AUSTIN (Nexstar) — Texans will soon vote on a proposition that would allow property tax exemptions for operating childcare facilities in the upcoming election.
Texas Proposition 2, which stems from S.J.R. 64, establishes a property tax exemption based on the appraised value of a childcare facility. The exemption must be at least 50 percent of the property’s appraised value.
Since the pandemic, several federal COVID-19 relief programs were instilled to keep citizens and businesses afloat, such as the child-care industry. Many of those programs have or are set to expire.
Cynthia McCollum, the executive director of Open Door Preschools, emphasized that the schools she managed depended “enormously” on the pandemic relief money.
“The only reason we were able to keep to open was because of the support and the funding that came through the state to us,” McCollum said. “But even with all of that, like I said, we had to close a school.”
Proposition 2 is aimed at giving some relief to childcare facilities to alleviate some of the financial burdens that are often passed on to families in the form of higher tuition.
“Any cost savings that we can get can either be put toward our staffing costs to either pay higher wages or hire more teachers,” McCollum said.
BriTanya Brown, a community organizer with Childcare Changemakers, also illustrated Proposition 2 is a step in the right direction, especially with the rising costs of living.
“Many families can’t afford to pay the for their childcare, but they know that they need it to work,” said Brown.
The U.S. Chamber of Commerce Foundation curated a report that finds that childcare issues result in a loss of $9.4 billion per year in Texas.
The deadline to register to vote for the constitutional amendment election is Oct. 10. Texans will be able to vote on various constitutional amendments, such as Proposition 2, on Nov. 7 in the constitutional amendment election.
This is an ongoing story. Check back for updates. Capitol Correspondent Monica Madden will have a full report on KXAN at 6 p.m.