December 11, 2006

Study Shows Undocumented in Texas Generate More Tax Revenue Than What is Spent On Them

By Dr. David Guel
Concerned Hispanic Evangelicals (CHE)

For the first time ever, a state (Texas) has commissioned a comprehensive financial analysis of the impact that the undocumented are having in the state.

An analysis was just released by the Comptroller’s Office of the State of Texas which dealt with:

  • The impact on the state’s budget and an economy
  • Gross state product
  • Revenues generated
  • Taxes paid, and
  • The cost of state services

The report, titled “Undocumented Immigrants in inTexas: A Financial Analysis of the Impact to the State Budget and Economy,” states, “…undocumented immigrants in Texas generate more taxes and other revenue than the state spends on them.”

A Contradiction

A claim is made toward the end of the Introduction section of the study that says that,

“This finding is contrary to two recent reports, FAIR’S, “The Cost of Illegal Immigration to Texans” and the Bell Policy Center’s “Cost of Federally Mandated Services to Undocumented Immigrants in Colorado”, both of which identified costs exceeding revenue.”

Some Highlights

Consider the following nuggets from Carole Keeton Strayhorn, Texas Comptroller, research:

  1. If the estimated 1.4 million undocumented persons had “not been” in Texas during fiscal year 2005, our state would have “lost” $17.8 Billion in gross state products, which is the total impact to the state’s economy.
  2. During the same period, undocumented persons in Texas produced $1.58 Billon in state revenues.
  3. The $1.58 Billion that the undocumented paid the state of Texas in various forms of state taxes, when seen against the total state “services the documented received” (estimated at $1.16 Billion), - state services received is well below what they paid into the system. .

(For a complete copy of this study please Google "Texas Comptroller, Carole Keeton Strayhorn)

Pray as we prepare to serve the millions of our undocumented people through our churches. It is anticipated that Washington will soon pass Immigration Reform. When that happens, we must be prepared to assist through CHE and other entities.

Concerned Hispanic Evangelicals (CHE) is an affiliate of the National Coalition of Latino Clergy & Christian Leaders, based in Houston, Texas.

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