By Tillery H.B. No. 1346
77R3324 KKA-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to state assistance with the payment of school district
1-3 debt.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 46.034, Education Code, is amended to read
1-6 as follows:
1-7 Sec. 46.034. LIMITS ON ASSISTANCE. (a) [The existing debt
1-8 tax rate ("EDTR") under Section 46.032 may not exceed $0.12 per
1-9 $100 of valuation, or a greater amount for any year provided by
1-10 appropriation.]
1-11 [(b)] The amount of state assistance to which a district is
1-12 entitled under this subchapter may not exceed the amount to which
1-13 the district would be entitled at the district's tax rate for the
1-14 payment of eligible bonds for the final year of the preceding state
1-15 fiscal biennium.
1-16 (b) [(c)] If the amount required to pay the principal of and
1-17 interest on eligible bonds in a school year is less than the
1-18 district's audited debt service collections for the 1998-1999
1-19 school year, the district may not receive aid in excess of the
1-20 amount that, when added to the district's local revenue for the
1-21 school year, equals the amount required to pay the principal of and
1-22 interest on the bonds.
1-23 [(d) To the extent funds are available under Chapter 42 or
1-24 this chapter in excess of the amount to which school districts are
2-1 entitled for a school year, the commissioner, before providing
2-2 additional assistance under Section 42.2522, may provide assistance
2-3 under this subchapter to a district that would be entitled to the
2-4 assistance but for the limit on the existing debt tax rate under
2-5 Subsection (a).]
2-6 SECTION 2. This Act takes effect September 1, 2001.