Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Impact
The implications of HB250 are significant for local governments and school districts in Texas. By modifying the calculation methods of voter-approval tax rates and introducing constraints on how tax rates can be set, this bill can help to stabilize property tax rates and potentially ease the tax burden on residents. The requirement for voter approval for rates exceeding certain thresholds underscores a commitment to participatory governance, allowing taxpayers to have a direct say in fiscal decisions affecting their communities.
Summary
House Bill 250 addresses the calculation of ad valorem tax rates for taxing units in Texas. Specifically, it outlines the process for approving proposed tax rates that exceed the established voter-approval tax rate. The bill seeks to amend several sections of the Education Code and Tax Code to ensure that taxing units adhere to specific formulas when determining tax rates, particularly in times when additional sales and use taxes are imposed. The changes are intended to facilitate transparency and fairness in the tax rate approval process, emphasizing the need for voter input when proposed tax rates surpass established limits.
Contention
Despite its intended benefits, the bill has garnered criticism from various advocacy groups who argue that it may not fully address the complexities of school funding and local governance. Some opponents contend that the mandated formulas could lead to unintended consequences, such as reduced funding for vital services if tax rates cannot be adjusted appropriately to meet rising costs. Opponents also express concerns that the restrictions on tax rate increases could further strain the finances of public entities, particularly in economically disadvantaged areas where the costs of services continue to rise.
Texas Constitutional Statutes Affected
Tax Code
Chapter 26. Assessment
Section: New Section
Section: 04
Section: 07
Chapter 31. Collections
Section: 12
Water Code
Chapter 49. Provisions Applicable To All Districts
Section: 23601
Section: 236
Education Code
Chapter 45. School District Funds
Section: 0032
Local Government Code
Chapter 120. Election For Reduction Of Funding Or Resources For Certain Primary Law Enforcement Agencies
Section: 007
Special District Local Laws Code
Chapter 3828. Lake View Management And Development Districtin Henderson County
Section: 157
Chapter 8876. Reeves County Groundwater Conservation District
Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Relating to the calculation of certain ad valorem tax rates of a taxing unit and the manner in which a proposed ad valorem tax rate that exceeds the voter-approval tax rate is approved; making conforming changes.
Relating to the vote required in an election to approve an ad valorem tax rate that exceeds a taxing unit's voter-approval tax rate; making conforming changes.
Relating to the vote required in an election to approve an ad valorem tax rate that exceeds a taxing unit's voter-approval tax rate; making conforming changes.
Relating to the vote required in an election to approve an ad valorem tax rate that exceeds a taxing unit's voter-approval tax rate; making conforming changes.
Relating to the vote required in an election to approve an ad valorem tax rate that exceeds a taxing unit's voter-approval tax rate; making conforming changes.
Relating to the calculation of the voter-approval tax rate of certain counties and the procedure for the adoption by such a county of a tax rate that exceeds that rate; making conforming changes.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that a county may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that a county may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the authority of a hospital district to establish an ad valorem tax freeze on the residence homesteads of disabled or elderly persons and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that certain taxing units may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that certain taxing units may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the establishment of a limitation on the total amount of ad valorem taxes that certain taxing units may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.
Relating to the authority of a taxing unit other than a school district to establish a limitation on the amount of ad valorem taxes that the taxing unit may impose on the residence homesteads of individuals who are disabled or elderly and their surviving spouses.