LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION

May 4, 2025

TO:	Honorable Morgan Meyer, Chair, House Committee on Ways & Means
FROM:	Jerry McGinty, Director, Legislative Budget Board
IN RE:	HB5217 by Perez, Vincent (Relating to the provision of state aid to certain local governments disproportionately affected by the granting of ad valorem tax relief to disabled veterans and surviving spouses of certain armed services members.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would amend Local Government Code, Section 140.011 to include surviving spouses of members of the armed services killed or fatally injured in the line of duty in the calculation for lost property tax revenue, for which counties would be eligible to receive assistance payments. The bill replaces the phrase "disabled veteran" with "military exemption", and extends the application deadline for local governments from April 1 to May 1.

As funding for assistance payments is set by appropriation, the bill alone would not create a fiscal impact to the state. Because the bill changes the calculation of lost property tax revenue, there may be a different distribution of appropriated funds among local governments. However, the extent of redistribution cannot be determined in advance of submissions of applications for assistance payments.

Local Government Impact

The fiscal implications of the bill to units of local government cannot be determined at this time.

Source Agencies:

304 Comptroller of Public Accounts

LBB Staff:

JMc, KK, LCO, CSmi, NV