As voters head to the polls Nov. 4 to decide on 17 proposed state constitutional amendments, they will find that 11 of the measures involve tax exemptions.
Four of those amendments could provide substantial property tax relief for Waco homeowners and business owners. As in the rest of the state, Waco has seen rising home valuations in recent years lead to high property tax burdens on residents.
At a “McLennan County Talks” civic education event last week, McLennan County Tax Assessor-Collector Randy Riggs advised voters to see each proposition within the larger give-and-take of state and local tax revenues.
“In general, people want services,” Riggs said. “Those services come at a cost, and how do we pay for those services? Well, through taxation,” Riggs said. “If you exempt tax from one place, it’s going to have to come from somebody else.”
Piling on exemptions could have long-term implications for the sustainability of the state budget, too, he said.
Voters must be registered by Oct. 6 to participate in the election. Early voting is set for Oct. 20-31. A list of McLennan County Voting locations can be found here.
The following is a selection of tax-related amendments that could have a significant impact on area property owners. A Texas Tribune guide to all 17 propositions can be found here.
Proposition 13
Increasing homestead exemptions
The ballot language: “The constitutional amendment to increase the amount of the exemption of residence homesteads from ad valorem taxation by a school district from $100,000 to $140,000.”
The bottom line: For a homeowner with a homestead exemption, Proposition 13 increases exemptions on home value as it applies to school taxes. The exemption would rise significantly, from $100,000 to $140,000.
A typical Waco homeowner would see about $411 in savings on school taxes if the amendment passes, according to the McLennan County Tax Assessor’s office. Local school districts have already passed budgets and tax rates presuming that the amendment will pass.
The average Waco Independent School District homeowner in 2025 had a taxable value of $110,119, factoring in exemptions. The average Midway ISD home had a taxable value of $273,369. The new amendment would lower those taxable values by another $40,000.
To prevent school districts from enduring a painful and sudden drop in revenue, the state will be picking up the tab.
But that introduces two problems, Riggs said.
“The state is supposed to make school districts whole, but do they?” he said. “That’s always a question.”
The second problem is more long term. If the state budget becomes strained from cumulative revenue loss, legislators may have to reverse course eventually or find another way to raise revenue — and taxes.
Proposition 11
Disabled and 65+ homeowners
The ballot language: “The constitutional amendment authorizing the legislature to increase the amount of the exemption from ad valorem taxation by a school district of the market value of the residence homestead of a person who is elderly or disabled.”
The bottom line: Texan homeowners who are 65 or disabled are already eligible for $10,000 in homestead exemptions. This amendment would boost the exemption to $60,000. Combined with the increase in homestead exemptions under Proposition 13, elderly or disabled Wacoans could reap as much as $200,000 in school tax exemptions. As with Prop 13, the state is promising to make up the difference in lost funding to school districts.
Proposition 7
Breaks for widows of veterans
The ballot language: “The constitutional amendment authorizing the legislature to provide for an exemption from ad valorem taxation of all or part of the market value of the residence homestead of the surviving spouse of a veteran who died as a result of a condition or disease that is presumed under federal law to have been service-connected.”
The bottom line: The amendment would provide property tax relief to unmarried widows of veterans who died from conditions or diseases related to their service. Legislation accompanying the amendment would allow qualifying veteran spouses to receive full household property tax exemptions if they have not remarried, according to the Texas Tribune.
Proposition 9
Inventory and equipment tax exemption
The ballot language: “The constitutional amendment to authorize the legislature to exempt from ad valorem taxation a portion of the market value of tangible personal property a person owns that is held or used for the production of income.”
The bottom line: This amendment proposes up to $125,000 in tax exemptions for businesses’ personal property — think inventory and equipment. The current business property exemption is $2,500. That’s likely welcome news for small business owners, but unlike other amendments on the table, this one does not come with state reimbursements for revenue cities would lose.
“That saves our Waco businesses some money,” Waco Mayor Jim Holmes told The Waco Bridge. “But on the other hand, it creates a little revenue hole locally. It’s about a $1.7 million hole in our budget.”
Holmes said he, McLennan County Judge Scott Felton and State Rep. Pat Curry (R-Waco), coordinated to adjust the city and county’s 2026 budgets beforehand.
“We accommodated our budget to cover the shortfall,” Holmes said.
