Texas 2021 87th Regular

Texas House Bill HJR125 Fiscal Note / Fiscal Note

Filed 03/26/2021

                    LEGISLATIVE BUDGET BOARD     Austin, Texas       FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION             March 26, 2021       TO: Honorable Morgan Meyer, Chair, House Committee on Ways & Means     FROM: Jerry McGinty, Director, Legislative Budget Board      IN RE: HJR125 by Ellzey (Proposing a constitutional amendment to allow the surviving spouse of a person who is disabled to receive a limitation on the school district ad valorem taxes on the spouse's residence homestead if the spouse is 55 years of age or older at the time of the person's death.), As Introduced     Passage of the resolution and voter approval of the amendment would allow the surviving spouse of a disabled person to retain the limitation on school district ad valorem taxes, provided the spouse is 55 years of age or older at the time of the person's death. As a result, school district ad valorem taxes could be reduced and state costs could increase through through the operation of the school funding formulas. The cost to the state for publication of the resolution is $178,333. The resolution would propose an amendment to Section 1-b, Article VIII of the Constitution, to allow the surviving spouse of a disabled person with a tax ceiling who dies to retain the tax ceiling.The proposed amendment's provision allowing the surviving spouse of a disabled person to retain the tax ceiling benefit would create a cost to local taxing units currently granting the tax ceiling and to the state through the school funding formulas. School district property taxes collected from a qualifying surviving spouse in excess of the amount owed had the tax ceiling been in place during tax years 2020 and 2021 would be required to be refunded. The number of surviving spouses who would qualify to retain the tax ceiling under the bill is unknown; consequently, the cost of the bill cannot be estimated.The cost to the state for publication of the resolution is $178,333The proposed amendment would be submitted to voters at an election to be held November 2, 2021.  Local Government ImpactThe proposed amendment's provision allowing the surviving spouse of a disabled person to retain the tax ceiling benefit would create a cost to local taxing units currently granting the tax ceiling. The number of surviving spouses who would qualify to retain the tax ceiling under the bill is unknown; consequently, the cost of the bill cannot be estimated.  Source Agencies: b > td > 304 Comptroller of Public Accounts  LBB Staff: b > td > JMc, KK, SD, BRI

LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION
March 26, 2021

 

 

  TO: Honorable Morgan Meyer, Chair, House Committee on Ways & Means     FROM: Jerry McGinty, Director, Legislative Budget Board      IN RE: HJR125 by Ellzey (Proposing a constitutional amendment to allow the surviving spouse of a person who is disabled to receive a limitation on the school district ad valorem taxes on the spouse's residence homestead if the spouse is 55 years of age or older at the time of the person's death.), As Introduced   

TO: Honorable Morgan Meyer, Chair, House Committee on Ways & Means
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: HJR125 by Ellzey (Proposing a constitutional amendment to allow the surviving spouse of a person who is disabled to receive a limitation on the school district ad valorem taxes on the spouse's residence homestead if the spouse is 55 years of age or older at the time of the person's death.), As Introduced

 Honorable Morgan Meyer, Chair, House Committee on Ways & Means

 Honorable Morgan Meyer, Chair, House Committee on Ways & Means

 Jerry McGinty, Director, Legislative Budget Board 

 Jerry McGinty, Director, Legislative Budget Board 

 HJR125 by Ellzey (Proposing a constitutional amendment to allow the surviving spouse of a person who is disabled to receive a limitation on the school district ad valorem taxes on the spouse's residence homestead if the spouse is 55 years of age or older at the time of the person's death.), As Introduced 

 HJR125 by Ellzey (Proposing a constitutional amendment to allow the surviving spouse of a person who is disabled to receive a limitation on the school district ad valorem taxes on the spouse's residence homestead if the spouse is 55 years of age or older at the time of the person's death.), As Introduced 



Passage of the resolution and voter approval of the amendment would allow the surviving spouse of a disabled person to retain the limitation on school district ad valorem taxes, provided the spouse is 55 years of age or older at the time of the person's death. As a result, school district ad valorem taxes could be reduced and state costs could increase through through the operation of the school funding formulas. The cost to the state for publication of the resolution is $178,333.

Passage of the resolution and voter approval of the amendment would allow the surviving spouse of a disabled person to retain the limitation on school district ad valorem taxes, provided the spouse is 55 years of age or older at the time of the person's death. As a result, school district ad valorem taxes could be reduced and state costs could increase through through the operation of the school funding formulas. The cost to the state for publication of the resolution is $178,333.

The resolution would propose an amendment to Section 1-b, Article VIII of the Constitution, to allow the surviving spouse of a disabled person with a tax ceiling who dies to retain the tax ceiling.The proposed amendment's provision allowing the surviving spouse of a disabled person to retain the tax ceiling benefit would create a cost to local taxing units currently granting the tax ceiling and to the state through the school funding formulas. School district property taxes collected from a qualifying surviving spouse in excess of the amount owed had the tax ceiling been in place during tax years 2020 and 2021 would be required to be refunded. The number of surviving spouses who would qualify to retain the tax ceiling under the bill is unknown; consequently, the cost of the bill cannot be estimated.The cost to the state for publication of the resolution is $178,333The proposed amendment would be submitted to voters at an election to be held November 2, 2021.



The proposed amendment's provision allowing the surviving spouse of a disabled person to retain the tax ceiling benefit would create a cost to local taxing units currently granting the tax ceiling and to the state through the school funding formulas. School district property taxes collected from a qualifying surviving spouse in excess of the amount owed had the tax ceiling been in place during tax years 2020 and 2021 would be required to be refunded. The number of surviving spouses who would qualify to retain the tax ceiling under the bill is unknown; consequently, the cost of the bill cannot be estimated.



The cost to the state for publication of the resolution is $178,333



The proposed amendment would be submitted to voters at an election to be held November 2, 2021.

 Local Government Impact

The proposed amendment's provision allowing the surviving spouse of a disabled person to retain the tax ceiling benefit would create a cost to local taxing units currently granting the tax ceiling. The number of surviving spouses who would qualify to retain the tax ceiling under the bill is unknown; consequently, the cost of the bill cannot be estimated.

Source Agencies: b > td > 304 Comptroller of Public Accounts

304 Comptroller of Public Accounts

LBB Staff: b > td > JMc, KK, SD, BRI

JMc, KK, SD, BRI