Comptroller Don Huffines has released the state’s annual cash report, detailing billions of dollars in revenue, expenditures, and fund balances during fiscal year 2026.
The Annual Cash Report covers the fiscal year in Texas ending August 31 and provides a breakdown of state finances across funds maintained in the state treasury.
According to the report, total net revenue across all funds, excluding trust funds, reached $188.9 billion, an increase of $5.9 billion, or 3.2 percent, from the previous fiscal year. Tax collections accounted for $88.2 billion, while federal revenue contributed another $61.1 billion.
The Consolidated General Revenue Fund ended the fiscal year with a $30.4 billion cash balance, down $11 billion, or 26.6 percent, from fiscal 2025. Huffines attributed the decline primarily to property tax relief delivered through the public school finance system and a $4.4 billion transfer to the Texas Energy Fund.
Education expenditures increased by $5.6 billion, reaching $60.1 billion. The report attributes part of that increase to state funding provided to school districts in place of local property taxes.
Foundation School Program grants totaled approximately $36.3 billion, an increase of 20.6 percent from the previous year. Additional public education grants accounted for approximately $8 billion in expenditures.
The report also details the first fiscal year of the state’s Education Savings Account program. The program’s dedicated fund received a $1 billion transfer from the General Revenue Fund and recorded approximately $284.6 million in net expenditures. The account ended the fiscal year with approximately $751.2 million remaining.
Despite the decline in the General Revenue Fund balance, the state’s Economic Stabilization Fund, commonly known as the Rainy Day Fund, grew by $2.7 billion to reach $27.5 billion. That balance included $5.8 billion in cash and $21.7 billion in investments.
The report is prepared on a cash basis, meaning revenue is recorded when collected and expenditures when payments are made. It covers funds held in the state treasury and does not represent a complete accounting of all state assets, liabilities, or funds held outside the treasury.
While the report provides a starting point for the next legislative session’s budget debate, its year-end cash balances do not establish how much lawmakers can spend on new priorities. The comptroller’s forthcoming Biennial Revenue Estimate will provide that framework. The figures nevertheless highlight questions lawmakers will face over sustaining property tax relief, funding public education, evaluating existing program balances, and preserving state reserves.
Huffines has emphasized taxpayer transparency and efforts to identify fraud, waste, abuse, and corruption. His office has also highlighted its Law Enforcement Operations Division and a whistleblower portal through which Texans can anonymously report suspected misuse of taxpayer funds.
