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SB2543

Regular Session

Relating to the amount of certain revenue that may be used for and the location of state veterans cemeteries.

Low
Low Cost
Effective:2025-09-01
Enforcing Agencies

Texas Veterans Commission • Veterans Land Board (VLB)

SB2543
Low
Relating to the amount of certain revenue that may be used for and the location of state veterans cemeteries.
Low Compliance Urgency
Requires routine attention
Cost Impact
Low
Effective
2025-09-01
Enforcing Agencies
Texas Veterans CommissionVLB
Primary Author: Sen. Kelly Hancock
89th Texas Legislature
jdkey.com
01

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

  • Effective Date: September 1, 2025
  • Compliance Deadline: Immediate for Business Development. While there are no regulatory mandates to implement, procurement teams must adjust bid monitoring strategies immediately upon the effective date to capture new solicitations.
  • Agency Rulemaking: The VLB is not explicitly required to promulgate new public rules, but internal policy regarding site selection will likely be revised in Q4 2025. Watch for VLB meeting minutes regarding "site feasibility studies" to predict future project locations.

Immediate Action Plan

  • Update Search Parameters: Direct procurement teams to flag "Veterans Land Board" and "Cemetery" on the Electronic State Business Daily (ESBD) starting September 1, 2025.
  • Review Bonding Capacity: Contact your surety broker to ensure your firm can bond projects exceeding $7 million if you intend to bid on prime construction contracts.
  • Monitor Local Government: Track RFIs from municipalities seeking to donate land to the VLB; this is the precursor to construction contracts.
  • Verify Federal Certifications: Ensure your SAM.gov registration and federal contractor status are active, as federal grant-backed state projects often flow down federal compliance requirements.

Operational Changes Required

Contracts

  • Master Service Agreements (MSAs): The removal of the $7 million annual spending cap allows the VLB to solicit larger, consolidated contracts. Expect a shift from small, site-specific maintenance contracts to regional or statewide MSAs.
  • Bonding Requirements: Construction firms must review surety arrangements. With the spending cap removed, project scopes may exceed previous dollar-value limitations, requiring higher bonding capacity for prime contractors.

Hiring/Training

  • Bid Team Training: Procurement staff must be trained to identify solicitations tied to "Federal VA Grant" funding, as state authority to build is now statutorily contingent on these federal funds.
  • Prevailing Wage Compliance: As projects will rely on federal grants, strict adherence to Davis-Bacon Act wage requirements will be mandatory for all contractors and subcontractors.

Reporting & Record-Keeping

  • Vendor Performance: No new regulatory filings are required. However, ensure your Vendor Performance Tracking System (VPTS) score is optimized. With higher-value contracts available, state scrutiny on vendor past performance will intensify during the selection process.

Fees & Costs

  • No New Fees: This bill imposes no new levies on business.
  • Bid Preparation Costs: Anticipate increased overhead for proposal development, as the complexity and scale of VLB solicitations will likely increase.

Strategic Ambiguities & Considerations

  • Land Acquisition Funding: The statute explicitly prohibits using the specified VLB funds to *acquire* land. The VLB must rely on land donations or local government partnerships. Businesses should monitor municipal city council agendas for "land donation" resolutions, which will serve as the earliest indicator of a new cemetery project before a state RFP is issued.
  • "Funded by a Grant": The law restricts expansion to projects funded by the US Department of Veterans Affairs. It is unclear if the state can proceed if federal funding covers only a portion of the project. If federal grants freeze, state expansion freezes, regardless of state revenue availability.

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Information presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.

02

Legislative Timeline

This bill's path through the Texas Legislature

Filed
Mar 13, 2025
Passed Senate
May 1, 2025
Passed House
May 23, 2025
Signed
Jun 20, 2025
TopicsCemeteriesMilitary & VeteransState FinancesState Finances--management & ControlVeterans' Land Board
03

Senate Authors

Sen. Kelly HancockRepublican · Primary Author
Coauthors (2)

House Sponsor

Rep. Cole HefnerRepublican · Primary Sponsor

Bill Text(with markup)

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

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Quick Reference

Frequently Asked Questions

Common questions about SB2543

Q

What does Texas SB2543 do?

SB2543 removes the statutory cap limiting the Veterans Land Board (VLB) to seven cemeteries and eliminates the $7 million annual spending limit for cemetery planning and maintenance. This legislation effectively deregulates the scale of state veteran infrastructure, creating immediate, high-value procurement opportunities for construction, engineering, and facilities management firms, provided federal grant funding is secured. Implementation Timeline Effective Date: September 1, 2025 Compliance Deadline: Immediate for Business Development.

Q

Who authored SB2543?

SB2543 was authored by Texas Senator Kelly Hancock during the Regular Session.

Q

When was SB2543 signed into law?

SB2543 was signed into law by Governor Greg Abbott on June 20, 2025.

Q

Which agencies enforce SB2543?

SB2543 is enforced by Texas Veterans Commission and Veterans Land Board (VLB).

Q

How urgent is compliance with SB2543?

The compliance urgency for SB2543 is rated as "low". Businesses and organizations should review the requirements and timeline to ensure timely compliance.

Q

What is the cost impact of SB2543?

The cost impact of SB2543 is estimated as "low". This may vary based on industry and implementation requirements.

Q

What topics does SB2543 address?

SB2543 addresses topics including cemeteries, military & veterans, state finances, state finances--management & control and veterans' land board.

Legislative data provided by LegiScanLast updated: November 25, 2025

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