Relating to authority of a school district to mail a tax bill with an adopted rate that is higher than the district's rollback tax rate before the date of a rollback election.
The proposed changes within SB1024 allow school districts to continue managing tax rates while providing taxpayers with accountability. Should a tax bill be initially mailed, and then the proposed tax rate is rejected by voters, the school district is required to prepare corrected tax bills. This ensures taxes are accurately calculated based on the valid rates adopted following voter approval, which protects the interests of both the voters and the school district.
Senate Bill 1024 addresses the authority of school districts in Texas to mail tax bills that reflect an adopted tax rate higher than the rollback tax rate prior to the occurrence of a rollback election. The bill amends Section 26.08 of the Texas Tax Code, adding provisions to facilitate the mailing of these tax bills while also ensuring there is a process in place if the adopted rate is not approved by voters during subsequent elections. This aims to streamline the administrative process for tax billing while ensuring taxpayers are informed of any changes.
A notable aspect of contention surrounding the bill lies in its provisions for timely refunds. If taxpayers have paid taxes based on an initially adopted rate that is later not approved, the bill mandates that the school district refunds any overpayments exceeding $1. This requirement highlights a balance between maintaining district revenue against ensuring taxpayer fairness. Some may argue about the potential complications in managing refunds for amounts under $1 and the administrative burden this could impose on school districts in processing such transactions.