81R4107 SMH-D

By: Bolton H.J.R. No. 50

A JOINT RESOLUTION

proposing a constitutional amendment increasing the amounts of certain residence homestead exemptions from ad valorem taxation and providing for the adjustment of the amounts of those exemptions applicable to a homestead based on changes in the appraised value of the homestead.

BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 1-a, Article VIII, Texas Constitution, is amended to read as follows:

Sec. 1-a. The several counties of the State are authorized to levy ad valorem taxes upon all property within their respective boundaries for county purposes, except for a portion of the [first Three Thousand Dollars ($3,000)] value of residential homesteads of married or unmarried adults, including those living alone, not to exceed thirty cents (30˘) on each One Hundred Dollars ($100) valuation, in addition to all other ad valorem taxes authorized by the Constitution of this State, provided the revenue derived therefrom shall be used for construction and maintenance of Farm to Market Roads or for Flood Control, except as herein otherwise provided. For the later of the 2010 tax year or the first tax year an adult receives the exemption for a residential homestead, the amount of the exemption is Six Thousand Dollars ($6,000). For each subsequent tax year, the amount of the exemption shall be calculated by the appraisal entity by multiplying the amount of the exemption for the preceding tax year by the percentage change in the appraised value of the residential homestead from the preceding tax year and adding that amount to the amount of the exemption for the preceding tax year.

SECTION 2. Section 1-b(c), Article VIII, Texas Constitution, is amended to read as follows:

(c) A portion [Fifteen Thousand Dollars ($15,000)] of the market value of the residence homestead of a married or unmarried adult, including one living alone, is exempt from ad valorem taxation for general elementary and secondary public school purposes. For the later of the 2010 tax year or the first tax year an adult receives the exemption for a residence homestead, the amount of the exemption is Thirty Thousand Dollars ($30,000). For each subsequent tax year, the amount of the exemption shall be calculated by the appraisal entity by multiplying the amount of the exemption for the preceding tax year by the percentage change in the appraised value of the residence homestead from the preceding tax year and adding that amount to the amount of the exemption for the preceding tax year. The legislature by general law may provide that all or part of the exemption does not apply to a district or political subdivision that imposes ad valorem taxes for public education purposes but is not the principal school district providing general elementary and secondary public education throughout its territory. In addition to this exemption, the legislature by general law may exempt an amount not to exceed Ten Thousand Dollars ($10,000) of the market value of the residence homestead of a person who is disabled as defined in Subsection (b) of this section and of a person sixty-five (65) years of age or older from ad valorem taxation for general elementary and secondary public school purposes. The legislature by general law may base the amount of and condition eligibility for the additional exemption authorized by this subsection for disabled persons and for persons sixty-five (65) years of age or older on economic need. An eligible disabled person who is sixty-five (65) years of age or older may not receive both exemptions from a school district but may choose either. An eligible person is entitled to receive both the exemption required by this subsection for all residence homesteads and any exemption adopted pursuant to Subsection (b) of this section, but the legislature shall provide by general law whether an eligible disabled or elderly person may receive both the additional exemption for the elderly and disabled authorized by this subsection and any exemption for the elderly or disabled adopted pursuant to Subsection (b) of this section. Where ad valorem tax has previously been pledged for the payment of debt, the taxing officers of a school district may continue to levy and collect the tax against the value of homesteads exempted under this subsection until the debt is discharged if the cessation of the levy would impair the obligation of the contract by which the debt was created. The legislature shall provide for formulas to protect school districts against all or part of the revenue loss incurred by the implementation of Article VIII, Sections 1-b(c), 1-b(d), and 1-d-1, of this constitution. The legislature by general law may define residence homestead for purposes of this section.

SECTION 3. The following temporary provision is added to the Texas Constitution:

TEMPORARY PROVISION. (a) This temporary provision applies to the constitutional amendment proposed by the 81st Legislature, Regular Session, 2009, increasing the amounts of certain residence homestead exemptions from ad valorem taxation and providing for the adjustment of the amounts of those exemptions applicable to a homestead based on changes in the appraised value of the homestead.

(b) The amendment to Sections 1-a and 1-b(c), Article VIII, of this constitution takes effect January 1, 2010, and applies only to a tax year beginning on or after that date.

(c) This temporary provision expires January 1, 2011.

SECTION 4. This proposed constitutional amendment shall be submitted to the voters at an election to be held November 3, 2009. The ballot shall be printed to permit voting for or against the proposition: "The constitutional amendment increasing the amounts of certain residence homestead exemptions from ad valorem taxation and providing for the adjustment of the amounts of those exemptions applicable to a homestead based on changes in the appraised value of the homestead."