Texas 2025 - 89th Regular

Texas House Bill HB558

Voted on by House
 
Out of Senate Committee
 
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the provision of funding under the public school finance system on the basis of property values that take into account optional homestead exemptions.

Impact

If enacted, HB 558 would lead to significant changes in how funding is allocated under the public school finance system. By factoring in optional homestead exemptions for property evaluations, the bill aims to align state funding more closely with actual local property values and taxation. This could help in leveling the playing field for school districts, especially those in areas with high property values that are currently benefitting from higher levels of funding due to inflated appraisals. It may reduce the funding disparities among districts, especially those with varying percentages of families applying for exemptions.

Summary

House Bill 558 seeks to amend provisions related to funding within the public school finance system in Texas by incorporating property values that account for optional homestead exemptions. The bill explicitly addresses how these exemptions will influence the funding calculations that determine the financial resources available to various school districts. As part of this reform, the legislation intends to ensure a fairer distribution of funds by considering homeowners' exemptions in the context of property values, potentially impacting funding levels for schools across districts.

Contention

Discussions around HB 558 may highlight concerns from different stakeholders regarding the implications of adjusting the school finance formula. Some stakeholders might express apprehension that such changes could lead to an inadequate funding model for certain districts, particularly those heavily dependent on property taxes. Others may advocate for the bill as a solution to the inequities ingrained in the current system, arguing that taking exemptions into account is a logical step toward more equitable school funding practices. Notably, local government officials and education advocates may engage in debates over the balance between property assessments and funding sufficiency.

Overall_effect

Overall, HB 558 has the potential to reshape the landscape of public school funding in Texas by emphasizing transparency and fairness. The reliance on property values adjusted for homestead exemptions could encourage local governments to better manage property taxes while simultaneously ensuring that public education funding reflects real property conditions. It represents an effort to adapt the financial framework governing Texas schools to meet modern challenges and promote equal educational opportunities for all students, regardless of geographical disparities.

Texas Constitutional Statutes Affected

Education Code

  • Chapter 7. State Organization
    • Section: New Section

Government Code

  • Chapter 403. Comptroller Of Public Accounts
    • Section: 302

Tax Code

  • Chapter 11. Taxable Property And Exemptions
    • Section: New Section
    • Section: 251
    • Section: 253
  • Chapter 33. Delinquency
    • Section: 06
    • Section: 065
  • Chapter 23. Appraisal Methods And Procedures
    • Section: 23
    • Section: 231

Companion Bills

TX HB1153

Same As Relating to the provision of funding under the public school finance system on the basis of property values that take into account optional homestead exemptions.

TX HB152

Same As Relating to the provision of funding under the public school finance system on the basis of property values that take into account optional homestead exemptions.

TX SB2644

Identical Relating to the provision of funding under the public school finance system on the basis of property values that take into account optional homestead exemptions.

Similar Bills

TX SB42

Relating to the calculation of certain ad valorem tax rates of a taxing unit for a year in which a property owner provides notice that the owner intends to appeal an order of an appraisal review board determining a protest by the owner regarding the appraisal of the owner's property.

TX HB1153

Relating to the provision of funding under the public school finance system on the basis of property values that take into account optional homestead exemptions.

TX HB152

Relating to the provision of funding under the public school finance system on the basis of property values that take into account optional homestead exemptions.

TX SB2644

Relating to the provision of funding under the public school finance system on the basis of property values that take into account optional homestead exemptions.

TX HB266

Relating to a local option exemption from ad valorem taxation by a school district of all or part of the appraised value of the residence homesteads of certain individuals who are employed by the district.

TX SB634

Relating to the authority of the governing body of a taxing unit to adopt an exemption from ad valorem taxation of a portion, expressed as a dollar amount, of the appraised value of an individual's residence homestead.

TX HB4060

Relating to a local option exemption from ad valorem taxation by a taxing unit of all or part of the appraised value of the residence homestead of a peace officer employed by the taxing unit.

TX SB479

Relating to the school district property value study conducted by the comptroller of public accounts.