State Propositions 2, 3 and 5 Protect Texas Homeowners Against Property Tax Appraisal Abuse

AUSTIN – Americans for Prosperity is encouraging Texas voters to support State Constitution Amendment Propositions 2, 3 and 5 on Election Day, Nov. 3.

“Texas taxpayers need protection against property tax appraisal abuses,” said AFP State Director Peggy Venable. “The property tax appraisal process is confusing. Anyone who protested the value of their home knows the deck is stacked against the property taxpayer.”

AFP pushed for State Propositions 2, 3 and 5 during the 81st Texas Legislature. These three reforms resulted from legislative interim studies of property tax appraisal reform.

“We participated in hearings held across the state and, along with residential and business property owners alike, asked for these needed reforms,” Venable said. “Propositions 2, 3 and 5 will benefit property taxpayers. These three propositions will protect against runaway residential appraisals, ensure appraisal equity statewide, and streamline appraisal district appeal operations.”

AFP recently uncovered an e-mail chain letter spreading misinformation about what these amendments will actually do. The e-mail claims that the propositions will create a state property tax. But the Texas Constitution states in Article 8, Section 1-e that “no State ad valorem taxes shall be levied upon any property within this State.”

Facts about the proposed Constitutional amendments:

Proposition 2 requires the property tax of a residence homestead be solely based on the property's value as a residence homestead ‐ regardless of what it might be worth if purchased for a different use, such as an office or business. This proposal is a response to residence homesteads being appraised based on what a person’s homestead would be worth if it were converted to commercial property. It applies only to residential homesteads and not to second homes or investment properties.

Proposition 3 provides for uniform property tax appraisal standards and procedures to be used by County Appraisal Districts. Currently, property tax appraisal practices and procedures vary widely across the state. This proposition will provide for the equitable treatment of all property owners by ensuring that taxable property is appraised in the same manner no matter where it is located in the state.

Proposition 5 makes it easier to form appraisal review boards for protest hearings. This proposition will allow two or more adjoining county property tax appraisal districts, if they so choose, to consolidate appraisal review board functions. The voluntary ability to consolidate smaller county appraisal review boards will help resolve property tax appraisal protests more quickly and make protesting appraisals more convenient for property owners, especially in lesser-populated areas of Texas.

“As taxpayer advocate for 15 years, I believe these are the most significant reforms for property taxpayers in 30 years. Texans need these new protections against property tax appraisal abuse,” Venable said. “we want taxpayers to know the facts, and we support Propositions 2, 3 and 5.”

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Americans for Prosperity (AFP) is a nationwide organization of citizen leaders committed to advancing every individual’s right to economic freedom and opportunity. AFP believes reducing the size and scope of government is the best safeguard to ensuring individual productivity and prosperity for all Americans. AFP educates and engages citizens in support of restraining state and federal government growth, and returning government to its constitutional limits. For more information, visit www.americansforprosperity.org