TX SB2935

Requires the Texas Department of Transportation (TxDOT) to establish a highway construction mitigation program that reimburses businesses for economic damages directly caused by state highway construction, maintenance, or improvement projects

Eligible businesses must be organized and in good standing under Texas law, and either have pedestrian/road access impacted by the project or be located within five miles of a project that has rerouted traffic or increased congestion

Businesses must demonstrate economic damages through a decline in gross receipts or an increase in expenses to qualify for grants, which are awarded quarterly on a pro rata basis from appropriated funds

Businesses may apply for grants in multiple quarters but cannot claim the same economic damages more than once; multi-location businesses may apply separately for each eligible location

TxDOT must adopt rules by January 1, 2026, to implement the program, including standardized application processes and compliance monitoring procedures, with the act taking effect September 1, 2025