Texas lawmakers return to Capitol with no property tax deal

AUSTIN, Texas - State lawmakers returned to Austin to continue the second Special Session, and their stalemate over how to provide a big property tax cut. But, time is running out to get a deal done.

Leaders in the House and Senate returned without making any public statement regarding the property tax impasse. The Senate gaveled in first, and then quickly went into recess until Friday.

House members also decided to return on Friday after spending a little more time under the capitol dome.

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GOP leaders in both Chambers have yet to agree on how to structure a multi-billion dollar property tax cut. Part of one plan would require a public vote in November and has to be signed by the governor before the end of August to get on that ballot.

FOX 7 spoke to political analyst Brian Smith, from St. Edward's University, about the high stakes in this ongoing game of political chicken.

"I'm really surprised the Republicans didn't use the break to really come back and get a strategy for how to move this along, because the longer it goes, the worse it looks for that party. And everybody's now gearing up for the post Labor Day impeachment. So they have a very limited window to pass what would be a fundamental tax reform. And they haven't made any ground after one special session and very little ground in this special session," said Smith.

Texas Senate passes new property tax bill

The Texas Senate passed a property tax bill, which happened after a flurry of vetoes from Governor Abbott. Travis County Republican Party chairman Matt Mackowiak joined FOX 7 Austin's Mike Warren to discuss.

The battle, Smith agreed, may be about the Republican primary and which faction is going to survive.

"A lot of it has to do with the primaries. The Republicans have drawn themselves a lot of safe seats, and in doing that, it means that you're opening up a primary challenge from the political Right," said Smith.

The problem is that both plans are viewed as extreme right, just a different version.

"They're just trying to play into this idea that taxes are not a necessary evil, but taxes are purely evil," said Smith.

Reaching a compromise, according to Smith, will have to appease the Governor, the Lieutenant Governor and the Speaker.

"The only way that all three can save face is if everybody can declare victory" said Smith.

Time is running out for a tax deal.

"The impasse has to end soon because the Senate has to deal with impeachment and both the House and the Senate have to worry about getting any major changes onto the ballot for the constitutional amendment vote in the fall. If they don't do that by August. You're not going to be able to get property tax reform the way they want it because some of it may have to go before the voters. So they want to get the impasse done. And also, gridlock is something that people don't like. Representatives don't like it. The voters don't like it. And the Republican Party's giving it to us by the ton. So they have to start moving on this or else this is going to be a great issue for the Democrats to run for in the fall of 2024," said Smith.

The fighting GOP in fighting could be a gift for Democrats.

"I don’t know if the Democrats have a hanging curveball per se. But I think what has happened right now is the Republicans have set themselves up to be behind in the count, meaning that they're in a position where they had a chance to end the game, to get their reforms, to move along and claim victory on the tax issue. And the Democrats just keep hanging on. They keep hitting foul balls, keeping the count going," said Smith.

Texas: The Issue Is - Property taxes: Abbott vs. Patrick

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Smith said a wild card that could break the stalemate is in the senate tax plan. It includes about $3 billion for teacher pay. But, some house members have said it won't work because the idea is not part of the governor's Special Session call.

A possible compromise plan from two House Democrats will be pitched Thursday.

The only major action taken Wednesday was in the House. A Resolution was passed involving Tamoria Jones. She was a senior staff member of Houston Democrat Harold Dutton Jr.

Jones died suddenly earlier this month. Many House members worked with her over the past several years, and they voted to allow her burial to take place at the state cemetery.