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.

SB 488 amends Texas Tax Code Section 11.261 to allow non-school taxing units (like counties, cities, or junior college districts) to establish limits on property taxes for disabled or elderly homeowners. It directly affects qualifying homeowners (disabled individuals or those 65+ and their surviving spouses) by capping annual tax increases on their primary residences. The key provision prevents taxing units from raising taxes above the amount imposed in the first year the homeowner qualified for the exemption, unless the homeowner qualified later and taxes were lower in the following year. This bill clarifies and standardizes existing tax relief mechanisms for vulnerable homeowners across Texas jurisdictions.