Texas Senate Bill SJR 2

Texas 2025 - 89th Regular

• Filed: 2/6/25
• Out of Senate Committee: 2/11/25
• Voted on by Senate: 2/13/25
• Out of House Committee: 5/9/25
• Voted on by House: 5/20/25
• Sent toSOS: 5/22/25

Caption

Proposing a constitutional amendment to increase the amount of the exemption of residence homesteads from ad valorem taxation by a school district.

Summary

SJR 2 proposes a constitutional amendment to raise the school district residence homestead property tax exemption for a married or unmarried adult, including one living alone, from $100,000 to $140,000 of market value. The measure applies to ad valorem taxes for general elementary and secondary public school purposes and keeps in place the existing framework that allows additional exemptions for disabled persons and persons age 65 or older, subject to existing constitutional and statutory rules. The resolution also includes a temporary provision making the change effective for the 2025 tax year, beginning January 1, 2025, and expiring January 1, 2027. Because it is a constitutional amendment, it does not change tax law by itself unless approved by voters at the November 4, 2025 election. If adopted, it would reduce the taxable value of qualifying homesteads for school tax purposes and require the Legislature to continue using formulas to help school districts offset revenue losses from the exemption. The overall sentiment around the bill appears strongly supportive and noncontroversial. It passed the Senate unanimously and the House overwhelmingly, with 143 yeas and no nays, indicating broad bipartisan agreement on increasing homestead tax relief for homeowners. The bill’s ballot language frames it as a straightforward increase in the school property tax exemption. The main policy issue underlying the measure is the tradeoff between homeowner tax relief and school district revenue. Supporters are likely focused on reducing property tax burdens, especially for owner-occupied homes, while the constitutional text preserves protections for districts with pledged debt and requires the Legislature to provide revenue-loss formulas. No recorded committee debate or organized opposition is included in the available materials, so there is no specific contention reflected in the record beyond the general fiscal impact on school finance.

Impact

If approved by voters, the amendment would change Article VIII, Section 1-b(c) of the Texas Constitution to increase the mandatory school district homestead exemption from $100,000 to $140,000, lowering the taxable value of qualifying residence homesteads for public school ad valorem taxes. It would affect homeowners, school districts, and the state’s school finance system, while preserving existing provisions for additional exemptions for elderly and disabled taxpayers and requiring revenue-loss protection formulas for districts.

Sentiment

The bill received overwhelmingly favorable treatment in both chambers, passing the Senate 30-0 and the House 143-0 with one member present not voting. The vote totals suggest broad bipartisan support and little visible resistance to the proposed tax relief for homeowners. No committee transcript is available, but the legislative history indicates the measure was treated as a consensus property tax reduction proposal.

Contention

The principal policy tension is fiscal: increasing the homestead exemption reduces school district property tax collections, which can affect school funding and local budgets. The constitutional text addresses this by preserving debt-service levy authority where needed and directing the Legislature to provide formulas to offset revenue losses. No specific ideological or procedural opposition appears in the available record, and the unanimous/near-unanimous votes suggest that any disagreement was limited or absent in the formal legislative process.