The Brownwood Area Chamber of Commerce hosted the 2016 Brownwood Area Economic Summit Thursday morning at Howard Payne University’s Mabee Center. The event featured Texas State Comptroller Glenn Hegar as the keynote speaker.
Elected in November 2014, Hegar serves as Texas’ treasurer, check writer, tax collector, procurement officer and revenue estimator. Before becoming Comptroller, he served in the Texas House of Representatives and the Texas Senate, and also served as chair of the Sunset Advisory Commission, which works to eliminate inefficiency in government agencies.
Hegar stated that his biggest job is reporting the estimated revenue, the day before each legislative session, the state will receive for the next two years in order for the legislators to be able to create a budget for the state. This is the hardest part of his job as comptroller because Texas’ revenue is largely affected by oil production and sales. The month he came into office (November 2014), oil was at $74/barrel and now is between $20-30/barrel, making predictions difficult.
Hegar explained that the Texas population is growing fast at approximately 1250 people per day and that has changed the economy of the state.
“We’re not in the 1980s, oil is affecting communities, and it is a huge impact,” said Hegar. “64% of Texas revenue is from sales tax, the bulk of what drives the Texas economy. Oil absolutely has an impact, but our economy is more diverse than it used to be.”
Regarding the end of the oil boom in Texas, Hegar stated that Texas, due it its more diverse economy, is more fortunate than other states that depend on oil, such as Louisiana and Alaska.
“If we’re going to weather a storm, I’d rather do it here,” said Hegar. “Texas is a good place to do business, Texas has always been a good place to do business and it will continue to be a good place to do business.”
Hegar explained that Brownwood is in good condition as compared to some areas of the state. He stated that although sales tax for January 2016 was down compared to last January, the three month average for the city was 3.2% higher than the same period last year.
Hegar pointed out that the growth of the Texas population has put a strain on public school systems and infrastructure across the state, and that the state legislature is working to find a solution.
Unclaimed property is another aspect of Hegar’s office and job. He stated that there is a list of unclaimed property published on the Texas State Comptroller’s website. In Brownwood alone, there is $1.6 million in unclaimed property, and $2 million in the Brown County.
Also speaking at the event were Guy Andrews, Brownwood Economic Development Corporation; Robert Puls, Workforce Solutions of West Central Texas; and Gary Twiford, Heartland Association of Realtors. The speakers gave an in-depth look at the local and state economy regarding sales tax, employment statistics, the real estate market, current trends and more.
