Texas Senate Bill SJR 85

Texas 2025 - 89th Regular

• Filed: 4/14/25
• Out of Senate Committee: 4/22/25
• Voted on by Senate: 4/23/25
• Out of House Committee: 5/9/25
• Voted on by House: 5/20/25
• Sent toSOS: 5/22/25

Caption

Proposing a constitutional amendment authorizing the legislature to increase the amount of the exemption from ad valorem taxation by a school district of the market value of the residence homestead of a person who is elderly or disabled.

Summary

SJR 85 proposes a Texas constitutional amendment related to school property taxes on residence homesteads owned by elderly or disabled Texans. The resolution would authorize the Legislature to increase the additional school-district ad valorem tax exemption for a qualifying disabled person or a person age 65 or older from the current cap of $10,000 to as much as $60,000. It also preserves existing homestead protections and allows the Legislature to set eligibility conditions, including the possibility of basing the exemption on economic need. The measure is structured as a proposed constitutional amendment rather than a statutory change, so it would not itself change tax law immediately unless approved by voters. If adopted at the November 4, 2025 election, the amendment would take effect for the 2025 tax year, with a temporary provision expiring January 1, 2027. The bill also directs the Legislature to provide formulas to protect school districts from revenue losses associated with the expanded exemption, and it preserves the ability of districts to continue collecting taxes pledged to existing debt until that debt is paid off. The overall sentiment around the bill appears strongly favorable and noncontroversial. It passed the Senate unanimously and the House by a vote of 145-0, indicating broad bipartisan support for expanding property tax relief for seniors and disabled homeowners. The absence of recorded committee testimony in the provided materials also suggests there was little visible public opposition in the available record. The main policy issue is the size and fiscal effect of the proposed exemption increase. Supporters appear to favor greater property tax relief for elderly and disabled homeowners, while the bill’s text anticipates concerns about school district revenue by requiring state formulas to offset losses. Another point of potential contention is whether the Legislature should be allowed to condition the exemption on economic need and whether eligible taxpayers may receive both this additional exemption and other overlapping exemptions under state law.

Impact

If approved by voters, SJR 85 would amend Article VIII of the Texas Constitution to authorize the Legislature to expand the school property tax exemption for residence homesteads owned by elderly or disabled persons. It would affect school district ad valorem taxation, potentially reducing taxable property values for qualifying homeowners and requiring state-level formulas to offset some school district revenue losses. The amendment would also interact with existing homestead, disability, and age-based exemption provisions and could influence future implementing legislation defining eligibility and exemption amounts.

Sentiment

The bill’s sentiment is overwhelmingly positive based on the voting record. It passed both chambers with unanimous or near-unanimous support, suggesting broad agreement that additional property tax relief for elderly and disabled homeowners is desirable. No committee transcript opposition is available in the provided materials, and the bill advanced without recorded dissent in the final votes.

Contention

The principal areas of contention are fiscal and administrative rather than ideological. The proposed increase in the exemption could reduce school district revenue, so the bill requires the Legislature to provide hold-harmless formulas to protect districts. There is also some policy discretion left to future lawmakers on whether the exemption may be conditioned on economic need and how it interacts with other elderly or disability-related exemptions. These issues would likely matter most to school finance stakeholders, local governments, and taxpayers affected by overlapping exemptions.