Bill > HB2894

This bill modifies the state's disabled veteran assistance payment program by expanding the definition of "local government" and adjusting the eligibility criteria for receiving state aid. Specifically, the bill removes previous geographic restrictions related to military installations and introduces a tiered system for calculating state aid based on lost ad valorem (property) tax revenue. Under the new provisions, local governments can qualify for assistance if they lose at least 2% of their general fund revenue due to disabled veteran tax relief, with different thresholds for municipalities adjacent to military installations and counties with specific population characteristics. The changes aim to ensure a more equitable distribution of the financial burden caused by tax relief for disabled veterans across different local governments. The bill will take effect on September 1, 2025, and will apply to fiscal years beginning with the 2025 tax year, allowing local governments to apply for disabled veteran assistance payments under the new, more flexible guidelines.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB2894