Key New Laws Effective January 1st in Texas

Responsible Artificial Intelligence Governance Act (HB 149) – Establishes a statewide regulatory framework for AI systems — including requirements to prevent discriminatory or harmful AI, protect privacy, regulate deepfakes, create an AI advisory council, and mandate certain disclosures when AI is used.

App Store Accountability (SB 2420) – App age-verification requirements for mobile app stores (age checks + parental consent for minors). Important: A federal court has blocked the law before it takes effect, so it will not be enforceable on Jan 1, 2026, unless the injunction is lifted.

Property & Housing  – Squatter eviction law (SB 38) – Streamlines legal process for property owners to remove squatters. Disaster tax rate & school finance restrictions (HB 30 & SB 1502) — Creates a “disaster debris tax rate” after natural disasters and limits school districts from raising property tax rates above voter-approved levels without an election.

Law Enforcement / Immigration – Federal 287(g) participation (SB 8) — Most Texas county sheriffs required to participate in federal immigration enforcement with ICE (U.S. Immigration and Customs Enforcement).

Business & Tax Changes – Unemployment claims process updates (HB 3699) – Streamlines how Texans file and process unemployment benefits. R&D tax law overhaul (SB 2206) – Replaces Texas R&D franchise tax credit to align with federal credit rules and repeals the sales tax R&D exemption.

Insurance Regulation – Insurance transparency (HB 2067) – Requires written reasons when insurers decline, cancel, or refuse to renew policies and mandates ZIP-code reporting to the Texas Department of Insurance (with summaries online).

Election / Government Rules – Changes to campaign reporting rules — Adjusted reporting thresholds and related regulatory clarifications by the Texas Ethics Commission become effective on Jan. 1, 2026.

*Visit www.texastribune.org for a complete list of all new laws effective January 1, 2026.