Consideration of whether banks, credit unions, and investment pools are located in this state in investment policies adopted by local governments

Texas House Bill 3900, introduced in the 89th Legislature, aimed to allow local governments to consider whether banks, credit unions, and investment pools have physical locations and staff within Texas when developing their investment policies. This provision would have enabled local entities to prioritize investments in financial institutions operating within the state. ([legiscan.com](https://legiscan.com/TX/text/HB3900/2025?utm_source=openai))

While specific media coverage on HB 3900 is limited, the bill's intent to encourage local investment aligns with broader economic development strategies that have received support in various contexts. By potentially directing funds to in-state financial institutions, the bill could have bolstered local economies and supported community growth.

The bill's focus on in-state investments might have raised concerns about limiting investment options and potentially reducing returns for local governments. Critics could have argued that such restrictions might not align with the best financial interests of taxpayers, as it could have constrained the diversity and performance of investment portfolios.