A JOINT RESOLUTION
1-1 proposing a constitutional amendment increasing the amount of the
1-2 school property tax residence homestead exemption and providing for
1-3 the continuation and reduction of the school tax limitation on the
1-4 homesteads of certain persons.
1-5 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Sections 1-b(c) and (d), Article VIII, Texas
1-7 Constitution, are amended to read as follows:
1-8 (c) Fifteen Thousand Dollars ($15,000) [Five Thousand
1-9 Dollars ($5,000)] of the market value of the residence homestead of
1-10 a married or unmarried adult, including one living alone, is exempt
1-11 from ad valorem taxation for general elementary and secondary
1-12 public school purposes. The legislature by general law may provide
1-13 that all or part of the exemption does not apply to a district or
1-14 political subdivision that imposes ad valorem taxes for public
1-15 education purposes but is not the principal school district
1-16 providing general elementary and secondary public education
1-17 throughout its territory. In addition to this exemption, the
1-18 legislature by general law may exempt an amount not to exceed Ten
1-19 Thousand Dollars ($10,000) of the market value of the residence
1-20 homestead of a person who is disabled as defined in Subsection (b)
1-21 of this section and of a person sixty-five (65) years of age or
1-22 older from ad valorem taxation for general elementary and secondary
1-23 public school purposes. The legislature by general law may base
1-24 the amount of and condition eligibility for the additional
2-1 exemption authorized by this subsection for disabled persons and
2-2 for persons sixty-five (65) years of age or older on economic need.
2-3 An eligible disabled person who is sixty-five (65) years of age or
2-4 older may not receive both exemptions from a school district but
2-5 may choose either. An eligible person is entitled to receive both
2-6 the exemption required by this subsection for all residence
2-7 homesteads and any exemption adopted pursuant to Subsection (b) of
2-8 this section, but the legislature shall provide by general law
2-9 whether an eligible disabled or elderly person may receive both the
2-10 additional exemption for the elderly and disabled authorized by
2-11 this subsection and any exemption for the elderly or disabled
2-12 adopted pursuant to Subsection (b) of this section. Where ad
2-13 valorem tax has previously been pledged for the payment of debt,
2-14 the taxing officers of a school district may continue to levy and
2-15 collect the tax against the value of homesteads exempted under this
2-16 subsection until the debt is discharged if the cessation of the
2-17 levy would impair the obligation of the contract by which the debt
2-18 was created. The legislature shall provide for formulas to protect
2-19 school districts against all or part of the revenue loss incurred
2-20 by the implementation of Article VIII, Sections 1-b(c), 1-b(d), and
2-21 1-d-1, of this constitution. The legislature by general law may
2-22 define residence homestead for purposes of this section.
2-23 (d) Except as otherwise provided by this subsection, if a
2-24 person receives the residence homestead exemption prescribed by
2-25 Subsection (c) of this section for homesteads of persons sixty-five
2-26 (65) years of age or older, the total amount of ad valorem taxes
2-27 imposed on that homestead for general elementary and secondary
3-1 public school purposes may not be increased while it remains the
3-2 residence homestead of that person or that person's spouse who
3-3 receives the exemption. If a person sixty-five (65) years of age
3-4 or older dies in a year in which the person received the exemption,
3-5 the total amount of ad valorem taxes imposed on the homestead for
3-6 general elementary and secondary public school purposes may not be
3-7 increased while it remains the residence homestead of that person's
3-8 surviving spouse if the spouse is fifty-five (55) years of age or
3-9 older at the time of the person's death, subject to any exceptions
3-10 provided by general law. The legislature, by general law, may
3-11 provide for the transfer of all or a proportionate amount of a
3-12 limitation provided by this subsection for a person who qualifies
3-13 for the limitation and establishes a different residence homestead.
3-14 However, taxes otherwise limited by this subsection may be
3-15 increased to the extent the value of the homestead is increased by
3-16 improvements other than repairs or improvements made to comply with
3-17 governmental requirements and except as may be consistent with the
3-18 transfer of a limitation under this subsection. For a residence
3-19 homestead subject to the limitation provided by this subsection in
3-20 the 1996 tax year or an earlier tax year, the legislature shall
3-21 provide for a reduction in the amount of the limitation for the
3-22 1997 tax year and subsequent tax years in an amount equal to
3-23 $10,000 multiplied by the 1997 tax rate for general elementary and
3-24 secondary public school purposes applicable to the residence
3-25 homestead.
3-26 SECTION 2. The following temporary provision is added to the
3-27 Texas Constitution:
4-1 TEMPORARY PROVISION. (a) This temporary provision applies
4-2 to the constitutional amendment proposed by H.J.R. No. 4, 75th
4-3 Legislature, Regular Session, 1997, and expires January 2, 1998.
4-4 (b) The amendment to Section 1-b(c), Article VIII, of this
4-5 constitution takes effect for the tax year beginning January 1,
4-6 1997.
4-7 SECTION 3. This proposed constitutional amendment shall be
4-8 submitted to the voters at an election to be held August 9, 1997.
4-9 The ballot shall be printed to permit voting for or against the
4-10 proposition: "The constitutional amendment providing school
4-11 property tax relief by increasing the residence homestead exemption
4-12 by $10,000 and providing for the transfer of the tax limitation to
4-13 another qualified homestead for persons over 65 and a reduction in
4-14 taxes on homesteads subject to the limitation."
_______________________________ _______________________________
President of the Senate Speaker of the House
I certify that H.J.R. No. 4 was passed by the House on April
23, 1997, by the following vote: Yeas 114, Nays 35, 0 present, not
voting; that the House refused to concur in Senate amendments to
H.J.R. No. 4 on May 12, 1997, by a non-record vote and requested
the appointment of a conference committee to consider the
differences between the two houses; and that the House adopted the
conference committee report on H.J.R. No. 4 on May 31, 1997, by the
following vote: Yeas 126, Nays 18, 2 present, not voting.
_______________________________
Chief Clerk of the House
I certify that H.J.R. No. 4 was passed by the Senate, with
amendments, on May 10, 1997, by the following vote: Yeas 23, Nays
7; at the request of the House, the Senate appointed a conference
committee to consider the differences between the two houses; and
that the Senate adopted the conference committee report on H.J.R.
No. 4 on May 31, 1997, by the following vote: Yeas 27, Nays 3.
_______________________________
Secretary of the Senate
RECEIVED:
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Date
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Secretary of State