Bill Text: TX HB42 | 2023 | 88th Legislature 2nd Special Session | Introduced
Bill Title: Relating to reducing school district maintenance and operations ad valorem taxes through the use of certain surplus state revenue.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2023-07-05 - Referred to Ways & Means [HB42 Detail]
Download: Texas-2023-HB42-Introduced.html
| By: Troxclair | H.B. No. 42 | |
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| relating to reducing school district maintenance and operations ad | ||
| valorem taxes through the use of certain surplus state revenue. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Section 48.255, Education Code, is amended by | ||
| amending Subsection (b) and adding Subsections (d) and (e) to read | ||
| as follows: | ||
| (b) Subject to Subsection (d), the [ |
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| percentage is the lower of: | ||
| (1) 93 percent, or a lower percentage set by | ||
| appropriation for a school year; | ||
| (2) the percentage determined by the following | ||
| formula: | ||
| SCP = PYCP X 1.025/(1 + ECPV); or | ||
| (3) the percentage determined under this section for | ||
| the preceding school year. | ||
| (d) For each school year, the commissioner shall reduce the | ||
| state compression percentage determined under Subsection (b) to the | ||
| lowest percentage possible as a result of: | ||
| (1) money deposited to the credit of the property tax | ||
| relief fund under Section 403.109(e), Government Code; and | ||
| (2) any additional money appropriated for purposes of | ||
| this subsection. | ||
| (e) Notwithstanding any other law, if for any school year | ||
| the commissioner determines under Subsection (b) or (d) that the | ||
| state compression percentage is zero: | ||
| (1) a school district may not impose a tier one | ||
| maintenance and operations tax for that school year or for any | ||
| subsequent school year; and | ||
| (2) each school district is entitled to funding under | ||
| Chapter 46 and this chapter for each school year as if the district | ||
| had: | ||
| (A) a tier one maintenance and operations tax | ||
| rate equal to the district's maximum compressed tax rate determined | ||
| under Section 48.2551; and | ||
| (B) no local share for purposes of Section | ||
| 48.256. | ||
| SECTION 2. Section 403.109, Government Code, is amended by | ||
| adding Subsections (e) and (f) to read as follows: | ||
| (e) The comptroller shall: | ||
| (1) allocate for deposit to the credit of the fund | ||
| general revenue in an amount equal to 90 percent of the amount by | ||
| which the amount of general revenue received in a state fiscal | ||
| biennium exceeds 104 percent of the total amount of general revenue | ||
| that was received during the preceding state fiscal biennium; and | ||
| (2) periodically deposit to the credit of the fund the | ||
| general revenue allocated under Subdivision (1), with the final | ||
| deposit for that biennium to be made not later than the 90th day of | ||
| the next state fiscal biennium. | ||
| (f) Notwithstanding any other provision of this section, | ||
| money deposited to the credit of the fund under Subsection (e) may | ||
| be appropriated only to the Texas Education Agency for use in | ||
| providing property tax relief through reduction of the state | ||
| compression percentage, as defined by Section 48.255, Education | ||
| Code. | ||
| SECTION 3. This Act applies beginning with the state fiscal | ||
| biennium beginning September 1, 2025. | ||
| SECTION 4. This Act takes effect September 1, 2023. | ||
