88R18893 CJC/TJB/KJE-F
	By: Meyer, Bonnen, Burrows, Thierry, Raymond,	H.B. No. 2
	et al.

	A BILL TO BE ENTITLED
	AN ACT
	relating to providing property tax relief through the public school
	finance system and property tax appraisal and administration.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	ARTICLE 1. SHORT TITLE
	SECTION 1.01.  This Act may be cited as the Property Tax
	Relief Act.
	ARTICLE 2. SCHOOL DISTRICT TAX RATE COMPRESSION
	SECTION 2.01.  Subchapter F, Chapter 48, Education Code, is
	amended by adding Section 48.2555 to read as follows:
	Sec. 48.2555.  MAXIMUM COMPRESSED TAX RATE FOR 2023-2024
	SCHOOL YEAR.  (a)  Notwithstanding any other provision of this title
	or Chapter 26, Tax Code, for the 2023-2024 school year, the
	commissioner shall calculate the value of a school district's
	maximum compressed tax rate by determining the district's maximum
	compressed rate under Section 48.2551 or 48.2552(b), if applicable,
	and reducing the tax rate determined under the applicable section
	by $0.15.
	(b)  If a school district's maximum compressed tax rate as
	calculated under Subsection (a) would be less than 90 percent of
	another school district's maximum compressed tax rate under
	Subsection (a), the district's maximum compressed tax rate is the
	value at which the district's maximum compressed tax rate would be
	equal to 90 percent of the other district's maximum compressed tax
	rate.
	(c)  Notwithstanding any other provision of this title or
	Chapter 26, Tax Code, for purposes of determining funding for
	school districts for the 2023-2024 school year, a reference in any
	of the following provisions of law to a school district's maximum
	compressed tax rate or maximum compressed rate as determined under
	Section 48.2551 means the maximum compressed tax rate determined
	for the district under this section:
	(1)  Section 13.054(f);
	(2)  Section 45.003(d);
	(3)  Section 45.0032(a);
	(4)  Section 48.051(a);
	(5)  Sections 48.2553(a) and (e); and
	(6)  Section 26.08(n), Tax Code.
	(d)  For purposes of Section 30.003(f-1), a reference in that
	section to Section 48.2551 includes this section.
	(e)  Notwithstanding any other provision of this title, for
	purposes of determining a school district's maximum compressed tax
	rate under Section 48.2551 for the 2024-2025 school year, the value
	of the district's "PYMCR" is the maximum compressed tax rate
	determined for the district under this section for the preceding
	school year.
	(f)  This section expires September 1, 2025.
	ARTICLE 3. ESCROW ACCOUNTS
	SECTION 3.01.  Section 31.072(a), Tax Code, is amended to
	read as follows:
	(a)  At the request of a property owner, the [The] collector
	for a taxing unit shall [may] enter a contract with the [a] property
	owner under which the property owner deposits money in an escrow
	account maintained by the collector to provide for the payment of
	property taxes collected by the collector on any property the
	person owns.
	SECTION 3.02.  Sections 31.072(h) and (i), Tax Code, are
	repealed.
	SECTION 3.03.  This article applies only to a tax year that
	begins on or after the effective date of this article.
	ARTICLE 4. LIMITATION ON INCREASES IN VALUE OF REAL PROPERTY
	SECTION 4.01.  Section 1.12(d), Tax Code, is amended to read
	as follows:
	(d)  For purposes of this section, the appraisal ratio of
	property [a homestead] to which Section 23.23 applies is the ratio
	of the property's market value as determined by the appraisal
	district or appraisal review board, as applicable, to the market
	value of the property according to law. The appraisal ratio is not
	calculated according to the appraised value of the property as
	limited by Section 23.23.
	SECTION 4.02.  The heading to Section 23.23, Tax Code, is
	amended to read as follows:
	Sec. 23.23.  LIMITATION ON APPRAISED VALUE OF REAL PROPERTY