Senate bars political subdivisions from using public funds to pay nonprofits that post bail

The Texas Senate on Feb. 19 passed Senate Bill 40 by a vote of 27 ayes to 3 nays. The bill prohibits a political subdivision from using public funds to pay a nonprofit organization that accepts donations from the public to deposit money with the court for the purpose of posting a defendant’s bail bond.

Senator Huffman, the bill’s sponsor, said the measure responds to reports that local governments were spending public money that ultimately enabled the release of defendants, and he cited victims’ advocates who requested greater transparency. "I want to make darn sure that it never happens," Huffman said on the floor, calling for statutory clarity and stronger reporting.

SB 40 creates an enforcement mechanism that allows a taxpayer or resident of the political subdivision to seek injunctive relief to stop an alleged improper transfer of public funds; a prevailing plaintiff may recover reasonable attorney’s fees and costs. The sponsor said the bill is intended to prevent taxpayer dollars from being used in a way that undermines law enforcement and public safety.

During floor debate some senators noted public records and county accounting questions. Senator Johnson said counties and the nonprofit involved (identified in committee testimony as the Bail Project) represented that transfers reflected refunds and that the nonprofit stated it no longer posts bond in Texas; he cautioned that available evidence suggested refunds rather than improper use of taxpayer funds. Senator Huffman replied that the county accounting records were opaque and that OCA lacked corresponding records showing charitable bail postings, which left unresolved questions of transparency.

The bill passed to engrossment and on final passage the tally was 27 ayes, 3 nays. Sponsors and backers said the statute will ensure transparency and let residents seek court remedies where misuse is alleged.