Texas Senate Bill SJR38

Texas 2021 - 87th Regular

Caption

Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation real property leased to certain schools organized and operated primarily for the purpose of engaging in educational functions.

Impact

If passed, this amendment would allow the state to provide financial relief to schools by exempting properties from property taxes, thereby promoting educational growth and potentially lowering operational costs for these institutions. This change is expected to support both public and private educational entities, making it easier for them to function without the burden of significant tax expenditures. It reflects a broader strategy aimed at enhancing the educational landscape in Texas by facilitating the expansion of educational services without additional tax constraints.

Summary

SJR38 proposes a constitutional amendment to provide the Texas legislature with the authority to exempt from ad valorem taxation real property that is leased to certain educational institutions. This bill focuses on those schools organized and operated primarily for educational functions. By changing section 2(a) of Article VIII of the Texas Constitution, the bill aims to allow for a more straightforward regulatory approach concerning tax exemptions for educational facilities.

Contention

Potential points of contention surrounding SJR38 may include debates over the implications of tax exemptions. Critics may argue that such exemptions could lead to reduced tax revenue for local governments, potentially impacting funding for public services. Additionally, there may be concerns regarding how such exemptions will be implemented and who qualifies as a 'certain school' under this new law. This could raise discussions about the standards and criteria used to determine eligibility, which may be a contentious point during legislative debates.