Texas Bars Trafficking Offenders From State Contracts

The state comptroller issued a new order preventing firms linked to human trafficking from receiving public grants.

Updated on Oct. 29, 2026 in Sex Crimes

Texas Bars Trafficking Offenders From State Contracts

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Should states bar entities with ties to convicted criminals from receiving public contracts and grants?

Texas Comptroller Don Huffines has issued an executive order prohibiting entities with financial ties to human trafficking offenders from securing state contracts and grants. The policy expands existing rules to ensure organizations with convicted participants cannot access public funds.

Why it matters

This directive strengthens oversight by closing loopholes that previously permitted human trafficking offenders to receive state grants while already being barred from direct contracts. It ensures state resources are withheld from businesses associated with serious criminal activity.

Texas Government Code Section 2155.0061 now applies to both contracts and grants, disqualifying any entity with a human trafficking conviction in the preceding 5 years. Agencies are granted authority to terminate agreements if certification is found to be inaccurate.

The players

Don Huffines

Don Huffines is the Texas Comptroller of Public Accounts who oversees the financial operations and contracting processes of the state.

The details

The Comptroller's office is updating all future solicitations to include a mandatory human trafficking certification requirement for applicants. Furthermore, the agency has established new authority to withhold payments or immediately terminate agreements if an entity is found in violation of these eligibility standards.

Timeline

  1. October 29, 2026: Executive order issued by Comptroller Don Huffines.

  2. Preceding five years: Look-back period for human trafficking conviction eligibility.

Legal Context

This action marks a significant expansion of Texas Government Code Section 2155.0061, which previously focused on state contracts. By closing the grant-funding loophole, the state aligns its procurement standards with broader efforts to restrict the economic influence of criminal offenders.

State contractors and grant recipients must now prepare to certify their eligibility regarding past trafficking convictions to maintain their standing with the agency. Non-compliance could result in the loss of funding or the termination of existing state agreements.

The takeaway

Entities doing business with the state should audit their leadership and financial participants to ensure compliance with the new certification standards. Maintaining transparency regarding criminal history is now a critical prerequisite for securing and retaining state funding in Texas.

What happens next

The Comptroller is expected to release additional standard terms and requirements for state contracts and grants in the coming weeks.

Further reading

For more information on state legislative actions regarding criminal backgrounds, see the Sex Crimes section.

Source note: This article includes information reported by WTAW | 1620AM & 94.5FM.

Live Poll

Should states bar entities with ties to convicted criminals from receiving public contracts and grants?