School districts all over Texas are dealing with severe state funding cuts. State legislators are looking at potentially slicing $10 billion in education funding in the next biennium to close the budget gap. Districts throughout the state are setting actions plans in place to deal with this potential loss of funding.
Dallas County is preparing to possibly lose up to $253 million in state funding in a worse-case scenario. The school district went as far as to offer resignation incentives equal to 15% of annual salary, to maximum of $10,000. Despite this struggling economy, teachers were lined up overnight to take advantage of this offer and as many as 500 accepted the offer on Saturday.
As we head South to Houston, the situation is not much better. Harris County, is dealing with an expected $170 million loss of state funding. While this district is also looking to reduce staff and increase class sizes, they are also considering property tax increases. These property tax increases could come in the form of increased tax rates or elimination of the homestead exemption.
The Houston / Harris County school district pockets an additional $10.0 million in revenue for each penny it raises taxes. Currently, they have the option of raising property taxes 7.33 cents without voter approval. Additionally, the district allows for an optional homestead exemption, which reduces the taxable value of your property by 20%. There is discussing of eliminating this exemption all together or at least reducing it to 15%. It looks as if a property tax increase is imminent for Houston / Harris County as reports indicate they are considering one or both of these property tax changes.
Need a Property Tax Loan?
For those already struggling to pay your property taxes, this is unwelcome news. Fortunately, property tax loans are still available with easy to qualification and fast closing. Property Tax Funding offers property tax loans in Houston and Harris County, Dallas County, and most other counties in Texas.