In a nutshell
UH administrators submitted a request this spring for capital projects in the legislative session, which included $175 million for a health technology facility in Sugar Land and $165 million for a new academic building in Katy.
Higher education capital projects for the 2025-27 biennium are funded through the state’s General Appropriations Act, which is Senate Bill 1 this session, said Jay Neal, associate vice president of academic affairs and chief operating officer for UH at Sugar Land and UH at Katy.
SB 1, which made it through the House and Senate chambers April 11, doesn’t include capital projects for the two campuses, according to Texas Legislature Online.
Instead, the House Appropriations Committee for SB 1 has designated $15 million for a perioperative nursing center in Sugar Land and $20 million for new faculty and student services in Katy. Meanwhile, the Senate Finance Committee's report report earmarked only $5 million for the Katy campus and none for Sugar Land, according to bill language.
With this in mind, Neal said college officials are planning expansions without legislative capital funds to meet the needs of incoming Katy ISD students and Houston Community College transfers.
“Fully funding our expansion will allow the university to grow,” Neal said. “We have a moral obligation to our community to get on board and [service the incoming students].”
Digging in
However, SB 1’s appropriations aren’t yet set in stone. Final decisions rest with the Conference Committee for SB 1, composed of members of both chambers, which has yet to conclude its review, state Sen. Joan Huffman, R-Houston, said in an April 28 email.
Only the requests outlined in the House and Senate committee’s separate reviews will receive consideration during the Conference Committee’s deliberations, which will reach a compromise between the two versions and publish a report prior to the bill's arrival at Gov. Greg Abbott’s desk for approval, according to the Texas Legislature website.
Huffman, who authored SB 1, declined to comment on the capital request from UH at Katy and at Sugar Land. However, she said higher education institutional budget requests, along with all other budget proposals, were thoroughly discussed by the Senate Finance Committee.
What you need to know
UH officials previously said the college’s remaining $300 million proposal included:
- A three-story building in Sugar Land that would have hosted electrical power technology and computer engineering technology departments, featuring labs, classrooms, lounges and advising spaces.
- A 150,000-square-foot building in Katy that would host programs for engineering, architecture, business, natural sciences, and provide spaces for transfer students from Houston Community College.
Funds still on the docket for Katy would allow the college to bring in more engineering and business graduate degree programs, Neal said.
“We've got a pipeline of about 100,000 students coming up through K-12 [in Katy],” Neal said at an April 22 Katy Area Economic Development Council meeting. “We need to start moving, because the ball is coming.”
Meanwhile, if the House’s $15 million request for a perioperative nursing center in Sugar Land is included in the final SB 1, accommodations would be made within existing campus space without the prospect of a health technology building this biennium, Neal said.
What it means
Even if funding is approved by the Legislature for the next biennium in 2027, Neal said construction on a new facility in Katy likely wouldn’t be complete until 2031 or 2032 due to planning, construction and permitting timelines.
By then, enrollment could reach 5,000 students in just two years in Katy, Neal said. UH data shows the college had 500 students enrolled this spring.
“That's kind of stretching it, and we'll be busting at the seams,” Neal said.
Looking ahead
UH at Katy would require “seed money” to hire more faculty and student services to begin transitioning some Bauer College of Business and Cullen School of Engineering’s graduate degree programs to the campus, Neal said. However, the college will use its current operating budget to add new courses.
To meet growing demand, UH at Katy officials are preparing to launch 40 new courses this fall without any legislative funding, Neal said. These courses will bring a 130% enrollment increase.
Without the additional state funding, planned expansions in high-demand areas such as engineering, natural sciences and business must grow within current infrastructure limits, Neal said.
“Tuition dollars will sustain [the programs], but we need help getting started on this,” he said. “I can't bring both programs out without financial support.”
