Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Impact
If enacted, HB187 would significantly impact how school districts and local government entities calculate their no-new-revenue and voter-approval tax rates. The requirements for public notification and the election processes for approving tax rates would also be restructured to ensure tax burdens are communicated effectively, thereby empowering residents with the necessary information to make informed decisions. This could potentially lead to lower tax rates or more structured tax increases as local governing bodies would need to justify their tax rate proposals more clearly.
Summary
House Bill 187 (HB187) focuses on the modification of calculations associated with ad valorem tax rates imposed by taxing units in Texas. It aims to enhance the approval process for any proposed tax rates that exceed the established voter-approval tax rate. The bill outlines conforming changes necessary to ensure clarity and compliance across the various statutory provisions regulating tax rate adoption, consequently aiming to achieve greater transparency for taxpayers regarding potential tax increases.
Sentiment
The sentiment surrounding HB187 appears largely supportive among legislators advocating for more transparent fiscal practices in public taxation. Proponents argue that the bill is a step towards ensuring local governments can maintain voter confidence by promoting clear communication about tax implications. However, some critics express concerns that mandatory approval processes could inhibit local governments from effectively meeting funding needs, suggesting that the additional accountability might lead to delays in essential funding for public services.
Contention
Notable contention exists regarding the balance between ensuring taxpayer protection and allowing governmental flexibility. Advocates for taxpayer rights see the bill as a necessary reform to curb excessive taxation, while opponents argue that it could hinder the ability of governing entities to respond to financial needs rapidly. The bill specifically revises the statutes related to the voter-approval tax rate, potentially leading to contentious discussions in communities that may feel the impacts of new tax rate structures.
Texas Constitutional Statutes Affected
Tax Code
Chapter 26. Assessment
Section: 04
Section: New Section
Chapter 31. Collections
Section: 12
Water Code
Chapter 49. Provisions Applicable To All Districts
Section: 23601
Section: 108
Section: 107
Section: 236
Special District Local Laws Code
Chapter 3828. Lake View Management And Development Districtin Henderson County
Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Relating to the vote required in an election to approve an ad valorem tax rate that exceeds a taxing unit's voter-approval tax rate; making conforming changes.
Relating to the vote required in an election to approve an ad valorem tax rate that exceeds a taxing unit's voter-approval tax rate; making conforming changes.
Relating to the vote required in an election to approve an ad valorem tax rate that exceeds a taxing unit's voter-approval tax rate; making conforming changes.
Relating to the calculation of the voter-approval tax rate of certain counties and the procedure for the adoption by such a county of a tax rate that exceeds that rate; making conforming changes.
Relating to the effect of an election at which the voters fail to approve or vote to reduce the ad valorem tax rate adopted by the governing body of a taxing unit.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that a county may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that a county may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the authority of a hospital district to establish an ad valorem tax freeze on the residence homesteads of disabled or elderly persons and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that certain taxing units may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that certain taxing units may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that certain taxing units may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the authority of a taxing unit other than a school district to establish a limitation on the amount of ad valorem taxes that the taxing unit may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.