FOR IMMEDIATE RELEASE
July 13, 2023
(512) 463-0107
michael.geary@senate.texas.gov
Austin, TX – Senator Paul Bettencourt (R-Houston) sponsored House Joint Resolution 2 authored by Representative Will Metcalf (R-Conroe), the constitutional amendment for Senator Bettencourt’s $18 billion property tax relief bills, SB 2 & SB 3. HJR 2 passed the entire Senate unanimously with bipartisan support 31-0. Then the House of Representatives passed the bills SB 2 133-4, and SB 3 131-5, with a two-thirds majority, and sent them to Governor Greg Abbott (R-Texas) next for his signature review.
“It’s a ‘Texas-sized’ 18 billion dollar property tax reduction! But wait, we’re not done yet! It’s another 300 million dollars for doubling the franchise tax exemption so it’s truly a record,” remarked Senator Bettencourt.
HJR 2, by Rep. Metcalf passed the House 132-5, will put the following on the November 7, 2023, ballot for Texas voters to approve.
- Increase Texas homestead exemption to $100k on 5.72 million Texas homeowner’s ISD property tax bills, effective on this year’s property tax bill.
- Approve a “catch-up” for over-65 and disabled for the $15k homestead exemption increase adjustment from May 2022 state-wide election.
- Approve non-homesteaded real property valued at $5 million and under will receive a 20% circuit- breaker on appraised value increases as a 3-year pilot project. The constitutional circuit breaker will sunset Dec. 31, 2026.
- Three county citizens will be elected county-wide to each County Appraisal Districts (CAD board) of directors in non-partisan positions. The CAD board of directors will now select Appraisal Review Board (ARB) members, in each county of 75k population or greater.
- Make sure property tax relief does not count towards constitutional spending limit.
“The ‘Texas Two-Step’ of $100k homestead exemption and a 23.8% m&o property tax rate reduction means the average Texas homestead will see a 41.5% or $1373 per year in savings. Every residential and commercial property owner will see huge tax savings this fall. The final approval will be the voters of the State of Texas on November 7, 2023.” Added Senator Bettencourt.
The final bill of the 18 billion dollars of property tax reduction, HJR 2, just passed the Senate 31-0.
“So, let the people vote on November 7, 2023!” Senator Bettencourt concluded.
See the chart below for the expected SB 2 savings for 5.72 Million Homeowners on their ISD tax bill:
| Average Homestead Relief | |||
|---|---|---|---|
| Average Homestead Tax bill $3,305 | Year 1 Relief | Year 2 Relief | % Savings |
| Regular Homeowner Savings | $1,266.30 | $1,312.31 | |
| 38.31% | 39.71% | 39.01% | |
| Over 65/Disabled Homeowner Savings | $1,436.66 | $1,482.67 | |
| 43.47% | 44.86% | 44.17% | |
| Average Homestead Relief | 41.59% | ||
| *Prepared by the Office of Senator Paul Bettencourt | |||
See chart below for the expected SB 2 savings for 5.72 Million Homeowners on their ISD tax bill:
| Average Homestead Relief | |||
|---|---|---|---|
| Senate Bill 2 Plan | Policy | Year 1 Relief | Year 2 Relief |
| 1 | GAA SCP Decrease ($0.0939 cut in 2024, $0.1098 cut in 2025) | $273.51 | $319.52 |
| 2 | MCR Reduction (10.7 cent cut in 2023-2024 school year, continuing) | $311.37 | $311.37 |
| 3 | +$60k HE | $681.42 | $681.42 |
| 4 | +$15k tax ceiling adjustment for May 2022 relief | $170.36 | $170.36 |
| Regular Homeowner Total (1+2+3) | $1,266.30 | $1,312.31 | |
| Over 65/Disabled Homeowner Total (1+2+3+4) | $1,436.66 | $1,482.67 | |
| Note 1: Calculations assume savings on a $331,000 homestead, and a total school district taxing rate of $1.1357 | |||
| *Prepared by the Office of Senator Paul Bettencourt | |||
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