Texas Proposition 2, Property Tax Exemption for Child-Care Facilities Amendment (2023)

Texas Proposition 2, Property Tax Exemption for Child-Care Facilities Amendment
Election date November 7, 2023
Topic Taxes
Status a Approved
Type Constitutional amendment	Origin State legislature

Texas Proposition 2, the Property Tax Exemption for Child-Care Facilities Amendment, was on the ballot in Texas as a legislatively referred constitutional amendment on November 7, 2023.The ballot measure was approved.

A "yes" vote supported amending the state constitution to allow counties or municipalities to authorize a property tax exemption on all or part of the appraised value of real property used to operate child-care facilities.

A "no" vote opposed this constitutional amendment to authorize local property tax exemptions on properties used to operate child-care facilities.

Election results

Texas Proposition 2
Result		Votes	Percentage
Yes		1,629,151	64.78%
No		885,704	35.22%

Results are officially certified.

Source

Overview

What did Proposition 2 do?

See also: Text of measure

Proposition 2 authorized the state legislature to pass a law to authorize a property tax exemption on all or part of the property used to operate a child-care facility. It also authorized the state legislature to define child-care facility and imposed eligibility requirements for qualifying for the tax exemption.

The state legislature also passed Senate Bill 1145 (SB 1145), the implementing legislation, during the 2023 regular legislative session.

Who supported and opposed the amendment?

See also: Support and Opposition

The amendment was sponsored by State Sen. Royce West (D-23). Sen. West said, "The Texas child-care shortage is likely to have devastating effects on early childhood education, economic growth, and employment opportunities for parents. According to the U.S. Chamber of Commerce Foundation, Texas' economy loses more than $9 billion every year due to inadequate child care. S.J.R. 64 seeks to address this issue by allowing the legislature, by general law, to exempt from property taxation all or part of the appraised value of real property used to operate a child-care facility." The amendment also received endorsements from Methodist Healthcare Ministries and Texas Restaurant Association.

Ballotpedia did not locate a campaign in opposition to the ballot measure.

Text of measure

Ballot title

The ballot title was as follows:

“

The constitutional amendment authorizing a local option exemption from ad valorem taxation by a county or municipality of all or part of the appraised value of real property used to operate a child-care facility.

”

Constitutional changes

See also: Article 8, Texas Constitution

The ballot measure added a Section 1-r to Article 8 of the Texas Constitution. The following underlined text was added:

Section 1-r. The governing body of a county or municipality may exempt from ad valorem taxation all or part of the appraised value of real property used to operate a child-care facility. The governing body may adopt the exemption as a percentage of the appraised value of the real property. The percentage specified by the governing body may not be less than 50 percent. The legislature by general law may define "child-care facility" for purposes of this section and may provide additional eligibility requirements for the exemption authorized by this section.

Readability score

See also: Ballot measure readability scores, 2023

Using the Flesch-Kincaid Grade Level (FKGL) and Flesch Reading Ease (FRE) formulas, Ballotpedia scored the readability of the ballot title for this measure. Readability scores are designed to indicate the reading difficulty of text. The Flesch-Kincaid formulas account for the number of words, syllables, and sentences in a text; they do not account for the difficulty of the ideas in the text. The state legislature wrote the ballot language for this measure.

The FKGL for the ballot title is grade level 21, and the FRE is 7. The word count for the ballot title is 35.

Support

Supporters

Officials

• State Sen. Royce West (D)

Organizations

• Methodist Healthcare Ministries
• Texas Restaurant Association

Arguments

• Kim Kofron, senior director of education for Children at Risk: "We have the child care cliff that we’re all experiencing with the money that ran out at the end of September. Prop 2 is not going to replace all those funds, and it’s not going to solve child care, but it’s a good start and way for providers to really feel some relief."
• State Sen. Royce West (D-23): "The Texas child-care shortage is likely to have devastating effects on early childhood education, economic growth, and employment opportunities for parents. According to the U.S. Chamber of Commerce Foundation, Texas' economy loses more than $9 billion every year due to inadequate child care. S.J.R. 64 seeks to address this issue by allowing the legislature, by general law, to exempt from property taxation all or part of the appraised value of real property used to operate a child-care facility."

Opposition

Opponents

Organizations

• Huffines Liberty Foundation
• Texans for Fiscal Responsibility
• Texas Eagle Forum
• True Texas Project

Arguments

• Texans for Fiscal Responsibility: "We strongly recommend voting against this amendment. Carving out property tax exemptions for businesses always result in higher tax burdens for other businesses, especially homeowners, who must pay more in taxes to make up the difference in lost tax revenue."

Campaign finance

See also: Campaign finance requirements for Texas ballot measures

If you are aware of a committee registered to support or oppose this amendment, please email editor@ballotpedia.org.

	Cash Contributions	In-Kind Contributions	Total Contributions	Cash Expenditures	Total Expenditures
Support	$0.00	$0.00	$0.00	$0.00	$0.00
Oppose	$0.00	$0.00	$0.00	$0.00	$0.00
Total	$0.00	$0.00	$0.00	$0.00	$0.00

Media editorials

See also: 2023 ballot measure media endorsements

Ballotpedia identified the following media editorial boards as taking positions on the proposition.

Ballotpedia lists the positions of media editorial boards that support or oppose ballot measures. This does not include opinion pieces from individuals or groups that do not represent the official position of a newspaper or media outlet. Ballotpedia includes editorials from newspapers and outlets based on circulation and readership, political coverage within a state, and length of publication. You can share media editorial board endorsements with us at editor@ballotpedia.org.

Support

• Houston Chronicle Editorial Board: "Prop 2, Child care center tax cut: For. Child care deserts increased during the pandemic. We hope this property tax break, while imperfect, will trickle down to providers and families."
• San Antonio Express-News Editorial Board: "Proposition 2: This proposition would allow city and county governments to create property tax exemptions for child care facilities. The hope is property tax relief would translate into reduced tuition, making child care more affordable. It also allows the Legislature to define a child care facility. Our view: For."
• The Dallas Morning News Editorial Board: "RECOMMENDATION: Yes. Child care is essential to keep growing the workforce and economy of Texas, but it is an expensive and labor-intensive business. Providers struggle to pay their employees more than $12 an hour on average. Child care is expensive for parents too — the average family in Dallas County spends around $11,000 or 14.6% of their income on child care every year."
• Fort Worth Star-Telegram Editorial Board: "Cities and counties could exempt significant parts of the property value of child-care facilities from taxation. Taxpayers should be weary of the mounting number of such targeted breaks — every dime exempted must be paid by someone else. But this would give communities an optional tool to tackle an increasing problem, the lack of adequate child care. Recommendation: For."
• The Austin Chronicle Editorial Board: "Property Tax Exemption for Child Care Centers: Yes. Part of the reason younger generations are not having kids is because child care is too damn expensive. We should do everything we can to reduce that cost – allowing owners of child care centers to access tax exemptions for properties used to operate those facilities could help do that."
• Austin American-Statesman Editorial Board: "As any working parent knows, having a trusted place to care for your children while you work is a necessity in today's economy, particularly in low- to moderate-income households that struggle to make ends meet. But the well-chronicled economics of day care centers are brutal. Easing their strain can result in more childcare centers, potentially lowering costs for parents, allowing them to keep working and contribute to the economy. Vote 'Yes.'"

Opposition

You can share campaign information or arguments, along with source links for this information, at editor@ballotpedia.org.

Background

Senate Bill 1145 (2023)

The Texas State Legislature passed Senate Bill 1145 (SB 1145) during the 2023 regular legislative session by a vote of 25-6 in the Senate and 109-33 in the House. SB 1145 authorized counties and municipalities to enact a local option property tax exemption from ad valorem taxation on all or part of the appraised value of property used to operate a child-care facility. The law prohibited the exemption from being less than 50% of the appraised value. For properties leased to operators of child-care facilities, the law required the landlord to include with their exemption application an affidavit that certifies they have informed the operator of the child-care facility of the amount of the tax exemption and that rent charged will be decreased in proportion to the reduction of taxes either through a monthly or annual credit against the rent. The law also states that the exemption does not need to be claimed again once it is authorized unless the property changes ownership or the property no longer meets the qualifications for the exemption. The law took effect on January 1, 2024.

Missouri Property Tax Exemption for Childcare Establishments Amendment (2024)

See also: Missouri Property Tax Exemption for Childcare Establishments Amendment (2024)

Missouri voters also decided on an amendment in November 2024 to provide for property tax exemptions for child-care establishments. The exemptions were designed to apply to all or part of the property owned by an individual, a for-profit organization, or a nonprofit organization used primarily for child-care. It was referred to the ballot by the Missouri State Legislature.

Referred measures on the Texas ballot

See also: List of Texas ballot measures

In Texas, a total of 281 ballot measures appeared on statewide ballots between 1985 and 2022. Two hundred forty-eight ballot measures were approved, and 33 ballot measures were defeated.

Texas statewide ballot measures, 1985-2022
Total number	Annual average	Annual minimum	Annual maximum	Approved		Defeated
				#	%	#	%
281	6.39	0	22	248	88.26	33	11.74

Texas ballot measures in odd-numbered years

Between 1995 and 2021, Texans decided on 175 statewide ballot measures appearing on odd-numbered year ballots. Voters approved 160 measures and defeated 15.

Path to the ballot

See also: Amending the Texas Constitution

To put a legislatively referred constitutional amendment before voters, a two-thirds (66.67%) vote is required in both the Texas State Senate and the Texas House of Representatives.

This amendment was introduced as Senate Joint Resolution 64 on March 9, 2023. On May 3, 2023, the state Senate passed SJR 64 by a vote of 25-6. On May 19, the state House passed SJR 64 by a vote of 114-31 with four not voting.

Vote in the Texas State Senate May 3, 2023
Requirement: Two-thirds (66.67 percent) vote of all members in each chamber
Number of yes votes required: 21  a
	Yes	No	Not voting
Total	25	6	0
Total percent	80.6%	19.4%	0.0%
Democrat	12	0	0
Republican	13	6	0

Vote in the Texas House of Representatives May 19, 2023
Requirement: Two-thirds (66.67 percent) vote of all members in each chamber
Number of yes votes required: 100  a
	Yes	No	Not voting
Total	114	31	4
Total percent	76.5%	20.8%	2.7%
Democrat	62	1	1
Republican	52	30	3

How to cast a vote

See also: Voting in Texas

See below to learn more about current voter registration rules, identification requirements, and poll times in Texas.

How to vote in Texas

Poll times

In Texas, all polling places are open from 7:00 a.m. to 7:00 p.m. local time. Texas is divided between the Central and Mountain time zones. An individual who is in line at the time polls close must be allowed to vote.

Registration

Check your voter registration status here.

To register to vote in Texas, an applicant must be a United States citizen, a resident of the county in which he or she is registering, and at least 17 years and 10 months old.

The deadline to register to vote is 30 days before the election. Prospective voters can request a postage-paid voter registration form online or complete the form online and return it to the county voter registrar. Applications are also available at a variety of locations including the county voter registrar’s office, the secretary of state’s office, libraries, and high schools. Voter registration certificates are mailed to newly registered voters.

Automatic registration

Texas does not practice automatic voter registration.

Online registration

See also: Online voter registration

Texas does not permit online voter registration.

Same-day registration

Texas does not allow same-day voter registration.

Residency requirements

Prospective voters must reside in the county in which they are registering to vote.

Verification of citizenship

See also: Laws permitting noncitizens to vote in the United States

Texas does not require proof of citizenship for voter registration. An individual applying to register to vote must attest that they are a U.S. citizen under penalty of perjury.

State law requires election officials to conduct a check of registered voters' citizenship status. Section 18.068 of the Texas Election Code says the following:

“	The secretary of state shall quarterly compare the information received under Section 16.001 of this code and Section 62.113, Government Code, to the statewide computerized voter registration list. If the secretary determines that a voter on the registration list is deceased or has been excused or disqualified from jury service because the voter is not a citizen, the secretary shall send notice of the determination to the voter registrar of the counties considered appropriate by the secretary.	”
—Section 18.068, Texas Election Code

In January 2019, the Texas secretary of state’s office announced that it would be providing local election officials with a list of registered voters who obtained driver’s licenses or IDs with documentation such as work visas or green cards. Counties would then be able to require voters on the list to provide proof of citizenship within 30 days. The review was halted by a federal judge in February 2019, and Secretary of State David Whitley rescinded the advisory in April. A news release from Whitley’s office stated that “... going forward, the Texas Secretary of State's office will send to county voter registrars only the matching records of individuals who registered to vote before identifying themselves as non-U.S. citizens to DPS when applying for a driver's license or personal identification card. This will ensure that naturalized U.S. citizens who lawfully registered to vote are not impacted by this voter registration list maintenance process.”

All 49 states with voter registration systems require applicants to declare that they are U.S. citizens in order to register to vote in state and federal elections, under penalty of perjury or other punishment. Seven states — Alabama, Arizona, Georgia, Kansas, Louisiana, New Hampshire, and Wyoming — have laws requiring verification of citizenship at the time of voter registration, whether in effect or not. In three states — California, Maryland, and Vermont — at least one local jurisdiction allows noncitizens to vote in some local elections. Noncitizens registering to vote in those elections must complete a voter registration application provided by the local jurisdiction and are not eligible to register as state or federal voters.

Verifying your registration

The Texas Secretary of State’s office allows residents to check their voter registration status online by visiting this website.

Voter ID requirements

Texas requires voters to present photo identification while voting.

The following list of accepted ID was current as of February 2023. Click here for the Texas Secretary of State's page on accepted ID to ensure you have the most current information.

• Texas driver’s license issued by the Texas Department of Public Safety (DPS)
• Texas Election Identification Certificate issued by DPS
• Texas Personal Identification Card issued by DPS
• Texas handgun license issued by DPS
• United States Military Identification Card containing the person’s photograph
• United States Citizenship Certificate containing the person’s photograph
• United States passport (book or card)

Identification provided by voters aged 18-69 may be expired for no more than four years before the election date. Voters aged 70 and older can use an expired ID card regardless of how long ago the ID expired.

Voters who are unable to provide one of the ID options listed above can sign a Reasonable Impediment Declaration and provide one of the following supporting documents:

• Copy or original of a government document that shows the voter’s name and an address, including the voter’s voter registration certificate
• Copy of or original current utility bill
• Copy of or original bank statement
• Copy of or original government check
• Copy of or original paycheck
• Copy of or original of (a) a certified domestic (from a U.S. state or territory) birth certificate or (b) a document confirming birth admissible in a court of law which establishes the voter’s identity (which may include a foreign birth document)

The following voters are exempt from showing photo ID:

• Voters with a disability
  • Voters with a disability "may apply with the county voter registrar for a permanent exemption to presenting an acceptable photo identification or following the Reasonable Impediment Declaration procedure in the county."
• Voters who have a religious objection to being photographed

Voters who do not have a photo ID can obtain a Texas Election Identification Certificate (EIC) at any Texas driver’s license office during regular business hours. Voters can also obtain an Election Identification Certificate from a mobile station. Locations are listed here.

See also

2023 measures

• 2023 ballot measures
• Taxes on the ballot

Texas

• Texas ballot measures
• Texas ballot measure laws

News and analysis

• Ballot measure lawsuits
• Ballot measure readability
• Ballot measure polls

External links

• Texas Senate Joint Resolution 64