Texas can be more transparent with how much it spends to temporarily house foster children and with what its private contractors are spending to provide foster care services for half of the state, a new state report shows.

The state's Legislative Budget Board said in its 2026 Strategic Fiscal Review that the Texas Department of Family and Protective Services could shore up financial reporting in those two areas and did not indicate the agency was misspending state dollars.

Without detailed expenditure information, it makes it tougher for lawmakers to assess whether the spending is justified, the LBB indicated.