| 1 | 1 | | 87R12200 CJC-D |
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| 2 | 2 | | By: Middleton H.B. No. 4170 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to a requirement that the voter-approval tax rate of |
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| 8 | 8 | | certain taxing units be adjusted to reflect changes in the amount of |
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| 9 | 9 | | money received by the taxing unit directly from the federal |
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| 10 | 10 | | government. |
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| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 12 | | SECTION 1. Chapter 26, Tax Code, is amended by adding |
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| 13 | 13 | | Section 26.0444 to read as follows: |
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| 14 | 14 | | Sec. 26.0444. TAX RATE ADJUSTMENT FOR MONEY RECEIVED FROM |
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| 15 | 15 | | FEDERAL GOVERNMENT. (a) In this section, "direct federal |
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| 16 | 16 | | receipts" for a tax year means the amount of money received by a |
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| 17 | 17 | | taxing unit directly from the federal government for any purpose |
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| 18 | 18 | | during the period beginning on July 1 of the year preceding the tax |
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| 19 | 19 | | year for which a tax rate is adopted and ending on June 30 of the tax |
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| 20 | 20 | | year for which the tax rate is adopted. |
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| 21 | 21 | | (b) This section does not apply to a school district. |
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| 22 | 22 | | (c) If a taxing unit's direct federal receipts exceed the |
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| 23 | 23 | | amount of those receipts for the preceding tax year, the |
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| 24 | 24 | | voter-approval tax rate for the taxing unit is decreased by the rate |
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| 25 | 25 | | computed according to the following formula: |
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| 26 | 26 | | (Current Tax Year's Direct Federal |
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| 27 | 27 | | Receipts - Preceding Tax Year's Direct Federal |
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| 28 | 28 | | Receipts) / (Current Total Value - New Property Value) |
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| 29 | 29 | | (d) The taxing unit shall include a notice of the decrease |
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| 30 | 30 | | in the voter-approval tax rate provided by this section, including |
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| 31 | 31 | | a description and the amount of direct federal receipts, in the |
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| 32 | 32 | | information published under Section 26.04(e) and, as applicable, in |
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| 33 | 33 | | the notice prescribed by Section 26.06 or 26.061. |
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| 34 | 34 | | SECTION 2. The change in law made by this Act applies to the |
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| 35 | 35 | | calculation of the voter-approval rate of a taxing unit only for a |
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| 36 | 36 | | tax year beginning on or after the effective date of this Act. |
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| 37 | 37 | | SECTION 3. This Act takes effect January 1, 2022. |
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