Bill Text: TX SB656 | 2013-2014 | 83rd Legislature | Enrolled

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Bill Title: Relating to providing transparency in the budget adoption process of municipalities and counties.

Sponsorship: Partisan Bill (Republican 4)

Status: (Passed) 2013-06-14 - Effective on 9/1/13 [SB656 Detail]

Download: Texas-2013-SB656-Enrolled.html

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S.B. No. 656

AN ACT
relating to providing transparency in the budget adoption process
of municipalities and counties.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 102.007, Local Government Code, is
amended by amending Subsection (a) and adding Subsections (d) and
(e) to read as follows:
(a) At the conclusion of the public hearing, the governing
body of the municipality shall take action on the proposed budget.
A vote to adopt the budget must be a record vote.
(d) An adopted budget must contain a cover page that
includes:
(1) one of the following statements in 18-point or
larger type that accurately describes the adopted budget:
(A) "This budget will raise more revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of increase), which is a (insert percentage increase)
percent increase from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll).";
(B) "This budget will raise less revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of decrease), which is a (insert percentage decrease)
percent decrease from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll)."; or
(C) "This budget will raise the same amount of
revenue from property taxes as last year's budget. The property tax
revenue to be raised from new property added to the tax roll this
year is (insert amount computed by multiplying the proposed tax
rate by the value of new property added to the roll).";
(2) the record vote of each member of the governing
body by name voting on the adoption of the budget;
(3) the municipal property tax rates for the preceding
fiscal year, and each municipal property tax rate that has been
adopted or calculated for the current fiscal year, including:
(A) the property tax rate;
(B) the effective tax rate;
(C) the effective maintenance and operations tax
rate;
(D) the rollback tax rate; and
(E) the debt rate; and
(4) the total amount of municipal debt obligations.
(e) In this section, "debt obligation" means an issued
public security as defined by Section 1201.002, Government Code,
secured by property taxes.
SECTION 2. Section 102.008, Local Government Code, is
amended to read as follows:
Sec. 102.008. APPROVED BUDGET FILED WITH MUNICIPAL CLERK:
POSTING ON INTERNET. (a) On final approval of the budget by the
governing body of the municipality, the governing body shall:
(1) file the budget with the municipal clerk; and
(2) if the municipality maintains an Internet website,
take action to ensure that:
(A) a copy of the budget, including the cover
page, is posted on the website; and
(B) the record vote described by Section
102.007(d)(2) is posted on the website at least until the first
anniversary of the date the budget is adopted.
(b) The governing body shall take action to ensure that the
cover page of the budget is amended to include the property tax
rates required by Section 102.007(d)(3) for the current fiscal year
if the rates are not included on the cover page when the budget is
filed with the municipal clerk. The governing body shall file an
amended cover page with the municipal clerk and take action to
ensure that the amended cover page is posted on the municipality's
website.
SECTION 3. Section 111.008, Local Government Code, is
amended by amending Subsection (a) and adding Subsections (d) and
(e) to read as follows:
(a) At the conclusion of the public hearing, the
commissioners court shall take action on the proposed budget. A
vote to adopt the budget must be a record vote.
(d) An adopted budget must contain a cover page that
includes:
(1) one of the following statements in 18-point or
larger type that accurately describes the adopted budget:
(A) "This budget will raise more revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of increase), which is a (insert percentage increase)
percent increase from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll).";
(B) "This budget will raise less revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of decrease), which is a (insert percentage decrease)
percent decrease from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll)."; or
(C) "This budget will raise the same amount of
revenue from property taxes as last year's budget. The property tax
revenue to be raised from new property added to the tax roll this
year is (insert amount computed by multiplying the proposed tax
rate by the value of new property added to the roll).";
(2) the record vote of each member of the
commissioners court by name voting on the adoption of the budget;
(3) the county property tax rates for the preceding
fiscal year, and each county property tax rate that has been adopted
or calculated for the current fiscal year, including:
(A) the property tax rate;
(B) the effective tax rate;
(C) the effective maintenance and operations tax
rate;
(D) the rollback tax rate; and
(E) the debt rate; and
(4) the total amount of county debt obligations.
(e) In this section, "debt obligation" means an issued
public security as defined by Section 1201.002, Government Code,
secured by property taxes.
SECTION 4. Section 111.009, Local Government Code, is
amended to read as follows:
Sec. 111.009. APPROVED BUDGET FILED WITH COUNTY CLERK:
POSTING ON INTERNET. (a) On final approval of the budget by the
commissioners court, the court shall:
(1) file the budget with the county clerk; and
(2) if the county maintains an Internet website, take
action to ensure that:
(A) a copy of the budget, including the cover
page, is posted on the website; and
(B) the record vote described by Section
111.008(d)(2) is posted on the website at least until the first
anniversary of the date the budget is adopted.
(b) The commissioners court shall take action to ensure that
the cover page of the budget is amended to include the property tax
rates required by Section 111.008(d)(3) for the current fiscal year
if the rates are not included on the cover page when the budget is
filed with the county clerk. The commissioners court shall file an
amended cover page with the county clerk and take action to ensure
that the amended cover page is posted on the county's website.
SECTION 5. Section 111.039, Local Government Code, is
amended by amending Subsection (a) and adding Subsections (d) and
(e) to read as follows:
(a) At the conclusion of the public hearing, the
commissioners court shall take action on the proposed budget. A
vote to adopt the budget must be a record vote.
(d) An adopted budget must contain a cover page that
includes:
(1) one of the following statements in 18-point or
larger type that accurately describes the adopted budget:
(A) "This budget will raise more revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of increase), which is a (insert percentage increase)
percent increase from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll).";
(B) "This budget will raise less revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of decrease), which is a (insert percentage decrease)
percent decrease from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll)."; or
(C) "This budget will raise the same amount of
revenue from property taxes as last year's budget. The property tax
revenue to be raised from new property added to the tax roll this
year is (insert amount computed by multiplying the proposed tax
rate by the value of new property added to the roll).";
(2) the record vote of each member of the
commissioners court by name voting on the adoption of the budget;
(3) the county property tax rates for the preceding
fiscal year, and each county property tax rate that has been adopted
or calculated for the current fiscal year, including:
(A) the property tax rate;
(B) the effective tax rate;
(C) the effective maintenance and operations tax
rate;
(D) the rollback tax rate; and
(E) the debt rate; and
(4) the total amount of county debt obligations.
(e) In this section, "debt obligation" means an issued
public security as defined by Section 1201.002, Government Code,
secured by property taxes.
SECTION 6. Section 111.040, Local Government Code, is
amended to read as follows:
Sec. 111.040. APPROVED BUDGET FILED WITH OFFICERS: POSTING
ON INTERNET. (a) On final approval of the budget by the
commissioners court, the court shall:
(1) file a copy of the budget with the county auditor
and the county clerk; and
(2) if the county maintains an Internet website, take
action to ensure that:
(A) a copy of the budget, including the cover
page, is posted on the website; and
(B) the record vote described by Section
111.039(d)(2) is posted on the website at least until the first
anniversary of the date the budget is adopted.
(b) The commissioners court shall take action to ensure that
the cover page of the budget is amended to include the property tax
rates required by Section 111.039(d)(3) for the current fiscal year
if the rates are not included on the cover page when the budget is
filed with the county clerk. The commissioners court shall file an
amended cover page with the county clerk and take action to ensure
that the amended cover page is posted on the county's website.
SECTION 7. Section 111.068, Local Government Code, is
amended by amending Subsection (a) and adding Subsections (c) and
(d) to read as follows:
(a) At the conclusion of the public hearing, the
commissioners court shall take action on the proposed budget. A
vote to adopt the budget must be a record vote.
(c) An adopted budget must contain a cover page that
includes:
(1) one of the following statements in 18-point or
larger type that accurately describes the adopted budget:
(A) "This budget will raise more revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of increase), which is a (insert percentage increase)
percent increase from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll).";
(B) "This budget will raise less revenue from
property taxes than last year's budget by an amount of (insert total
dollar amount of decrease), which is a (insert percentage decrease)
percent decrease from last year's budget. The property tax revenue
to be raised from new property added to the tax roll this year is
(insert amount computed by multiplying the proposed tax rate by the
value of new property added to the roll)."; or
(C) "This budget will raise the same amount of
revenue from property taxes as last year's budget. The property tax
revenue to be raised from new property added to the tax roll this
year is (insert amount computed by multiplying the proposed tax
rate by the value of new property added to the roll).";
(2) the record vote of each member of the
commissioners court by name voting on the adoption of the budget;
(3) the county property tax rates for the preceding
fiscal year, and each county property tax rate that has been adopted
or calculated for the current fiscal year, including:
(A) the property tax rate;
(B) the effective tax rate;
(C) the effective maintenance and operations tax
rate;
(D) the rollback tax rate; and
(E) the debt rate; and
(4) the total amount of county debt obligations.
(d) In this section, "debt obligation" means an issued
public security as defined by Section 1201.002, Government Code,
secured by property taxes.
SECTION 8. Section 111.069, Local Government Code, is
amended to read as follows:
Sec. 111.069. APPROVED BUDGET FILED WITH OFFICERS; POSTING
ON INTERNET. (a) On final approval of the budget by the
commissioners court, the court shall:
(1) file a copy of the budget with the county auditor
and the county clerk; and
(2) if the county maintains an Internet website, take
action to ensure that:
(A) a copy of the budget, including the cover
page, is posted on the website; and
(B) the record vote described by Section
111.068(c)(2) is posted on the website at least until the first
anniversary of the date the budget is adopted.
(b) The commissioners court shall take action to ensure that
the cover page of the budget is amended to include the property tax
rates required by Section 111.068(c)(3) for the current fiscal year
if the rates are not included on the cover page when the budget is
filed with the county clerk. The commissioners court shall file an
amended cover page with the county clerk and take action to ensure
that the amended cover page is posted on the county's website.
SECTION 9. This Act applies only to a budget adopted for a
fiscal year beginning on or after the effective date of this Act.
SECTION 10. This Act takes effect September 1, 2013.
______________________________ ______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 656 passed the Senate on
April 11, 2013, by the following vote: Yeas 31, Nays 0; and that
the Senate concurred in House amendment on May 24, 2013, by the
following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
I hereby certify that S.B. No. 656 passed the House, with
amendment, on May 21, 2013, by the following vote: Yeas 145,
Nays 2, three present not voting.
______________________________
Chief Clerk of the House
Approved:
______________________________
Date
______________________________
Governor