| Vote Recommendation | Economic Freedom | Property Rights | Personal Responsibility | Limited Government | Individual Liberty |
|---|---|---|---|---|---|
| Vote Yes; Amend | Neutral | Positive | Neutral | Positive | Positive |
Relating to the authority of a taxing unit other than a school district to establish a limitation on the amount of ad valorem taxes that the taxing unit may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
No fiscal implication to the State is anticipated.
HB 3437 would prevent a taxing unit other than a school district from increasing the ad valorem tax rate on the residence homestead of an individual 65 years of age or older or on the residence homestead of an individual who is disabled.
If the homeowner sells the home and buys a new one after the age of 65, the new home would be appraised at the new ad valorem tax rate at the time the new home was purchased.
If the homeowner were to pass away, the spouse would be eligible for the limitation if they are 55 years or older or disabled when the homeowner passes away.
Texas Action supports HB 3437 because it would promote limited government and the individual freedom and property rights of those aged 65 or older or disabled. However, we would recommend that the bill be expanded to include everyone. Rising property taxes do not only affect the elderly and disabled and in many cases are a contributing factor for why people have to move. Lower property taxes would ensure greater property rights for everyone and would enable many people to continue living in a home. No one should be forced out of their home due to rising taxes.