Texas Senate Bill SJR 74

Texas 2025 - 89th Regular

• Filed: 3/13/25

Caption

Proposing a constitutional amendment to authorize the legislature to provide for a credit against the ad valorem taxes imposed on real property used for a grocery store or healthy corner store located in a food desert.

Summary

SJR 74 proposes a constitutional amendment that would let the Texas Legislature authorize a property tax credit for real property used as a grocery store or healthy corner store in a food desert. The resolution does not itself create the credit; instead, it would add a new section to Article VIII of the Texas Constitution giving the Legislature permission to enact a general law establishing the program. If approved by voters, the Legislature could define key terms such as “food desert,” “grocery store,” and “healthy corner store,” set eligibility rules, and determine how the credit would be calculated. The proposed amendment would be submitted to the voters at the November 4, 2025 election, with the ballot language asking whether the Constitution should be amended to authorize this tax credit for qualifying properties.

Impact

The measure would affect Texas constitutional and property tax law by creating express constitutional authority for a local ad valorem tax credit on qualifying grocery and healthy corner store properties in food deserts. It would not directly change tax liability on its own, but it would open the door for future legislation allowing political subdivisions to reduce property taxes on eligible stores, potentially encouraging food retail investment in underserved areas and affecting local tax bases.

Sentiment

Based on the bill text and available procedural history, the measure appears to be framed as a policy response to food access and economic development concerns, with no recorded committee debate or votes in the provided materials. The referral to the Local Government committee suggests it was treated as a local tax and land-use issue rather than a controversial partisan measure in the available record.

Contention

The main points of contention are likely to center on whether a property tax credit is an effective way to address food deserts, how broadly or narrowly the Legislature should define eligible stores and locations, and the potential revenue impact on local governments. Another likely issue is whether the amendment should favor grocery stores and “healthy corner stores” specifically, since those terms would need to be defined later by statute and could affect who qualifies for the benefit.