Specifically, Hays County Judge Ruben Becerra formally requested in a letter that the Hays Central Appraisal District halt decisions on several tax exemption applications until the state provides legal guidance, according to a news release.
On April 28, Hays County filed a temporary restraining order against out-of-county housing finance corporations seeking tax exemptions on multifamily properties within the county.
The overview
The request follows actions by the Pecos Housing Finance Corporation and Pleasanton Housing Finance Corporation, two organizations based outside Hays County. The corporations recently acquired large residential complexes in San Marcos and Kyle and are now seeking to remove the properties from the local tax rolls by claiming tax-exempt status.
If approved, the exemptions would strip more than $227 million in taxable value from the county’s tax base, resulting in an estimated $500,000 loss in revenue to Hays County, with additional impacts on local school districts and municipalities.
“These organizations are operating without our input, our support or our authorization,” Becerra said in the release. “They are pulling hundreds of millions of dollars in property off our tax rolls—money we depend on to fund public safety, health and other essential services.”
Digging deeper
While Becerra said the county supports affordable housing, he noted that some of the developments in question are marketed as luxury properties, raising concerns about the validity of the tax-exempt claims.
“This is not just a local issue—it’s happening across Texas,” Becerra said in the release. “But here in Hays County, we will not stand by while outside entities try to take from our communities without accountability.”
