The bill amends the Government Code regarding the school district property value study conducted by the comptroller of public accounts. It defines "eligible school district" and establishes criteria for determining local property values. Notably, the bill changes the percentage threshold for the aggregate local value of sampled property from 90% to 80% of the margin of error determined by the comptroller. Additionally, it modifies the margin of error for determining the validity of local values from five percent to ten percent, unless a larger margin is deemed necessary due to sample size constraints.

Furthermore, the bill clarifies the definition of "taxable value" by detailing various deductions from the market value of taxable property, including exemptions and captured appraised values. It specifies that these changes will apply only to studies conducted for tax years beginning on or after January 1, 2026, while studies for earlier tax years will follow the previous law. The bill is set to take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if that threshold is not met.

Statutes affected:
Introduced: Government Code 403.3011, Government Code 5.102 (Government Code 403, Government Code 5)