This requirement is of primary importance because the state's distribution of several billion dollars in school aid depends in part on the Comptroller's findings. Section 5.10 of the Property Tax Code requires the Comptroller to determine annually the level and uniformity of property tax appraisals in each appraisal district by using data collected in the annual school district study discussed above. The school district study required by the Government Code and the appraisal district study required by Section 5.10 of the Property Tax Code are jointly referred to as the Comptroller's Property Value Study. In Texas, state education aid is based in part on the per pupil wealth of a school district. The commissioner of education uses the Comptroller's estimates of taxable value to calculate the state funds each district receives.
Taxable value is the estimated property wealth of each school district for state funding purposes.
It equals the market value of all property in a district, minus certain exemptions and deductions. The Comptroller's estimated taxable value reflects deductions for state-mandated homestead and disabled veterans' exemptions. Deductions also arise from reinvestment zones, freeport exemptions, productivity appraisal of qualified agricultural lands, the school tax ceiling for over-65 homeowners, and other state mandated exemptions. In addition to estimating the wealth of each district, the Comptroller annually estimates the level and uniformity of property tax appraisals in each appraisal district. The uniformity measures indicate whether the appraisal district is appraising property uniformly within a category or from one category to another.