89S20378 CS-D     By: Little H.B. No. 219       A BILL TO BE ENTITLED   AN ACT   relating to the limitation on increases in the appraised value of a   residence homestead for ad valorem taxation.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 23.23(a), Tax Code, is amended to read as   follows:          (a)  Notwithstanding the requirements of Section 25.18 and   regardless of whether the appraisal office has appraised the   property and determined the market value of the property for the tax   year, an appraisal office may increase the appraised value of a   residence homestead for a tax year to an amount not to exceed the   lesser of:                (1)  the market value of the property for the most   recent tax year that the market value was determined by the   appraisal office; or                (2)  the sum of:                      (A)  two [10] percent of the appraised value of   the property for the preceding tax year;                      (B)  the appraised value of the property for the   preceding tax year; and                      (C)  the market value of all new improvements to   the property.          SECTION 2.  This Act applies only to the appraisal for ad   valorem taxation of residence homesteads for a tax year that begins   on or after the effective date of this Act.          SECTION 3.  This Act takes effect January 1, 2027, but only   if the constitutional amendment proposed by the 89th Legislature,   2nd Called Session, 2025, to authorize the legislature to set a   lower limit on the maximum appraised value of a residence homestead   for ad valorem taxation is approved by the voters. If that   amendment is not approved by the voters, this Act has no effect.