House Bill No. by Representative Newell proposes a constitutional amendment to allow parish governing authorities in Louisiana to increase the homestead exemption amount by up to an additional $5,000 of the assessed value of a bona fide homestead. Currently, the homestead exemption exempts the first $7,500 of assessed value from property taxes. The proposed amendment would enable parishes to implement this increase, contingent upon approval from the respective parish governing authority. The bill also outlines that the amendment will be submitted to voters during the statewide election on November 3, 2026, and, if approved, will take effect on January 1, 2027, applying to property taxes for the tax year 2027.

In addition to the changes regarding the homestead exemption, the bill amends provisions related to ad valorem tax exemptions for veterans and first responders. It clarifies that ad valorem property taxes will only apply to the assessed value exceeding the homestead exemption and any additional exemptions provided for veterans with service-connected disabilities. The proposed changes aim to enhance tax relief for homeowners, particularly veterans and first responders, while ensuring that local governing authorities have the flexibility to adjust the homestead exemption based on community needs.