> At a Glance
> – Governor Greg Abbott blames Dallas’ police funding for AT&T’s downtown exit
> – City data show DPD budgets rose every year since 2021; only a $3M dip occurred in 2021
> – No violation found under state’s 2021 anti-defunding law
> – Why it matters: The dust-up could trigger state penalties if Abbott’s probe concludes Dallas short-changed public safety
One day after AT&T announced it is relocating headquarters out of Dallas, Governor Greg Abbott claimed the move stems from the city’s failure to adequately fund the Dallas Police Department.
Abbott’s Charge
Abbott said the city’s “failure to have fully staffed law enforcement” and contain homelessness drove the corporate departure.
> “It’s the responsibility of local leaders to fully fund their local law enforcement because Dallas did not do that, AT&T is now moving out of downtown Dallas,” Abbott stated at a Fort Worth campaign event.

The governor vowed to examine whether Dallas violated House Bill 1900, the 2021 statute that can strip cities of tax revenue if they cut police spending.
City Leaders Push Back
Councilmember Cara Mendelsohn countered that public safety has been the council’s top priority since she and Mayor Eric Johnson took office in 2019.
> “We should not ever defund the police,” Mendelsohn said.
Budget by the Numbers
- 2020-21: $3 million decrease (the only drop in recent years)
- 2021 onward: annual increases every fiscal year
- Current headcount: highest officer tally since 2016
- 2026 goal: hire 350 additional officers
Recent council actions:
- approved $63 million in extra funds for police and fire tech upgrades
- green-lit a new police academy financed by voter-approved bonds
Homelessness Factor
Mendelsohn noted DPD enforces state no-camping bans but questioned whether Dallas should shoulder the region’s entire homelessness burden.
State Oversight
Under HB 1900, cities found to have “defunded” police face:
- tax rate caps
- loss of specific revenues
- added budget constraints
To date, Dallas has never been sanctioned under the law.
Key Takeaways
- Abbott links AT&T’s exit to police funding despite city budget growth since 2021
- City data show DPD staffing at a seven-year high with more hiring planned
- A state review could still impose penalties if officials determine funding fell short
- Lawmakers continue debating who pays for regional homelessness services
The governor’s office offered no new comments when contacted, restating only Abbott’s original remarks as his investigation proceeds.

