In a recent Commissioners Court meeting on June 10, 2024, Austin County officials discussed a proposal to gradually change the homestead exemption in an effort to offset the effects of escalating property values on homeowners.

The discussion focused on the fact that property valuations in the county have significantly risen, with most properties seeing an increase of over 20% in the past year. Commissioner Mark Lamp, alongside Chief Appraiser Greg Cook, considered various ideas for adjusting the homestead exemption in an effort to balance the county’s budget while offering relief to residents.

The proposed strategy involves a cautious approach to the changes beginning with a suggested 5% increase to the homestead exemption. This increase is just the beginning and there could be adjustments in subsequent years. This approach aims to avoid sudden changes that could be challenging to reverse if found unsustainable.

The proposal focuses on incrementally raising the homestead exemption to maintain a balance. The commissioners want to avoid a potential drastic change to the tax rate, which could be difficult to increase again once reduced.

In addition to modifications to the standard homestead exemption, the Commissioners are also considering an increase in the over-65 exemption from $7,000 to $10,000, to align with the exemptions provided by school districts, which are currently at $10,000.

No decisions were made during the meeting, but plans are in place to further analyze the figures and present more comprehensive proposals in the next session. The adjustments are required to be finalized by July 1, according to the county’s timeline.

You can view the entire discussion starting at the 00:09:15 mark of the video below.

 

 

 

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