SRC-JRN S.B. 1019 75(R)   BILL ANALYSIS


Senate Research Center   S.B. 1019
By: Ogden
Education
4-22-97
As Filed


DIGEST 

Currently, Texas law defines a school district's rollback tax rate as the
tax rate necessary to offset the district's loss using a certain formula.
If a school district imposes a tax rate above the rollback tax rate,
voters may decide at an election, held for the purpose of determining
rollback taxes, to roll back the tax rate to the rollback rate.  This bill
provides tax relief by reducing the amount added to a school district's
rollback tax rate from eight cents to six cents. 

PURPOSE

As proposed, S.B. 1019 provides tax relief by reducing the amount added to
a school district's rollback tax rate from eight cents to six cents. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 26.08, Tax Code, as follows:

Sec. 26.08.  New heading:  ELECTION TO RATIFY SCHOOL TAXES.  Requires the
registered voters of a school district at an election held for that
purpose to determine whether to approve the adopted tax rate, if the
governing body of a school district adopts a rate that exceeds the
district's rollback tax rate calculated under Subsection (c).  Deletes the
provision regarding the tax rate the governing body is authorized to adopt
for the current year. Provides that an election is not required under this
section to approve, rather than limit, the tax rate adopted by the
governing body.  Sets forth the manner in which the ballot is to be
prepared to permit voting for or against the proposition.  Requires the
ballot proposition to include the adopted tax rate and the difference
between that rate and the rollback tax rate in the appropriate place.
Provides that the tax rate for the school district for the current year is
the school district rollback tax rate calculated using a certain formula,
if a majority of the votes cast in the election do not favor the
proposition.  Deletes a proposition authorizing the governing board to
adopt a tax rate that exceeds a certain formula.  Sets forth the formula
and definitions of the formula for determining the rollback tax rate,
including a reduction from $0.08 to $0.06.  Provides that the tax rate for
the current year is the rate adopted by the governing body, if a majority
of the votes cast in the election favor the proposition.  Deletes
Subsections (e) and (f).  Redesignates existing subsections.  Makes
conforming and nonsubstantive changes. 

SECTION 2. Effective date: September 1, 1997.  Provides that the tax rate
calculations for a tax year that began before the effective date of this
Act are governed by the applicable law in effect before the effective date
of this Act. 

SECTION 3. Emergency clause.