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Senate panel approves modest homestead-credit increase and one-time transfers to fund voting equipment
Summary
The Revenue & Tax Committee approved measures that raise the homestead tax credit from $350 to $375, direct county and city reimbursements and authorize a one-time transfer from the property tax relief trust fund to help counties buy voting equipment; the bill also authorizes sweeping excess funds to general revenue after minimum reserves are maintained.
The Senate Revenue & Tax Committee on voice votes approved legislation to raise the state homestead tax credit and to authorize transfers from the state’s property tax relief trust fund to reimburse local governments and pay for election equipment.
Senator Hendren, who presented Senate Bill 447, said the measure increases the homestead credit from $350 to $375 and would cost “a little over $12,000,000 a year,” while preserving an administrative hold‑harmless distribution to cities and counties. "Everyone who's getting homestead credit now is going to get an additional $25 in savings," Hendren said.
Hendren traced the 1990s origins of the homestead credit and the half‑cent sales tax created to fund it. He said the trust fund has grown faster than credit costs and has been used previously for other appropriations. Under SB 447, the Department of Finance and Administration would be required to retain enough in the fund to pay the $375 credit and the $5,000,000 allocated annually to cities and counties; amounts above those reserves could be swept to general revenue for other state needs.
The bill also includes a one‑time transfer to help counties complete purchases of voting equipment and raises the state match for equipment from a minimum of 50% to as much as 95%, Hendren said. He estimated the state’s share in the proposal at about $8,000,000 and county shares about $5,000,000 to finish the purchases.
Committee members received an impact statement; a senator asked whether the impact reflected the adopted amendment (Hendren said it did not). Following discussion, the committee moved and seconded a do‑pass motion (moved by Senator Malek; seconded by Senator Bledsoe) and approved SB 447 by voice vote. The committee record does not include roll‑call vote tallies.
What happens next: With committee approval, SB 447 advances to the full Senate for floor consideration and any additional amendments.
Sources: Committee hearing testimony by Senator Hendren and procedural actions recorded by the chair.
