Texas House Bill HJR17

Texas 2015 - 84th Regular

Caption

Proposing a constitutional amendment authorizing the governing body of a political subdivision to adopt a local option residence homestead exemption from ad valorem taxation of a portion, expressed as a dollar amount, of the market value of an individual's residence homestead.

Impact

If approved, HJR17 would lead to changes in state laws governing property taxation, particularly by introducing a mechanism through which local governments can enact their own exemptions. This could result in varied tax relief options across different political subdivisions, laying the groundwork for increased local control over property taxation policies. The impact of such exemptions could enhance local economies by promoting homeownership and potentially increasing property values within exempted areas as the affordability of homes improves.

Summary

HJR17 is a joint resolution proposing a constitutional amendment that would allow the governing body of a political subdivision to adopt a local option residence homestead exemption from ad valorem taxation on a portion of the market value of a residence homestead, defined by a specific dollar amount. This amendment aims to provide local governments the flexibility to offer tax relief to homeowners, thereby potentially making home ownership more affordable for residents within their jurisdictions. The proposed exemption is meant to alleviate some financial burdens on homeowners by reducing their taxable property value for ad valorem taxes.

Contention

Notably, the bill would face certain points of contention regarding its implementation and effects on state revenue. Critics may argue that the local option could lead to significant disparities in tax revenues collected across different regions, which could further exacerbate economic inequalities. Additionally, there is a concern that the shift towards local control may place some municipalities at risk of financial strain if they cannot maintain adequate funding for public services due to the loss of ad valorem tax revenues. Proponents, however, would counter that the amendment empowers local governments to cater to their specific constituents' needs better and enables them to foster favorable conditions for homeowners.

Additional_notes

The adoption of HJR17 would specifically require that any exemptions set would not undermine existing obligations related to debt serviced by the property tax revenues. Additionally, as per the proposed amendment, local governments would need to follow prescribed procedures set by the legislature for the administration of these exemptions.