Senate hearing revealed rule changes came at Abbott’s request
Johnson, a state senator who won the Democratic primary runoff for attorney general in May, told the Dallas Morning News that the award of 99% of available grant funds to a company controlled by Musk — an ally of President Donald Trump — appeared disproportionate.
“I am not declaring that corruption was at work in this instance. I am saying that it sure looks like it,” Johnson said, according to the newspaper. “Public confidence in the bidding process has been undermined.”
The Starlink grants, signed off by Abbott, have drawn scrutiny since it emerged that the Texas Broadband Development Office revised its rules after the governor’s office requested a review. At a June hearing of the state Senate’s business and commerce committee, BDO Director Bryant Clayton testified that “the office of the governor asked us to look at how our proposed structure compared to other states” and that Texas was “out of step with other nearby states,” according to KUT News.
Republican state Sen. Charles Schwertner, who chairs the committee, acknowledged the complaints at the hearing. “I’ll just say it bluntly. Favoritism and transparency are real big concerns that have been brought to my office,” he said.
Eight companies offering ground-based fiber broadband submitted a letter stating they appeared to have been excluded from the revised grant application process.
Abbott has defended the grants, saying Starlink’s low-Earth-orbit satellite service was the most practical solution for reaching the most remote rural areas where laying fiber is prohibitively expensive. “Governor Abbott supports getting high-speed internet to rural Texans as quickly and cost-effectively as possible,” Andrew Mahaleris, his press secretary, told KUT News in a statement. “Low Earth orbit satellite service is essential for the most remote areas where traditional fiber is too expensive and slow to build.”
Records show Musk has made monetary donations to Abbott in the past, though Johnson did not assert a direct link between donations and the grants.
During his primary campaign, Johnson promised to overhaul the Texas attorney general’s office. The seat is currently held by Republican Ken Paxton, who won his party’s nomination for U.S. Senate in May and will face Democratic nominee James Talarico in November. MSI previously reported on Paxton’s primary victory and the general election matchup.
Johnson has said he will work with the state comptroller to audit how government contracts are awarded if elected. He faces Republican state Sen. Mayes Middleton, who has declared himself a Trump loyalist, in the November general election. The attorney general’s office has emerged as a high-profile battleground in Texas, with both parties seeing record fundraising as legal battles against the federal government feature prominently in campaigns.