Good morning, 

Texans deserve a property tax cut, now.

Everyone is tired of politicians’ vague promises about ill-defined property tax “reform.” We’re not impressed by them bragging about slowing the growth of the burden in the future. It’s past time for something real and tangible.

That’s the subject of today’s Texas Minute.

– Michael Quinn Sullivan 

Monday, August 16, 2021
Modify your email preferences.

But First…
SCOTX Keeps Ban on Local Mask Mandates

• After a number of school districts, cities, and counties began issuing their own local mask mandates, in defiance of an executive order from Gov. Greg Abbott expressly prohibiting the action, the Texas Supreme Court is temporarily upholding Abbott’s prohibition. Brandon Waltens has the initial report.
         

• But some local governments – like the Dallas Independent School District, where classes are getting started – are saying they aren’t bound by Abbott’s order or the Supreme Court ruling. Visit the Texas Scorecard website throughout the day as the situation develops.

Texas’ Property Tax System Means You Never Actually Own Your Own Home, Farm, Or Ranch

• While both the regular session and first special session of the Texas Legislature ended without even a hint of property tax relief, this latest special session offers taxpayers the best chance for something real in twenty years. And, perhaps, could set the tone for eliminating property taxes in Texas.
       

• Texas has the 6th highest property tax burden in the nation. Of the nine states without an income tax, Texas still has the second-highest property tax burden (following only New Hampshire).
   

• In a recent poll, 76 percent of registered voters agree property taxes are “a major burden for them and their family,” and an overwhelming 82 percent believe property taxes in Texas are a “serious issue.” Most troubling for incumbents? Of those polled, 71 percent would be upset “if the current legislative session ended with nothing done to address property taxes.”      

🚨 Bad News Alert 🚨

• The regular legislative session ended this spring with lawmakers doing nothing to substantively reduce property taxes or move to eliminate the burden.
     

• The first special legislative session called by Gov. Greg Abbott ended with lawmakers doing nothing to substantively reduce property taxes or move to eliminate the burden.
     

• So far in the second special legislative session… well, you can guess.

A 10% Tax Cut Today?

• With his own 2022 primary election heating up, both of Gov. Greg Abbott’s special session agendas have included “property tax relief” from the “available general revenue.”
         

• How much “general revenue” is available, and how much will lawmakers devote? That second question depends on you; we will hit on it momentarily.
      

• As for the first… According to the Office of the Texas Comptroller, approximately $7.85 billion in general state revenues was not expended by lawmakers.
   

• That is a big pile of money over-collected from your pocket. Legislators should give it back.
      

• For comparison, local governments in 2020 collected approximately $70 billion in property taxes. Of that, approximately $55 billion was collected by school districts.
      

• This means – theoretically – if lawmakers are so inclined, the available $7.85 billion in surplus “GR” dollars could be used to reduce your property tax burden by 10 percent. 
        

• …If lawmakers are so inclined... It is up to the taxpayers and voters to “incline” the politicians.

And Then… Keep On Cutting

• Given the stronger spending limit adopted by the legislature earlier this year that will impact future state budgets, surplus revenues will become an enduring feature of the Texas budget.
        

• So, yes, that big pile of money could be getting bigger and bigger. Your challenge, and the challenge for your fellow taxpayers, is to demand that legislators today develop a mechanism so future surpluses fund relief and property tax elimination.
      

• Lawmakers could dedicate those surpluses to continuing to cut property tax burdens in future years – eventually eliminating school property taxes altogether. And if legislators chose to cut spending… well, those property tax reductions could happen even faster.
     

• State Rep. Tom Oliverson (R–Cypress) has filed legislation that would do this. 
     

• Unless lawmakers act now, under pressure from citizens, that big pile of money will be spent growing government rather than setting a foundation for real property tax relief and elimination.

• The way the budget process “works” today, state government spending grows because lawmakers merely have to ask if the state treasury has the cash. Because of that big pile of money, the answer is always “YE$.”
      

• By dedicating budget surpluses to property tax elimination, future state spending will be weighed against giving families ongoing relief.

Citizens Must Speak Out Now

• Your legislators must be hearing from their constituents. Find the contact information for members of Texas House and Senate in our Directory of Elected Officials. (Don’t let anyone use “my legislator is a Democrat” as an excuse not to call and write; the legislators don’t pay attention to party labels when spending your money.)
         

• Texas taxpayers deserve to see action now. A report from the Texas Public Policy Foundation shows property taxes have skyrocketed by 181 percent in the last 20 years. (A period, coincidentally, in which the Texas GOP held every statewide office and commanding majorities in both legislative chambers.)
      

• It is time for 20 years of (misplaced?) trust to be rewarded with an actual reduction in property tax burdens. It’s time for Republicans to deliver on their party’s platform to “abolish” property taxes.
        

• So, you want to eliminate property taxes? You want real relief? There has never been a better time than now. Your legislators just need to be hearing from you.

Quotes

Your State Lawmakers

Click the office to find more contact information.