Mills County appraisal representatives told the Commissioners Court that while the county’s total market value rose to about $3.7 billion for 2025, taxable value edged down from about $912 million to $909 million, a shift that county staff said reduces expected tax revenue by roughly $66,000. The county received the update during a discussion about 2025–26 budget planning.

The appraisal presentation, delivered by representatives from Milstead, outlined multiple causes for the difference between market and taxable values. Gloria Friedrich, a Milstead representative, and Michael Hall, another Milstead representative, said changes adopted at the state level — including an increase in the homestead exemption from $100,000 to $140,000, an increase in the inventory/sales threshold to $250,000, and 100 additional homestead exemptions — are among the factors reducing taxable value.

“Additional exemptions such as homestead or veterans’ exemptions and our production-loss estimates are the main drivers of the taxable-value change,” Michael Hall said, summarizing the appraisal office’s analysis.

The presentation also addressed utility and energy property. Milstead staff and the court discussed wind turbines sited on county roads. The appraisal team said many turbines are now about 11 years into a 20-year expected lifespan and are treated as increasingly obsolete for tax valuation; productivity and the turbines’ ability to return profit have declined. A utility appraiser referenced in the meeting, Richard Navin, was described as having discussed lower production allowances and regulatory limits on how often older turbines may produce into the grid, which reduces assessed value.

Milstead staff said the county’s collection rate and staffing are steady and that a newly hired appraiser is updating schedules and acreage data. Commissioners asked how the homestead and other exemption changes would affect school tax receipts; Milstead staff and county officials clarified that some exemption changes primarily affect school district taxable bases and that the legislature has previously taken steps to offset school impacts. No formal budget decision was made at the meeting; commissioners directed staff to continue incorporating the updated appraisal numbers into the county budget work ahead of upcoming budget workshops.

The court heard follow-up questions but did not vote on any tax-rate or budget measures during the session. Commissioners indicated they would use the appraisal figures when meeting with the county treasurer and the auditor during scheduled budget work sessions.