Senate Votes to Protect Taxpayers; House Members Encouraged to Take Action

Peggy Venable director of Americans for Prosperity-Texas made the following statement:

Last week the Texas Senate voted to protect the property tax savings by allowing residents of cities and counties to approve a one-quarter cent sales tax and apply that revenue to lowering property taxes.

Those communities can protect their property tax savings by changing the rollback rate to the 1982 rate of 5 percent.  The rollback rate currently at 8 percent is the rate the rate local governments can increase property taxes without taxpayer approval. 

It is appropriate that it be lowered.  Inflation is low and the rollback rate was increased during the 1980’s when inflation was high. 

Taxpayers should be able to determine the amount of government they want and are willing to pay for.  We are challenging the House to pass strong taxpayer protections. 

We support lowering the rollback rate for all local taxing entities even those not taking the additional sales tax swap.  We also support eliminating the petition-gathering process a cumbersome measure which requires approximately 10 percent of the registered voters to sign petitions to put a rollback election on the ballot. 

Texans deserve a break…a property tax break.  And without taxpayer protections we have concern that local governments will simply consume the one-third school property tax savings provided by the legislature either by property appraisal creep or by rate increases. 

Senate Bill 407 by Sen. Kevin Eltife (R-Tyler) is one of the measures recommended by the Governor’s Appraisal Reform Task Force headed by Tom Pauken. 

This is one of the taxpayer protections opposed by the Texas Association of Counties and the Texas Municipal League.  We hope legislators will act in the taxpayers’ interest and allow taxpayers a vote before government digs deeper into taxpayers’ pockets.