Texas 2017 - 85th Regular

Texas House Bill HB2108 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	85R2647 KKA-D
2	2	By: Huberty H.B. No. 2108
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to an increase in the tax rate limitation on the issuance
8	8	of tax-supported bonds for certain school districts.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 45.0031, Education Code, is amended by
11	11	amending Subsections (a) and (e) and adding Subsection (a-1) to
12	12	read as follows:
13	13	(a) Before issuing bonds described by Section 45.001, a
14	14	school district must demonstrate to the attorney general under
15	15	Subsection (b) or (c) that, with respect to the proposed issuance,
16	16	the district has a projected ability to pay the principal of and
17	17	interest on the proposed bonds and all previously issued bonds
18	18	other than bonds authorized to be issued at an election held on or
19	19	before April 1, 1991, and issued before September 1, 1992, from a
20	20	tax at a rate not to exceed:
21	21	(1) $0.50 per $100 of valuation; or
22	22	(2) if the district is eligible under Subsection
23	23	(a-1), an amount per $100 of valuation that equals the sum of $0.50
24	24	and the maximum number of cents by which the district could, with
25	25	voter approval, increase the rate of the tax imposed by the district
26	26	for maintenance and remain in compliance with the maintenance tax
27	27	rate limitation prescribed by Section 45.003.
28	28	(a-1) A school district may issue bonds after demonstrating
29	29	the ability to comply with the rate limitation specified by
30	30	Subsection (a)(2) if the school district:
31	31	(1) does not have the capacity to issue proposed bonds
32	32	described by Section 45.001 as a result of the rate limitation
33	33	specified by Subsection (a)(1); and
34	34	(2) does not impose a maintenance tax at the maximum
35	35	rate permitted under Section 45.003.
36	36	(e) If a district demonstrates to the attorney general the
37	37	district's ability to comply with Subsection (a) using a projected
38	38	future taxable value of property under Subsection (c) and
39	39	subsequently imposes a tax to pay the principal of and interest on
40	40	bonds to which Subsection (a) applies at a rate that exceeds the
41	41	applicable limitation [limit] imposed by Subsection (a), the
42	42	attorney general may not approve a subsequent issuance of bonds
43	43	unless the attorney general finds that the district has a projected
44	44	ability to pay the principal of and interest on the proposed bonds
45	45	and all previously issued bonds to which Subsection (a) applies
46	46	from a tax at a rate not to exceed $0.45 per $100 of valuation or the
47	47	rate equal to 90 percent of the limitation imposed by Subsection
48	48	(a)(2), as applicable.
49	49	SECTION 2. Section 45.003, Education Code, is amended by
50	50	adding Subsection (d-1) and amending Subsection (e) to read as
51	51	follows:
52	52	(d-1) Notwithstanding Subsection (d), for a district
53	53	described by Section 45.0031(a-1) that imposes an interest and
54	54	sinking fund tax rate that exceeds the rate specified by Section
55	55	45.0031(a)(1), the maximum maintenance tax rate prescribed by
56	56	Subsection (d) is reduced by the number of cents that the district's
57	57	interest and sinking fund tax rate exceeds the rate specified by
58	58	Section 45.0031(a)(1).
59	59	(e) A rate that exceeds the maximum rate specified by
60	60	Subsection (d) or (d-1), as applicable, for the year in which the
61	61	tax is to be imposed is void. A school district with a tax rate
62	62	that is void under this subsection may, subject to requirements
63	63	imposed by other law, adopt a rate for that year that does not
64	64	exceed the maximum rate specified by Subsection (d) or (d-1), as
65	65	applicable, for that year.
66	66	SECTION 3. This Act applies beginning with the 2018 tax
67	67	year.
68	68	SECTION 4. This Act takes effect September 1, 2017.