By George                                             H.B. No. 2637
         77R6140 BDH-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to an interim study of certain school district ad valorem
 1-3     tax rates.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  (a)  The comptroller, in cooperation with the
 1-6     Texas Education Agency, shall conduct a study of the ad valorem tax
 1-7     rate limit imposed on school districts under Section 45.003(d),
 1-8     Education Code.  The study must include:
 1-9                 (1)  a determination of the number of districts levying
1-10     taxes at the maximum rate on the effective date of this Act or
1-11     expected to levy taxes at that rate in the two years following the
1-12     effective date of this Act;
1-13                 (2)  an analysis of any statewide implications of a
1-14     majority of districts levying taxes at the maximum rate; and
1-15                 (3)  development of potential solutions to any
1-16     statewide or district problem related to the maximum rate.
1-17           (b)  Not later than December 1, 2002, the comptroller shall
1-18     deliver to the governor, the lieutenant governor, the speaker of
1-19     the house of representatives, and the clerks of the standing
1-20     committees of the senate and house of representatives with primary
1-21     jurisdiction over the public school system a report containing the
1-22     findings of the study required by this Act.
1-23           SECTION 2.  This Act takes effect September 1, 2001.