By: Alvarado H.B. No. 3036
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), (b), and (c) 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 not earlier than [after] the fourth anniversary and not
later than the tenth anniversary of the date the tax was last
reauthorized under this section.
(b) An election to reauthorize the tax 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
(insert "fourth," "fifth," "sixth," "seventh," "eighth," "ninth,"
or "tenth," as appropriate) anniversary of the date of this
election unless the imposition of the tax is reauthorized."
(b-1) If the tax has not expired, a municipality may hold an
election to reauthorize the tax for:
(1) a four-year period at any time; or
(2) a period of more than four years but not more than
ten years at any time after the second anniversary of the date of
the last election.
(c) If [an election to reauthorize the tax is not held
before] the tax expires as provided by Subsection (a), [or if a
majority of the votes cast in an election to reauthorize the tax do
not favor reauthorization,] the municipality may not call an
election on the question of authorizing a new tax under this chapter
before the first anniversary of the date on which the tax expired.
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:
(1) municipal streets existing on the date of the
election to adopt the tax; and
(2) sidewalks existing on the date of the election to
adopt the tax that are adjacent to a street being maintained or
repaired using revenue from the tax imposed under this chapter.
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.