Texas Attorney General Ken Paxton has ordered four cities to stop their property tax rate hikes amid concerns that the localities are not following new state rules.
The Texas Tribune reports that Paxton contacted officials in La Marque, Odessa, Tom Bean and Whitesboro, informing them that his office fielded complaints that the cities either missed key financial reporting deadlines or lacked complete audits. Under a recently passed law, the attorney general’s office can halt a city’s tax rate for one year if it is determined that the locality is not in compliance.
“Texas auditing laws require cities to file their annual report and financial statements by a certain point in the fiscal year,” said Paxton’s office in a statement. “But several municipalities seemingly failed to do so and either submitted their reports late or not at all.”
Officials in La Marque and Whitesboro acknowledged submitting their audit paperwork late while Odessa officials disputed whether Paxton could apply the new law retroactively – that city has yet to file its 2023 audit paperwork. Officials in Tom Bean did not comment on Paxton’s actions.
