Bill > HJR183

This joint resolution proposes a constitutional amendment to establish a property tax reduction fund aimed at lowering school district maintenance and operations ad valorem taxes (property taxes). The resolution would modify the Texas Constitution to create a new fund in the state treasury, which would receive transfers from unencumbered general revenue and a portion of funds that would otherwise go to the economic stabilization fund (also known as the "rainy day fund"). Specifically, the comptroller would be required to transfer one-quarter of certain general revenue to the new property tax reduction fund, with another quarter going to the economic stabilization fund and the remainder to the state highway fund. The fund can only be used to reduce school district property taxes, and when the balance of general revenue increases due to reduced transfers, an equivalent amount would be transferred to this new fund. The amendment is set to take effect on September 1, 2027, and will be submitted to voters for approval in a November 4, 2025 election. The goal is to provide a dedicated mechanism for property tax relief by creating a new funding stream specifically targeted at reducing school district maintenance and operations taxes.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HJR183