Texas Bill to Slow Property Tax Increases Advances

"Texas homeowners could see their property tax grow at a slower rate and local governments would be forced to seek voter approval for higher tax rates under a bill the Senate approved Tuesday," reports Dagney Pruner.

The political support for the property tax reform, led by Texas State Senator Paul Bettencourt (R-Houston), argue that the state already has the fifth-highest property tax rate in the country. "Texas taxpayers know the truth, property taxes are rising too fast," Bettencourt is quoted in the article.

"Bettencourt's measure, Senate Bill 2 [pdf], seeks to reduce property taxes by changing the so-called rollback rate, the maximum amount a city can raise taxes without triggering a public vote, from 8 percent to 5 percent," explains Pruner.

According to Pruner, only one Republican in the Texas State Senate found reason to oppose Senate Bill 2: "Smaller communities without double-digit growth and with modest tax bases "wouldn't raise enough money for a new fire truck or to pave a mile of city street" with a 3 or 4 percent property tax increase, he said." The bill did find plenty of opposition among local elected officials. About 150 local officials showed up to a recent Senate Finance Committee hearing earlier this month. Among those officials, Dallas Mayor Mike Rawlings, who said the bill would cut $20 million worth of services from the city's budget—a figure that translates to 226 police officers.