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City wins final judgment in revenue cap lawsuit

Wow, is this ever a blast from the past.

The city of Houston has prevailed in a lawsuit challenging the amount it can collect in property taxes, ending 14 years of litigation over a set of measures approved by voters in 2004.

At issue in the suit were two ballot measures from 2004, specifically Proposition 1, which limited the annual increases in property tax and utility revenues to the combined increases in population and inflation for Houston, or 4.5 percent, whichever is lower.

Prop 1 was approved by voters in 2004, as was was another measure, Proposition 2, that further limited the city’s ability to collect revenue. The city, under then-Mayor Bill White, abided by the first measure because of a directive in it that stated whichever cap received more votes would be the one adopted.

Individuals from a conservative group then filed suit, accusing the city of violating the caps by not also adopting Proposition 2.

After years of court battles, a state district judge has ruled that the city has “fully complied” with Proposition 1.

See here for the city’s statement. The most recent update I can find in my own archives is from 2008 (!!), though it is likely there has been more action on the lawsuit that either wasn’t reported or went unremarked upon by me. However you look at it, this is some old, old business, and now it is done. Think of it as an alternate thing the city of Houston can celebrate now that the World Series didn’t work out the way we’d hoped.

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