By Dunnam H.B. No. 3310
77R5589 KKA-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to payment sources for a school district's local share of
1-3 debt service for which the district receives state assistance.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 46.003, Education Code, is amended by
1-6 amending Subsections (d)-(g) and adding Subsection (h) to read as
1-7 follows:
1-8 (d) A district may pay the district's share of the debt
1-9 service using:
1-10 (1) bond taxes collected for the current year;
1-11 (2) bond taxes collected in a preceding tax year in
1-12 excess of the amount necessary to pay the bonds for which the taxes
1-13 were collected;
1-14 (3) maintenance and operations taxes collected in
1-15 excess of the district's enrichment tax rate, as defined by Section
1-16 42.302; or
1-17 (4) any other local money, including donations and
1-18 grants, not obtained from a governmental source or used to generate
1-19 state financial support for the district.
1-20 (e) Bonds are eligible to be paid with state and local funds
1-21 under this section if:
1-22 (1) taxes to pay the principal of and interest on the
1-23 bonds were first levied in the 1997-1998 school year or a later
1-24 school year; and
2-1 (2) the bonds do not have a weighted average maturity
2-2 of less than eight years.
2-3 (f) [(e)] A district may use state funds received under this
2-4 section only to pay the principal of and interest on the bonds for
2-5 which the district received the funds.
2-6 (g) [(f)] The board of trustees and voters of a school
2-7 district shall determine district needs concerning construction,
2-8 acquisition, renovation, or improvement of instructional
2-9 facilities.
2-10 (h) [(g)] To receive state assistance under this subchapter,
2-11 a school district must apply to the commissioner in accordance with
2-12 rules adopted by the commissioner before issuing bonds that will be
2-13 paid with state assistance. Until the bonds are fully paid or the
2-14 instructional facility is sold:
2-15 (1) a school district is entitled to continue
2-16 receiving state assistance without reapplying to the commissioner;
2-17 and
2-18 (2) the guaranteed level of state and local funds per
2-19 student per cent of tax effort applicable to the bonds may not be
2-20 reduced below the level provided for the year in which the bonds
2-21 were issued.
2-22 SECTION 2. Section 46.032, Education Code, is amended by
2-23 adding Subsection (c) to read as follows:
2-24 (c) A district may pay the district's share of existing debt
2-25 using:
2-26 (1) bond taxes collected for the current year;
2-27 (2) bond taxes collected in a preceding tax year in
3-1 excess of the amount necessary to pay the bonds for which the taxes
3-2 were collected;
3-3 (3) maintenance and operations taxes collected in
3-4 excess of the district's enrichment tax rate, as defined by Section
3-5 42.302; or
3-6 (4) any other local money, including donations and
3-7 grants, not obtained from a governmental source or used to generate
3-8 state financial support for the district.
3-9 SECTION 3. This Act takes effect September 1, 2001.