The Lina Hidalgo childcare tax proposal is a Harris County property tax increase, approved by voters in November 2024 as Proposition A, that dedicates new local revenue to early childhood education. It passed with roughly 60 percent support and raises the county tax rate by about one cent per $100 of taxable property value, which county estimates projected would generate around $60 million per year for childcare access and quality.
What It Costs a Homeowner
The math is simple. Divide your home’s taxable value by 100, then multiply by 0.01. A home valued at $300,000 pays roughly $30 more per year on its county bill. A $400,000 home pays about $40. For most households the increase works out to a few dollars a month. You can check your current appraised value through the Harris County Appraisal District to run the number on your own property.
Renters don’t get a property tax bill, but the cost doesn’t stop at the property line. A 2026 study using Berkeley, California data found landlords pass through roughly 50 to 89 cents of every additional dollar in property taxes to new tenants through higher rent. Pass-through varies by market, so the effect in Harris County will show up gradually rather than all at once.
Who Is Protected From the Increase
Texas law shields some homeowners from county tax increases, including ones approved at the ballot. Under Article 8, Section 1-b of the Texas Constitution, the legislature may freeze county property taxes for homeowners who are 65 or older or who have a qualifying disability. Once the freeze applies, the dollar amount owed to the county stays locked at the level paid in the first qualifying year, regardless of later rate changes.
The freeze continues as long as the homeowner lives in the home and continues to qualify. If a qualifying homeowner moves, the legislature has authorized a proportionate transfer of the limitation to the new residence, provided the new home’s improvements are substantially equivalent. Surviving spouses aged 55 or older may inherit a proportionate share. For these households, the childcare measure does not raise the actual bill.
Where the Money Goes
Revenue is restricted by the ballot language to early childhood education and care. The stated priorities are expanding the number of childcare slots available to low-income and working families and improving quality at existing programs, including staff training and facility upgrades. Neighborhoods the county has identified as childcare deserts get priority.
The program builds on the county’s Early REACH initiative. Harris County had previously used $84 million in federal American Rescue Plan Act funds through the Brighter Futures for Harris County Kids Initiative, with $26 million of that going to Early REACH to create 1,000 new high-quality childcare slots. ARPA money was temporary, and the property tax measure is intended as a permanent, locally controlled replacement.
The need behind the proposal is substantial. As of 2021, Harris County had about 360,000 children from birth through age four but licensed capacity for only around 185,000. Thirty-nine zip codes had no childcare providers participating in Texas Rising Star, the state’s quality rating system.
Why It Had to Go to the Ballot
Commissioners Court could not simply adopt the rate. Under Texas Senate Bill 2, passed in 2019, any county rate that would push revenue growth above 3.5 percent over the prior year triggers an automatic election on the November uniform date. SB 2 replaced the older 8 percent threshold and eliminated the petition requirement that used to stand between a proposed rate and a public vote.
Texas Tax Code Section 26.07 governs how the election runs. The ballot must show the adopted rate, the difference between that rate and the voter-approval rate, and the prior year’s rate. A majority yes vote puts the higher rate into effect for the current tax year. A no vote holds the rate at the voter-approval level and forces corrected bills and refunds for anyone who already paid. Proposition A cleared the vote, and the higher rate took effect for the following fiscal year.
A Separate Break for Childcare Providers
In early 2024, and separate from the ballot measure, Harris County Commissioners Court unanimously approved a 100 percent property tax exemption for qualifying childcare facilities. To qualify, a facility must participate in Texas Rising Star and serve a population where at least 20 percent of enrolled children receive subsidized care through the Texas Workforce Commission. The exemption is authorized by Texas Senate Bill 1145 and is designed to lower operating costs for providers already serving families who rely on subsidies.
Federal Credits That Can Help With Childcare Costs
Federal tax relief exists independently of anything Harris County does. For the 2026 tax year, the Child Tax Credit provides up to $2,200 per qualifying child, with a refundable portion capped at $1,700. The refundable amount is calculated as a percentage of earnings above $2,500, so families with very low earnings receive a smaller credit.
The federal Child and Dependent Care Credit is a separate benefit that offsets a percentage of qualifying childcare costs for children under 13 while the parent works or looks for work. The percentage depends on household income, and the credit is not refundable for most families in 2026. Both credits can be claimed regardless of where in Texas you live.