86R28415 GCB-D
By: Sanford, Swanson H.B. No. 3204
Substitute the following for H.B. No. 3204:
By: Meyer C.S.H.B. No. 3204
A BILL TO BE ENTITLED
AN ACT
relating to the form of ballot propositions and certain voter
information document requirements for an election seeking
authorization for the issuance of school district bonds supported
by property taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 45, Education Code, is
amended by adding Sections 45.0032, 45.0033, 45.0034, and 45.0035
to read as follows:
Sec. 45.0032. BALLOT LANGUAGE FOR TAX-SUPPORTED BONDS. (a)
In this section:
(1) "New infrastructure project" means a project to
construct, acquire, purchase, or finance new facilities, sites for
school buildings, other property, or school buses.
(2) "Replacements and upgrades project" means a
project other than a new infrastructure project related to
replacing or upgrading existing facilities, sites for school
buildings, other property, or school buses.
(b) A ballot prepared for an election to authorize the
issuance of bonds described by Section 45.001 may contain not more
than two propositions as follows:
(1) a proposition to issue bonds for new
infrastructure projects that provides for voting for or against
authorizing the issuance of bonds to support all new infrastructure
projects listed in the proposition; and
(2) a proposition to issue bonds for replacements and
upgrades projects that provides for voting for or against
authorizing the issuance of bonds to support all replacements and
upgrades projects listed in the proposition.
Sec. 45.0033. VOTER INFORMATION DOCUMENT FOR TAX-SUPPORTED
BONDS. (a) A governing board or commissioners court that calls an
election under Section 45.003 must prepare a voter information
document for each proposition to be voted on at the election. The
governing board or commissioners court shall post the voter
information document in the same manner that a debt obligation
election order is required to be posted under Section 4.003(f),
Election Code, and may include the voter information document in
the election order. The voter information document must distinctly
state:
(1) the language that will appear on the ballot;
(2) the following information formatted as a table:
(A) the principal of the bonds to be authorized;
(B) the estimated interest for the bonds to be
authorized;
(C) the estimated combined principal and
interest required to pay on time and in full the bonds to be
authorized; and
(D) as of the date the governing board or
commissioners court adopts the election order:
(i) the principal of all outstanding debt
obligations of the district;
(ii) the estimated remaining interest on
all outstanding debt obligations of the district, which may be
based on the district's expectations relative to the interest due
on any variable rate debt obligations; and
(iii) the estimated combined principal and
interest required to pay on time and in full all outstanding debt
obligations of the district, which may be based on the district's
expectations relative to the interest due on any variable rate debt
obligations;
(3) the estimated maximum annual increase in the
amount of taxes that would be imposed on a residence homestead in
the district with an appraised value of $100,000 to repay the debt
obligations to be authorized, if approved, based upon assumptions
made by the governing board or commissioners court;
(4) for each proposed project included in a
proposition to issue bonds:
(A) a visual depiction of the design or concept
of each proposed project;
(B) a statement of the needs to be addressed by
each proposed project and how the project will address those needs;
(C) a detailed description of any equipment to be
purchased for the proposed project, the number of individual pieces
of equipment to be purchased, and the cost of each individual piece
of equipment; and
(D) a statement of the projected effect of each
proposed project regarding existing facilities of the district,
including, as applicable, the projected effect on class size ratios
in the district or the number of school events that may be supported
by the project;
(5) for a new infrastructure project listed in a
proposition described under Section 45.0032(b)(1), other than a
project for the acquisition, purchase, or financing of school
buses, the geographic location proposed for the project; and
(6) any other information that the governing board or
commissioners court considers relevant or necessary to explain the
information required by this subsection.
(b) The governing board or commissioners court may not
include in the voter information document required under this
section information regarding the geographic location for a
replacements and upgrades project listed in a proposition described
by Section 45.0032(b)(2).
(c) The governing board or commissioners court shall
identify in the election order the major assumptions made in
connection with the statement required by Subsection (a)(3),
including:
(1) the amortization of the district's debt
obligations, including outstanding debt obligations and the debt
obligations for the proposed bonds;
(2) changes in estimated future appraised values
within the district; and
(3) the assumed interest rate on the proposed bonds.
(d) A district that maintains an Internet website shall
provide the information described by Subsection (a) on its website
in an easily accessible manner beginning not later than the 21st day
before election day and ending on the day after the date of the
election.
Sec. 45.0034. NOTICE REQUIREMENTS: ISSUANCE OF
CERTIFICATES OF OBLIGATION ON TAX-SUPPORTED BONDS. (a) In
addition to the requirements provided under Section 271.049, Local
Government Code, a district that issues a certificate of obligation
on bonds described by Section 45.001 must comply with the
additional notice requirements provided by this section.
(b) A district that maintains an Internet website shall
publish notice of the district's intention to issue the
certificates on the district's website for at least 45 days before
the date tentatively set for the passage of the resolution or order
authorizing the issuance of the certificate.
(c) The notice of a district's issuance of certificates of
obligation on bonds described by Section 45.001 must state the
following:
(1) the then-current principal of all outstanding debt
obligations of the district;
(2) the then-current combined principal and interest
required to pay all outstanding debt obligations of the district on
time and in full, which may be based on the district's expectations
relative to the interest due on any variable rate debt obligations;
(3) the maximum principal amount of the certificates
to be authorized;
(4) the estimated combined principal and interest
required to pay the certificates to be authorized on time and in
full;
(5) the estimated interest rate for the certificates
to be authorized or that the maximum interest rate for the
certificates may not exceed the maximum legal interest rate; and
(6) the maximum maturity date of the certificates to
be authorized.
Sec. 45.0035. CONFLICT OF LAW. (a) Sections 45.0032 and
45.0033 provide the ballot proposition language and voter
information document requirements for an election to authorize the
issuance of bonds described by Section 45.001. To the extent of a
conflict between a provision of this subchapter and another law
applicable to the ballot proposition language or voter information
document requirements for an election to authorize the issuance of
bonds, this subchapter controls.
(b) An officer or employee of a governing board who, in
compliance with Section 45.0033, provides the information required
in a voter information document under that section does not violate
Section 255.003(b-1), Election Code, regardless of whether the
information provided is sufficiently substantial and important as
to be reasonably likely to influence a voter to vote for or against
the measure.
SECTION 2. (a) The changes in law made by this Act to
Chapter 45, Education Code, apply only to a ballot for an election
ordered on or after the effective date of this Act. An election
ordered before the effective date of this Act is governed by the law
in effect when the election was ordered, and the former law is
continued in effect for that purpose.
(b) Section 45.0034, Education Code, as added by this Act,
applies only to a certificate of obligation for which the first
notice of intention to issue the certificate is made on or after the
effective date of this Act. A certificate of obligation for which
the first notice of intention to issue the certificate is made
before the effective date of this Act is governed by the law in
effect when the notice of intention is made, and the former law is
continued in effect for that purpose.
SECTION 3. This Act takes effect September 1, 2019.