September 22, 2014 5:13 PM

Key senator suggests ongoing legislative review of economic incentive funds

New questions about economic incentives provide the backdrop as senators get down to work examining how the funds are administered

Amid new questions about the way economic incentives were promised to bring the F1 race to Austin, the Senate Economic Development Committee on Monday took a fresh glance at the issue of the state’s business-luring funds. Those of course include the Major Events Trust Fund, the Texas Enterprise Fund, and the Emerging Technology Fund.

$250 million from the Major Events Trust Fund promised for the F1 race is the subject of a three-month investigation by the San Antonio Express-News, raising new questions about the process used in that transaction. To be clear: No money was fronted from the state. Local organizers have to apply for reimbursement from the state after each event.

Without mentioning that specific controversy, Sen. Kirk Watson, D-Austin, said during the Senate Economic Development hearing that “what happens on these funds is we really only hear about it when there is significant criticism or a problem.” He chalked that up, in part, to having a part-time legislature. "There’s not the oversight that some people would expect," Watson said.

Staffers from Governor Perry’s office tried to assure lawmakers that there is more than adequate scrutiny of the funds – both in the way the money is doled out and in the review of those deals once they’ve been done.

By Scott Braddock