89R30235 TJB-F
By: Bettencourt S.B. No. 3071
A BILL TO BE ENTITLED
AN ACT
relating to the authority of a property owner to obtain an
injunction restraining the collection of ad valorem taxes by a
taxing unit if the taxing unit adopts a tax rate that exceeds the
voter-approval tax rate and subsequently takes an action that
constitutes a material deviation from the stated purpose of the tax
increase.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 26.012, Tax Code, is amended by adding
Subdivision (16-a) to read as follows:
(16-a) "Materially deviate" means to make a
significant change in carrying out the purpose stated to voters on a
ballot proposition, stated in any order or resolution calling for
an election required under this chapter, or stated in resolutions
adopted to accompany or supplement a ballot proposition, including:
(A) a significant change in purpose;
(B) a significant change in the financing
structure for the purpose;
(C) an increase of more than 33 percent in actual
or projected costs of the purpose;
(D) a significant reduction in scope or scale of
the purpose;
(E) a legal determination, including a finding
under Chapter 1202 or 1205, Government Code, that the purpose
stated on the ballot proposition or any order or resolution calling
for an election required under this chapter was not in conformity
with law; or
(F) any other attempt to substantially impair the
rights and expectations of the voters as they existed at the time of
the election.
SECTION 2. Section 26.05, Tax Code, is amended by adding
Subsection (e-2) to read as follows:
(e-2) A person who owns taxable property is entitled to an
injunction restraining the collection of taxes by a taxing unit in
which the property is taxable if the taxing unit materially
deviates from the purpose stated at the time the voters approved a
tax rate under this chapter. An action to enjoin the collection of
taxes must be filed not later than the 15th day after the date the
taxing unit adopts a tax rate. A property owner is not required to
pay the taxes imposed by a taxing unit on the owner's property while
an action filed by a property owner under this subsection is
pending. If the property owner pays the taxes and subsequently
prevails in the action, the property owner is entitled to a refund
of the taxes paid, together with reasonable attorney's fees and
court costs. The property owner is not required to apply to the
collector for the taxing unit to receive the refund.
SECTION 3. Section 26.05(e-2), Tax Code, as added by this
Act, applies only to an ad valorem tax rate adopted on or after the
effective date of this Act.
SECTION 4. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.