February 8, 2018

Fiscal Notes: A Storm to Remember – Hurricane Harvey and the Texas Economy

(AUSTIN) — In this special edition of Fiscal Notes, released today, the Comptroller’s office examines the effect of Hurricane Harvey on the Texas economy through data modeling. Our analysis takes a wide-ranging view of the net consequences of the storm, using a dynamic input-output model to measure the storm’s economic impacts.

Harvey’s total costs have been estimated at about $125 billion, according to the National Oceanic and Atmospheric Administration. As of Nov. 30, 2017, the Texas Division of Emergency Management estimated Harvey had damaged or destroyed more than 178,000 Texas homes and inflicted about $670 million in damage to public property such as government buildings, roads, bridges, water facilities and electric utilities. The storm also caused more than $200 million in Texas crop and livestock losses, and flooding may have ruined more than 250,000 vehicles.

“The storm brought unprecedented destruction to parts of our coast; dozens died and many more lost homes, automobiles and livelihoods,” Texas Comptroller Glenn Hegar said. “But Texans are resilient, and so is our state. While the initial impact of Harvey was severe, the Texas economy has already absorbed much of the damage from this record-breaking storm and should avoid long-term losses.”

The February issue of Fiscal Notes also examines recovery efforts and possible opportunities to prevent flooding disasters in the future.

Fiscal Notes is available online and also can be received by subscribing via the Comptroller’s website.

Fiscal Notes helps promote and further explain the Comptroller’s constitutional responsibility to monitor the state’s economy and estimate state government revenues. It has been published since 1975, featuring in-depth analysis concerning state finances and original research by subject-matter experts in the Comptroller’s office.