Editor's note: This transcript has been partially edited for readability.
Lt. Gov. David Dewhurst: Ladies and gentlemen of the senate of the 82nd Legislature of the State of Texas will now come to order. I'd like to ask at this time that everyone please rise on the floor and in the gallery for the invocation this morning to be delivered by Chaplain Stephen surround of the Texas Army National Guard 18 thought it was fitting to have the chaplain here. We've got a lot of brave men and women who are in harm's way and are protecting our freedom every day.
Chaplain Stephen: at so many level said be strong and take hope all of you take in the Lord. Will you please join my, our father, we are challenge the in your hole word to take heart as we trust in you, so it is today that we humbly ask your wisdom and guidance upon this legislative body as set about [unintelligible] what makes our state to great and making changes that will make it better. They face many challenges, and there are honest deposition in this honorable body we pray that they would have your wisdom in working through those distances gust signatures are you define happen as they so to speak so lead an guide us now we can now father for our sit tens we have so many men and went just ordinary people who make our state one of the premier please the reside within our country believe our police, our firm men, EMS so many who sacrifice top we pray your hand upon them as they daily put themselves at risk for the people of Texas and remember this day, father, those recent tragedy [unintelligible] for the families of the victims and for those covering this terrible ordeal we ask your hand and mercy and [unintelligible] me think feel your hand of love and healing and last but not least, father, we remember the American and women of our Armed Forces we ask your protection and blessings upon them and their families, we ask for the safe return and happy integration with loved things we ask in your blessed and whole name, amen.
David Dewhurst: Thank you Chaplain Shephen. Ladies and gentlemen of the jury ladies and gentlemen please be seated, gallery on the floor, thank you. Members, ladies and gentlemen, I think it's fitting if we pause for a moment for a moment of silence and remember the victims over in Tucson this past Saturday thank you. Ladies and gentlemen, we've got families here for all of our members, welcome ladies and gentlemen, we're so honored to have all of you here. A lot of you were at the senate ladies function last night that was a great evening. I'm so grade got out would not any more of a roast by my wife than I did, so I was lucky there. I wanted to just take a moment, if I may, and I had my family here, my brother, my two brothers and their wives couldn't be here, they were sick and unfortunately, but I have my lovely wife, Tricia here and we have our daughter, Carolyn here. Who is Carolyn is groggy up to be a boot if you feel, wolf, smart, smart, little girl, we're very proud of her and I -- and I know daddy feel is proud of you, too. I also have my father-in-law, and my mother-in-law here today, Carlos and Carolyn. Thank you so much. And again, to all -- all of the spouses and -- and children and grandparents, we're delighted to you you here today. The secretary will call the roll of our current members. Pat speak.
Patsy Spaw: [unintelligible]
David Dewhurst: Thank you Madam secretary the following message from the Secretary of State. The secretary will read the message.
Patsy Spaw: Birdwell, Deuell, Ellis, Eltife, Hegar, Huffman, Nelson, [unintelligible], Ogden, Patrick, Rodriguez, Shapiro, Uresti, Watson, Wentworth, Whitmire.
I hope and [unintelligible] at the Secretary of State of the State of Texas of do hereby further that according to the records of this office the attached is a true and correct list of members of the senate of the 82nd legislature, 2011, whose election on November the 2nd, 2010 has been duly legally certified to this office. Brian Birdwell, district 22nd district, Robert Duncan, 2nd district, Rodney Ellis, 13 district, Kevin he's height first directors Glenn Hegar 18th district. Joan Huffman, 17th district, Jane Nelson, 12th district, Robert in this case handles third direct Steve okay again, fifth district. Dan Patrick, seventh district hoe says Rodriguez 29th district, floor remember that pier owe, 8th district Carlos your did he say at the 19th district, Kirk Watson 14th, district, Jeff Wentworth 25th district and John Whitmire, 15th, district.
David Dewhurst: Thank you madam secretary the reason I was looking around is that I didn't -- I hasn't seen change in the seating align the and I was looking around and saying we have some changes senate to you okay again changed positions and Senator Rodriguez and senator [unintelligible] and senator Huffman, senator Patrick, okay. Have to remember where to look. The the secretary will come the roll of the senators elect as certified by the Secretary of State.
The senators elect will please come to the bar of the senate to take the oath of office which will be administered by chief justice Wallace Jefferson of the Texas Supreme Court.
Wallace Jefferson: [unintelligible]
David Dewhurst: Ladies and gentlemen, the senate will come to order. Chair recognizes Sen. Fraser.
Thank you Sen. Fraser lieutenant [unintelligible] please escort to the governor to the podium. Ladies and gentlemen please join me welcoming the governor of the state of Texas, Rick Perry.
Governor Rick Perry: Governor, thank you for you allowing me, please have a seat, for allowing me a moment to come and to share with you all a floor just and[unintelligible] in the great State of Texas. It is to be with this man as he, again, oversees this most distinguished body and good a day as we commence a very historic legislative session. Governor I was watching and thank you for reminding us of the tragedy that occurred in east Arizona and a moment of silence that you allowed this body and for our citizens to take as we reflect on those shootings Saturday in Arizona and we continue to pray for those impacted and for our country and instances like that are -- they provided us a really stark contrast, stark reminder of the fragility of life, importance of making one's positive mark on those around us, the importance of living our lives to the greatest extent we can every day and as elected leaders we're called to even a higher mark, [unintelligible] we're asked to make decisions about economies, about social issues that affect the people across this state, touch all the lives of the people that we have the great privilege to serve.
The actions that we take can make a big difference, make a difference between success and failure. I'm going to be speaking to the house of representatives in just a few moments, and I actually expect to see a lot of new faces over there. They had quite a turnover and it's a nice balance, if you will, to coming over here and seeing kind of a seasoned group and you know from my perspective, seasoned isn't necessarily bad. But anyway, whether you're a new [unintelligible] or you're an old happen to this process and so this historic, magnificent building, we all heard the message Texas voters sent us on election day. They expect us to balance the budget without taking more from the employers this day, taking more money from the working families, they want state governments leaner more efficient and I'm confident that we're going to heed their message
Todd, you can attest that we've handled similar challenges before and not in the too did not past. Jeff, it was only back in 2003 when we heard some of the same don't and gloom from pretty much the same sources. And 2003 wasn't a cakewalk. It had its you have to moments, but we balanced our budget, we set the stage for our state's job creation and economic success. That growth helped us weather the recent economic storms in better condition than almost any other place in this country. And as we did back in '03, we'll balance the budget this time, too, settling priorities, making [unintelligible] decisions and not raising taxes. Together we make government work leaner, smarter, set the stage is for -- for are for Texas to emerge even stronger, both in job creation and educational achievement, public safety, quality of life.
While the budget is our top responsibility, there are other pressing issues that have waited too long already. That's why I'm declaring emergency items for the upcoming session starting with the pressing need for tougher imminent domain laws, property ownership remains an essential freedom for Texans and we must continue our efforts to properly protect it. I've been working with senator Estes, representative Hegar remember and other stake holders on this issue for years. We agree that their bill will resolve the key issues of eminent domain in Texas for now and for the future. Next, we must abolish sanctuary cities in Texas. We need the free up our peace officers for them to do their job, keeping our families and our neighborhoods safe. Immigration laws and their enforcement are the responsibility of the federal government. But we can not compound their failure by preventing Texas peace officers from doing their jobs. We must empower those officers to apply their training, experience and judgment to enforcing the laws, by keeping municipal advertise from tying their hands.
These are just a few of the issues that we'll address in the next 140 days, but they merit our closest attention as they relate to the safety and the security of our citizens. But most of all, they relate to our liberty. Working with this great and good governor doing people's business over the next 140 days is is this work going to be easy in probably not. Will there be disagreements in this believe, Susan that's probably the best belt in this city today. At the end of the day, though, I'm certain that we'll work together to the interest of the people of this state and we will make a difference in a positive way in and Texas will be better for you. God bless and through you may God continue to bless the great State of Texas. Thank you.
David Dewhurst: We're -- we're fine. Senator Shapiro how many grandchildren do you have today would you. Would you, congratulations. They're awfully cute. Thank you ladies and gentlemen. The governor has departed. The chai recognizes senator Hegar. [unintelligible]
Glenn Hegar: [unintelligible] that Mr. President the house of representatives senate has organized and transact business has completed its duties.
David Dewhurst: Thank you senator Hegar and thanks to both committees. Ladies and gentlemen the next order of business is the election of the president pro tempore the senate of the State of Texas. The chair recognizes senator Duncan for the nomination. Duncan thank you.
Robert Duncan: Mr. President and men's I rise to nominate our good friend Steve Ogden senator from bear to serve as senator pro tempore of the Texas senate. Steve okay again has been a friend of all of us for a long time. Has been served able when I in the Texas house and then he came over here in 1997 in the best freshman class Texas senate ever knew to serve in the Texas senate. The president pro tempore of the Texas senate is a position that is mandated by the Texas cooks. The member who served in that position serves and is third in succession to the governor's office should something happen or should the governor or the lieutenant governor be out of state at the same time.
Senator Ogden deserves this position not only because of his seniority and of time in the Texas senate which is one of the factors, but also because of the respect that he has embodied from each and every one of us in the Texas senate. Steve has been, I think, a friend to all of us, but also a steady happen in times of chaos and trying to determine when and where we're going to spend the state's dollars or cut the state's dollars and come up with a budget that's good for all of Texas. The budgeting process is in his job as chairman of senate finance is the hardest job in the Texas legislature. Not only does he have to balance the competing interest of the state, but he also has to solve the problems of each and every one our districts. He also has to deal with members of the Texas senate and Texas house that sometimes have a little bit of a different idea about the way to do things and he always have a calm calling way to do it.
He has a great sense of humor which makes him a fun person to be around with and work through tough problems. Steve Ogden will serve us well. I don't know of anyone who has more respect in this building than Steve Ogden and he's earned it. Steve was born in September in 1950, so is that tells you how old he is, to able and [unintelligible] 57 he's the oldest of six children he was raised in Aberdeen Texas that's another reason why he's so good, is he's a good west Texas guy, senator 48 [unintelligible] senator Ogden is married to [unintelligible] they were married in don't want to say the time, but in 1973 in Maryland. Steve was a United States graduated from the attended the United States naval academy, play football there many of you didn't know that graduated and was commissioned as an officer of the U.S. Navy 1973. He and [unintelligible] are you were married in Annapolis in 1973 and their children are Michael, Stephanie, Kristen and Chad and we all know [unintelligible] and we especially know Michael through his deployment in 2003 in the -- and other deployments stains time and have kept up with them. We appreciate your family. We appreciate you're dead indication and your service to the people to the State of Texas. Mr. President, you rise to nominate Steve okay again as president pro tempore of the Texas senate.
David Dewhurst: Thank you very much, senator Duncan. The chair recognizes Senator Williams to second the nomination.
Tommy Williams: that I Mr. with the members it's my honor and privilege to rise and second the name 96 for senator Steve Ogden pro tempore of the Texas senate. I first knew Steve as I was elected to the house in 1996. After the November elections, Steve moved to the senate in that special election that senator Duncan mentioned and filled the seat that was 78 indicated by a member who left for Congress, as a newly elected house member, it didn't take me long to figure out that Steve Ogden beginning was my go to guy in the senate during the six years sieved in the house, Steve and he got to know each other better and he became a role model for me. Steve really cares about the folks he represents, the plain spoken folks of central Texas have come to count on him to represent their interest in Austin and I think the campaign slogan from his recent re-election really sums up you know, we all have cute attention we like to say in our campaign slow gaps.
This was senator Ogden's if you send me back to Austin, I'll do the job right and I think that pretty much sums it up with Steve. He won an overwhelming victory in his re-election campaign because his constituent wins knew it wasn't a slogan it was a promise. It was a promise from a man that they've learned to trust as their voice in Austin over the past 20 years. Steve okay again kept that promise and we know that he'll keep that sacred promise again this session. Thank you, Steve, for showing me how to serve my constituents. Steve is a remarkable man, a man of many accomplishments and above all, when I think of Steve okay again, I think of a man with deeply held convictions, a man with the courage to live out those convictions and someone who is willing to walk the walk and someone who is willing to act on his most strongly held beliefs. He's a man of great entity elect.
As senator Duncan mentioned he's a graduate of the United States naval academy, but my [unintelligible] even more than that, he went back after he'd served as an officer on a submarine and went to nuclear propulsion school. We often say oh, this isn't rocket science or I'm not a rocket scientist well he's more than a rocket science activity, he's a nuclear propulsion engineer, and so I don't know, I think he might have angled for that just because he wanted to prove that he wasn't a dumb job. That wasn't the wait he got to go to the-1/2 academy that he really was smart. My point is this: Our state constitution really only mentions one thing we have to do every session that we meet, every two years, and that's draft and pass in fact a state budget and Steve okay again is the guy we all trust to get the most important job done every session. I think chairing the senate finance committee is arguably the most difficult job in the Texas ledge slay opportunity every one of us was [unintelligible] after the budget object at the beginning of the budget session [unintelligible] '05 which Steve was out new chairman not because he was chairing it, but because we had come off a very difficult budget session in 2003, a session was that both a watershed but also a difficult time. And every one wondered how are we going to do this, how will it work this time with our new chairman. He didn't miss a beat in his new role.
Texas Monthly had this to say about him when they named him one of that session's ten best legislators. This session is chaired the senate finance committee from his based office, okay again commanded the committee crafting the session's greatest success, the 140 billion-dollar state budget. Steve has a reputation as a no nonsense guy. If you've ever discussed legislation with him, particularly in, i.e., owe producing something someone else might be doing Steve is probably going to ask you the question what's your plan because it's not going [unintelligible] enough [unintelligible] against is something with Steve okay again. He wants to know what your solution to that problem is. Now, I think sometimes that no nonsense attitude gets in the way of us all knowing the kinder and gentler sort of the warm side of Steve okay again and I want the remind everybody about that. I think its getting a little in her vows over there now, so you know, senator Whitmire was with me in Maryland and I think senator former senator [unintelligible], maybe there were some others here, and we visited the navel academy and Steve and Beverly gave us a tour of the snaffle academy and to see that place through the eyes of a young [unintelligible] man from Abilene, Texas, who was a long way from home was really a very special thing that we got to do and he showed us and told us about his proposal to [unintelligible] are you and here we are I think he just celebrate I think 38th wedding anniversary together statement great 38 years let's give him a hand folks. Senator Steve Ogden [unintelligible] a good an honorable manner he served his country as an fore in the United States Navy he served his state with distinction in both as a state representative and as a state senator. His accomplishments in the legislature are many and -- won't E-mail bars are anymore by litigation them here. The things I think that do you have is [unintelligible] of is his husband to Beverly and a father to Michael, Christine, staff any and [unintelligible] I know him as all of you do as a good friend and a great state senator. I'm proud to second the nomination of Steve Ogden for president protem ray of the Texas senator.
David Dewhurst: Thank you senator we will [unintelligible]. Nuclear propulsion engineer that is very insightful, [unintelligible] the chair recognizes senator Lucio to second the nomination.
Eddie Lucio Jr.: Mr. President, members, ladies and gentlemen [unintelligible] truly honored to be here today speaking on behalf of my very dear friend, senator Steve Ogden and seconding his nomination for president pro tempore of this body. Senator Ogden is more than a Texas senator and a close friend.
He's an exemplary leader and a true statesman. If you want to know about the issues, just have a conversation with Steve and you'll learn a lot. I've learned this after working with Steve over the years at the capital and in this chamber as a member of the committee on finance, I have witnessed firsthand chairman Ogden's leadership qualities. [unintelligible], the civil rights activity visit who sang at president's John Kennedy's inauguration once said that quote, leadership, should be born out of the understanding of the needs of those who would be affected by it. Senator Ogden exemplifies [unintelligible] definition of leadership.
I would like to act my own definition and that is the ability to make people want to do the right thing through example. And, again, senator Ogden exemplifies my definition [unintelligible] these are the kinds of leadership that need to be employed at the capital over this next session. I believe the state is fortunate to have senator Ogden here in these hard and challenging times. He is fair, candid and he places the needs of Texans above party and ideology. Many bills are passed during the legislative session. But chairman Ogden takes the lead on the most important one, the state budget. Former governor bill hobby recently said I have written budgets and booms and busts, booms are better.
Indeed, everyone knows the challenges we face during this session. It has been said that separately times call for separate measures, but I prefer the quote, come he said the hour, come he said the man. Come he said the hour, senator Ogden will be here for Texas. As chair of the finance committee, senator Ogden has spoke -- spoken to a lot of people over the years about budget issues, one of those he spoke to was my own daughter, Linda. Several years ago, Linda was undergoing treatment for leukemia. She had cancer. Senator Ogden went to visit her at M.D. Anderson cancer center there in Houston along with some other senators. When Linda found out that Steve was the chair of the finance committee, she -- she thought it would be a very knowledge opportunity to challenge the chairman and the senators about the budget object needs for M.D. Anderson at the time, right there in her hospital bed. And but on assertion note I just want to say that as a father, senator Ogden's gesture meant the world to me. My wife, mini who is her would me today remembers that moment as well. She stood beside her for many months.
Gestures like that are part of who senator Ogden is. A caring and understanding public servant. Back in 2007, I was saddenned by the death of lance corporal and [unintelligible] who died serving his country in Iraq. I went to the airport and picked up senator Ogden who came off to my desk after I asked dean white Myer to end the day in remembrance of this young man and his service to his country. Remember picking up Steve and driving over to Raymond's. I remember the conversation. It was all about American in him and patriot testimony and how he felt about our country, how we felt about it and what we should do as state senators to make sure that we supported our young men and women in uniform. When we got to the house, it was a cold and damp day. Light drizzle coming down and the sun had just gone down. When we entered the house, and Steve obviously to you whether over everybody, and as we stepped into the first room, that very Humble house had faulty floors and we could actually hearing the creaking, the cracking creaking of the floor and different take long for Steve to connect to that family. I introduced him, we paid our condone lessens, heart felt sympathy, but he embraced the mom and the daddy and the family and he showed me what a great man he truly was to leave his district on a weekend and to come down and to share some moments with me and my constituents in a very Humble surrounding.
Likewise, when senator Ogden's son Michael, a major in the U.S. Marine Corps served overseas in Iraq I prayed for him. We prayed for him. We went to mass together and we held hands and prayed the Lord's pair. Over the years, itch found great strength in the spiritual fellowship I've shared with Steve. We, again, attend mass at St. Mary's church which is not far from here during the session. Chairman Ogden, in many ways, we're not very different. We -- but the things we share are stronger, the things that divide us and that's the great relationship that Steve and I have that's never been any partisan ship between us and there never will be. Chairman Ogden the stakes are high. And the problems are many this session. I am glad that the state faces these problems with your leadership skills and budgetary expertise at happen of the obviously we will need our leadership as we tackle these motion important issues. In closing, I would like to say that I believe the budget is essentially a moral document, a budget reveals what a community believes to be most important. It may be full of numbers, but the effect is always, always felt by people. Senator Ogden, you have traveled to my district at the southern tip of Texas and all across the state. I know you have seen firsthand the needs of all Texans. I know that you are truly a compassionate man who understands the budget has a human face and that's what I like about you Steve.
Before I finish, I do want to end last night as I visited with Beverly she made me promise to plead Steve while she was gone back to the district to 15 year old boy, I promised her I would feed him a lot of Mexican food and that he'd be talking Spanish by the end of the session. With that, Mr. President, I gladly second the nomination of my very dear friend U senator Steve Ogden for the position of president protem ray of our Texas senate. Thank you.
David Dewhurst: Thank you senator loose owe thank you for those heart felt comments. Last I'm going to recognize one more second, chair recognizes the dean of the senate to second the follow nation man man Mr. President not second the no, ma'am takes which I would proudly do but you make an observation for our friends and guests that normally and actually to date, eve of the senator would like to show their respect to for senator Ogden but at his [unintelligible] request we've limited our second nominees -- nominations to two senators which I think speaks volumes about this outstanding senator.
Well said thank you and that's exactly correct. Members, the question before us is the election of the senator from Brazos, senator Steve Ogden to the office of president pro tempore of the Texas senate. All of those in favor please rise. It being unanimous, the -- I am delighted to announce the election to the office of president pro tempore of the Texas senate, senator Steve Ogden.
Thank you [unintelligible]. The chair I [unintelligible] the appointment of the following committee to escort senator Ogden to the podium, senator Duncan, senator Williams, senator Lucio, senator [unintelligible], and senator Shapiro.
David Dewhurst: The committee will please escort senator Ogden and his committee to the podium for the oath of office.
Senator if you'd lay your right hand and repeat after me I Steve okay again.
A. I Steve object again.
Q. (BY ) Do home [unintelligible]
Q. That I will faithfully execute?
A. That I will faithfully execute.
Q. The duties of the office was he pro tempore?
A. The duties of the office of president pro tempore.
Q. Of the State of Texas?
A. Of the State of Texas.
Q. And will to the best of my ability?
A. And well to the best of administrative ability.
Q. Preserve, protect and defend?
A. Prove protect and defend.
Q. The constitution of the United States?
A. The constitution of the United States.
Q. And the laws of this state?
A. And the laws of this state.
Q. So help me God?
A. So help me God.
David Dewhurst: Congratulations senator I'm very proud of you.
[unintelligible]
Steve Ogden: Thank you, my fellow senators. Back on November second I think it was, election day here in Texas, I woke my wife up and said, come on benefit, get out of bed you get to go vote for me one more time. Her response is not repeatable but I think she did. You know, tomorrow was talking about how long I've been married, lucky man. I've been married for 37 years. Why? Well you marry a woman because you love that woman. There's always been something very special about my wife. She gave me confidence. It may surprise you that when I was younger, he was kind of an absent minded pencil neck awkward geek [unintelligible] job type. Myself surprise you. She didn't see it that way. And I still remember as a young man, think how lucky and fortunate I was to have a woman of such beauty and talent to think I did something special. She gave me confidence because she believed me, I believed in myself. I've drug her all over this country. The day we got married, 11:00 in the morning at [unintelligible] police 11 cook at night I was in [unintelligible] with her. Her comment than our wedding night [unintelligible] kind of tired was true. But from the time we were first married nine and a half months later when she presented me with our first son to the time I said you know, it's time to go to [unintelligible], take care of the family, till the time I said we're going back to Texas, to the time I volunteered her to be a CPS caseworker, she's always been there at my side. She has been the wind beneath my wings. And I would like to thank her for 37 years.
Ken Hermann wrote a beautiful piece in the Austin American Statesman on January 6th concerning a recent tragic and sorrowful, the death of corporal Kevin wine in Afghanistan, much of what he wrote [unintelligible] I observed myself. Corporate Kevin win was from had you had [unintelligible], Texas, he was killed in Afghanistan on December the 28th while on patrol with his marine unit. Since that time, our country has lost ten more, soldiers and Marines.
Well, last Thursday, I was in Brownwood, Texas to pay my respects to Kevin wine and his family and his memory. Now, Kevin Nguyen's last name is not spelled W-I-N. It's spelled N-G-U-Y-E-N. Kevin one's father, who lives and worked in Hutto, Texas, escaped from Vietnam and came here to this country and to this state for the freedom and the opportunity that it offers. Why was Kevin being born in Brownwood? Because his mother, [unintelligible] was from Brownwood. And at that point win, his father and anticipate win, his mother,, Monique sterns, the mother of his four month old son and his four month old son were all there in a small Catholic church in Brownwood, Texas, across the street from Howard pain university. In this church, many people were there, his high school coaches were there, his -- his friends, the people he played with, played football with in Hutto. The service was in English. The choir sang in Spanish. The pay trow I don't tell guard, the pay trow I don't tell riders stood at attention outside the church and when we left front the church and joined the funeral proceed sex which was going to a country cemetery in brown county, Texas, about 15 miles outside of Brownwood, the street were lined with thousands of Texans and they were all standing at a attention and saluting Kevin win and waving their flags and as I was standing at this cemetery, this beautiful peaceful place in central Texas, and I watched the Marines stand at attention as they lowered Kevin one's body in the ground and I watched his father and I watched his mother stay there independently their son was properly buried, I thought this is a snapshot of Texas in 2011 and all of us were there, all of us who were there, all several thousand of us who were there, were all united.
We were all united in our sorrow at the tragic loss of an American hero, but we were also united in our love for this country and our love for this state and we were united in our determination to stay free. Kevin Nguyen and thousands like him have given their lives for our freedom and our right to govern ourselves. We owe it to him and we owe it to all who have sacrificed so much for us to give them our best efforts on their behalf so let's roll up our sleeves and let's get to work.
One of the things that I think has made our state better and stronger than other states and to a certain extent the federal government, is that in our cooks, we are required to balance our budget and we also, in our constitution, generally have to ask the people for permission before we borrow their money. The federal government has neither of these requirements and it needs to change. The federal budget deficit is over $14 trillion. Trillions are numbers that are so big, it's hard to imagine. We usually associate them with space travel and the reason we don't use trillions in space is because it's too big to use light years. The light year by the way is 5.6 trillion miles. The federal budget deficit is bigger than the higher economy of the United States. The annual deficit is bigger than the entire gross state product of the State of Texas. When we -- if you could, if you could -- if you could spend a million declaration every day since characterize the was born you would still have another 700 years to go before you spent your first trillion.
After the last election, Congress of the United States, along with the president, got together and had a great allegedly bipartisan strict are you over taxes and over spending. The only problem with it is it added $850 billion to this 14 trillion-dollar deficit. Article 5 of the United States constitution gives us here in Texas an opportunity to change that and one of the things we needed to debate and discuss and pass in this body as soon as possible is a resolution calling on the Congress under Article 5 of the United States constitution to call a constitutional convention for the purposes of balancing the federal budget. Texas has done this before. Texas did this back in 1978 and '79. It was ignored. It was forgotten we tear not let it happen again.
A lot of the talk on my nominated speech was about our budget. I'd like to share with you a couple of numbers that haven't been widely discussed because there's a belies ard of numbers and a belies ard of opinions and a [unintelligible] this and that. The comptroller said that the total state revenue in the next biennium is 100 very much [unintelligible]. That's -- that's everything. General revenue, federal funds, other funds, the whole thing, 177.8 billion. Two years ago, per her revenue estimate was [unintelligible] less than now. And my point is this: That a lot can happen in the next 140 days and our job in this Texas senate is to manage the problem and not let the problem manage us.
And I know that with $177.89.2 billion in the rainy day fun, we can get job done. It will not be easy. It will not be painless, but we can do it.
One of the areas that we have got to address is Medicaid. How we deal with Medicaid will determine how the rest of the budget goes. The current buy even-up we approach $8,044,000,000,000 of all funds to Medicaid. And as a result of the federal stimulus, that was enacted two years ago, the federal government [unintelligible] am burden Texas out of that $44,000,000,000.70 percent was paid for with federal tax receipts and 30 percent was paid for with our tax receipts. We believe that there will no longer be such a stimulus. We believe that the federal government cannot do it and be fiscally responsible. And so we're anticipating a federal match that's more like 58, 32. Fifty-eight, 42. The difference between a 60/40 match and a 70/30 match, just to round off the numbers is 4-1/2 billion dollars. 10 percent of 44 billion that 4-1/2 billion dollars is not coming from the federal government. It's got to be replaced with something.
Some of it has to be reform, Medicaid cries out for reform. Every hospital in this state and every procedure in every hospital in this state has a different formula for reimbursement. Makes no sense. It has been estimated by our lieutenant governor and others that if we converted Medicaid to a managed care program, we could save $4 billion. The -- over 30 governing enforce of the State of Texas have petitioned the federal government for relief. A system that only sends you 60 percent of the money but ties you up with 100 percent of the regulations will not work. And so our first job, senators, is to figure out how to save Medicaid. We have got to reform it and we have got -- we have got to work together to fill as a minimum the 4-1/2 billion dollar hole that exists because we are not going to receive anymore federal stimulus money.
If you look at our budget with respect to education and health and human services, Article 2 and Article 3, 81 percent of all the general revenue that we appropriate is appropriate 80 in Article 3 and Article 2. It is impossible to balance this budget without making cuts in Article 2 and Article 3. Article 3 -- in Article 3 which is the entire education budget, we are appropriate approximately $50 billion. If you look at the foundation school program, we appropriate about 35 billion of that 50 billion.
The foundation school program has serious structural problems and in order to balance this budget, we are going to have to fix public school finance and the biggest problem with public school finance is a testimony called target revenue. If you go back and you remember what we did in 2006 and 2007, we basically held all of our school districts harmless and what we said in 2006 was, look, school districts we know that by cutting school property taxes some of you guys are not going to get as of money as you used to so we promise you'll always get the same amount of money forever. School districts get to pick between how much money they got in 2005 or how much money they got in 2006 and we promised to keep giving them the same amount of money no matter what, per student, so the money keeps going up background and experience the population is going up. We have to fix target revenue in order to balance this budget. Target revenue is a form of hold harmless.
I ask the LBB how much hold harmless is costing us in the foundation school program and the answer is 5-1/2 billion dollars. So there's where your hole is 4-1/2 billion in Medicaid and 5-1/2 billion in the foundation school program. We have got to fix that. We can. And the last thing I want to talk to you about with respect to the budget is the state's business tax. What's called the gross margin's receipts tax. We enacted that, again, back in 2006 as part of the largest property tax cut in the history of this state and we did. We cut school property taxes by $14 billion. And we were going to pay for that in part with a new business tax called gross receipts, the margins tax. The problem is that what we have predicted ever since we enacted it. In fact it's underperformed it by a huge amount on average year after year after year starting in 2006, the margins tax has under performed what re predicted when we enacted all these property tax cuts by approximately $2 billion a year. Part of the deficit that the comptroller was talking about in the current buy even-up of 4.3 billion, 1.2 billion of that is as a result of the margin's tax underperforming what we predicted. And here's the reality none of us were elected to go out and raise taxes on anybody. But the March administer engine tax is different because if we don't fix the margins tax, at least put us -- change the trow geek are you of the margins tax, then school property taxes will go up for sure. And so what we're balancing this budget. In the areas of public education, we have got to work on that issue of target revenue and fix it and we have got to work with our colleagues in the house to fix the margins tax if we want to keep property taxes as low as they currently are.
Last thing I'd like to share with you is border -- is my concerns about border security. It's a big issue in the gain. The governor has already brought up an aspect of that. I decided during the campaign that I didn't really know what I was talking about. So I got on the plane and I went to Del Rio and I went to Laredo and I'm going to go to El Paso and I went to McAllen and I spent a good week along the border and I came back more alarmed than before I left. I believe that this issue is a national security issue. I believe that Mexico is -- could family as a country because of the war that's going on in northern Mexico which is spilling across the river into Texas. Mexico is our largest trading partner. The United States runs the biggest trade surplus of Mexico than any other country in the world will, the biggest trade surplus. If the Mexican economy collapses because of this drug war, the Texas economy will suffer and the human cost is going to be bigger than that. And it is -- and the revenue Jeez and the people that are became seeking political asylum in this country because Mexico is no longer govern abdominal could overwhelm us and so we've got to petition the federal government for help. Because I believe if it was not so easy so E-mail port drugs into the United States, across the Rio grand river, there probably wouldn't even be anything to fight for in northern Mexico and the war could be won. So we've got to do our part and one of the things that we should do is put border inspection stations for all vehicles going from the United States into Mexico. I think we have 12 ports of entry. Obviously there's a lot of people checking you when you're going north, but there's not a 24 hour presence checking you going south. And what's going on in our drug war is that drugs are coming in the United States and stolen cars are leaving and stolen guns are leaving and millions of dollars of cash is leaving.
I was in Laredo and I asked senator satisfy reason knee got any trouble with car theft down here? She laughed. The room I said how many in the people had your car stolen two-thirds of the people in Laredo Texas in that room raised their happen and said any car has been stolen down here where are they going, that I going to Mexico. But we as members of the this legislature need to think and work to secure our border. It is a national security issue. It is a state security issue. And none of us can afford to have Mexico fail as a country because Mexico loses its war along the border. Enough preaching.
Thank you for this honor. I will do my very best to fulfill the duties that I have just sworn to undertake. And I ask every one of my fellow senators to check your political considerations and your political ambition at the door and let's work and let's do our very best for the 25 million people that call Texas home. Thank you.
David Dewhurst: Thank you senator Ogden. The chair recognizes senator he will I've for a motion. Mole I've thank you Mr. President I move that the policy governing the release of videotapes of the senate proceedings be waved in order to allow senator Ogden to have a videotape of today's session I also memo move that all remarks made by govern and those of the [unintelligible] this is [unintelligible], Elkins I've [unintelligible] be reduced to writing and placed in the journal.
Thank you senator he will I've members you've heard the motion by senator he will I've is there any objection from any member chairman the motion is adopted. The chair lays out the following a resolution the secretary will read the resolution.
Patsy Spaw: Senate concurrent resolution No. 3 providing for procedures for the catch vast of votes for the governor lieutenant governor and the I can gnawing race of the governor and lieutenant govern 94 by okay again.
David Dewhurst: Thank you Madam second that's right chair recognizes senator Ogden to explain the resolution.
Members you read the motion by senator okay is there any objection from any member chair Hague any objection from my member the resolution is duped. Now ladies an gentlemen that concludes the finger business which we have today. And I'd like to ask at this time if everyone would rise again I know you've been going up and down this is an exercise today but if everyone would rise in the gallery and on the floor, for the benediction today to be delivered by and we're delighted and honored to have with us cardinal [unintelligible] bishop of the government Houston [unintelligible] almighty and compassionate Lord you have revealed your floor to all nations and have care for all, we humbly thank you for that land, our state a land rich in resources but above all [unintelligible] in its many people, may we be a people mine of of your love, justice and kindness, save us from violence, discord and confusion, from pride and arrogance and from every eve very well way God of [unintelligible] done and just you to through you authority is rightly administered, laying are enacted and judgment is degree creed let the least your define wisdom direct the [unintelligible] legislature and sheet forth in all its proceedings and laws framed if our rule and govern mention. May this senate seek to free serve the common good and continue to bring us the blessings of liberty and equality, a6 with your spirit of counsel afford to do the lieutenant governor all of the state senators that their administration be conducted in right judgment and be imminently useful to the citizens of this state. May they encourage due respect for virtue and region and execute laws with justice and mercy may they have the strength and purpose to be accountable to the people and fulfill their roles with responsibility and their duties with loan necessity and ability. We 48 for our governor, no the judges elected civil officials and all others who auto entrusted to guard our political welfare. We also ask your mercy on those who were killed last Saturday in Tucson and healing for those wound the please assist their families with your grace. We above all commend to your unbounded generosity and come paying all the citizens of this state that we may be [unintelligible] knowledge and sang at the feed in the observance of your hole law. May we be pre-[unintelligible] unity 19 that piece the world cannot give after enjoying the blessings of this life, may we be admitted to those which are eternal we ask your blessing you who your Lord and God, forever and forever Amen.
Amen your eminence thank you want thank you for being with us, we're honored please be seated just for a moment, ladies and gentlemen. Just a moment. The chair recognizes the dean of the senate for a highly privileged motion. Thank you Mr. [unintelligible] members one announcement before is we'll caucus to the body at 9:00 o'clock in the morning in the Betty king room independent senator has a Sunset meeting at 8:00 so we will be very busy tomorrow. Mr. President with those announcements and consideration I would move at this time that the senate [unintelligible] 11:00 a.m. tomorrow in honor of Kevin Nguyen.
Thank you dean members you've heard the motion by senator Whitmire that the senate stand in adjournment until 11:00 o'clock tomorrow morning in horn of win. In horn of Kevin Nguyen. [unintelligible] objection from any member. Chair hears no objection and the senate will stand [unintelligible] until 11:00 o'clock 0 tomorrow morning.
