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Property Tax Decrease in the hands of Texas House of Representatives

Perla Cortez February 24, 2025

TEXAS – The Texas House of Representatives has until March 14 to make a decision on Senate Bill 4.

Already approved by the Texas Senate, Senate Bill 4 will increase the number of exemptions for property taxpayers. A benefit that could be detrimental for public school funding.

Early February, the Office of the Texas Governor published a news release stating that Governor Greg Abbott had declared for a $10 billion emergency tax relief coming from the state’s surplus. This served to stop local tax authorities from increasing property taxes.

Mark Kaswan, a UTRGV political science professor, explained that the financial impact of the expected bill will not only affect public schools, but also police and fire departments.

“Because the state does not have income tax, cities fund pretty much all of their programs through either fees or through property taxes,” Kaswan said. “If property taxes can’t keep up with the needs, then you’re going to see serious consequences for the quality of life.”

Zoraya Molina, a Rio Grande resident, said that she agrees with the bill on lowering property taxes. However, she does not see any improvements in her city with taxes increasing.

“Personally, I do not see a change in my city that signifies the use of property taxes, where I live the light posts are not lit and the roads are still filled with potholes,” Molina said.

Molina also commented that if taxes do increase, she would prefer teachers to get paid more.

Alejandro Cespedes, chief financial officer for Brownsville ISD said that although the major impact for the funding is uncertain, the district plans to receive a “hold harmless allotment” from the state through the Texas Education Agency.

The allotment will provide the school district with money, offsetting the funding lost due to the decrease in property taxes but only for the first two years.

If the House votes to approve the property tax exemption, Texan voters can expect a special election in November to choose the fate for the funding of public schools.

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