We must continue to diligently examine government services, maintain what is working, discard what is not, and nurture an environment conducive to sustained economic growth. Imprudent increases in government spending, no matter how worthwhile, could easily disrupt the ongoing economic expansion in the private sector and could threaten future budget stability. The seeds of future tax bills often are sown during times of fiscal health. Government must work in concert with the private sector to establish appropriate priorities for state spending. For that fund to serve its intended purpose, a significant portion of current surpluses should be held in reserve for the inevitable day when our economy cools.
Education is the state's top fiscal priority.
The state's public and higher education systems account for more than half of state spending and billions of dollars in local spending. Texans have a right to expect excellent educational institutions. The Legislature must continue to address educational performance and accountability for both public and higher education. While major steps have been taken in this direction, questions persist about the quality of the educational services delivered. Neither the drive for school tax relief nor the need to maintain equity in school funding can be used as an excuse to simply pour more precious tax dollars into an inefficient public education system.