Dallas, TX Historic Preservation: Mills Act Contracts (2026)
Key Facts
- Texas Mills Act equivalent
- None; uses Tax Code 11.24
- Dallas program
- Historic Site Tax Exemption
- Eligibility
- Designated Landmark or HPD contributor
- Typical term
- Ten years on improvement value
- Trigger
- Qualifying rehabilitation completed
Summary
Texas does not have a California-style Mills Act property-tax contract program. Instead Texas Tax Code Section 11.24 authorizes cities and counties to grant partial property-tax exemptions for designated historic sites, which Dallas implements through its Historic Site Tax Exemption.
Sec. 11.24. HISTORIC SITES. (a) The governing body of a taxing unit by official action of the body adopted in the manner required by law for official actions may exempt from taxation part or all of the assessed value of a structure or archeological site and the land necessary for access to and use of the structure or archeological site, if the structure or archeological site is: (1) designated as a Recorded Texas Historic Landmark under Chapter 442, Government Code, or a state archeological landmark under Chapter 191, Natural Resources Code, by the Texas Historical Commission; or (2) designated as a historically or archeologically significant site in need of tax relief to encourage its preservation pursuant to an ordinance or other law adopted by the governing body of the taxing unit.
Full Breakdown
Unlike California's Mills Act, which lets owners contract for property-tax savings tied to rehabilitation, Texas relies on Texas Tax Code Section 11.24 authorizing taxing units to exempt all or part of the appraised value of a historically or archaeologically significant site. Dallas implements this through the Historic Site Tax Exemption administered by the Historic Preservation Office. Eligible properties must be Dallas Landmarks or contributing structures inside an HPD, complete a qualifying rehabilitation meeting Standards for Rehabilitation, and execute a Verification of Completion. The exemption typically removes city, school, and county taxes on the rehabilitated improvement value for ten years. Owner-occupied residential and income-producing commercial properties qualify under separate Council-approved tiers.
Violations & Fines
No fines apply, but unauthorized demolition or alterations terminate the exemption retroactively under Tax Code Section 11.24, triggering recapture of back taxes plus interest by the Dallas Central Appraisal District.
Frequently Asked Questions
Does Dallas offer a Mills Act tax discount?
What rehabilitation qualifies for the Dallas exemption?
Sources & Official References
Other rules in Dallas
Texas rules heatmap·Compare Dallas to another location·View the Texas historic preservation overview
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