[{"_1":2,"_112":-5,"_113":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6313384,"mediaKeyId","2388078-33cd4f18947a7ceeef9850fc69759bc5","parentId",2388078,"title","Comptroller: Texas has $194.6 billion available for 2026–27; oil severance taxes will boost general revenue due to ESF cap","audioSeconds",1266,"startMs",116000,"endMs",1382000,"viewUrl","/Search/View?dp=1&key=2388078-33cd4f18947a7ceeef9850fc69759bc5&start=116&end=1382","thumbnailUrl","https://assets.pipeline.soar.com/2388078-33cd4f18947a7ceeef9850fc69759bc5/thumbnail_116000.jpg","articleUrl","/articles/6313384/Texas/Comptroller-Texas-has-1946-billion-available-for-202627-oil-severance-taxes-will-boost-general-revenue-due-to-ESF-cap","mediaUrl","https://secure.pipeline.soar.com/6313384-effa497258dc2aa535d519663b2d9ab4/orig.mp4?Expires=1770995993&Signature=AqnhidYPaK5FlRO0qtqPNDvRgYV49-wavIebWNHWMV0YiK6as1uo1ciycAg6HQjtdsRnnmhMtQc8-~fzcWhe0uUW697nnPh1vchKYvTqjrcb3Hqck8sAUP56tt1htrQXRW2r0vDhS5LiDLig62UqEV2G5gaTv~vfryWdTTswem6-Nfs3hgMmnT8KDVBl6qvE1M5mjdIthPgy6rKEmQr0gLvN-yY77JkGcym16tjHQyXw9MOipnoCTds54EhUfNB9GG2pHZUrycXauRt3r9kNrMWWIN2w1Na6bTTYOlJCN5vYpqC~-Gu~M4SiO3IyH5-5p1e4x51e9k14q0-JHmDQBQ__&Key-Pair-Id=KUT5TJCACFTXG","author","Texas State Legislature","date","2025-02-25T00:00:00Z","article","Brad Reynolds of the Comptroller of Public Accounts told the House Committee on Ways and Means that the state’s biennial revenue available for appropriation for fiscal 2026–27 is projected at $194,600,000,000.

Reynolds said the decline from the prior biennium’s available revenue is driven largely by a falling beginning balance — the state began the 2024–25 biennium with about $39 billion but now expects a beginning balance for 2026–27 of about $23.76 billion — not by sharply lower underlying tax collections. “This is substantially leftover surplus accumulated back in 22-23 when we had historically high, inflation and historically high infusions to the state budget from federal funds that were authorized by Congress during the pandemic,” Reynolds said.

Why the severance tax change matters: Reynolds told the committee that a constitutional cap on the Economic Stabilization Fund (sometimes called the rainy day fund) will prevent routine transfers of some oil and gas severance tax revenue into that fund. He said about $5.6 billion of severance tax revenue normally allocable to the ESF in 2026–27 will instead remain in general revenue; combined with a roughly $300 million carry-forward amount for the current biennium, Reynolds said a total of about $5.9 billion will appear as additional general revenue in 2026–27.

The comptroller’s office also walked members through tax‑system details that affect forecasts. Reynolds emphasized that sales tax — the state’s largest tax source — is expected to grow about 4.5% annually in the coming biennium, slightly below historical averages because a larger share of household budgets now goes to nontaxable items such as insurance and housing costs. Reynolds called oil and gas taxes “the two most volatile taxes” in the system and warned that retaining severance taxes in general revenue will make the state’s general revenue mix somewhat more volatile.

Philip Ashley, associate deputy controller for tax administration at the Comptroller’s office, gave a brief primer on major taxes administered by the agency. He said the office administers more than 60 separate taxes and fees; the franchise (margin) tax and the sales and use tax are the two largest sources. Ashley said the franchise tax raised about $6.86 billion in fiscal 2024 and that the no‑tax‑due threshold for franchise filings was raised last session to $2,470,000 under Senate Bill 3, reducing the number of filers owed tax. He said the state collected $47.16 billion in sales tax in fiscal 2024 and reiterated that local jurisdictions may add up to 2 percentage points in local sales tax for a maximum combined rate of 8.25%.

Committee members asked agency staff for more granular incidence and filing information; Ashley pointed members to the Comptroller’s field guide publications, the tax exemptions and tax incidence report, and the sales‑tax incidence tables (cited in his handout) and offered post‑hearing follow‑up for data requests.

The presentations framed the available 2026–27 spending capacity as a combination of current‑period revenues and balances carried forward from prior biennia, with the comptroller stressing that much of the carry‑forward balance originated as temporary pandemic‑era inflows rather than a structural increase in recurring revenue. Reynolds warned that the carry‑forward is “dribbling down” and is not the same as a structural surplus.

Ending: The comptroller’s office said it would provide follow‑up data for members’ specific incidence and filers questions and left publications and detailed tables in committee materials.","mediaType","Video","parentTitle","Ways & Means - 2/25/25","oneSentenceSummary","Brad Reynolds of the Comptroller of Public Accounts said the state projects $194.6 billion available for appropriation in the 2026–27 biennium and warned that a constitutional cap on the Economic Stabilization Fund will leave roughly $5.9 billion of oil and gas severance tax revenue in general revenue.","taxTitle","Committee on Ways & Means, HOUSE OF REPRESENTATIVES, Legislative, Texas","taxId",16918,"location","Texas","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6313369,"Policy groups urge varied approaches to property‑tax relief; disagreements center on equity, renters and local controls",1287,9885000,8598000,"/Search/View?dp=1&key=2388078-33cd4f18947a7ceeef9850fc69759bc5&start=9885&end=8598","https://assets.pipeline.soar.com/2388078-33cd4f18947a7ceeef9850fc69759bc5/thumbnail_9885000.jpg","/articles/6313369/Texas/Policy-groups-urge-varied-approaches-to-propertytax-relief-disagreements-center-on-equity-renters-and-local-controls","https://secure.pipeline.soar.com/6313369-ccba3ef8b145d4c403f011c930c3a0be/orig.mp4?Expires=1770995993&Signature=H3tMS9cBQLvdD4wVJnJwke1x6N0m7OYqlQ3LvHhkK7CYycBuAjEoVvtBHUG4L6f5W2-Bwg~ANYAm-I1Xp~mxMq2hK8~tK9oY~zatKIIz3ZWz06ZNkHQTrHNuqh2bXYB5BqkHm2FZSHd23MWSI~lvSg-uTENGHG9kxWGxJ2lx7BA-kG5QuTdfrMwIV48EKqVypyOYEJ9sNn2ECWtmSEM8E3BdvAyXGs8bOlKvXs0xBWsACiTQLshxRzIdOhiP9H2zgE-fk47kFbtfuGTrf5d5gKEmR6TB8gay6oFKUhzl8smRq4Eoi7RilQvdpsHkHsz5LWlWczp6vZ1OQ5x~uS7a6w__&Key-Pair-Id=KUT5TJCACFTXG","Several invited witnesses presented competing perspectives on property‑tax relief at the House Committee on Ways and Means hearing, reflecting different priorities for equity, economic growth and local governance.

Jennifer Raab of the Texas Taxpayers and Research Association (TTRA) told members that long‑run relief should focus on reducing taxes on invested capital because business investment drives jobs and incomes. She outlined how the 2023 package — largely homestead exemptions and compression — shifted a portion of school tax burden onto business and said the state pays for much of relief through general revenue, which the comptroller estimates is funded more heavily by business. Raab urged consideration of business personal property exemptions (her materials show smaller exemptions are less costly than a full exemption) and cautioned that enlarging a constitutionally enshrined homestead exemption will worsen a “split‑roll” situation and create long‑term structural change.

Shannon Halbrook of Every Texan framed the debate around equity and household need. Halbrook said Texas’s state and local tax structure is regressive and that many lower‑income households — particularly renters — do not benefit directly from property‑tax reductions targeted at homeowners. She urged the committee to consider renter credits or rebates, a circuit‑breaker program that scales relief to ability to pay, or a state earned‑income tax credit as more equitable, lower‑cost ways to help people who are most burdened by housing costs.

James Quintero of the Texas Public Policy Foundation urged larger overall tax relief and stronger guardrails to prevent local actions from eroding state relief. Quintero recommended a larger package — he cited a $10 billion number as a target — and suggested statutory changes to limit local revenue growth, a uniform voter‑approval revenue metric across taxing entities, and rules (such as cooling‑off periods) to prevent taxing units from repeatedly resubmitting bond or rate propositions after voters reject them. Quintero illustrated the point using Travis County and Austin Independent School District examples: he said local rate increases and large bond packages have partly offset state relief, putting pressure back on taxpayers.

Committee members questioned witnesses on trade‑offs between homeowner relief and business tax incidence, the treatment of renters, and the degree to which the state should impose constraints on local taxing units. Witnesses differed: Raab and Quintero favored structural changes to protect the value of state relief and to lower tax burden on business investment; Halbrook prioritized targeted household relief that benefits renters and lower‑income households.

Ending: Each witness left written testimony and supporting tables in the committee packet and offered to meet with staff for follow‑up on incidence and policy modeling.","Three invited witnesses offered divergent prescriptions for property‑tax relief: TTRA favored business‑friendly measures and compression; Every Texan urged renter‑focused and equity‑driven relief; TPPF called for a larger relief package plus statutory limits on local revenue growth.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6313375,"Legislative Budget Board previews HB1: modest all‑funds increase, $51 billion in property tax relief included",304,5794000,6098000,"/Search/View?dp=1&key=2388078-33cd4f18947a7ceeef9850fc69759bc5&start=5794&end=6098","https://assets.pipeline.soar.com/2388078-33cd4f18947a7ceeef9850fc69759bc5/thumbnail_5794000.jpg","/articles/6313375/Texas/Legislative-Budget-Board-previews-HB1-modest-allfunds-increase-51-billion-in-property-tax-relief-included","https://secure.pipeline.soar.com/6313375-2d533e9c9712607d511400e4487043c4/orig.mp4?Expires=1770995993&Signature=ddc5GiHOwoLCV34~uPHdiDgTrmiKdDtURKqvD79OC17D3jsM7tApKjeAU19pQGW9vG4dA0UwoMdoLrzETE2W60u6gmEfI2TQIOTc4nvuJ4Qlccx8NJtCGB2V1BbborFj5ZorI68OPVUfjDBSqky4i-hB7tExck1xDhWQ-sNzCvxEwnzu6t5M-GdImEf6jStXFDOPp157Ui87wVS7mqWcnFARhfRj8ItEpvCfsZFnslZMapprytV4Usbe845iAMHkjollOmiR0yULC9nFzeI6nfw4X1lkwjuhk~VIa4xKD40fDVGA5dOYoRp2HlP1rbvZvqshntIv1PkHPNc65TdoWg__&Key-Pair-Id=KUT5TJCACFTXG","Aaron Henriksen and Kevin Cavanaugh of the Legislative Budget Board summarized the introduced version of House Bill 1, the 2026–27 general appropriations bill, and walked members through major funding items and constitutional spending limits.

Henriksen said the HB1 introduced totals represent a modest all‑funds increase of $2.8 billion (about 0.8%) compared with 2024–25 on an all‑funds basis. He highlighted large components of the introduced bill: $51 billion identified for property tax relief (a combination of prior and proposed new relief), contingency funds for additional public education spending (including an $800 million increase to the golden penny yield and $4.85 billion in contingency education funding), and a proposed $3 billion in new property tax relief items including compression and contingent funding lines.

The draft HB1 contains substantial appropriations in several other areas. Henriksen identified $6.5 billion for border security operations to be spread across 13 state agencies, an increase of about $4.1 billion in all funds for Medicaid and CHIP primarily to cover caseload growth, $36.2 billion for highway planning, right‑of‑way acquisition, construction and maintenance, $86.3 million to fully fund backlog volunteer fire department grants at the Texas A&M Forest Service, and a range of higher education and health‑care contingencies (including an $850 million contingent endowment for Texas State Technical College and $1.3 billion to the Texas University Fund). He also listed proposed supplemental appropriations that will affect fiscal 2025, including a $1 billion one‑time legacy payment to the Employees Retirement System and $718.7 million for cross‑agency IT projects.

Henriksen closed with a statement of capacity under statutory and constitutional spending limits: the pay‑as‑you‑go limit showed about $11.6 billion of capacity, the tax‑spending limit about $4.8 billion (which he described as the controlling limit at the time of the presentation) and the consolidated general revenue limit about $9.8 billion. He reminded members that these numbers will be updated as the bill and revenue estimates evolve.

Ending: LBB staff offered to provide committee staff and members additional programmatic detail and technical assistance as bill drafting and appropriation negotiations proceed.","Legislative Budget Board staff briefed the committee on the introduced 2026–27 General Appropriations Bill (HB1), describing a $2.8 billion all‑funds increase and major items including $51 billion for property tax relief, contingency public education funding and border, Medicaid and transportation allocations.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":105,"_47":106,"_49":107,"_51":108,"_53":109,"_55":56,"_57":58,"_59":110,"_61":62,"_63":64,"_65":111,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6313380,"Comptroller explains property‑tax cycle, school‑value study results and triggered reviews",557,3154000,3711000,"/Search/View?dp=1&key=2388078-33cd4f18947a7ceeef9850fc69759bc5&start=3154&end=3711","https://assets.pipeline.soar.com/2388078-33cd4f18947a7ceeef9850fc69759bc5/thumbnail_3154000.jpg","/articles/6313380/Texas/Comptroller-explains-propertytax-cycle-schoolvalue-study-results-and-triggered-reviews","https://secure.pipeline.soar.com/6313380-c4c94ce2d62c0b9bb9b46db20d7a3d74/orig.mp4?Expires=1770995993&Signature=IaYLij2pIuLmsmsWdyJzuTCmfpz7b8cG2UJZBvHhtUu5-X8j6IlpQcMcHCfzEiEevwccI3POYz6UsIHJATU4rPLA7yBibyhBN90UefRNUfaFbTMtuyzx4HNNBf6Fk52RxGwE2msSDy0Xv8EE5IkVLZZdoyn55atTkYdSfxsWgpdDVsr0TWIEExUdD7mCZVFlMYpkAXiyWn59A0Mp6ZgLs34kWGdrSrp3YEb~S0uYCD6Ps~z6xwYSGq9r8AkSCQqCvCjJ1tZF07SD-M3vNV5iUM-qkbY3xZFQsg~yyTnXP-zmSDLTVUmnHgG50f7pLqtDhq4KYbnwIqSi~4yrdJvz0A__&Key-Pair-Id=KUT5TJCACFTXG","Allison Mansfield of the Comptroller’s Property Tax Assistance Division told the committee that property tax appraisal in Texas is a locally administered process and outlined how the state evaluates local work through the school district property value study and other oversight tools.

Mansfield said appraisal districts — political subdivisions whose boundaries align with counties — appraise property at market value as of Jan. 1 each year; appraisal review boards (ARBs) hear protests and must approve appraisal records by July 20. She explained that businesses must file a rendition to report tangible personal property values and that appraisal districts typically use mass appraisal methods subject to USPAP standards.

On the school district property value study, Mansfield provided summary counts from the 2024 preliminary results: the comptroller studied 694 split school districts (districts spanning more than one county); 581 of those splits received a valid finding, 22 had local values greater than state values, 27 received an invalid finding that put them in a grace period, and 64 received state findings. She said a total of 113 split districts were invalid in the preliminary results.

Mansfield described the Targeted Appraisal Review Program (TARP), which triggers when a school district within an appraisal district receives three consecutive invalid findings; TARP conducts an in‑depth review of appraisal district operations and issues recommendations. She reported that after the program began the first round of TARP reports was released this February: 32 appraisal districts received TARP review for 2022, 29 in 2023, and an estimated 20 for 2024 preliminary results. Common recommendations included improved staff training, updated maps and cost schedules, conducting local ratio studies, and hiring additional staff.

Mansfield also explained how preliminary findings are handled: the comptroller releases preliminary results, school districts have a period (this year’s preliminary‑result protest deadline was March 12) to file protests, the comptroller considers objections through an informal process and may refer disputes to the State Office of Administrative Hearings. She noted the study works in arrears — the state evaluates valuations after local appraisals are complete — and that the comptroller’s goal for the study is a 5% margin of error for its confidence interval, with higher margins sometimes used for statistical reasons.

Members pressed Mansfield on why the state conducts the study after local appraisals and how the results affect school funding. Mansfield said the study does not change local certified values; instead, the comptroller certifies its findings to the Texas Education Agency for use in the school funding formulas. If a district qualifies for a two‑year grace period, the comptroller will certify local values to TEA for school finance during that grace period; districts whose values are certified as state values are treated differently in the school funding calculation.

Ending: Mansfield left committee staff copies of the PTAD biennial report and offered to provide additional data on ARB adjustments, litigation, and TARP reports upon request.","The Comptroller’s Property Tax Assistance Division briefed the House Committee on Ways and Means on Texas’s locally administered property tax system, the school district property value study preliminary results and the agency’s targeted appraisal reviews (TARP).","actionData","errors"]

Article not found

Comptroller: Texas has $194.6 billion available for 2026–27; oil severance taxes will boost general revenue due to ESF cap

Policy groups urge varied approaches to property‑tax relief; disagreements center on equity, renters and local controls

Legislative Budget Board previews HB1: modest all‑funds increase, $51 billion in property tax relief included

Comptroller explains property‑tax cycle, school‑value study results and triggered reviews