Tarrant homeowners would see annual tax appraisals under this Texas bill
The Texas House advanced a billthat requires annual property appraisals, reversing a policy adopted in Tarrant County that put school funding and municipal budgets at risk.
The legislation filed by Rep. Chris Turner, a Grand Prairie Democrat, requires annual property reappraisals of all property in counties with 75,000 or more residents, where appraisal boards include elected members.
After getting preliminary approval on Tuesday, May 13, the bill was passed 84-50 on Wednesday, May 14. Rep. Charlie Geren, a Fort Worth Republican, is also an author on the bill.
“Texas taxpayers deserve a property tax system that’s fair, consistent and accountable, regardless of where they live,” Turner said during the Tuesday debate.
In July 2024, the Tarrant Appraisal District Board of Directors adopted a policy to recalculate appraisals every other year, instead of annually, and place a 5% “threshold” to market value increases on residential property, unless the district can provide “clear and convincing evidence” to support an increase higher than 5%.
Some North Texas lawmakers spoke in opposition of the bill ahead of the vote, favoring appraisals that aren’t done annually.
“This bill is an effort to appease school board members,” said Rep. Nate Schatzline, a Fort Worth Republican. “If you’re in favor of lowering property taxes and not raising property taxes, and if you are in favor of fighting for the taxpayer, you’re going to vote no on this bill.”
The legislation now heads to the Senate, where it must pass in committee and be approved by the full chamber before heading to Gov. Greg Abbott’s desk. If signed, the law would go into effect Jan. 1.
Texas law around the frequency of reappraisals, as written now, has been interpreted multiple ways.
A section of tax code says “all taxable property is appraised at its market value as of January 1” but doesn’t specify that the appraisals must be done annually. Another part of the law defines “market value” as the price property would sell for “under prevailing market conditions.”
Part of the tax code also says reappraisal plans shall provide for the following reappraisal activities for all real and personal property in the district at least once every three years.
Turner said the bill is trying to address inconsistencies.
“If you represent one of the 50 counties with populations of 75,000 or more, your appraisal district is very much likely already doing this, because this is best practice,” Turner said.
Members of the Tarrant Appraisal District board of directors and its chief appraiser did not return emails sent Tuesday seeking comment, with the exception of board members Gloria Peña and Fred Campos. The TAD board met Wednesday, May 14 for its regularly scheduled meeting.
Peña said she supports Turner’s bill for annual reappraisals and supports reappraisals every other year, if the schedule is in sync with the comptroller’s property value study that deals with distribution of state dollars to public schools.
Campos said he’s testified in Austin in support of the bill and another related proposal dealing with education for appraisal board members.
“Since been elected to the Board, in January, I have been trying to adjust the reappraisal plan and correct this error that I believe has been caused by the previous Board,” Campos said in an email.
Tarrant County lawmakers were divided in how they voted, with the split falling largely along party lines.
Republican Reps. David Lowe, Nate Schatzline, Tony Tinderholt, David Cook, John McQueeney and Giovanni Capriglione voted against the bill, while Geren, Turner and Democratic Reps. Ramon Romero Jr., Salman Bhojani and Nicole Collier voted for it.
Lawmakers debate reappraisal frequency
Turner offered the proposal after hearing from school districts in Tarrant County that he represents that the appraisal board’s action threatens the schools’ state funding, he said.
In July 2024, TAD’s three newly elected board members initially proposed appraisals every three years, but the motion failed.
Rep. Mitch Little, a Lewisville Republican, said it’s his understanding the board was responding climbing property values. He proposed appraisals every three years, as did Lowe, a Fort Worth Republican, in the form of a amendment. The amendment was ultimately withdrawn after a procedural challenge — a point of order contending the amendment changed the original purpose of the bill and therefore isn’t valid — was raised.
Little argued that the bill would lead to increased property taxes for homeowners.
“I am concerned about what your bill is doing, and I will simply say that I commend the efforts of Tarrant Appraisal District to prevent the rapid onset and rise of property values in that county,” Little said.
Turner countered that the appraisal process does not determine tax rates.
“Tax rates are determined by elected officials in the taxing jurisdiction,” Turner said. “Once again, that’s the school district, the city, the county and other special districts and the state legislature through school finance formulas.”
While some argued the bill would increase taxes, Turner said less frequent appraisals could lead to “sticker shock” if there’s a big increase after a period of flat appraisals.
“But conversely, in a down market, you could be appraised at a higher value than what your property is really worth and therefore paying higher taxes,” Turner said.
The bill was amended to address concerns related to Bexar County, which includes the San Antonio area.
Rep. Canales, an Edinburg Democrat, worried that property owners would need to protest their property values each year.
“I believe what your tax appraisal board does is laudable, because, I’ll tell you that every time they appraise my property, your property, there’s a new appraisal, I’ve never seen — other than relief given by this body — I’ve never seen property taxes go down,” Canales said.
Rep. Brian Harrison, a Waxahachie Republican, said local governments should have the control to have longer intervals between assessments.
“Isn’t it really interesting, Rep. Canales, that right after this legislature gave the people more democratic power to have their voice heard and their voice represented on the appraisal districts, the very next session, the body is, apparently if we pass this thing, going to turn around and strip that power from locally elected officials that we just empowered two tears ago?” Harrison said, speaking against the bill.
Geren urged lawmakers to support the bill, warning of a possible large jump in appraisals, rather than having increases more spread out over a period of time.
Chandler Crouch, a Fort Worth real estate agent and tax consultant, told TAD directors at their meeting Wednesday the bill was a result of their action.
A frequent speaker at TAD meetings, Crouch said he was there for the whole process, when the board decided to appraise on odd years only.
He said he was in favor, but warned against putting school districts at risk of failing the comptroller’s property value study.
“We’ve got to do something about them, because they’re going to lose a ton of money,” Crouch recalled saying.
“Y’all didn’t do anything,” Crouch told the board Wednesday. “Y’all screwed up, plain and simple.”
Crouch pointed to Parker County, which appraises every other year, and said the board has put a system that works well.
What does TAD’s appraisal plan mean for school districts?
During an early April subcommittee hearing, Tarrant County area school districts and city leaders warned of possible financial losses if appraisals are not done annually.
A city official from Fort Worth said the city could see $30 million to $40 million in budget cuts without annual reappraisals. An official from city of Arlington said its budget could be cut by $9 million to $15 million if the city doesn’t raise taxes.
Annual appraisals will create stability for school districts and help with school funding predictions, said Darla Moss, the chief financial officer for the Arlington school district.
“School funding in Texas heavily relies on property taxes,” Moss said. “Fluctuating property values due to infrequent reappraisals adds to the volatility in revenue projections, making long term budgeting more difficult for districts. Consistency is especially critical for districts facing budget shortfalls, such as Arlington ISD, ensuring that we can meet the needs of our students and staff without unexpected funding gaps.”
During the April hearing, Turner said districts could fail the state comptroller’s property value study for school funding if properties are undervalued.
The study is used to ensure equitable state funding to Texas’ many school districts, according to the Comptroller’s Office.
In a statement, the Fort Worth school district said the bill’s language is in line with a resolution passed by the school board and presented to the Tarrant County Appraisal District.
“It is to the district’s benefit that a district not fail the State’s Property Value Study because the district would lose funding if the District falls out of grace and state values have to be used,” the statement reads. “The Tarrant Appraisal District’s Chief Appraiser has indicated that the District may fall into this category this year unless an appraisal was conducted however the TAD Board did not take action to address this potential issue.”
Separate bill address TAD’s ‘threshold’ on market value increases
A separate bill says a home’s appraised value is equal to the lesser of:
▪ Its market value, as determined by its most recent appraisal, or
▪ 110% of a property’s appraised value for the preceding year plus the market value of any new improvements.
The bill, House Bill 3235, which was also authored by Turner, was voted out of the House Subcommittee on Property Tax Appraisals, but hasn’t advanced from the full Ways and Means Committee.
The legislative session ends on June 2, but Thursday marks a key deadline in the House: It’s the generally the last day House lawmakers can give initial approval to House bills.
Staff writers Rachel Royster and Cody Copeland contributed to this report.
This story was originally published May 13, 2025 at 5:17 PM.
