DISCLAIMER: The following article is based on claims made by Texas Representative Mitch Little (@realmitchlittle) via his official X (formerly Twitter) account. While Rep. Little has presented documents and analysis in his X article regarding the financial expenditures of the Texas House, Austin County News Online (ACNO) has not independently verified all of the financial records referenced in his statements. This report is an analysis of the information he has publicly posted. If additional information, state agency responses, or official audits become available, ACNO will do its best to update this article accordingly.
In a detailed post on X (formerly Twitter), Texas Representative Mitch Little (@realmitchlittle) has alleged that millions of taxpayer dollars were used to fund the impeachment of Attorney General Ken Paxton through discretionary funds hidden within “unexpended balances” in the Texas Houseโs budget.
Rep. Littleโs analysis suggests that these fundsโnormally rolled over for general legislative purposesโwere instead redirected to pay for investigators, trial lawyers, and other impeachment-related expenses, long after Paxton was acquitted by the Texas Senate.
What Does This Mean? Why Is It a Problem?
For those unfamiliar with how state budgets work, hereโs why this is significant:
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Unexpended Balances = Leftover Money That Can Be Used Discretionarily
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Normally, when a government agency does not spend all of its allocated budget, the money should either be returned to taxpayers or reallocated in the next budget cycle.
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Instead, the Texas House and Texas Legislative Council (TLC) appear to be stockpiling unspent funds year after year, effectively creating a hidden discretionary fund.
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No Legislative Oversight on How This Money is Used
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The Texas House does not have a dedicated subcommittee overseeing these โArticle Xโ funds, which means there is little transparency over how much money is stored and how it gets spent.
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This allows House leadership to spend millions without voter knowledge or direct oversight.
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Used for a Political Impeachment Instead of Routine Government Functions
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Rep. Little claims that these hidden discretionary funds were used to hire investigators and trial lawyers for an impeachment that ultimately failed.
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Payments continued even after Attorney General Paxton was acquitted.
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The Bigger Issue: Can Taxpayer Dollars Be Used Like This Without Public Approval?
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If unexpended balances can be used for impeachment trials, what else could they fund?
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Without clear regulations, this could become a taxpayer-funded slush fund for any political project, investigation, or personal pet project of House leadership.
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In short, Rep. Little is alleging that millions of taxpayer dollars were used for a politically motivated impeachment, without public knowledge or legislative approval, by taking advantage of an accounting loophole that allows money to roll over indefinitely.
Rep. Little stated:
“While I am thankful to Speaker Burrows for finally producing the documents so that the State Auditor’s audit can finally be conducted, this is only the beginning of the story. It’s not so much the ‘How much?’, but the ‘From where?’ that bears further inquiry.”
The Core of Rep. Littleโs Claims
The Investigators: Paid Through Texas Legislative Council Funds
According to documents Rep. Little cites, investigators hired by the Texas House General Investigating Committee were paid using funds from the Texas Legislative Council (TLC)โan agency normally responsible for drafting legislation.
- The TLCโs budget for this period was over $52 million, which is more than the entire Texas Houseโs budget ($3 million more, to be exact).
- Some investigators, such as Erin Epley, received flat payments of $10,000 to $20,000 even after the impeachment process ended (Paxton was acquitted on Sept. 16, 2023, but payments continued until Oct. 25, 2023).
- Key Question: Why were investigators paid large, round-number sums after the impeachment had already concluded? Was this a severance payout, a bonus, or something else?
Rep. Little questioned:
“If you’re reading this, like me, you’re probably wondering why these investigators were receiving flat $10,000 or even $20,000 (in the case of Erin Epley) payments over a month after the impeachment was over. Paxton was acquitted on September 16, 2023; the investigators’ last payments were received on about October 25, 2023. Even if they were being paid in arrears, it would never be a flat, round number. Was it a tip? Was it a loss bonus? Good game/nice try?”
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The Trial Lawyers: $3.7 Million Paid in a Single Day
Unlike the investigators, the trial lawyers who prosecuted the case in the Senate were paid directly from the Texas House budget.
- According to the data, $3.7 million was paid out in a single day (Nov. 28, 2023) to various high-profile law firms.
- Largest Payouts:
- Rusty Hardin & Associates LLP: $1.6 million
- Richard M. DeGuerin: Over $470,000 across multiple payments
- The Law Office of Harriet O’Neill PC: $157,650
- Key Question: How did the Texas House have $3.7 million in discretionary cash readily available for immediate payments?
Rep. Little further stated:
“How and why did the Texas House of Representatives have an extra $3.7 million in cash lying around on a single day to pay these trial lawyers? I mean, it was just sitting there in an account? It’s part of the budget. What justification was offered to Appropriations to give the Texas House an extra several million dollars that don’t get used? It’s not like we have an impeachment every year.”
Where Did the Money Come From? “Unexpended Balances” Loophole
The likely answer: Unexpended Balances.
Both the Texas House and Texas Legislative Council (TLC) use a loophole called “Unexpended Balances” to roll over unused funds year after year.
The House does not have a dedicated subcommittee overseeing “Article X” agencies, which includes TLC and its massive budget.
In one year alone, TLCโs budget increased by $5 million, despite the fact that the Texas House was not in session for part of that time.
Key Question: Why is there no legislative oversight for the tens of millions of dollars rolling over into discretionary accounts year after year?
Rep. Little commented:
“The truth is that only a handful of people in Texas really know how much money the Speaker of the House and Texas Legislative Council are sitting on in unexpended balances that roll forward, year after year after year. This has the effect of creating a sort of discretionary fund that the Speaker can utilize for impeachments, extra staff, side projects, or I guess whatever he wants.”
Rep. Littleโs Take: “A Hidden Discretionary Fund”
Rep. Little describes these rolling balances as a hidden discretionary fund controlled by Texas House leadership. In his words:
“The truth is that only a handful of people in Texas really know how much money the Speaker of the House and Texas Legislative Council are sitting on in unexpended balances that roll forward, year after year after year. This has the effect of creating a sort of discretionary fund that the Speaker can utilize for impeachments, extra staff, side projects, or I guess whatever he wants.”
He also points out that:
“There is no subcommittee dedicated to overseeing Article X agencies (which control these funds). The Texas House has subcommittees for everythingโexcept this. Why?”
The Bigger Picture: What This Means for Texas Taxpayers
Rep. Littleโs claims raise significant concerns:
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Why were taxpayer dollars used to pay investigators and lawyers months after the impeachment ended?
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Why does the Texas Legislative Council (TLC) have a budget larger than the entire Texas House?
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Why does the Texas House have a $3.7 million discretionary budget capable of funding impeachment proceedings without direct approval?
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Why is there no subcommittee overseeing “Unexpended Balances” and “Article X” spending?
These are not just budget questionsโthey are accountability questions.
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Final Thoughts: ACNOโs Commitment to Transparency
Austin County News Online is committed to reporting on government accountability and transparency. As noted in our disclaimer, we have not independently verified all of the financial records referenced in Rep. Littleโs analysis.
ACNO will continue monitoring this issue and will provide updates if:
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The Texas Comptrollerโs Office or the State Auditorโs Office issues an official audit or response.
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Speaker Burrows, the Texas Legislative Council, or other officials comment on Rep. Littleโs allegations.
We encourage our readers to review the original post from Rep. Mitch Little (@realmitchlittle), which we have linked below for full transparency.
Read Mitch Littleโs Full Article on X
