Texas' top three elected leaders are directing state agencies and public higher education institutions to reduce their base budget requests by 3% as the state begins preparing for the 2028-29 budget cycle.

Gov. Greg Abbott, Lt. Gov. Dan Patrick and House Speaker Dustin Burrows announced the joint budget guidance Wednesday, July 15, saying state agencies should focus on affordability and demonstrate what the leaders described as prudent stewardship of taxpayer resources.

The guidance applies to Legislative Appropriations Requests, or LARs, submitted in preparation for the 90th Texas Legislature.