Education Funding A National Roundup

Texas High Court Rules Property Tax Unconstitutional

By David J. Hoff — November 22, 2005 1 min read
  • Save to favorites
  • Print

The Texas Supreme Court ruled Nov. 22 that even though the state’s property-tax-based school aid system is unconstitutional, the state provides enough money to schools to be considered adequate under the state constitution.

In a long-awaited ruling addressing a case that consolidated three separate suits, the state’s highest court ordered the state to refrain from enforcing a cap on local property taxes and gave the legislature until June 1 to change the system. But the court also ruled that the state doesn’t have to increase funding for schools.

“The public education system need not operate perfectly,” Justice Nathan L. Hecht wrote in a 7-1 opinion released Nov. 22. “It is adequate if districts are reasonably able to provide their students the access and opportunity the district court described.”

The statewide cap on property taxes forces some districts to limit the amount of money they spend on their students, and thus a state-controlled property tax, a violation of the state constitution, Justice Hecht added.

In Neeley v. West Orange-Clover Consolidated Independent School District, three separate sets of plaintiffs tried to change Texas’ complicated school aid system, which caps the amount districts may raise from property taxes and requires more-affluent districts to share revenue with poorer ones. In the regular legislative session and two special sessions earlier this year, the legislature failed to fix the finance system.

Related Tags:

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Artificial Intelligence Webinar
Managing AI in Schools: Practical Strategies for Districts
How should districts govern AI in schools? Learn practical strategies for policies, safety, transparency, as well as responsible adoption.
Content provided by Lightspeed Systems
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Reading & Literacy Webinar
Unlocking Success for Struggling Adolescent Readers
The Science of Reading transformed K-3 literacy. Now it's time to extend that focus to students in grades 6 through 12.
Content provided by STARI
Jobs Virtual Career Fair for Teachers and K-12 Staff
Find teaching jobs and K-12 education jubs at the EdWeek Top School Jobs virtual career fair.

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Educator Layoffs Loom as Canceled Community Schools Grants Remain in Limbo
Three legal challenges and bipartisan backlash have followed the Trump administration's funding cuts.
5 min read
Stephon Thompson, an administrator at Stevenson Elementary School, directs students through the doors at the beginning of the school day in Southfield, Mich., on Feb. 28, 2024.
Stephon Thompson directs students through the doors at the beginning of the school day at Stevenson Elementary School in Southfield, Mich., on Feb. 28, 2024. The school has added on-site social services in recent years as a community school. The Trump administration has recently discontinued 19 federal grants that help schools become local service hubs for students and their families.
Samuel Trotter for Education Week
Education Funding ‘Terminated on a Whim’: The AFT Sues Trump’s Ed. Dept. Over Funding Cuts
The AFT and a Chicago-area nonprofit argue the cuts happened without following required procedures.
Randi Weingarten speaks at a press conference at Murrell Dobbins Career & Technical Education High School in Philadelphia, Pennsylvania on September 2, 2025.
Randi Weingarten, the president of the American Federation of Teachers, speaks at a press conference in Philadelphia on Sept. 2, 2025. Weingarten says that cuts to federal education funds by the Trump administration "are only hurting young people."
Rachel Wisniewski for Education Week
Education Funding School Mental Health Projects Canceled by Trump Might Still Survive
The end of funding could still be days away, but a new court order offers some hope for grantees.
6 min read
Reducing, removing or overcoming financial barriers, financial concept : US dollar bag on a maze puzzle.
William Potter/iStock
Education Funding 'A Gut Punch’: What Trump’s New $168 Million Cut Means for Community Schools
School districts in 11 states will imminently lose federal funds that help them cover staff salaries.
10 min read
Genesis Olivio and her daughter Arlette, 2, read a book together in a room within the community hub at John H. Amesse Elementary School on March 13, 2024 in Denver. Denver Public Schools has six community hubs across the district that have serviced 3,000 new students since October 2023. Each community hub has different resources for families and students catering to what the community needs.
Genesis Olivio and daughter Arlette, 2, read a book in one of Denver Public Schools' community hubs in March 2024. The community hubs, which offer food pantries, GED classes, and other services, are similar to what schools across the country have developed with the help of federal Community Schools grants, many of which the U.S. Department of Education has prematurely terminated.
Rebecca Slezak For Education Week