Texas 2025 - 89th Regular

Texas Senate Bill SB1277 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		By: Parker S.B. No. 1277
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	2	+	(In the Senate - Filed February 14, 2025; February 28, 2025,
	3	+	read first time and referred to Committee on Local Government;
	4	+	March 31, 2025, reported adversely, with favorable Committee
	5	+	Substitute by the following vote: Yeas 5, Nays 0; March 31, 2025,
	6	+	sent to printer.)
	7	+	Click here to see the committee vote
	8	+	COMMITTEE SUBSTITUTE FOR S.B. No. 1277 By: Paxton
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6	11		A BILL TO BE ENTITLED
7	12		AN ACT
8	13		relating to the municipal sales and use tax for street maintenance.
9	14		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	15		SECTION 1. Sections 327.007(a) and (b), Tax Code, are
11	16		amended to read as follows:
12	17		(a) Unless imposition of the sales and use tax authorized by
13	18		this chapter is reauthorized as provided by this section, the tax
14	19		expires on:
15	20		(1) the fourth anniversary of the date the tax
16	21		originally took effect under Section 327.005;
17	22		(2) the first day of the first calendar quarter
18	23		occurring after the fourth anniversary of the date the tax was last
19	24		reauthorized under this section if, at that election, the voters
20	25		approved the imposition of the tax for a period that expires on that
21	26		anniversary;
22	27		(2-a) if the tax is imposed in a municipality that is
23	28		intersected by two interstate highways, that has a population of
24	29		150,000 or more, and in which at least 66 percent of the voters
25	30		voting in each of the last two consecutive elections concerning the
26	31		adoption or reauthorization of the tax favored adoption or
27	32		reauthorization, and that tax has not expired as provided by
28	33		Subdivision (1) or (2) since the first of those two consecutive
29	34		elections, the last day of the first calendar quarter occurring
30	35		after the eighth anniversary of the date the tax was last
31	36		reauthorized under this section if, at that election, the voters
32	37		approved the imposition of the tax for a period that expires on that
33	38		anniversary instead of the period described by Subdivision (2);
34	39		(2-b) if the tax is imposed in a municipality with a
35	40		population of less than 50,000, that includes a portion of an
36	41		international airport, and that is located in only two counties,
37	42		one of which has a population of 2.2 million or more and is adjacent
38	43		to a county with a population of more than 600,000, the last day of
39	44		the first calendar quarter occurring after the 10th anniversary of
40	45		the date the tax was last reauthorized under this section if, at
41	46		that election, the voters approved the imposition of the tax for a
42	47		period that expires on that anniversary instead of the period
43	48		described by Subdivision (2); or
44	49		(3) if the tax is imposed in a municipality with a
45	50		population of more than 11,450 and less than 11,550, the last day of
46	51		the first calendar quarter occurring after the 10th anniversary of
47	52		the date the tax was last reauthorized under this section if, at
48	53		that election, the voters approved the imposition of the tax for a
49	54		period that expires on that anniversary instead of the period
50	55		described by Subdivision (2).
51	56		(b) An election to reauthorize the tax is called and held in
52	57		the same manner as an election to adopt the tax under Section
53	58		327.006, except the ballot proposition shall be prepared to permit
54	59		voting for or against the proposition: "The reauthorization of the
55	60		local sales and use tax in (name of municipality) at the rate of
56	61		(insert appropriate rate) to continue providing revenue for
57	62		maintenance and repair of municipal streets. The tax expires on the
58	63		(insert "first day of the first calendar quarter occurring after
59	64		the fourth anniversary" or "last day of the first calendar quarter
60	65		occurring after the (insert[,] eighth[,] or 10th anniversary, as
61	66		applicable)") [anniversary] of the date of this election unless the
62	67		imposition of the tax is reauthorized."
63	68		SECTION 2. Section 327.008, Tax Code, is amended to read as
64	69		follows:
65	70		Sec. 327.008. USE OF TAX REVENUE. Revenue from the tax
66	71		imposed under this chapter may be used only to maintain and repair a
67	72		municipal:
68	73		(1) street or sidewalk; or
69	74		(2) water, wastewater, or stormwater system located in
70	75		the width of a way of a municipal street [streets or sidewalks
71	76		existing on the date of the election to adopt the tax].
72	77		SECTION 3. The change in law made by this Act to Section
73	78		327.007(b), Tax Code, applies only to ballot language for an
74	79		election ordered on or after the effective date of this Act. Ballot
75	80		language for an election ordered before the effective date of this
76	81		Act is governed by the law in effect when the election was ordered.
77	82		SECTION 4. This Act takes effect immediately if it receives
78	83		a vote of two-thirds of all the members elected to each house, as
79	84		provided by Section 39, Article III, Texas Constitution. If this
80	85		Act does not receive the vote necessary for immediate effect, this
81	86		Act takes effect September 1, 2025.
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