By: Mowery H.B. No. 2872
73R4347 CAE-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to financing public schools.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subchapter C, Chapter 16, Education Code, is
1-5 amended to read as follows:
1-6 SUBCHAPTER C. <BASIC> ENTITLEMENT FOR TEACHER SALARIES
1-7 Sec. 16.101. TEACHER SALARIES <BASIC> Allotment. (a) A
1-8 <For each student in average daily attendance, not including the
1-9 time students spend each day in special education or vocational
1-10 education programs for which an additional allotment is made under
1-11 Subchapter D of this chapter, a> district is entitled to an
1-12 allotment for teacher salaries in an amount determined by
1-13 multiplying $27,000 by the number of teachers employed by the
1-14 district necessary to maintain an average ratio of not less than
1-15 one teacher for each 20 students in average daily attendance as
1-16 required by Section 16.054 of this code <of $2,200 for the
1-17 1991-1992 school year, $2,400 for the 1992-1993 school year, $2,600
1-18 for the 1993-1994 school year, and $2,800 for the 1994-1995 school
1-19 year and thereafter or a greater amount adopted by the foundation
1-20 school fund budget committee under Section 16.256 of this code for
1-21 the 1993-1994 school year and each school year thereafter>. A
1-22 greater amount for any school year may be provided by
1-23 appropriation.
1-24 (b) An allotment received by a school district under this
2-1 section may be used only for teacher salaries.
2-2 Sec. 16.102. SPECIAL EDUCATION. For the salaries of special
2-3 education teachers, a district shall use a percentage of its
2-4 allotment under Section 16.101 of this code that is not less than
2-5 the percentage of students in average daily attendance in the
2-6 district who qualify for participation in the district's special
2-7 education program under Subchapter N, Chapter 21, of this code.
2-8 <COST OF EDUCATION ADJUSTMENT. (a) The basic allotment for each
2-9 district is adjusted to reflect the geographic variation in known
2-10 resource costs and costs of education due to factors beyond the
2-11 control of the school district. Except as provided by this
2-12 section, the adjustment is that provided under Section 16.206 of
2-13 this code.>
2-14 <(b) The adjustment for the 1991-1992 and 1992-1993 school
2-15 years is the cost of education index and formula adopted in
2-16 December 1990 by the foundation school fund budget committee. For
2-17 the 1991-1992 and 1992-1993 school years, the commissioner of
2-18 education shall recalculate the cost of education index for school
2-19 districts that are eligible for the adjustment under Section 16.103
2-20 of this code, excluding from the computation the calculation for
2-21 the diseconomies of scale component and substituting a value of
2-22 1.00. This subsection expires September 1, 1993.>
2-23 <Sec. 16.103. SMALL DISTRICT ADJUSTMENT. (a) The basic
2-24 allotment for certain small districts is adjusted in accordance
2-25 with Subsections (b) and (c) of this section. In this section:>
2-26 <(1) "AA" is the district's adjusted allotment per
2-27 student;>
3-1 <(2) "ADA" is the number of students in average daily
3-2 attendance for which the district is entitled to an allotment under
3-3 Section 16.101 of this code; and>
3-4 <(3) "ABA" is the adjusted basic allotment determined
3-5 under Section 16.102 of this code.>
3-6 <(b) The average daily attendance of a school district that
3-7 contains at least 300 square miles and has not more than 1,600
3-8 students in average daily attendance is adjusted by applying the
3-9 formula:>
3-10 <(c) The average daily attendance of a school district that
3-11 contains less than 300 square miles and has not more than 1,600
3-12 students in average daily attendance is adjusted by applying the
3-13 formula:>
3-14 <(e) This section expires September 1, 1993.>
3-15 <Sec. 16.1031. USE OF SMALL DISTRICT ADJUSTMENT IN
3-16 CALCULATING SPECIAL ALLOTMENTS. In determining the amount of a
3-17 special allotment under Subchapter D of this chapter for a district
3-18 to which Section 16.103 of this code applies, a district's adjusted
3-19 basic allotment is considered to be the district's adjusted
3-20 allotment determined under Section 16.103. This section expires
3-21 September 1, 1993.>
3-22 <Sec. 16.104. SPARSITY ADJUSTMENT. Notwithstanding Sections
3-23 16.101, 16.102, and 16.103 of this code, a school district that has
3-24 fewer than 130 students in average daily attendance shall be
3-25 provided an adjusted basic allotment on the basis of 130 average
3-26 daily attendance if it offers a kindergarten through grade 12
3-27 program and has prior or current year's average daily attendance of
4-1 at least 90 students or is 30 miles or more by bus route from the
4-2 nearest high school district. A district offering a kindergarten
4-3 through grade 8 program whose prior or current year's average daily
4-4 attendance was at least 50 students or which is 30 miles or more by
4-5 bus route from the nearest high school district shall be provided
4-6 an adjusted basic allotment on the basis of 75 average daily
4-7 attendance. An average daily attendance of 60 students shall be
4-8 the basis of providing the adjusted basic allotment if a district
4-9 offers a kindergarten through grade 6 program and has prior or
4-10 current year's average daily attendance of at least 40 students or
4-11 is 30 miles or more by bus route from the nearest high school
4-12 district. This section expires September 1, 1993.>
4-13 SECTION 2. Section 16.007(a), Education Code, is amended to
4-14 read as follows:
4-15 (a) Each school district <and each county education
4-16 district> shall participate in the Public Education Information
4-17 Management System (PEIMS) and shall provide through that system
4-18 information required for the administration of this chapter and of
4-19 other appropriate provisions of this code.
4-20 SECTION 3. Section 16.251, Education Code, is amended to
4-21 read as follows:
4-22 Sec. 16.251. Financing; General Rule. (a) The <sum of the
4-23 basic> allotment for teacher salaries under Subchapter C of this
4-24 chapter constitutes<, the special allotments under Subchapter D,
4-25 and the guaranteed yield allotments under Subchapter H, computed in
4-26 accordance with the provisions of this chapter, constitute> the
4-27 total cost of the Foundation School Program.
5-1 (b) The program shall be financed by:
5-2 (1) <ad valorem tax revenue generated by an equalized
5-3 uniform county education district effort;>
5-4 <(2) ad valorem tax revenue generated by local school
5-5 district effort in excess of the equalized uniform county education
5-6 district effort;>
5-7 <(3)> state available school funds distributed in
5-8 accordance with law; and
5-9 (2) <(4)> state funds appropriated for the purposes of
5-10 public school education and allocated to each district in an amount
5-11 sufficient to finance the cost of teacher salaries <each district's
5-12 Foundation School Program not covered by other funds specified in
5-13 this subsection.>
5-14 <(c) The commissioner of education shall compute for each
5-15 school district the total amount, if any, by which the district's
5-16 total revenue is reduced from one school year to the next because
5-17 of a change in the method of finance under this chapter. The
5-18 commissioner shall certify the amount of the reduction to the
5-19 school district for use in determining the school district's
5-20 rollback rate under Section 26.08, Tax Code>.
5-21 SECTION 4. Sections 16.254(a), (b), and (d), Education Code,
5-22 are amended to read as follows:
5-23 (a) The legislature <commissioner of education> shall
5-24 determine biannually <annually>:
5-25 (1) the amount of money necessary for teacher salaries
5-26 <to operate a Foundation School Program in each school district>;
5-27 and
6-1 (2) <the amount of local funds due the school district
6-2 from the local fund assignment of the county education district;
6-3 and>
6-4 <(3)> the amount of state available school funds
6-5 distributed to each school district.
6-6 (b) The commissioner of education shall <then> grant to each
6-7 school district from the Foundation School Program appropriation
6-8 the amount of funds necessary to provide the difference between
6-9 Subdivision (1) and Subdivision <the sum of Subdivisions> (2) <and
6-10 (3)> of Subsection (a) of this section.
6-11 (d) Notwithstanding any other provision of this chapter, if
6-12 for any year the total cost <state's share> of the Foundation
6-13 School Program, as determined under this chapter, exceeds the total
6-14 amount appropriated for that year, the commissioner shall reduce
6-15 the total amount of state funds allocated to each district by an
6-16 amount determined by a method under which the application of the
6-17 same number of cents of increase in tax rate applied to the taxable
6-18 value of property of each district, as determined under Section
6-19 11.86 of this code, results in a levy for each district equal to
6-20 the amount deducted from that district's allocation.
6-21 SECTION 5. Sections 11.10(r) and (s), Education Code, are
6-22 amended to read as follows:
6-23 (r) Costs <Except for certain transportation costs, costs>
6-24 of operation of the regional day school programs for the deaf shall
6-25 be borne by the state and paid from the Foundation School Program
6-26 Fund. Such costs shall be considered and included by the
6-27 Foundation School Fund Budget Committee in estimating the needs for
7-1 purposes of the Foundation School Program and the regional day
7-2 school programs for the deaf. However, funds allocated to
7-3 countywide schools shall remain so allocated except in those
7-4 regions in which the countywide program has been made a part of the
7-5 appropriate region, as aforesaid. While the principal cost of
7-6 educating deaf children shall be borne by the state, independent
7-7 school districts and all institutions of higher learning in the
7-8 state are hereby authorized and encouraged to make available real
7-9 or personal property or services in cooperation with the regional
7-10 day school programs for the deaf for any activities related to
7-11 education and betterment of education of deaf children including
7-12 but not limited to research and personnel training and development.
7-13 The school district in which a regional day school is located shall
7-14 bear the costs of transporting students in the program who live
7-15 within the district <and is entitled to have those students counted
7-16 in its allotment of transportation funds from the state>. The
7-17 regional day school program shall bear the costs of transporting
7-18 children who live outside the district to the regional day school.
7-19 It is the intent of the legislature in enacting this subsection
7-20 that the use of all of the educational resources of this state be
7-21 maximized to carry out the intent and objectives of this Act.
7-22 (s) Operating costs for the program in each regional day
7-23 school program for the deaf shall be determined and paid on the
7-24 following basis:
7-25 (1) An estimated allocation of $2,700 for each student
7-26 enrolled in the program of the regional day school program for the
7-27 deaf in any current year.
8-1 (2) Teachers, principals, supervisors, counselors,
8-2 para-professional and supporting personnel shall be employed in
8-3 such numbers as the school districts in the regional day school
8-4 program find <Central Education Agency finds> to be necessary to
8-5 establish and operate the regional day school programs for the
8-6 deaf, and such numbers shall not be less than student-professional
8-7 ratios known to be requisite for success in education of deaf
8-8 children. Salaries of all personnel employed in the regional day
8-9 school programs for the deaf shall be determined in accordance with
8-10 policies established by the State Board of Education.
8-11 <(3) Local districts may receive allocations for
8-12 transportation of students participating in the regional day school
8-13 programs on the same basis as that provided for in Section 16.206
8-14 of this code.>
8-15 SECTION 6. Section 11.29(e), Education Code, is amended to
8-16 read as follows:
8-17 (e) The budget cost of operating the Central Education
8-18 Agency which is paid from the foundation school program fund shall
8-19 be included in the estimated cost of the Foundation School Program
8-20 <which is computed by the State Board of Education in March of each
8-21 year for the determination of the local fund assignment to be
8-22 charged to each school district>.
8-23 SECTION 7. Section 11.32(f), Education Code, is amended to
8-24 read as follows:
8-25 (f) Basic costs for the provision of regional education
8-26 services to school districts and coordination of educational
8-27 planning in the region and for administrative costs necessary to
9-1 support these services shall be paid from the Foundation School
9-2 Fund. <Each Regional Education Service Center shall receive an
9-3 annual allotment of $200,000, with the remainder of the funds
9-4 available under the provisions of this subsection to be allocated
9-5 to the Regional Education Service Centers on the basis of the
9-6 average daily attendance within the area of operation for each
9-7 Regional Education Service Center as determined for the next
9-8 preceding school year. The allotment amounts here authorized to be
9-9 granted by the State Board of Education shall not exceed in any
9-10 year a sum equal to .45 percent multiplied by the following
9-11 specified elements of cost contained in the Foundation School
9-12 Program for the current school year: salaries, maintenance and
9-13 operation, vocational operating costs, transportation-regular,
9-14 transportation-special education, transportation-vocational
9-15 education, agency administration, other special education programs,
9-16 vocational contract services, bilingual education, preschool
9-17 non-English speaking, preschool deaf, compensatory education,
9-18 driver education, and minimum aid.>
9-19 SECTION 8. Section 11.86(a), Education Code, is amended to
9-20 read as follows:
9-21 (a) The comptroller shall conduct an annual study using
9-22 comparable sales and generally accepted auditing and sampling
9-23 techniques to determine the total value of all taxable property in
9-24 each <county education> school district <and each of its component
9-25 school districts>. The study shall determine the taxable value of
9-26 all property and of each category of property within the district
9-27 and the productivity value of all land that qualifies for appraisal
10-1 on the basis of its productive capacity and for which the owner has
10-2 applied for and received a productivity appraisal. In conducting
10-3 the study, the comptroller shall review the appraisal standards,
10-4 procedures, and methodology used by each appraisal district to
10-5 determine the taxable value of property in each school district.
10-6 The review must test the validity of the taxable values assigned to
10-7 each category of property by the appraisal district:
10-8 (1) using, if appropriate, samples selected through
10-9 generally accepted sampling techniques; and
10-10 (2) according to generally accepted standard
10-11 valuation, statistical compilation, and analysis techniques. If
10-12 the comptroller finds in the annual study that generally accepted
10-13 appraisal standards and practices were used by the appraisal
10-14 district in valuing a particular category of property, and that the
10-15 taxable values assigned to each category of property by the
10-16 appraisal district are valid, the appraisal roll value of that
10-17 category of property is presumed to represent taxable value. In
10-18 the absence of such a presumption, the comptroller shall estimate
10-19 the taxable value of that category of property using generally
10-20 accepted standard valuation, statistical compilation, and analysis
10-21 techniques. For the purposes of this section, "taxable value"
10-22 means market value less:
10-23 (1) the total dollar amount of any exemptions of
10-24 part but not all of the value of taxable property required by the
10-25 constitution or a statute that a district lawfully granted in the
10-26 year that is the subject of the study;
10-27 (2) the total dollar amount of any exemptions
11-1 granted within a reinvestment zone under agreements authorized by
11-2 the Property Redevelopment and Tax Abatement Act (Chapter 312, Tax
11-3 Code);
11-4 (3) the total dollar amount of any captured
11-5 appraised value of property that is located in a reinvestment zone
11-6 and that is eligible for tax increment financing under the Tax
11-7 Increment Financing Act (Chapter 311, Tax Code);
11-8 (4) the total dollar amount of any exemptions
11-9 granted under Section 11.251, Tax Code;
11-10 (5) the difference between the market value and
11-11 the productivity value of land that qualifies for appraisal on the
11-12 basis of its productive capacity, except that the productivity
11-13 value may not exceed the fair market value of the land;
11-14 (6) the portion of the appraised value of
11-15 residence homesteads of the elderly on which school district taxes
11-16 are not imposed in the year that is the subject of the study,
11-17 calculated as if the residence homesteads were appraised at the
11-18 full value required by law;
11-19 (7) a portion of the market value of property
11-20 not otherwise fully taxable by the district at market value because
11-21 of action required by statute or the Texas Constitution that, if
11-22 the tax rate adopted by the district is applied to it, produces an
11-23 amount equal to the difference between the tax that the district
11-24 would have imposed on the property if the property were fully
11-25 taxable at market value and the tax that the district is actually
11-26 authorized to impose on the property; and
11-27 (8) the market value of all tangible personal
12-1 property, other than manufactured homes, owned by a family or
12-2 individual and not held or used for the production of income.
12-3 SECTION 9. Section 14.063, Education Code, is amended to
12-4 read as follows:
12-5 Sec. 14.063. Fund Administration; Technology Allotment. (a)
12-6 The Central Education Agency shall administer the technology fund
12-7 and shall make annual disbursements from the technology fund. Each
12-8 school district is entitled to a percentage of the fund that is
12-9 equal to the district's percentage of the total number of students
12-10 in average daily attendance in the state
12-11 <(b) Each school district is entitled to an annual allotment
12-12 for the purposes provided under Section 14.064 of this code equal
12-13 to its unadjusted average daily attendance multiplied by:>
12-14 <(1) $30 for the 1993-1994 school year, or a greater
12-15 amount provided by appropriation;>
12-16 <(2) $35 for the 1993-1994 school year, or a greater
12-17 amount provided by appropriation;>
12-18 <(3) $40 for the 1994-1995 school year, or a greater
12-19 amount provided by appropriation;>
12-20 <(4) $45 for the 1995-1996 school year, or a greater
12-21 amount provided by appropriation; and>
12-22 <(5) $50 for the 1996-1997 school year and for each
12-23 school year thereafter, or a greater amount provided by
12-24 appropriation>.
12-25 (b) <(c) The cost of the technology allotment is shared by
12-26 the state and district in the same percentages as the district's
12-27 Foundation School Program under Chapter 16 of this code. The
13-1 state's share is paid from the technology fund.>
13-2 <(d)> The State Board of Education shall establish rules for
13-3 the administration of this section. The rules shall provide that
13-4 the equipment purchased shall meet the standards established under
13-5 this chapter.
13-6 <(e) If an insufficient amount is available in the fund for
13-7 the state's share of the allotments under Subsection (b) of this
13-8 section, the agency shall reduce each district's allotment by
13-9 application of the formula adopted under Section 16.254(d) of this
13-10 code.>
13-11 SECTION 10. Section 21.061, Education Code, is amended by
13-12 adding Subsection (c) to read as follows:
13-13 (c) A child may not transfer to another school district if
13-14 the transfer would require the receiving school district to employ
13-15 another teacher in order to maintain the student/teacher ratio
13-16 required by Section 16.054 of this code.
13-17 SECTION 11. Section 21.063, Education Code, is amended to
13-18 read as follows:
13-19 Sec. 21.063. Tuition Fee for Transfer Students. The
13-20 receiving district may charge a tuition fee to the extent that the
13-21 district's actual expenditure per student in average daily
13-22 attendance, determinable by its board of trustees, exceeds the sum
13-23 the district benefits from state aid sources as provided in Section
13-24 21.062 of this code <and county education funds distributed under
13-25 Subchapter J, Chapter 16, of this code>. However, unless a tuition
13-26 fee is prescribed and set out in transfer agreement prior to its
13-27 execution by the parties, no increase in tuition charge shall be
14-1 made for the year of that transfer that exceeds the tuition charge,
14-2 if any, of the preceding school year.
14-3 SECTION 12. Section 21.173(a), Education Code, is amended to
14-4 read as follows:
14-5 (a) Except as otherwise provided by this section, a school
14-6 district that receives funding under the Foundation School Program
14-7 <Subsection (h) of Section 16.156 of this code> may not require or
14-8 allow a child to stand on a school bus that is in motion.
14-9 SECTION 13. Section 21.177(d), Education Code, is amended to
14-10 read as follows:
14-11 (d) In approving a transportation system for a district or
14-12 county, consideration shall be given to providing transportation
14-13 for only those pupils who reside in hazardous areas or live two or
14-14 more miles from the school they attend except handicapped pupils.
14-15 No consideration shall be given to providing transportation for
14-16 pupils transferred from one district to another when their grades
14-17 are taught in their home district unless transferred as provided by
14-18 law and transportation has been approved as provided by law. A
14-19 district may provide transportation to pupils to after-school child
14-20 care facilities or to pupils who live within two miles of the
14-21 school they attend, and may charge a reasonable fee for such
14-22 transportation<, provided that such transportation shall not be
14-23 eligible for funding pursuant to Section 16.156 of this code>.
14-24 SECTION 14. Section 21.181, Education Code, is amended to
14-25 read as follows:
14-26 Sec. 21.181. Contract With Transportation Company or System.
14-27 (a) As an alternative to maintaining and operating a complete
15-1 public school transportation system under this subchapter, a county
15-2 or local district school board may contract with a public or
15-3 commercial transportation company or system for all or any part of
15-4 its public school transportation if the board is able to obtain an
15-5 economically advantageous contract, provided that the commercial
15-6 transportation company or system:
15-7 (1) requires its school bus drivers to be certified by
15-8 the Central Education Agency;
15-9 (2) uses only those school buses in transporting
15-10 public school students that satisfy safety requirements imposed by
15-11 law on school buses operated by public school transportation
15-12 systems; and
15-13 (3) agrees to meet the alternative fuels requirements
15-14 of Section 21.174 for those buses dedicated to the contract;
15-15 provided, however, the company or system may claim all exceptions
15-16 available to county and local district school boards under Section
15-17 21.174.
15-18 (b) A contract is economically advantageous if the cost of
15-19 the service contracted for is equal to or less than the total cost
15-20 to the school district for providing its own complete bus service.
15-21 (c) <The total cost to the school district is the state
15-22 transportation cost allotment plus the supplementary funds
15-23 necessarily provided by the local school district to provide
15-24 complete transportation services. In determining if a contract is
15-25 economically advantageous, taxes paid by the commercial
15-26 transportation company or system on gasoline, diesel fuel, or
15-27 liquefied petroleum gas may not be considered.>
16-1 <(c) This section in no way prohibits the local school board
16-2 from supplementing the state transportation cost allotment with
16-3 local funds necessary to provide complete transportation services.>
16-4 <(d)> The State Board of Education shall adopt rules for the
16-5 administration of this section.
16-6 (d) <(e)> Contracts for alternative public school
16-7 transportation may include provisions for transporting students to
16-8 and from approved school activities.
16-9 <(f) Upon approval of the contract by the State Board of
16-10 Education, the portion of the annual transportation allotment which
16-11 is to be used to finance the contract for alternative
16-12 transportation services shall be included in the annual
16-13 transportation cost allotment for the respective county or
16-14 district.>
16-15 SECTION 15. Section 105.95(e), Education Code, is amended to
16-16 read as follows:
16-17 (e) The academy is not subject to the provisions of this
16-18 code, or to the rules of the Central Education Agency, regulating
16-19 public schools, except that:
16-20 (1) professional employees of the academy are entitled
16-21 to the limited liability of an employee under Section 21.912 or
16-22 21.914 of this code;
16-23 (2) a student's attendance at the academy satisfies
16-24 compulsory school attendance requirements; and
16-25 (3) for each student enrolled, the academy is entitled
16-26 to allotments from the foundation school program under Chapter 16
16-27 of this code as if the academy were a school district<, except that
17-1 the academy has a local share applied that is equivalent to the
17-2 local share assignment of the Denton Independent School District>.
17-3 SECTION 16. Section 1.04(12), Tax Code, is amended to read
17-4 as follows:
17-5 (12) "Taxing unit" means a county, an incorporated
17-6 city or town (including a home-rule city), a school district, <a
17-7 county education district,> a special district or authority
17-8 (including a junior college district, a hospital district, a
17-9 district created by or pursuant to the Water Code, a mosquito
17-10 control district, a fire prevention district, or a noxious weed
17-11 control district), or any other political unit of this state,
17-12 whether created by or pursuant to the constitution or a local,
17-13 special, or general law, that is authorized to impose and is
17-14 imposing ad valorem taxes on property even if the governing body of
17-15 another political unit determines the tax rate for the unit or
17-16 otherwise governs its affairs.
17-17 SECTION 17. Section 6.02(b), Tax Code, is amended to read as
17-18 follows:
17-19 (b) A taxing unit <other than a county education district>
17-20 that has boundaries extending into two or more counties may choose
17-21 to participate in only one of the appraisal districts. In that
17-22 event, the boundaries of the district chosen extend outside the
17-23 county to the extent of the unit's boundaries. To be effective,
17-24 the choice must be approved by resolution of the board of directors
17-25 of the district chosen. <A county education district that has
17-26 boundaries extending into two or more counties must participate in
17-27 each appraisal district in which one of its component school
18-1 districts participates for purposes of appraisal of the component
18-2 school district's territory.>
18-3 SECTION 18. Sections 6.03(c)-(e), Tax Code, are amended to
18-4 read as follows:
18-5 (c) Members of the board of directors are appointed by vote
18-6 of the governing bodies of the incorporated cities and towns, the
18-7 school districts <other than the county education district>, and,
18-8 if entitled to vote, the conservation and reclamation districts
18-9 that participate in the district and of the county. A governing
18-10 body may cast all its votes for one candidate or distribute them
18-11 among candidates for any number of directorships. Conservation and
18-12 reclamation districts are not entitled to vote unless at least one
18-13 conservation and reclamation district in the district delivers to
18-14 the chief appraiser a written request to nominate and vote on the
18-15 board of directors by June 1 of each odd-numbered year. On receipt
18-16 of a request, the chief appraiser shall certify a list by June 15
18-17 of all eligible conservation and reclamation districts that are
18-18 imposing taxes and that participate in the district.
18-19 (d) The voting entitlement of a taxing unit that is entitled
18-20 to vote for directors is determined by dividing the total dollar
18-21 amount of property taxes imposed in the district by the taxing unit
18-22 for the preceding tax year by the sum of the total dollar amount of
18-23 property taxes imposed in the district for that year by each taxing
18-24 unit that is entitled to vote, by multiplying the quotient by
18-25 1,000, and by rounding the product to the nearest whole number.
18-26 That number is multiplied by the number of directorships to be
18-27 filled. <For a school district, the total dollar amount of
19-1 property taxes imposed in the district by the unit is considered to
19-2 be the sum of the taxes imposed by the district and the revenue
19-3 received by the district from the county education district.> A
19-4 taxing unit participating in two or more districts is entitled to
19-5 vote in each district in which it participates, but only the taxes
19-6 imposed in a district are used to calculate voting entitlement in
19-7 that district.
19-8 (e) The chief appraiser shall calculate the number of votes
19-9 to which each taxing unit other than a conservation and reclamation
19-10 district is entitled and shall deliver written notice to each of
19-11 those units of its voting entitlement before October 1 of each
19-12 odd-numbered year. The chief appraiser shall deliver the notice:
19-13 (1) to the county judge and each commissioner of the
19-14 county served by the appraisal district;
19-15 (2) to the presiding officer of the governing body of
19-16 each city or town participating in the appraisal district, to the
19-17 city manager of each city or town having a city manager, and to the
19-18 city secretary or clerk, if there is one, of each city or town that
19-19 does not have a city manager; and
19-20 (3) to the presiding officer of the governing body of
19-21 each school district<, other than the county education district,>
19-22 participating in the district and to the superintendent of each
19-23 <those> school district <districts>.
19-24 SECTION 19. Sections 6.06(d) and (h), Tax Code, are amended
19-25 to read as follows:
19-26 (d) Each taxing unit participating in the district<, other
19-27 than a county education district,> is allocated a portion of the
20-1 amount of the budget equal to the proportion that the total dollar
20-2 amount of property taxes imposed in the district by the unit for
20-3 the tax year in which the budget proposal is prepared bears to the
20-4 sum of the total dollar amount of property taxes imposed in the
20-5 district by each participating unit for that year. <For a school
20-6 district, other than a county education district, the total dollar
20-7 amount of property taxes imposed in the district by the unit is
20-8 considered to be the sum of the taxes imposed by the district and
20-9 the revenue received by the district from the county education
20-10 district.> If a taxing unit participates in two or more districts,
20-11 only the taxes imposed in a district are used to calculate the
20-12 unit's cost allocations in that district. If the number of real
20-13 property parcels in a taxing unit is less than 5 percent of the
20-14 total number of real property parcels in the district and the
20-15 taxing unit imposes in excess of 25 percent of the total amount of
20-16 the property taxes imposed in the district by all of the
20-17 participating taxing units for a year, the unit's allocation may
20-18 not exceed a percentage of the appraisal district's budget equal to
20-19 three times the unit's percentage of the total number of real
20-20 property parcels appraised by the district.
20-21 (h) If a newly formed taxing unit or a taxing unit that did
20-22 not impose taxes in the preceding year<, other than a county
20-23 education district,> imposes taxes in any tax year, that unit is
20-24 allocated a portion of the amount budgeted to operate the district
20-25 as if it had imposed taxes in the preceding year, except that the
20-26 amount of taxes the unit imposes in the current year is used to
20-27 calculate its allocation. Before the amount of taxes to be imposed
21-1 for the current year is known, the allocation may be based on an
21-2 estimate to which the district board of directors and the governing
21-3 body of the unit agree, and the payments made after that amount is
21-4 known shall be adjusted to reflect the amount imposed. The
21-5 payments of a newly formed taxing unit that has no source of funds
21-6 are postponed until the unit has received adequate tax or other
21-7 revenues.
21-8 SECTION 20. Sections 11.13(d), (e), (m), and (n), Tax Code,
21-9 are amended to read as follows:
21-10 (d) In addition to the exemptions provided by Subsections
21-11 (b) and (c) of this section, an individual who is disabled or is 65
21-12 or older is entitled to an exemption from taxation by a taxing unit
21-13 of a portion (the amount of which is fixed as provided by
21-14 Subsection (e) of this section) of the appraised value of his
21-15 residence homestead if the exemption is adopted either:
21-16 (1) by the governing body of the taxing unit <other
21-17 than a county education district>; or
21-18 (2) by a favorable vote of a majority of the qualified
21-19 voters of the taxing unit at an election called by the governing
21-20 body of the taxing unit <other than a county education district>,
21-21 and the governing body shall call the election on the petition of
21-22 at least 20 percent of the number of qualified voters who voted in
21-23 the preceding election of the taxing unit<; or>
21-24 <(3) by a favorable vote of a majority of the
21-25 qualified voters of a county education district at an election held
21-26 under Section 20.950, Education Code>.
21-27 (e) The amount of an exemption adopted as provided by
22-1 Subsection (d) of this section is $3,000 of the appraised value of
22-2 the residence homestead unless a larger amount is specified by:
22-3 (1) the governing body authorizing the exemption if
22-4 the exemption is authorized as provided by Subdivision (1) of
22-5 Subsection (d) of this section; or
22-6 (2) the petition for the election if the exemption is
22-7 authorized as provided by Subdivision (2) of Subsection (d) of this
22-8 section<; or>
22-9 <(3) the proposition approved at an election held
22-10 under Section 20.950, Education Code>.
22-11 (m) In this section:
22-12 (1) "Disabled" means under a disability for purposes
22-13 of payment of disability insurance benefits under Federal Old-Age,
22-14 Survivors, and Disability Insurance.
22-15 (2) "School district" means a political subdivision
22-16 organized to provide general elementary and secondary public
22-17 education. <"School district" includes a county education district
22-18 established by the consolidation of the local school districts in
22-19 its boundaries for the limited purpose of exercising a portion of
22-20 the taxing power previously authorized by the voters in those
22-21 school districts.> "School district" does not include a junior
22-22 college district or a political subdivision organized to provide
22-23 special education services.
22-24 (n) In addition to any other exemptions provided by this
22-25 section, an individual is entitled to an exemption from taxation by
22-26 a taxing unit <other than a county education district> of a
22-27 percentage of the appraised value of his residence homestead if the
23-1 exemption is adopted by the governing body of the taxing unit
23-2 before May 1 in the manner provided by law for official action by
23-3 the body. If the percentage set by the taxing unit produces an
23-4 exemption in a tax year of less than $5,000 when applied to a
23-5 particular residence homestead, the individual is entitled to an
23-6 exemption of $5,000 of the appraised value. The percentage adopted
23-7 by the taxing unit may not exceed 20 percent. <In addition to any
23-8 other exemptions provided by this section, an individual is
23-9 entitled to an exemption from taxation by a county education
23-10 district of a percentage of the appraised value of his residence
23-11 homestead if the exemption is adopted by the voters of the district
23-12 at an election held in the district for that purpose under Section
23-13 20.946, Education Code. If the percentage set by the voters
23-14 produces an exemption in a tax year of less than $5,000 when
23-15 applied to a particular residence homestead, the individual is
23-16 entitled to an exemption of $5,000 of the appraised value. The
23-17 percentage adopted by the voters may not exceed 20 percent.>
23-18 SECTION 21. Sections 11.14(c) and (e), Tax Code, are amended
23-19 to read as follows:
23-20 (c) The governing body of a taxing unit<, other than a
23-21 county education district,> by resolution or order, depending upon
23-22 the method prescribed by law for official action by that governing
23-23 body, may provide for taxation of tangible personal property
23-24 exempted under Subsection (a). <The voters of a county education
23-25 district, by an election held under Section 20.951, Education Code,
23-26 may provide for taxation of tangible personal property exempted
23-27 under Subsection (a).> If a taxing unit provides for taxation of
24-1 tangible personal property as provided by this subsection, the
24-2 exemption prescribed by Subsection (a) does not apply to that unit.
24-3 (e) A political subdivision <other than a county education
24-4 district> choosing to tax property otherwise made exempt by this
24-5 section, pursuant to Article VIII, Section 1(e), of the Texas
24-6 Constitution, may not do so until the governing body of the
24-7 political subdivision has held a public hearing on the matter,
24-8 after having given notice of the hearing at the times and in the
24-9 manner required by this subsection, and has found that the action
24-10 will be in the public interest of all the residents of that
24-11 political subdivision. At the hearing, all interested persons are
24-12 entitled to speak and present evidence for or against taxing the
24-13 property. Not later than the 30th day prior to the date of a
24-14 hearing held under this subsection, notice of the hearing must be:
24-15 (1) published in a newspaper having general
24-16 circulation in the political subdivision and in a section of the
24-17 newspaper other than the advertisement section;
24-18 (2) not less than one-half of one page in size; and
24-19 (3) republished on not less than three separate days
24-20 during the period beginning with the 10th day prior to the hearing
24-21 and ending with the actual date of the hearing.
24-22 SECTION 22. (a) All county education districts are
24-23 abolished.
24-24 (b) All funds and other assets of each county education
24-25 district shall be distributed among its component school districts
24-26 in proportion to the total amount contributed by each component
24-27 school district to the county education district in accordance with
25-1 rules adopted by the commissioner of education.
25-2 SECTION 23. (a) The following provisions of the Education
25-3 Code are repealed:
25-4 (1) Sections 1.05, 15.16, 16.001, 16.002, 16.007(c),
25-5 16.008-16.011, 16.252, 16.256(d)-(g), 16.258, 19.027(f) and (g),
25-6 20.09, 21.112(m), 21.172(b), 21.182(f), 21.552(c), and 21.558;
25-7 (2) Subchapters D, F, H, I, and J, Chapter 16; and
25-8 (3) Subchapter G, Chapter 20.
25-9 (b) The following sections of the Tax Code are
25-10 repealed: 6.061(f), 26.12(e), and 312.002(e) and (f).
25-11 SECTION 24. This Act applies beginning with the 1993-1994
25-12 school year.
25-13 SECTION 25. The importance of this legislation and the
25-14 crowded condition of the calendars in both houses create an
25-15 emergency and an imperative public necessity that the
25-16 constitutional rule requiring bills to be read on three several
25-17 days in each house be suspended, and this rule is hereby suspended,
25-18 and that this Act take effect and be in force from and after its
25-19 passage, and it is so enacted.