Bill > SB899

This bill expands an existing state aid program for local governments that experience significant tax revenue losses due to property tax exemptions for disabled veterans to now include surviving spouses of armed services members killed or fatally injured in the line of duty. The bill modifies several provisions of the Local Government Code, changing terminology from "disabled veteran" to "military exemption" and broadening the scope of eligible tax exemptions to include Section 11.133 of the Tax Code in addition to Section 11.131. Under the program, a local government can receive state assistance if its lost tax revenue from these exemptions is at least 2% of its general fund revenue. To qualify, local governments must submit an application to the state comptroller by May 1st following the fiscal year in which the revenue loss occurred, with the payment calculated by subtracting 1% of the general fund revenue from the total lost tax revenue. The changes will apply to fiscal years ending in the 2025 tax year, and the bill will take effect on September 1, 2025, providing additional financial support to local governments affected by these important veteran and military family tax relief measures.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB899