Phelan swiftly rejected SB 1 and a companion resolution when they arrived in the House. Phelan said because the bills would increase the homestead exemption, they fell outside of Abbott's agenda for a special session. Only Abbott can call a special session and only he can determine which legislation lawmakers take up. Abbott'sThe current homestead exemption allows homeowners to deduct $40,000 from their home value before paying school district taxes.
Abbott's call for property tax relief said it must be achieved "solely by reducing the school district maximum compressed tax rate." After determining that the Senate's legislation went beyond Abbott's narrow agenda for the special session, Phelan said he would not assign the bills to a House committee for consideration.After going most of the year without wading into the property tax-cut debate, Abbott emerged in full force Tuesday.
In the morning, Patrick, who presides over the Senate, used a speech before a conservative think tank to criticize his counterpart in the House and promote his preferred approach to property taxes. Patrick declared that Phelan runs a "dysfunctional chamber."