Over the weekend, Gov. Greg Abbott signed two bills passed during the special session that could provide billions of dollars in property tax relief to Texas residents.
As reported by The Dallas Express, the battle for property tax relief dragged on for months as the House and Senate failed to agree on a plan during the regular session and the first special session. Only during the second special session over the issue was a compromise reached.
The two bills signed by Abbott, Senate Bill 2 and Senate Bill 3, would reduce taxes by raising the homestead property tax exemption and compressing the school maintenance and operation tax. However, the bills require a change to the Texas Constitution, and whether this amendment can go into effect must be put to a vote.
Sen. Paul Bettencourt (R-Houston), the architect of the Senate’s plan, explained after the signing, “Only one more step left to approve a record $18 Billion Dollar Property Tax Reduction in the State of Texas, and that’s the voters approving the Constitutional Amendment in November!”
If the House Joint Resolution 2 receives sufficient votes in November, he said, “a HUGE, ‘Texas-sized’ Record $18 billion Property Tax reduction will be IN the History Books!”
“Actually, every Texas property taxpayer will be able to see the reduction on their ISD tax bills as they’ll be mailed this fall with the property tax reductions on them, and why not? It’s the taxpayers’ money anyway!” Bettencourt added.
After explaining the details of the upcoming constitutional amendment to enact the tax relief plan, the veteran senator added, “This is a fantastic package. So, mark your calendar for November 7th and remember to vote!”
Others, however, have claimed that the new bills only represent roughly $12.7 billion in additional property tax relief, as $5.3 billion being grouped into the total dollar amount comes from previously passed relief packages.
And some economic policy experts suggest that the bills do not go far enough to address taxation issues in the state.
Vance Ginn, former associate director of economic policy at the federal Office of Management & Budget, remarked, “Glad to see it but more to do to protect private property rights, support more prosperity, and improve individual liberty by eliminating property taxes.”
Tim Hardin, the CEO of Texans for Fiscal Responsibility, added, “Texas has the 6th highest property taxes in the nation, even with the 2nd largest property tax package in [Texas Legislature] history I fear we barely move the needle on that metric.”
“Taxpayers deserve real relief, it’s time to eliminate property taxes and restore property rights to Texans,” he concluded.