Texas Senate Bill SB1475

Texas 2019 - 86th Regular

Caption

Relating to an authorization to increase the sales and use tax collected in an advanced transportation district of a metropolitan rapid transit authority.

Impact

If passed, SB1475 would empower districts with the authority to increase their sales and use tax rate, contingent upon voter approval through a petition process. The process requires that at least 10 percent of registered voters must sign on to initiate an election for the proposed tax increase. Approval of the tax increase would not only provide critical funding for transportation enhancements but would also require compliance with certain stipulations regarding the cumulative tax rates not exceeding stipulated limits.

Summary

SB1475 aims to authorize an increase in the sales and use tax collected within an advanced transportation district of a metropolitan rapid transit authority. The bill amends specific sections of the Texas Transportation Code to allow the board of these authorities to call an election to increase the sales and use tax rate by specified increments, such as one-eighth of one percent, up to a maximum of one-half of one percent. The measure is designed to facilitate additional funding for advanced transportation and mobility enhancement projects, intended to improve transportation infrastructure within urban areas.

Contention

A notable point of contention regarding SB1475 revolves around the implications of additional taxation on constituents within metropolitan areas. Critics may argue that any increase in sales tax could disproportionately affect lower-income residents and may view this increase as a burden, especially in jurisdictions where financial resources are already strained. Additionally, concerns may arise regarding how the funds will be allocated, specifically whether they will genuinely enhance transportation services or merely serve administrative purposes.