SENATE PASSES PROPERTY TAX REFORM AND RELIEF BILL
The Texas Senate has passed a bill calling for major property reform to third reading.
(R-Houston)
Senate Bill 2, also known as the Texas Property Tax Reform and Relief Bill of 2019, was authored by Paul Bettencourt (R-Houston). All 19 Republican Senators voted to bring the bill to the floor, after Lieutenant Governor Dan Patrick said he would not let procedural rules in the Senate stop them from hearing the bill.
The final vote on the measure Monday was 18-13, with Kel Seliger (R-Amarillo) joining Democratic Senators in voting no on the bill.
As amended and passed, the bill will reduce the rate cities, counties, and other special district taxing entities can increase property taxes without voter approval from 8 percent to 3.5 percent. For school districts, the rate is reduced to 2.5 percent.
The current 8 percent rollback rate has not changed since 1981. A taxing jurisdiction would be required to get voter approval in an automatic November election to go over this new rollback rate.
This rate reduction applies to revenue from existing properties, not new construction. It also applies to all cities that collect more than $15 million per year in taxes, but smaller communities will still have an election to opt into the reduced rates.
Senator Bettencourt said this reform must be done for both current and future Texans, so they can continue to own their own homes and businesses. He said this bill was made to “keep the Texas dream alive”.
Senator Lois Kolkhorst (R-Brenham) said Texans across the state know that property taxes are too high, and this bill will “ensure the purest form of local control, the ballot box”.
The bill now heads to the House for consideration.
This new property tax reform is exactly what we’ve needed! But when does it take effect. Immediately? or Next years tax assessment?
Excellent news. Thankful for some relief of my annual property tax bill. At least someone is trying to fix the problem.
It’s not enough, learn to live within your means! Every year my family, and all others of working class incomes have to figure out what to cut back on, or give up because government has decided to syphon off more.
Well thanks to Austin for thinking about the taxpayers pocketbook, but it Is more helpful in getting votes than giving us tax relief. WHY? Because it ONLY effects the rate of taxation, NOT the value of property itself, which is the MAIN reason our taxes go up. And it IS the state who tells Mr. Tax Appraiser how much to raise our valuations each year. And most citizens will not make that connection and think we are getting a good deal. What would be more helpful is closing the loophole for businesses which could generate billions more in revenue. The state house counts on uninformed citizens to pull off the smoke and mirrors act time after time.
This sounds great and I applaud the Senate trying to put a limit on how much our taxes can be raised, however there are two areas I am not seeing addressed. What are they doing to prevent the taxing districts from unfairly raising our appraisals and what are they doing to reduce our current tax bills?
Thank you for giving the taxpayers a voice!