanding (MOUs) regarding payroll and benefits processing will likely be established immediately to handle the "dual-reporting" status of these employees.

Immediate Action Plan

  • 1. Update Stakeholder Maps: Instruct your government affairs team that TEA staff no longer control the gateway to the SBOE. Identify the new "Chief of Staff" or "Policy Director" as soon as they are hired in Q3 2025.
  • 2. Audit Pending Applications: If you have a charter application, instructional material bid, or waiver request pending before the SBOE for the September docket, verify who is reviewing your file. It may move from a TEA analyst to a new Board appointee.
  • 3. Monitor September Agenda: Watch the SBOE’s September meeting for the introduction of these new staff members to gauge the Board's new independent policy direction.

Operational Changes Required

Contracts

Review Government Relations Agreements:

  • If you employ external lobbyists or government affairs firms, amend their scope of work to include engagement with the new independent SBOE staff.
  • If you hold direct consulting contracts with the TEA that support the SBOE, anticipate a change in your "Project Manager" or oversight point of contact.

Hiring/Training

No internal changes required.

  • This law regulates state government internal operations. It does not mandate changes to private sector HR policies, training, or certifications.

Reporting & Record-Keeping

No new requirements.

  • The burden of record-keeping (personnel files, benefits administration) falls strictly on the TEA.

Fees & Costs

No direct cost to business.

  • The fiscal note indicates a cost to the General Revenue Fund ($1.49M over the biennium), but this is absorbed by the state budget. There are no pass-through fees to vendors or licensees.

Strategic Ambiguities & Considerations

The "Dual-Reporting" Conflict:

The statute creates a hybrid employee class: "state employees" for benefits purposes (administered by TEA) but "directly accountable" to the SBOE Chair for duties.

  • Risk: A "chain of command" conflict is highly probable. If TEA Legal Counsel advises against a course of action, but the SBOE Chair directs their independent staff to proceed, regulatory uncertainty will follow.
  • Business Logic: In instances of conflicting guidance between TEA career staff and new SBOE staff, prioritize the SBOE staff for matters of discretionary policy (e.g., curriculum content, charter vetoes), as the statute explicitly grants the Chair control over these personnel.

Scope of "Necessary" Duties:

The text allows the Chair to employ personnel "as necessary" without defining specific roles (e.g., legal, policy, PR).

  • Watch Item: The specific backgrounds of the first 5 hires will signal the Board's aggressive intent. If they hire auditors, expect scrutiny on PSF management. If they hire policy ideologues, expect aggressive curriculum revisions.

Need Compliance Guidance on 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.

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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.

02

Legislative Timeline

This bill's path through the Texas Legislature

Filed
Mar 3, 2025
Passed House
May 8, 2025
Passed Senate
May 25, 2025
Signed
Jun 20, 2025
Effective
Jun 20, 2025
TopicsState EmployeesEducation Agency, TexasEducation, State Board of
03

House Authors

Rep. Carl TepperRepublican · Primary Author
Joint Authors

Senate Sponsors

Sen. Kevin SparksRepublican · Primary Sponsor
Cosponsors (1)

Bill Text(with markup)

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

Related Legislation

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More from Rep. Carl Tepper

View all bills by Rep. Carl Tepper

Related by Topic

View more State Employees legislation
Quick Reference

Frequently Asked Questions

Common questions about HB3627

Q

What does Texas HB3627 do?

HB3627 fundamentally alters the power dynamic within Texas education governance by granting the State Board of Education (SBOE) Chair independent hiring authority, severing total reliance on Texas Education Agency (TEA) staff. While this legislation imposes no new direct compliance mandates, fees, or reporting requirements on the private sector, it necessitates an immediate strategic pivot for any entity engaged in lobbying, curriculum adoption, or Permanent School Fund (PSF) contracting.

Q

Who authored HB3627?

HB3627 was authored by Texas Representative Carl Tepper during the Regular Session.

Q

When was HB3627 signed into law?

HB3627 was signed into law by Governor Greg Abbott on June 20, 2025.

Q

Which agencies enforce HB3627?

HB3627 is enforced by State Board of Education (SBOE) and Texas Education Agency (TEA).

Q

How significant are the changes in HB3627?

The regulatory priority for HB3627 is rated as "low". Businesses and organizations should review the legislation to understand potential impacts.

Q

What is the cost impact of HB3627?

The cost impact of HB3627 is estimated as "low". This may vary based on industry and implementation requirements.

Q

What topics does HB3627 address?

HB3627 addresses topics including state employees, education agency, texas and education, state board of.

Q

What are the key dates for HB3627?

Key dates for HB3627: Effective date is 2025-06-20. Consult with legal counsel regarding applicability.

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