Texas Senate Bill SB1431

Texas 2021 - 87th Regular

Caption

Relating to the assessment and collection of ad valorem taxes imposed by a school district.

Impact

The provisions of SB1431 will affect state laws related to the authority of independent school districts in tax collection and employment of assessors. Notably, it empowers school boards to make decisions based on their historical costs of tax collection, potentially fostering a more competitive landscape for assessing and collecting taxes. The bill also repeals outdated regulations to modernize and clarify the framework governing these operations.

Summary

SB1431 addresses the procedures for the assessment and collection of ad valorem taxes imposed by school districts in Texas. This bill seeks to streamline tax collection processes, allowing independent school districts to employ personnel for tax assessment and collection under specific conditions. The bill amends existing provisions to ensure that independent school districts can assess whether their tax collection methods are cost-effective compared to the county assessor-collector's fees within a defined timeframe, which resets every three years.

Contention

Notable points of contention surrounding the bill include concerns from various stakeholders about the implications of school districts assessing their tax collection efficiency. Critics argue that the changes may lead to discrepancies in service quality and accountability when independent districts are permitted to hire external assessors. Supporters contend that providing flexibility will result in cost savings and enhanced performance in tax collection processes, thus benefitting taxpayers.

Additional_points

The bill stipulates that it does not apply retroactively to contracts that were established before its effective date, ensuring that existing agreements remain in force. This represents a compromise between the wish for regulatory overhaul and the need to respect previously established contractual obligations.