Houston is one of the nation’s biggest hubs for young professionals, thanks to strong job growth and an affordable cost of living. Between 2020 and 2024, the region added an estimated 240,000 new jobs, part of a broader economic boom across Texas. Now, a new law aims to build on that momentum by expanding access to workforce training and education programs. Senate Bill 1786 (SB 1786) was signed into law on May 27 and takes immediate effect to remove barriers for Texans seeking to enroll in local community and junior college programs. Additional provisions, including regional job demand studies and data analysis, will take effect on September 1. Free Courses for Disadvantaged StudentsSB 1786 expands free dual credit courses for economically disadvantaged students in grades 9–12, helping more Texans earn college credit before graduation. The law also addresses delays in the Texas Higher Education Coordinating Board’s rulemaking for financial aid, speeding up access to grants and loans. It improves coordination across state and federal programs, including Jobs and Education for Texans (JET), P-TECH early college high schools, and TRUE reskilling programs. These changes will begin with the 2025–26 school year. Aligning Funding with Workforce Needs SB 1786 builds on the 2023 overhaul of the state’s community college finance system by tying funding to student outcomes, specifically: Earning degrees or industry-recognized credentials that lead to well-paying jobs Successfully transferring to four-year universities Completing targeted dual credit coursework Supporting  Business Growth and Regional Competitiveness By strengthening access to high-value credentials and aligning education funding with workforce outcomes, SB 1786 reinforces the region’s position as a destination for business investment and expansion. These reforms help ensure Houston has a pipeline of skilled talent ready to meet the needs of employers in high-growth sectors such as energy, life sciences, advanced manufacturing, and technology. As the Partnership works to attract companies and jobs to the region, these policies send a strong signal that Houston is preparing its people for the careers of tomorrow. The law also strengthens the definition of a “credential of value” as one that helps a student earn more than a high school graduate and justifies the cost of their education. Credentials in high-demand sectors, such as healthcare and education, may also qualify. These updates will take effect in the 2027–28 school year. Workforce-Driven Reform The goal of SB 1786 is to reduce redundancy, maximize impact, and ensure postsecondary programs are aligned with the needs of Texas employers. By supporting this legislation, Houston’s business community is helping to sustain a robust talent pipeline for years to come.  

This week, the Partnership highlighted the Texas Legislature’s work to deliver a new pathway for college, career, and military readiness in public schools. House Bill 120 expands programs that enable high school students to focus on career-oriented education. Building on that foundation is House Bill 20 (HB 20), which prescribes the types of high-growth, high-wage jobs for which Texas students can now earn high school credit. The goal of the bill is to improve outcomes for high school juniors and seniors by allowing them to focus their classwork on industry-aligned skills rather than solely traditional courses. Prescribed Career Programs HB 20 specifies 20 targeted high-wage, high-growth occupations. Here’s the list of eligible career fields: Automotive technology  Aviation maintenance Carpentry Construction management and inspection Diesel and heavy equipment Electrical Electronics technology Heating, ventilation, and air conditioning Industrial maintenance and processes Information technology and cybersecurity Manufacturing and industrial technology Masonry Mechanical and aerospace engineering Oil and gas exploration and production Plumbing & pipe fitting Refining and chemical processes Robotics and automation Sheet metal Transportation, distribution, and logistics Welding Partnering with Local Colleges and Universities The bill requires public school districts to partner with local colleges and universities to offer these courses. This builds on the Legislature’s work from the 2023 session to expand the ability of community colleges to provide credentials of value. One key change is that students participating in these courses will receive high school credit, and the classes will be factored into the per-student funding formula for school districts. Students may also earn a Level 1 or Level 2 certification, credentials that can make them immediately hirable for in-demand job opportunities after graduation.  Prepared to Extend the Program HB 20 limits the program to a five-year pilot period ending in 2031. However, lawmakers have the authority to extend the program based on the outcome. The Texas Education Commissioner is also authorized to adjust the prescribed industries every five years to match job market needs.   Ready to Explore High-Growth Careers? Start Here. Do you have a Texas high school student or recent graduate exploring their career path? The Kinder Institute offers a Workforce Demand Dashboard that highlights high-demand jobs and career clusters, with a focus on specific industries. This tool helps students make informed decisions using real-time data on skills, wages, and opportunities.