Texas AG Blocks Over 130 Cities from Raising Property Taxes

Texas Attorney General Ken Paxton has prohibited more than 130 cities, primarily small municipalities, from increasing property taxes due to non-compliance with Senate Bill 1851. This state law, enacted by the GOP-led legislature to curb high property taxes, mandates that cities conduct annual financial audits and release statements based on those audits before raising tax revenues above the previous year's levels. Paxton's office identified approximately 135 cities that failed to meet these audit requirements within the 180-day deadline, arguing that allowing unlawful tax hikes would burden hardworking Texans. Affected cities include Alpine, Balch Springs, Victoria, and Wimberley. Small city officials had previously warned that the strict audit provisions disproportionately impact them due to limited manpower and resources, potentially harming their already tight budgets. While larger cities like Houston and Dallas were initially investigated, they were not included in this specific block list. The investigation remains ongoing as Paxton seeks to enforce accountability and ensure strict adherence to state financial transparency laws.