Bill Text: TX SB977 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to the definition of debt for the purposes of calculating certain ad valorem tax rates of a taxing unit.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2023-04-27 - Left pending in committee [SB977 Detail]
Download: Texas-2023-SB977-Introduced.html
88R4576 SHH-F | ||
By: Bettencourt, Middleton | S.B. No. 977 |
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relating to the definition of debt for the purposes of calculating | ||
certain ad valorem tax rates of a taxing unit. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 26.012(7), Tax Code, is amended to read | ||
as follows: | ||
(7) "Debt" means[ |
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obligation, or other evidence of indebtedness owed by a taxing unit | ||
that has been approved at an election and[ |
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installments over a period of more than one year, not budgeted for | ||
payment from maintenance and operations funds, and secured by a | ||
pledge of property taxes,[ |
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indebtedness of a similar nature issued by another political | ||
subdivision on behalf of the taxing unit. | ||
SECTION 2. Sections 26.012(9), (18-a), and (18-b), Tax | ||
Code, are repealed. | ||
SECTION 3. The changes in law made by this Act apply only to | ||
a bond, warrant, certificate of obligation, or other evidence of | ||
indebtedness for which the ordinance, order, or resolution | ||
authorizing the issuance is adopted by the governing body of a | ||
taxing unit on or after the effective date of this Act and for which | ||
the taxing unit has not entered into a binding agreement before the | ||
effective date of this Act that contemplates the issuance of the | ||
debt. The changes in law made by this Act do not apply to a bond, | ||
warrant, certificate of obligation, or other evidence of | ||
indebtedness for which the ordinance, order, or resolution | ||
authorizing the issuance was adopted by the governing body of a | ||
taxing unit before the effective date of this Act or for which the | ||
taxing unit has entered into a binding agreement before the | ||
effective date of this Act that contemplates the issuance of such | ||
debt, and the former law is continued in effect for that purpose. | ||
For the purposes of this section, "binding agreement" includes a | ||
development agreement, ordinance, order, or resolution that | ||
authorizes or delegates to an appropriate officer of a taxing unit | ||
the execution of a binding agreement at a later date. | ||
SECTION 4. This Act takes effect September 1, 2023. |