By Flores H.B. No. 1745
76R4430 ESH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the computation of an effective tax rate for school
1-3 finance purposes.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 42.253(i), Education Code, is amended to
1-6 read as follows:
1-7 (i) Not later than March 1 each year, the commissioner shall
1-8 determine the actual amount of state funds to which each school
1-9 district is entitled under the allocation formulas in this chapter
1-10 for the current school year and shall compare that amount with the
1-11 amount of the warrants issued to each district for that year. The
1-12 commissioner shall also determine the actual amount of state funds
1-13 to which each school district that received credit under Section
1-14 42.302(b) for taxes unpaid pending appraisal appeals was entitled
1-15 under the allocation formulas under this chapter for the school
1-16 year in which the district received the credit and shall compare
1-17 that amount with the amount of the warrants issued to each district
1-18 for that year. If the amount of the warrants differs from the
1-19 amount to which a district is entitled [because of variations in
1-20 the district's tax rate, student enrollment, or taxable value of
1-21 property], the commissioner shall adjust the district's entitlement
1-22 for the next fiscal year accordingly.
1-23 SECTION 2. Section 42.302, Education Code, is amended to
1-24 read as follows:
2-1 Sec. 42.302. ALLOTMENT. (a) Each school district is
2-2 guaranteed a specified amount per weighted student in state and
2-3 local funds for each cent of tax effort over that required for the
2-4 district's local fund assignment up to the maximum level specified
2-5 in this subchapter. The amount of state support, subject only to
2-6 the maximum amount under Section 42.303, is determined by the
2-7 formula:
2-8 GYA = (GL X WADA X DTR X 100) - LR
2-9 where:
2-10 "GYA" is the guaranteed yield amount of state funds to be
2-11 allocated to the district;
2-12 "GL" is the dollar amount guaranteed level of state and local
2-13 funds per weighted student per cent of tax effort, which is $21 or
2-14 a greater amount for any year provided by appropriation;
2-15 "WADA" is the number of students in weighted average daily
2-16 attendance, which is calculated by dividing the sum of the school
2-17 district's allotments under Subchapters B and C, less any allotment
2-18 to the district for transportation and 50 percent of the adjustment
2-19 under Section 42.102, by the basic allotment for the applicable
2-20 year;
2-21 "DTR" is the district enrichment and facilities tax rate of
2-22 the school district, which is determined by subtracting the amounts
2-23 specified by Subsection (b) from the sum of the total amount of
2-24 taxes collected by the school district for the applicable school
2-25 year and the total amount of taxes unpaid pending appraisal appeals
2-26 for that year and dividing the difference by the quotient of the
2-27 district's taxable value of property as determined under Subchapter
3-1 M, Chapter 403, Government Code, divided by 100; and
3-2 "LR" is the local revenue, which is determined by multiplying
3-3 "DTR" by the quotient of the district's taxable value of property
3-4 as determined under Subchapter M, Chapter 403, Government Code,
3-5 divided by 100.
3-6 (b) For purposes of Subsection (a), the total amount of
3-7 taxes unpaid pending appraisal appeals is the difference between
3-8 the total amount of taxes levied by the school district on property
3-9 that is the subject of a protest under Section 41.41, Tax Code, or
3-10 an appeal under Section 42.01(a)(1), Tax Code, as of the date for
3-11 which the computation is made less the total amount of taxes paid
3-12 on that property as of that date. For purposes of this subsection,
3-13 the amount of taxes levied on property that is the subject of a
3-14 protest or appeal is determined using the taxable value of the
3-15 property according to the appraisal roll certified to the school
3-16 district.
3-17 (c) In computing the district enrichment and facilities tax
3-18 rate of a school district, the total amount of taxes collected by
3-19 the school district does not include the amount of:
3-20 (1) the district's local fund assignment under Section
3-21 42.252;
3-22 (2) taxes collected to pay the local share of the cost
3-23 of an instructional facility for which the district receives state
3-24 assistance under Chapter 46; [or]
3-25 (3) taxes paid into a tax increment fund under Chapter
3-26 311, Tax Code; or
3-27 (4) taxes collected on property for a tax year for
4-1 which the district previously included taxes levied on the property
4-2 in the total amount of taxes unpaid pending appraisal appeals.
4-3 SECTION 3. This Act takes effect September 1, 1999.
4-4 SECTION 4. The importance of this legislation and the
4-5 crowded condition of the calendars in both houses create an
4-6 emergency and an imperative public necessity that the
4-7 constitutional rule requiring bills to be read on three several
4-8 days in each house be suspended, and this rule is hereby suspended.