By: Campbell S.B. No. 462
(In the Senate - Filed January 25, 2019; February 14, 2019,
read first time and referred to Committee on Property Tax;
April 1, 2019, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 5, Nays 0; April 1, 2019,
sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 462 By: Paxton
A BILL TO BE ENTITLED
AN ACT
relating to ballot propositions authorizing certain political
subdivisions to issue debt obligations.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 1251, Government Code, is amended by
designating Sections 1251.001, 1251.002, 1251.003, 1251.004,
1251.005, and 1251.006 as Subchapter A and adding a subchapter
heading to read as follows:
SUBCHAPTER A. PROVISIONS RELATING GENERALLY TO COUNTY AND
MUNICIPAL BOND ELECTIONS
SECTION 2. Chapter 1251, Government Code, is amended by
adding Subchapter B to read as follows:
SUBCHAPTER B. BALLOT FOR BONDS ISSUED BY POLITICAL SUBDIVISION
Sec. 1251.051. DEFINITIONS. In this subchapter:
(1) "Debt obligation" means an issued public security,
as defined by Section 1201.002, that is secured by ad valorem taxes.
(2) "Political subdivision" means a county,
municipality, school district, junior college district, other
special district, or other subdivision of state government.
Sec. 1251.052. CONTENTS OF BALLOT PROPOSITION. The
proposition submitted for an election to authorize a political
subdivision to issue debt obligations must distinctly state:
(1) the purpose for which the debt obligations are to
be authorized;
(2) the principal amount of the debt obligations to be
authorized;
(3) that taxes sufficient to pay the annual principal
of and interest on the debt obligations may be imposed;
(4) the aggregate amount of the outstanding principal
of the political subdivision's debt obligations as of the beginning
of the political subdivision's fiscal year in which the election is
ordered; and
(5) the ad valorem debt service tax rate for the
political subdivision at the time the election is ordered,
expressed as:
(A) an amount per $100 valuation of taxable
property; and
(B) a percentage of the political subdivision's
adopted tax rate as of the beginning of the political subdivision's
fiscal year in which the election is ordered.
Sec. 1251.053. FORM OF BALLOT. The secretary of state may
adopt a form of the ballot for an election held under this
subchapter. A political subdivision is not required to use any
adopted form.
SECTION 3. Section 1251.052, Government Code, as added by
this Act, applies only to 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.
SECTION 4. This Act takes effect September 1, 2019.
* * * * *