Overview
- Gov. Greg Abbott unveiled a multi-part property-tax package that seeks a constitutional amendment to abolish school district property taxes for homeowners and to tighten limits on local taxing authority.
- He proposes requiring two-thirds voter approval for local tax increases, capping local spending growth at 3.5% or the inflation rate (whichever is lower), and enabling citizen-driven tax rollbacks.
- The plan would cut the appraisal cap on taxable value growth from 10% to 3% across all properties and shift appraisals from annual reviews to a five-year cycle, with special districts in scope.
- The state comptroller previously estimated replacing $81 billion in property taxes would take a roughly 22% sales tax, raising concerns about heavier reliance on a volatile and regressive revenue source.
- Education advocates warn the state would need at least $35 billion annually to backfill school maintenance and operations, noting recent surpluses were labeled a historical anomaly as Abbott promotes the plan on the road, including a stop in Temple.