82R17057 JE-D
By: Smith of Tarrant H.B. No. 2972
Substitute the following for H.B. No. 2972:
By: Hilderbran C.S.H.B. No. 2972
A BILL TO BE ENTITLED
AN ACT
relating to the municipal sales and use tax for street maintenance.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 327.007, Tax Code, is amended by
amending Subsections (a) and (b) and adding Subsection (b-1) to
read as follows:
(a) Unless imposition of the sales and use tax authorized by
this chapter is reauthorized as provided by this section, the tax
expires on:
(1) the fourth anniversary of the date the tax
originally took effect under Section 327.005; or
(2) the first day of the first calendar quarter
occurring after:
(A) the fourth anniversary of the date the tax
was last reauthorized under Subsection (b); or
(B) the eighth anniversary of the date the tax
was last reauthorized under Subsection (b-1)[this section].
(b) An election to reauthorize the tax for a period of four
years is called and held in the same manner as an election to adopt
the tax under Section 327.006, except the ballot proposition shall
be prepared to permit voting for or against the proposition: "The
reauthorization of the local sales and use tax in (name of
municipality) at the rate of (insert appropriate rate) to continue
providing revenue for maintenance and repair of municipal streets.
The tax expires on the fourth anniversary of the date the tax takes
effect unless the imposition of the tax is reauthorized."
(b-1) This subsection applies only to a municipality in
which 66 percent or more of the voters voting in each of the last two
consecutive elections concerning the adoption or reauthorization
of the tax authorized by this chapter favored adoption or
reauthorization and in which the tax has not expired as provided by
Subsection (a) since the first of those two consecutive elections.
A municipality to which this subsection applies may call an
election to reauthorize the tax for a period of eight years instead
of four years. The election is called and held in the same manner as
an election to adopt the tax under Section 327.006, except the
ballot proposition shall be prepared to permit voting for or
against the proposition: "The reauthorization of the local sales
and use tax in (name of municipality) at the rate of (insert
appropriate rate) to continue providing revenue for maintenance and
repair of municipal streets. The tax expires on the eighth
anniversary of the date the tax takes effect unless the imposition
of the tax is reauthorized."
SECTION 2. Section 327.008, Tax Code, is amended to read as
follows:
Sec. 327.008. USE OF TAX REVENUE. Revenue from the tax
imposed under this chapter may be used only to maintain and repair
municipal streets or sidewalks existing on the date of the election
to adopt the tax.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2011.