| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
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 a bond, warrant, certificate of |
|
|
obligation, or other evidence of indebtedness owed by a taxing unit |
|
|
that has been approved at an election and is payable solely from |
|
|
property taxes in 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, or a payment made under |
|
|
contract to secure indebtedness of a similar nature issued by |
|
|
another political subdivision on behalf of the taxing unit. |
|
|
SECTION 2. The change in law made by this Act applies only |
|
|
to a bond, warrant, certificate of obligation, or other evidence of |
|
|
indebtedness for which the ordinance, order, or resolution |
|
|
authorizing issuance was adopted by the governing body of the |
|
|
taxing unit on or after the effective date of this Act. |
|
|
SECTION 3. This Act takes effect September 1, 2021. |