By Hochberg                                           H.B. No. 3526
         77R10010 KKA-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the use of estimated property values in preparing the
 1-3     public notice provided by school districts before adopting a
 1-4     proposed budget and tax rate.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1. Section 44.004, Education Code, is amended by
 1-7     amending Subsection (e) and adding Subsections (h) and (i) to read
 1-8     as follows:
 1-9           (e)  A person who owns taxable property in a school district
1-10     is entitled to an injunction restraining the collection of taxes by
1-11     the district if the district has not complied with the requirements
1-12     of Subsections (b), (c), and (d), and, if applicable, Subsection
1-13     (i), and the failure to comply was not in good faith.  An action to
1-14     enjoin the collection of taxes must be filed before the date the
1-15     school district delivers substantially all of its tax bills.
1-16           (h)  Notwithstanding any other provision of this section, a
1-17     school district with a fiscal year beginning July 1 may use the
1-18     certified estimate of the taxable value of district property
1-19     required by Section 26.01(d), Tax Code, in preparing the notice
1-20     required by this section if the district does not receive on or
1-21     before June 7 the certified appraisal roll for the district
1-22     required by Section 26.01(a), Tax Code.
1-23           (i)  A school district that uses a certified estimate, as
1-24     authorized by Subsection (h), may adopt a budget at the public
 2-1     meeting designated in the notice prepared using the estimate, but
 2-2     the district may not adopt a tax rate before the district receives
 2-3     the certified appraisal roll for the district required by Section
 2-4     26.01(a), Tax Code.  After receipt of the certified appraisal roll,
 2-5     the district must publish a revised notice and hold another public
 2-6     meeting before the district may adopt a tax rate that exceeds:
 2-7                 (1)  the rate proposed in the notice prepared using the
 2-8     estimate; or
 2-9                 (2)  the district's rollback rate determined under
2-10     Section 26.08, Tax Code, using the certified appraisal roll.
2-11           SECTION 2. Section 26.01(d), Tax Code, is amended to read as
2-12     follows:
2-13           (d)  By June 7 [15], the chief appraiser shall prepare and
2-14     certify to the assessor for each school district participating in
2-15     the appraisal district an estimate of the taxable value of school
2-16     district property.  The chief appraiser shall assist each school
2-17     district in determining values of school district property for the
2-18     school district's budgetary purposes.
2-19           SECTION 3. This Act takes effect September 1, 2001.