A seismic shift is coming to cybersecurity in Texas. Effective September 1, 2025, the state will launch the Texas Cyber Command (TCC), a new centralized authority tasked with safeguarding both public agencies and critical infrastructure providers. With escalating cyber threats and the deep interconnections between sectors, this is one of the most significant legislative moves in Texas cybersecurity regulation in more than a decade.
A Closer Look at the Legislation Driving Change
The foundation for this transformation is Texas House Bill 150, which fundamentally restructures how the state approaches cybersecurity governance. Under HB 150, the Texas Cyber Command will be established within the University of Texas System, leveraging operational and administrative resources based at UT San Antonio (UTSA)—a university nationally recognized as a cybersecurity leader.
A key change is that the TCC will absorb many functions previously handled by the Department of Information Resources (DIR). This means operational authority over statewide security monitoring, incident response, and the development and enforcement of cyber standards will transfer to the new Command. Leading the TCC will be a Chief Cyber Officer, appointed by the Governor and confirmed by the Texas Senate, ensuring strong oversight and accountability at the highest levels. Importantly, the TCC isn’t permanent by default; it’s subject to review under the Texas Sunset Act, with its first scheduled evaluation set for September 1, 2031. This ensures ongoing scrutiny of its effectiveness and relevance.
Timeline for the Transition
Businesses and local governments should note the critical timeline ahead. On September 1, 2025, the TCC officially comes into existence, beginning initial setup and strategic planning. By January 1, 2026, the TCC and the DIR must establish a Memorandum of Understanding (MOU) to guide the transition of duties. The final deadline looms on December 31, 2026—by then, the DIR is required to transfer all relevant personnel, systems, contracts, and budgets to the TCC. This two-year window is essential for organizations to align their operations and compliance processes with the new regime.
What This Means for Businesses Across Critical Sectors
If your organization operates in sectors like energy, water systems, manufacturing, communications, defense, finance, government services, healthcare, transportation, or food and agriculture, you may soon be classified as a “covered entity.” Under HB 150, these entities will have direct obligations to interface with the TCC for cybersecurity risk assessments, training, and compliance initiatives.
These industries face heightened risks from nation-state cyber threats and increasingly sophisticated ransomware campaigns. The legislation recognizes how interconnected these sectors are—and how vulnerabilities in one area can ripple across others. As a result, Texas is mandating stronger protective standards and oversight for both public and private actors involved in critical infrastructure.
New Compliance Requirements on the Horizon
Covered entities should prepare for several significant new obligations. The TCC will develop statewide cybersecurity standards expected to align closely with frameworks like NIST SP 800-53 or guidance from the Cybersecurity and Infrastructure Security Agency (CISA). Businesses will need to demonstrate adherence to these benchmarks to remain compliant.
Additionally, annual cybersecurity training will become mandatory for employees, contractors, and IT personnel handling sensitive systems. Companies should plan for certification programs and consider how to integrate training into existing professional development tracks.
Another key aspect is cost-recovery for state-provided services. If an organization requires incident response, digital forensics, or advanced threat intelligence from the TCC, fees may apply. While these services are intended to be scalable and accessible, budgeting for potential costs should be part of every organization’s planning process.
Grants and Penalties: The Financial Stakes
Cybersecurity isn’t just a technical concern—it’s increasingly tied to financial outcomes. Businesses and municipalities seeking state-funded cybersecurity grants will have to certify full compliance with TCC training and standards. Falling short could have significant consequences, including grant clawbacks, ineligibility for future funding, and potential reputational harm—particularly for those operating critical infrastructure.
What Businesses Should Do Now
For organizations that could fall under the TCC’s oversight, proactive preparation is essential. Start by auditing your cybersecurity posture thoroughly—both internally and across your supply chain. Are your current policies aligned with recognized standards like NIST or ISO 27001? When was your last penetration test or incident response drill?
Equally important is evaluating your vendors and partners. Under HB 150, your supply chain’s vulnerabilities could quickly become your compliance problem. Review vendor contracts to ensure they include cybersecurity requirements, notification timelines for breaches, and clear accountability measures.
Businesses should also begin preparing staff for certification requirements. This means identifying which departments and roles will be subject to annual training and either developing internal programs or partnering with approved training providers.
Finally, designate a TCC liaison within your organization. This individual will be responsible for tracking new rulemaking, coordinating with state officials, and managing internal compliance efforts. Given that the TCC will likely issue rules and updates rapidly, staying engaged through public forums, alerts, and feedback opportunities is vital.
For many businesses, engaging a trusted partner can make the difference between simply staying compliant and building real competitive advantage. Triad InfoSec is the edge they’ll need to outpace competitors. With deep expertise in frameworks like NIST SP 800-53, CMMC, ISO 27001, SOC2, and HIPAA, Triad transforms compliance checklists into ironclad resilience strategies that go far beyond box-checking. Whether it’s performing rapid gap analyses, designing tailored incident response plans, training your workforce for new mandatory certification rules, or serving as your dedicated vCISO to interface with the TCC, Triad’s Cyber Resilience Command Suite ensures businesses aren’t just compliant—they’re strategically positioned to thrive. In the face of looming statewide standards, potential cost-recovery fees for incident response, and stiff penalties for non-compliance, Triad equips organizations to stay two steps ahead, safeguard their reputation, and capture market trust while competitors scramble to keep up.
The Bigger Picture: More Than Bureaucracy
The establishment of the Texas Cyber Command isn’t just administrative reshuffling—it signals a profound shift toward a coordinated, statewide approach to cyber defense. For businesses, especially those in critical infrastructure sectors, this marks the dawn of a new regulatory era. Compliance won’t be optional, but it’s also an opportunity: organizations that adapt quickly can not only avoid penalties but position themselves as trusted, resilient partners in a digital economy increasingly shaped by cybersecurity risks.
Now is the time to get ahead of the curve. Audit your systems, shore up your defenses, and start engaging with the processes that will shape Texas’s cybersecurity landscape for years to come.
💬 Let’s Connect
Curious about how HB 150 might impact your organization? Need help drafting a compliance roadmap or assessing your cyber posture? Drop a comment or send me a message—I’m here to help you navigate this pivotal moment in Texas cybersecurity.
