Texas HB2122 provides financial adjustments for school districts affected by using state value for taxable property.

HB2122 amends the Education Code to create an adjustment for school districts losing revenue due to the use of state value for taxable property. The agency determines if a district's entitlement is greater using the local value. If so, the commissioner increases state aid or adjusts local revenue limits. Adjustments are phased: 75% for the first year, 50% for the second, and 25% for the third. Districts cannot receive adjustments for more than three consecutive years. The act takes effect September 1, 2025.

Texas HB2122 provides financial adjustments for school districts affected by using state value for taxable property.

HB2122 amends the Education Code to create an adjustment for school districts losing revenue due to the use of state value for taxable property. The agency determines if a district's entitlement is greater using the local value. If so, the commissioner increases state aid or adjusts local revenue limits. Adjustments are phased: 75% for the first year, 50% for the second, and 25% for the third. Districts cannot receive adjustments for more than three consecutive years. The act takes effect September 1, 2025.