Tag Archives: Texas Property Tax

Today in Texas History – May 16

From the Annals of Civil Disobedience –  In 1968, 400 high school students from Edgewood HS in San Antonio walked out of class and marched to the Edgewood ISD administration office.  The EISD was overwhelmingly Hispanic with 90% of students of Mexican heritage.  The students were complaining about inadequate supplies and unqualified teachers.

The walk-out resulted in further action.  In July, Demetrio Rodríguez and seven other Edgewood parents filed suit on behalf of Texas schoolchildren who were poor or resided in school districts with low property-tax bases.  The problem resulted from the numerous school districts in Texas.  Bexar County incorporates all or part of 19 different school districts – many of which were set up to segregate students of different races.  EISD had one of the highest tax rates in the county but raised only $37 per pupil, while Alamo Heights, Bexar County’s wealthiest district, raised $413 per student.  Because of the vastly different appraised value of the property in the districts, the tax rate per $100 property value needed to equalize education funding was only $0.68 for Alamo Heights but a punishing $5.76 for Edgewood.

Thus, began the decades long fight over school funding in Texas.  The Rodriguez case ended up in the U.S. Supreme Court which ultimately ruled against Rodríguez, holding that Texas’ school financing did not violate the equal protection clause of the U.S. Constitution and punted the issue back to Texas.  The Court also held that the state would not be required to subsidize poorer school districts.  But this was not the end as most observers know and the fight over school funding continues.

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Today in Texas History – November 2

From the Annals of School Financing –  In 1920, voters ratified the Better Schools Amendment to the Constitution of 1876. The amendment removed limits on school district tax rates and was intended to ease the state’s share of school financing. Supporters of the Amendment also hoped it would increase equality in school conditions by enabling each district to improve its facilities. The impact of the amendment was erratic.  By 1923, there was a 51 percent increase in overall local taxes for school districts support for public schools.  Yet, many school districts refused to increase tax rates and continued to rely on the state as their primary source of financing.  The problems caused by the Amendment persist today as the reliance on local property taxes for the majority of public school financing has created great inequity between rich and poor school districts leading the Legislature to enact the very controversial Robin Hood school financing plan.

HISD Plays Chicken with Texas Legislature

The Texas Tribune details the Hobson’s Choice facing voters residing within the Houston Independent School.  Under the “Robin Hood” plan HISD is due to send $165 million to poorer school districts subject to voter approval.  The voters can turn down the plan, but then the district faces the prospect of having some of its most expensive real estate figuratively moved to another close-by poorer district.  That is, if the voters say ‘no’ to the incredibly poorly worded proposition on the November ballot, then the state can take some expensive real property off of the HISD rolls and instead assign it to another district to boost its property tax base.  Locals bigwigs are lining up behind the “no” vote in the hopes that the Legislature will blink when faced with the proposition of telling the largest school district in the state that it is stripping away some $18 billion of its tax base.  And the kicker is, the obligation to pay the $165 million is still there – only to be paid by the smaller number of taxpayers.   Red envisions James Dean speeding towards the cliff and this time his sleeve gets caught in the door handle.