Following is the text of Governor Rick Perry’s “State of the State” Address offered at 11:15 a.m. on Tuesday, January 27, 2009, in accordance with the Texas Constitution.

Texas Legislators need to pay careful attention to the stimulus package being crafted by the new administration and the impact that it could have on our state’s budget.

With property taxes in Texas at near-confiscatory levels, State Rep. Phil King of Weatherford has been leading the charge to eliminate the scheme altogether. He’s taken a step in making that happen by introducing a constitutional amendment that would begin devoting a portion of future surplus dollars to property tax relief. Legislators should be encouraged to back HJR 38.

Two years ago I was frustrated that Lt. Gov. David Dewhurst didn’t support using some of the surplus on immediate tax relief. Dewhurst said he was worried that the national economy would continue to decline and it would affect the Lone Star State. As it turns out, Dewhurst’s concerns were well-founded. He was right.

Unless something unexpected happens (which has defined the process up until now), the next speaker of the Texas House will be Joe Straus (R-San Antonio). He this evening surpassed 98 pledges of support (needing only 76) and the remaining Republican candidates bowed out.

The media is a’ flutter with news that 11 Republican members have chosen someone they want to replace incumbent House Speaker Tom Craddick (apparently the remaining 65 are happy with Craddick), and that these “anybody but Craddick” Republicans are working to get 64 Democrats who dislike Craddick to vote for their man (apparently the 10 Democrats remaining like Craddick). Confused? It’s hard to pin down the shifting alliances in the Texas House, and Texas taxpayers should be careful about too readily embracing any of them. These people are all politicians, let us not forget.

When legislators gather in Austin, we might ask they take the Hippocratic Oath usually reserved for doctors. Or at least the part about "never do harm" as it regards our state economy. Texas Workforce Commission chairman Tom Pauken writes this week that while states like Michigan have a 9.6 percent unemployment rate and the nation lost 1.1 million jobs, Texas has a relatively low 5.6 unemployment rate and posted a quarter-million new jobs.

With the national economic outlook continuing to look dim, Texans must insist that the Legislature focus on policies that ensure the state’s fiscal soundness. Whoever leads the Texas House must be committed to spending restraint, low taxes, property tax reform and a competitive business environment, the president of the state’s most active taxpayer accountability group said today.

The Senate Finance Committee is recommending in its interim report that voters have the opportunity to opt for a higher local sales tax to buy down property taxes.

The report also calls for simpler tax notices that are more transparent in revealing the true change in the taxation burden.

Though this is not a new development it warrants repeating that Rep. Phil King of Weatherford is working to reform the Texas property tax juggernaut. The Weatherford Democrat reports that King’s legislative efforts in the upcoming session will be geared primarily towards lowering property taxes.