Texas House Bill HJR73

Texas 2023 - 88th Regular

• Filed: 1/9/23

Caption

Proposing a constitutional amendment to authorize the legislature to set a lower limit on the maximum appraised value of a residence homestead for ad valorem taxation.

Impact

Should this amendment pass, it would amend Section 1(i) of Article VIII of the Texas Constitution. This change would enable a more structured approach to how property taxes are determined for residence homesteads, as it dictates that appraised values can only increase by a certain percentage from the previous year, specifically allowing the legislature to cap it at 105% or a greater percentage. This legislation is particularly relevant in a climate where property values are consistently rising, leading to higher property tax burdens for residents.

Summary

HJR73 proposes a constitutional amendment that allows the Texas legislature to set a lower limit on the maximum appraised value of a residence homestead for ad valorem tax purposes. This amendment seeks to empower the legislature to adjust the tax thresholds, which can help control property taxes, especially for residential homeowners. The measure aims to provide financial relief to homeowners who may be burdened by rapidly escalating property taxes as property values increase over time.

Sentiment

The sentiment surrounding HJR73 appears to lean towards positive, especially among homeowners and advocacy groups focused on property tax relief. Supporters of the bill believe it will protect homeowners from excessive taxation and offer a stable framework for property tax assessments. However, there may be concerns among some legislators about the implications this could have on local government revenues and services, which often rely heavily on property tax funding.

Contention

A notable point of contention could arise regarding the balance between providing tax relief for homeowners and ensuring adequate funding for local services. Critics may worry that setting such lower limits could restrict the revenue necessary for schools, public safety, and other essential services. Additionally, the timing of the proposed changes, particularly as they coincide with broader discussions about tax reform in Texas, may prompt debate about the adequacy and sustainability of funding for local entities if property tax revenues are limited.