Governor Abbott Signs SB 4, SB 23, and HB 9 into Law: What Cypress Meadow Homeowners, Seniors, and Small Businesses Need to Know About the $10 Billion Property Tax Relief Package
In a landmark event held at the Robson Ranch Clubhouse in Denton, Governor Greg Abbott signed three major property tax relief bills into law—Senate Bill 4 (SB 4), Senate Bill 23 (SB 23), and House Bill 9 (HB 9)—as part of the 89th Texas Legislature’s $10 billion tax relief package. The new legislation is aimed at easing the property tax burden on millions of Texas homeowners, seniors, and small business owners. The relief measures will take effect pending voter approval during the November 2025 constitutional amendment election.
The signing marks a significant milestone in Texas’s ongoing efforts to reduce property taxes statewide, following what many call the largest property tax cut in U.S. history—last year’s $22.7 billion tax reduction.
Targeted Tax Relief for Homeowners, Seniors, and Small Business Owners
The legislative package introduces sweeping tax exemption increases:
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SB 4 & SJR 2 raise the Independent School District (ISD) homestead exemption from $100,000 to $140,000—a 40% increase—resulting in an average annual savings of $484 for an estimated 5.7 million Texas homeowners. The bill includes fully state-funded “hold harmless” provisions to ensure school districts remain financially stable.
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SB 23 & SJR 85 dramatically expand tax relief for Texans over 65 and individuals with disabilities, increasing their additional exemption from $10,000 to $60,000. With the combined $140,000 exemption from SB 4, their total school tax exemption would rise to $200,000, generating an average annual savings of $907.87 for 2.08 million qualifying homeowners.
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HB 9 addresses the burden on small businesses by raising the Business Personal Property (BPP) exemption to $125,000, expected to save business owners an average of $2,500 annually.
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Leaders Unite Behind Historic Bipartisan Legislation
The three bills were spearheaded by Senator Paul Bettencourt (R-Houston) and Chairman Morgan Meyer (R-Dallas), with the strong backing of Lieutenant Governor Dan Patrick.
“Do you think your property taxes are too high? Well, so do I! This is why I am signing three pieces of legislation that will lower those taxes,” said Governor Abbott during the signing ceremony.
Senator Bettencourt emphasized the far-reaching impact of the new laws, stating, “SB 4 and SB 23 builds on the momentum of the largest property tax cut in U.S. history, a record-breaking $22.7 billion in 2023, with $10 billion more in targeted school exemptions to help millions of Texans, from first-time homebuyers to seniors on fixed incomes.”
What Happens Next: Voter Approval Required in November 2025
While the bills have been signed into law, their implementation hinges on a constitutional amendment vote scheduled for November 2025. Texas voters will have the final say in approving these tax exemptions and locking in the financial relief for homeowners, seniors, and small businesses alike.
Speaker Dustin Burrows reinforced the state’s fiscal philosophy, stating, “No country, no state, no county, or city can tax and spend their way into prosperity, that is why it is so important that we make sure we have a low tax state, the amount of money we have put towards this issue is unprecedented and historic.”
Senator Bettencourt closed the event with a reminder to voters: “These three measures will appear on the Nov. 2025 Constitutional Amendment ballot this upcoming election, giving Texas voters the final say on their property tax bill in the fall.”
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Property Tax Relief by the Numbers
- 5.7 million Texas homeowners to save $484/year
- 2.08 million seniors and disabled Texans to save $907.87/year
- All small businesses with BPP to save $2,500/year
As the state prepares for the constitutional amendment vote, residents are encouraged to stay informed about how these changes could significantly reduce their future tax bills. Additional property tax and appraisal reform updates are expected to be released in the coming months.
Stay tuned with My Neighborhood News for ongoing updates on property tax relief legislation and what it means for Cypress Meadow.
Tiffany Krenek has been on the My Neighborhood News team since August 2021. She is passionate about curating and sharing content that enriches the lives of our readers in a personal, meaningful way. A loving mother and wife, Tiffany and her family live in the West Houston/Cypress region.
