Texas House Bill HB1129

Texas 2009 - 81st Regular

Caption

Relating to the authority of a hospital district to establish an ad valorem tax freeze on the residence homesteads of disabled or elderly persons and their surviving spouses.

Impact

If passed, HB1129 will have a significant impact on how tax assessments are handled for qualifying individuals within hospital districts. It modifies the limitations on property taxes, stipulating that once a qualifying individual’s homestead is given a tax freeze, taxes can only be imposed at the level of the initial tax year. This creates a more predictable taxation environment for elderly and disabled residents, potentially increasing their financial stability. However, it is dependent on the approval of a constitutional amendment that allows such freezes to take effect.

Summary

House Bill 1129 aims to provide the authority for hospital districts in Texas to establish an ad valorem tax freeze specifically on the residence homesteads of disabled individuals and the elderly, including their surviving spouses. The bill seeks to protect these vulnerable groups from escalating property taxes, thus ensuring that they can maintain their homes without the fear of financial strain due to tax increases. The legislation is designed to modify existing tax laws under Section 11.261 of the Texas Tax Code to explicitly authorize these freezes by hospital districts.

Contention

Notable points of contention surrounding HB1129 include concerns about the fiscal implications for local governments and hospital districts. Opponents may argue that implementing tax freezes could limit the ability of these districts to generate revenue required for public services. Additionally, there might be debates regarding the fairness of separating funding sources for different demographic groups. Proponents, however, stress the importance of providing support to disabled individuals and the elderly, framing the tax freeze as a necessary measure to enhance their quality of life.