HB 222 uses surplus state revenue to reduce property tax rates for Texas school districts. It directs 90% of excess general revenue (over 104% of the previous biennium) into a property tax relief fund, which the state comptroller must allocate to lower the "state compression percentage" in school funding formulas. If this percentage reaches zero, school districts cannot impose tier one maintenance and operations property taxes and receive full state funding as if they had the maximum allowable tax rate. The bill directly affects all Texas public school districts and takes effect for the 2025-2027 fiscal biennium.
HB 79 reduces school district property taxes by using surplus state revenue to lower the "state compression percentage" that affects local tax rates. It creates a fund from excess state revenue (90% of general revenue over budget growth limits) to decrease this percentage, potentially eliminating a school district's ability to levy tier one maintenance and operations taxes. When the compression percentage reaches zero, districts cannot impose these taxes and automatically receive full state funding as if they had the maximum allowable tax rate. The bill directly affects all Texas public school districts by altering how state funding offsets local property tax burdens.
HB 116 repeals Texas' Moving Image Incentive Program, which previously provided financial incentives to film and television productions. The bill directs the comptroller to transfer any remaining program funds to the Texas Education Agency to reduce the state's compression percentage for school funding. This change directly affects the film and entertainment industry, which no longer receives these state incentives. The policy shift redirects resources toward public education funding without altering existing school finance formulas.
HB 166 would prohibit Texas school districts from imposing maintenance and operations property taxes starting January 1, 2028, directly affecting all school districts and property owners in those districts. It allows districts to instead levy a new "enrichment tax" of up to $0.17 per $100 in property value, separate from state funding. The bill also creates a joint legislative committee to study alternative revenue sources, such as expanding state consumption taxes, to fulfill Texas's constitutional duty to fund public schools. This bill focuses on restructuring school funding mechanisms rather than changing existing tax rates.
HB 133 repeals the Texas Quantum Initiative by removing Subchapter HH from the Government Code, effective September 1, 2025. It redirects all funds previously allocated to this initiative to the Texas Education Agency for the 2025-2027 state fiscal biennium. The redirected funds will be used to reduce the state's compression percentage under Education Code Section 48.255, lowering the state's share of education funding costs. This bill directly affects the Texas Quantum Initiative program and Texas public school funding mechanisms, with no new program creation or policy changes beyond the fund reallocation. The bill takes effect 91 days after the legislative session concludes.
HB 39 amends Texas law to adjust how school districts calculate property values for state funding. It directs that taxable value for school finance purposes must exclude certain homestead exemptions, including those under Tax Code Sections 11.13(b), (c), and (n), as well as captured appraised value in designated reinvestment zones. This change directly affects Texas public school districts by altering the property value base used to determine state funding allocations. The bill modifies Education Code Section 7.062(c) and Government Code Section 403.302(d) to implement this adjustment in funding calculations.
HB 142 reduces the maximum tax rate school districts can levy for the 2026-2027 school year by directing $200 million in federal border security funds to the Texas Education Agency. It requires the commissioner to calculate each district's current maximum tax rate and reduce it equally using these funds, while ensuring no district's rate falls below 90% of another district's rate. This change directly affects all Texas public school districts by lowering their allowable tax rates for that school year. The bill updates how school funding formulas reference these tax rates, ensuring the reduction is reflected in calculations for state funding. The appropriation expires September 1, 2028.
HB 87 prohibits Texas school districts from authorizing new bonds if their existing debt payments (principal and interest) plus the proposed bond would exceed 18% of the district's annual budget. It specifically blocks elections for new bonds when either current debt payments alone surpass 18% of the budget or the combined total of existing and proposed debt would exceed that threshold. The bill applies only to bond elections ordered on or after its effective date (91 days after the legislative session ends), leaving pre-existing election plans governed by current law. This directly affects school districts seeking to issue new bonds for projects like facility construction or improvements.
HB 180 temporarily reduces the maximum tax rate school districts can set for the 2026-2027 school year by using federal border security funds appropriated to the Texas Education Agency. It directly affects all Texas public school districts by lowering their calculated tax rate, ensuring no district's rate falls below 90% of another district's rate under the new calculation. The bill modifies several education code provisions to reflect this reduced rate for funding purposes and expires September 1, 2028. This is a concrete policy change using specific federal funds to lower school district tax burdens for one school year.
HB 132 repeals the Texas Advanced Nuclear Energy Office, established by HB 14 in the 2025 legislative session. It directs the comptroller to transfer all funds previously allocated to this office to the Texas Education Agency. The funds will be used to reduce the state's compression percentage under the education funding formula, which lowers the amount the state must contribute to public school budgets. This change directly affects state budget allocations for public education by redirecting previously designated funds. The bill does not create new policy but modifies existing financial mechanisms.
