Texas House Bill HJR43

Texas 2017 - 85th 1st C.S.

Caption

Proposing a constitutional amendment to authorize the legislature to establish a lower limit on the maximum appraised value of residence homesteads for ad valorem tax purposes and to establish a limit on the value of other real property for those purposes.

Impact

If enacted, this constitutional amendment would substantially impact state laws governing property taxes and appraisals. By restricting how much the appraised values can increase, it aims to provide homeowners with a degree of financial predictability and potential tax relief. In addition, a similar limit would apply to other real property, capping increases to 120% of the appraised value from the prior year. This marks a significant shift toward more favorable tax conditions for property owners, potentially alleviating the financial burden associated with rising property taxes in the state.

Summary

HJR43 proposes a constitutional amendment aimed at providing the Texas legislature with the authority to establish lower limits on the maximum appraised values of residence homesteads for ad valorem tax purposes. This change would enable a cap on how much the appraised value of such properties can increase from one tax year to the next, specifically suggesting a cap at either the most recent market value or 107% of the appraised value from the prior year. The goal of this proposal is to create a more predictable tax environment for homeowners and facilitate financial relief through controlled appraisal increases.

Contention

The proposal may raise discussions regarding fiscal responsibility and the implications of limiting appraisal values. Proponents argue that such measures would protect homeowners from steep property tax increases, especially in areas experiencing rapid growth and inflated real estate values. However, critics might contend that these limitations could affect local government funding, which relies on property taxes for essential services. The amendment's effects on local budgets and services, as well as its potential to alter the property market dynamics in Texas, will likely be points of contention among legislators and the public alike.