What this is
Texas may let homeowners skip taxes on home value gained from energy-saving upgrades.
Texas is considering a constitutional amendment that could help homeowners save money on property taxes. The proposal, called HJR 38, would let the state legislature create a tax break for homeowners who make energy-efficient upgrades to their homes.
Right now, when homeowners add solar panels, better insulation, new windows, or other energy-saving improvements, their homes increase in value. This higher value usually means higher property taxes. HJR 38 would change this. If passed, homeowners could exclude the value added by these improvements from their property tax bills.
The amendment would give the legislature power to define what counts as an "energy efficiency-related improvement" and to set rules for who qualifies. This flexibility allows future lawmakers to adjust the program as new technologies emerge and costs change.
Voters will decide on this proposal on May 2, 2026. The measure is sponsored by State Representative Barbara Gervin-Hawkins. If Texas voters approve, the legislature can then create the specific rules and details of how the tax exemption works.
Read full text
This policy supports families trying to lower their energy bills and reduce pollution. It also makes green upgrades more affordable by reducing the tax hit that comes with making a home more efficient.
Key details
- Election Date: May 2, 2026
- Bill Number: HJR 38
- Sponsor: Barbara Gervin-Hawkins
- Target Property Type: Residential real property
About Texas Legislature
The Texas Legislature is the state legislature of Texas, consisting of the House of Representatives with 150 members and the Senate with 31 members. Meeting in regular session every two years, the legislature passes stat…
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How this affects households
Under $30,000
Most families at this income level rent their homes, so they wouldn't benefit from this homeowner tax break. Those who do own homes may not have money for big energy upgrades.
$30,000-$60,000
Homeowners could save on property taxes after installing energy upgrades, but many families may struggle to afford the upfront costs of solar panels or new windows.
$60,000-$100,000
This group would benefit well from the tax break since they're more likely to own homes and have some money for energy improvements like better insulation or efficient appliances.
Over $100,000
Higher-income homeowners would get the biggest benefit since they can afford expensive upgrades like solar systems and have higher property values to protect from tax increases.
How to get involved
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