Texas 2023 - 88th Regular

Texas House Bill HB4456

Filed
3/9/23  
Out of House Committee
5/3/23  
Voted on by House
5/9/23  
Out of Senate Committee
5/19/23  
Voted on by Senate
5/24/23  
Governor Action
6/18/23  

Caption

Relating to the calculation of certain ad valorem tax rates of a school district.

Impact

The implications of HB 4456 are significant for school finance in Texas, specifically concerning the manner in which districts will calculate and report their tax rates. The bill seeks to ensure that school districts maintain a consistent level of revenue per weighted student, providing a formula that links tax rates to prior fiscal years. This is intended to stabilize funding for education across districts, which many legislators and educational advocates argue is crucial in safeguarding the quality of education. The bill's adjustments to tax rate calculations will come into effect on January 1, 2024, aligning future fiscal responsibilities with the new standards set forth within the legislation.

Summary

House Bill 4456 addresses the calculations of certain ad valorem tax rates specifically for school districts in Texas. The bill amends existing tax code provisions to refine the methodologies utilized by school districts in determining their no-new-revenue and voter-approval tax rates. It sets clear directives for how these calculations are to be made and submitted, aiming to streamline the process for educational funding while ensuring compliance with the state mandate for revenue maintenance and transparency in tax increases.

Sentiment

The sentiment surrounding HB 4456 appears largely supportive among legislators from both sides of the aisle. Proponents argue that the bill reinforces the state’s commitment to education and equitable funding, while critics express concerns regarding the technicalities in tax calculations possibly leading to complications or unintentional funding shortfalls. The discussions reveal a focus on ensuring that educational financing remains robust and predictable, hinting at a broader legislative push for stability in a challenging state budget environment.

Contention

Notably, some contention exists regarding the technical nature of the bill and the potential impacts on various districts. Legislators have raised questions about how the changes might affect districts with rapidly evolving property values or differing levels of funding needs. Testimonies from experts during committee discussions highlighted that while the bill aims for uniformity, there could be unique situations that require a more nuanced understanding of school district finances. As such, while the overall legislative direction is clear, the implementation strategies and monitoring practices will be crucial to ensuring that the intended benefits are realized without unintended consequences.

Texas Constitutional Statutes Affected

Tax Code

  • Chapter 5. State Administration
    • Section: 07
    • Section: 07
    • Section: 07
    • Section: 07
    • Section: 07
  • Chapter 26. Assessment
    • Section: New Section
    • Section: 05
    • Section: 17
    • Section: New Section
    • Section: 05
    • Section: New Section
    • Section: 05
    • Section: 17
    • Section: New Section
    • Section: 05
    • Section: New Section
    • Section: 05
    • Section: 17

Education Code

  • Chapter 44. Fiscal Management
    • Section: New Section
    • Section: New Section
    • Section: New Section

Companion Bills

No companion bills found.

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