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Signed Into Law
Signed June 20, 2025Effective 2025-09-01
SB1535

Regular Session

Relating to the establishment by the Texas Workforce Commission of an advanced nuclear energy workforce development program.

Government Affairs & Regulatory Compliance Analysis

SB1535: Government Affairs Overview

SB 1535 mandates the Texas Workforce Commission (TWC) to establish a dedicated workforce development program for the advanced nuclear energy sector, effectively shifting specific training costs from private employers to the state. This legislation creates a strategic procurement opportunity for nuclear operators, EPC contractors, and engineering firms to utilize state-subsidized labor pipelines, provided they actively participate in the curriculum design process.

Sen. Judith Zaffirini·Senate Bill·Regular Session

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

Texas Workforce Commission

Business Impact

Who SB1535 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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Education

Affected business types:

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

Key Operational Considerations

  • 1Grant Agreements: Prepare for new TWC grant solicitations. Contracts will likely require data sharing regarding retention rates and hiring metrics in exchange for workforce funding.
  • 2Staffing Vendor Reviews: Update agreements with third-party staffing agencies to ensure they are contractually obligated to recruit from TWC-sanctioned "advanced nuclear" pathways.

Estimated Cost Impact

lowMinimal cost impact anticipated.

Enforcing Agencies

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SB1535
Moderate
Relating to the establishment by the Texas Workforce Commission of an advanced nuclear energy workforce development program.
Moderate Compliance Urgency
Requires near-term attention
Cost Impact
Low
Effective
2025-09-01
Enforcing Agencies
Texas Workforce Commission
Primary Author: Sen. Judith Zaffirini
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
  • Compliance Deadline: Q4 2025 (Strategic) – While there is no mandatory compliance date, companies must engage during the initial rulemaking window to ensure state curriculum aligns with internal hiring standards.
  • Agency Rulemaking: The TWC is required to establish rules, strategic plans, and curriculum standards starting September 1, 2025. A regulatory "gray zone" will exist between the effective date and the finalization of curriculum standards (likely mid-2026).

Immediate Action Plan

  • Identify Subject Matter Experts: Immediately designate internal technical leads for welding, rad control, and reactor ops to serve as advisors to the TWC program office.
  • Draft Academic MOUs: Contact local Junior College Districts to express intent to partner on SB 1535 grant applications once the program goes live.
  • Audit Insurance Policies: Verify that workers' compensation and general liability policies cover students/apprentices operating on-site under state-sponsored programs.
  • Monitor Texas Register: Set alerts for TWC rulemaking notices starting September 2025 to submit public comments on curriculum rigor.

Operational Changes Required

Contracts

  • Public-Private Partnerships (P3s): Legal teams should draft Memorandums of Understanding (MOUs) or Joint Venture agreements with local Public Junior Colleges to position the company as a primary recipient of graduates from these new programs.
  • Grant Agreements: Prepare for new TWC grant solicitations. Contracts will likely require data sharing regarding retention rates and hiring metrics in exchange for workforce funding.
  • Staffing Vendor Reviews: Update agreements with third-party staffing agencies to ensure they are contractually obligated to recruit from TWC-sanctioned "advanced nuclear" pathways.

Hiring/Training

  • Curriculum Alignment: HR and Technical Training leads must audit internal competency maps for nuclear-grade welding, radiological control, and instrumentation. These maps must be ready for submission to the TWC to influence state standards.
  • Internship Scaling: Operations must prepare to scale internship and apprenticeship programs to accommodate high school and community college pipelines, as these will be prerequisites for accessing state training funds.

Reporting & Record-Keeping

  • Grant Reporting: If participating, expect mandatory annual reporting to the TWC regarding the employment status and wage levels of program graduates hired.
  • Safety/Liability Documentation: Document safety protocols specifically for student/apprentice presence on industrial sites to satisfy insurance carrier requirements.

Fees & Costs

  • Cost Impact: Positive/Savings. The bill imposes no new fees on industry. Conversely, it allows businesses to offset training costs by utilizing state-funded academic pathways rather than funding internal training from scratch.

Strategic Ambiguities & Considerations

  • Curriculum vs. NRC Licensing: The law requires TWC to set curriculum, but the Nuclear Regulatory Commission (NRC) sets federal licensing standards. There is a significant risk that TWC-developed curriculum may not fully satisfy federal requirements. Industry input is critical to prevent a "Texas standard" that falls short of federal compliance.
  • Funding Source: The Fiscal Note indicates "no significant fiscal implication," implying the TWC will repurpose existing funds (e.g., Skills Development Fund) rather than receiving new appropriations. Competition for these funds will be high; early engagement is essential to secure allocations.
  • Definition of "Advanced": The statute does not strictly define which reactor technologies qualify. Rulemaking will determine if this applies strictly to Gen IV/SMRs or includes upgrades to existing fleets.

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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 21, 2025
Passed Senate
Apr 1, 2025
Passed House
May 21, 2025
Signed
Jun 20, 2025
Effective
Sep 1, 2025
TopicsEducationEducation--higherEducation--higher--financeEducation--higher--institutions & ProgramsEducation--junior College DistrictsEnergyEnergy--nuclearLaborLabor--workforce DevelopmentHigher Education Coordinating Board, TexasRailroad CommissionWorkforce Commission, TexasEducation--higher--curriculumEducation Agency, TexasPublic Utility Commission
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Senate Authors

Sen. Judith ZaffiriniDemocrat · Primary Author
Joint Authors

House Sponsor

Rep. Angie ButtonRepublican · Primary Sponsor

Bill Text(with markup)

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

Related Legislation

Explore more bills from this author and on related topics

More from Sen. Judith Zaffirini

View all bills by Sen. Judith Zaffirini

Related by Topic

View more Education legislation
Quick Reference

Frequently Asked Questions

Common questions about SB1535

Q

What does Texas SB1535 do?

SB 1535 mandates the Texas Workforce Commission (TWC) to establish a dedicated workforce development program for the advanced nuclear energy sector, effectively shifting specific training costs from private employers to the state. This legislation creates a strategic procurement opportunity for nuclear operators, EPC contractors, and engineering firms to utilize state-subsidized labor pipelines, provided they actively participate in the curriculum design process.

Q

Who authored SB1535?

SB1535 was authored by Texas Senator Judith Zaffirini during the Regular Session.

Q

When was SB1535 signed into law?

SB1535 was signed into law by Governor Greg Abbott on June 20, 2025.

Q

Which agencies enforce SB1535?

SB1535 is enforced by Texas Workforce Commission.

Q

How significant are the changes in SB1535?

The regulatory priority for SB1535 is rated as "moderate". Businesses and organizations should review the legislation to understand potential impacts.

Q

What is the cost impact of SB1535?

The cost impact of SB1535 is estimated as "low". This may vary based on industry and implementation requirements.

Q

What topics does SB1535 address?

SB1535 addresses topics including education, education--higher, education--higher--finance, education--higher--institutions & programs and education--junior college districts.

Q

What are the key dates for SB1535?

Key dates for SB1535: Effective date is 2025-09-01. Rulemaking: Establish rules to administer the program, create strategic plans for labor gaps, and develop customized curriculum requirements. (Not specified (Program effective 2025-09-01)). Consult with legal counsel regarding applicability.

Q

Which Texas businesses are affected by SB1535?

SB1535 primarily affects energy companies and power generators, employers and workforce development organizations. 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