85R4479 SMH/CAE-D
 
  By: Taylor of Collin S.B. No. 1810
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to a limitation on the cost of an attendance credit under
  the public school finance system and the effect of such a limitation
  on the calculation of the rollback tax rate of a school district.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 41.093, Education Code, is amended by
  amending Subsection (a) and adding Subsection (b-2) to read as
  follows:
         (a)  Subject to Subsections [Subsection] (b-1) and (b-2),
  the cost of each credit is an amount equal to the greater of:
               (1)  the amount of the district's maintenance and
  operations tax revenue per student in weighted average daily
  attendance for the school year for which the contract is executed;
  or
               (2)  the amount of the statewide district average of
  maintenance and operations tax revenue per student in weighted
  average daily attendance for the school year preceding the school
  year for which the contract is executed.
         (b-2)  The total amount required under this section for a
  school district to purchase attendance credits necessary to reduce
  the district's wealth per student to the equalized wealth level may
  not exceed the total amount required to purchase necessary
  attendance credits during the preceding school year by a percentage
  that is greater than the percentage calculated for the district and
  reported to the commissioner under Section 26.04(e-2), Tax Code,
  for the current tax year.  The commissioner shall compute the
  difference between the amount the district would otherwise be
  required to pay under this subchapter for attendance credits
  necessary to reduce the district's wealth per student to the
  equalized wealth level and the amount the district is required to
  pay as limited by this subsection and certify that amount to the
  board of trustees of the district and the officer or employee
  designated by the board of trustees of the district to calculate the
  rollback tax rate of the district.
         SECTION 2.  Section 26.04, Tax Code, is amended by adding
  Subsection (e-2) to read as follows:
         (e-2)  This subsection applies only to a school district with
  a wealth per student that exceeds the equalized wealth level, as
  determined by the commissioner of education under Chapter 41,
  Education Code. An officer or employee designated by the governing
  body of the school district shall calculate the positive percentage
  difference, if any, between the rollback tax rate of the school
  district and the tax rate adopted by the school district for the
  preceding tax year. For purposes of this subsection, the officer or
  employee shall calculate the rollback tax rate of the school
  district in accordance with Subsection (c)(2) of this section
  instead of Section 26.08, except that the officer or employee shall
  calculate the effective maintenance and operations rate of the
  school district in accordance with the provisions of Section
  26.08(i) governing the effective maintenance and operations tax
  rate of a school district instead of the definition of the effective
  maintenance and operations rate of a taxing unit as defined by
  Section 26.012. By August 7 or as soon thereafter as practicable,
  the officer or employee shall submit the percentage calculated
  under this subsection to the governing body of the school district
  and the commissioner of education.
         SECTION 3.  Section 26.08, Tax Code, is amended by adding
  Subsection (q) to read as follows:
         (q)  This subsection applies only to a school district to
  which Section 26.04(e-2) applies. The rollback tax rate of a school
  district as otherwise calculated under this section is reduced by
  the rate that, if applied to the total taxable value of property in
  the school district, would generate the amount of revenue certified
  under Section 41.093(b-2), Education Code, to the governing body of
  the school district and the officer or employee designated by the
  governing body of the school district to calculate the rollback tax
  rate of the school district.
         SECTION 4.  (a)  Section 41.093, Education Code, as amended
  by this Act, applies only to the cost of an attendance credit for a
  school year beginning in a tax year that begins on or after the
  effective date of this Act.
         (b)  Sections 26.04 and 26.08, Tax Code, as amended by this
  Act, apply only to the calculation of the rollback tax rate of a
  school district for a tax year beginning on or after the effective
  date of this Act.
         SECTION 5.  This Act takes effect January 1, 2018.