Tim Hardin, president of Texans for Fiscal Responsibility, explains the impact that school bonds passed in 2022 will have on Texas residents’ property taxes. Renters are also impacted since rental property owners see home property tax appraisals increase over 20% in Harris County since 2021. Since they are not eligible for homestead exemptions, rental home property appraisals can increase over 10% in one year, thereby increasing taxes over 10%.
Key highlights from the discussion:
- “Every bond is going to raise your property taxes.” This will happen either with higher rates or more aggressive property appraisals.
- “Bonds will raise your taxes 100% guaranteed.” Texas bond proponents have spread misleading information that bonds coincide with lowering resident tax rates. Bonds are taxpayer-held debt by definition. Harris County property taxes have been increasing at the maximum 10% for homestead homes each year in Harris County and 20%+ for non-homestead homes. Total property taxes paid annually are increasing significantly regardless whether rates hold steady or increase.
- All 10 of Houston and Harris County bond proposals passed, totaling $1.7 billion. https://www.texastaxpayers.com/the-biggest-loser-in-the-wake-of-2022-midterms-in-texas-fiscal-sanity/
- “Three of our biggest cities are in the top debt per capita [in the United States] … Houston, San Antonio, and Dallas.“
- “Appraisals are out of control. This year has been a big moneygrab by local governments.” There is a loophole that allows Texas’ cities to stack any tax shortfall below voter-approved rates from the past three years onto this year’s rate. Voters may expect to see large tax increases in 2022. For example, Dallas had a 7% increase despite the threshold being 3%.
- “The answer is not to pass a bond but to be fiscally responsible. Do the same thing homeowners have to do, tighten the belt, and cut rates.”
- Abbott said in the recent debate that his goal is to eliminate school property taxes so that people can actually own their home.
- What can you do?
- Go to texastaxpayers.com and see the Fiscal Responsibility Index scoring legislators: https://index.texastaxpayers.com/legislative-sessions
- Show up to board meetings, city council open forums, and legislative sessions and demand property tax relief.
