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A BILL TO BE ENTITLED
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AN ACT
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relating to the guaranteed yield and the school facilities |
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allotment under the Foundation School Program and to a school |
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district's rollback tax rate for the 2019 tax year. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 42.302(a-1), Education Code, is amended |
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to read as follows: |
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(a-1) For purposes of Subsection (a), the dollar amount |
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guaranteed level of state and local funds per weighted student per |
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cent of tax effort ("GL") for a school district is: |
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(1) the greater of the amount of district tax revenue |
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per weighted student per cent of tax effort that would be available |
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to the Austin Independent School District, as determined by the |
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commissioner in cooperation with the Legislative Budget Board, if |
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the reduction of the limitation on tax increases as provided by |
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Section 11.26(a-1), (a-2), or (a-3), Tax Code, did not apply, or the |
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amount of district tax revenue per weighted student per cent of tax |
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effort used for purposes of this subdivision in the preceding |
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school year, for the first six cents by which the district's |
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maintenance and operations tax rate exceeds the rate equal to the |
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sum of the product of the state compression percentage, as |
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determined under Section 42.2516, multiplied by the maintenance and |
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operations tax rate adopted by the district for the 2005 tax year |
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and any additional tax effort included in calculating the |
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district's compressed tax rate under Section 42.101(a-1); and |
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(2) the amount of district tax revenue per weighted |
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student per cent of tax effort available to a district with |
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maintenance and operations tax revenue per cent of tax effort equal |
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to the maximum amount provided per cent under Section 42.101(a) or |
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(b) [$31.95], for the district's maintenance and operations tax |
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effort that exceeds the amount of tax effort described by |
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Subdivision (1). |
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SECTION 2. Section 46.003(a), Education Code, is amended to |
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read as follows: |
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(a) For each year, except as provided by Sections 46.005 and |
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46.006, a school district is guaranteed a specified amount per |
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student in state and local funds for each cent of tax effort, up to |
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the maximum rate under Subsection (b), to pay the principal of and |
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interest on eligible bonds issued to construct, acquire, renovate, |
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or improve an instructional facility. The amount of state support |
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is determined by the formula: |
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FYA = (FYL X WADA [ADA] X BTR X 100) - (BTR X (DPV/100)) |
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where: |
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"FYA" is the guaranteed facilities yield amount of state |
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funds allocated to the district for the year; |
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"FYL" is the dollar amount guaranteed level of state and |
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local funds per student per cent of tax effort, which is the amount |
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of district tax revenue per weighted student per cent of tax effort |
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available to a district with maintenance and operations tax revenue |
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per cent of tax effort equal to the maximum amount provided per cent |
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under Section 42.101(a) or (b) [$35 or a greater amount for any year
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provided by appropriation]; |
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"WADA" ["ADA"] is the greater of the number of students in |
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weighted average daily attendance, as defined by Section 42.302 |
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[determined under Section 42.005], in the district or 400; |
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"BTR" is the district's bond tax rate for the current year, |
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which is determined by dividing the amount budgeted by the district |
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for payment of eligible bonds by the quotient of the district's |
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taxable value of property as determined under Subchapter M, Chapter |
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403, Government Code, or, if applicable, Section 42.2521, divided |
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by 100; and |
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"DPV" is the district's taxable value of property as |
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determined under Subchapter M, Chapter 403, Government Code, or, if |
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applicable, Section 42.2521. |
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SECTION 3. Section 46.032(a), Education Code, is amended to |
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read as follows: |
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(a) Each school district is guaranteed a specified amount |
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per student in state and local funds for each cent of tax effort to |
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pay the principal of and interest on eligible bonds. The amount of |
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state support, subject only to the maximum amount under Section |
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46.034, is determined by the formula: |
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EDA = (EDGL X WADA [ADA] X EDTR X 100) - (EDTR X (DPV/100)) |
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where: |
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"EDA" is the amount of state funds to be allocated to the |
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district for assistance with existing debt; |
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"EDGL" is the dollar amount guaranteed level of state and |
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local funds per student per cent of tax effort, which is the amount |
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of district tax revenue per weighted student per cent of tax effort |
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available to a district with maintenance and operations tax revenue |
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per cent of tax effort equal to the maximum amount provided per cent |
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under Section 42.101(a) or (b) [the lesser of:
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[(1)
$40 or a greater amount for any year provided by
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appropriation; or
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[(2)
the amount that would result in a total
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additional amount of state funds under this subchapter for the
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current year equal to $60 million in excess of the state funds to
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which school districts would have been entitled under this section
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if the guaranteed level amount were $35]; |
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"WADA" ["ADA"] is the number of students in weighted average |
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daily attendance, as defined by Section 42.302 [determined under
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Section 42.005], in the district; |
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"EDTR" is the existing debt tax rate of the district, which is |
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determined by dividing the amount budgeted by the district for |
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payment of eligible bonds by the quotient of the district's taxable |
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value of property as determined under Subchapter M, Chapter 403, |
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Government Code, or, if applicable, under Section 42.2521, divided |
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by 100; and |
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"DPV" is the district's taxable value of property as |
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determined under Subchapter M, Chapter 403, Government Code, or, if |
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applicable, under Section 42.2521. |
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SECTION 4. Section 26.08, Tax Code, is amended by adding |
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Subsection (i-1) to read as follows: |
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(i-1) For purposes of Subsection (i), any change from the |
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preceding school year to the current school year in the amount of |
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state funds distributed to a school district under the guaranteed |
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yield allotment under Section 42.302, Education Code, is not |
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considered to be a change in a funding element for Chapter 42, |
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Education Code. The amount of state funds distributed under |
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Chapter 42, Education Code, and maintenance and operations taxes of |
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the district per student in weighted average daily attendance for |
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that school year that would have been available to the district in |
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the preceding year if the funding elements for Chapters 41 and 42, |
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Education Code, for the current year had been in effect for the |
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preceding year is computed on the basis of the amount actually |
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distributed under the guaranteed yield allotment under Section |
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42.302, Education Code, in the preceding school year. This |
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subsection expires December 31, 2019. |
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SECTION 5. Section 26.08(i-1), Tax Code, as added by this |
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Act, applies to the ad valorem tax rate of a school district only |
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for the 2019 tax year. |
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SECTION 6. This Act takes effect September 1, 2019. |