By: Bettencourt  S.B. No. 91
         (In the Senate - Filed August 27, 2021; August 27, 2021,
  read first time and referred to Committee on Finance;
  August 30, 2021, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 15, Nays 0;
  August 30, 2021, sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 91 By:  Bettencourt
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to a temporary reduction in the maximum compressed tax
  rate of a school district and the form of the ballot proposition to
  be used in an election to approve a tax rate adopted by a school
  district that exceeds the district's voter-approval tax rate;
  making an appropriation.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter F, Chapter 48, Education Code, is
  amended by adding Section 48.2555 to read as follows:
         Sec. 48.2555.  MAXIMUM COMPRESSED TAX RATE FOR 2022-2023
  SCHOOL YEAR.  (a)  Notwithstanding any other provision of this title
  or Chapter 26, Tax Code, for the 2022-2023 school year, the
  commissioner shall calculate the value of a school district's
  maximum compressed tax rate by determining the district's maximum
  compressed rate under Section 48.2551 or 48.2552(b), if applicable,
  and reducing the tax rate determined under the applicable section
  by the amount by which the commissioner may reduce each district's
  maximum compressed tax rate by an equal amount using funds
  appropriated for the purpose of reducing each district's maximum
  compressed tax rate under this section.
         (b)  If a school district's maximum compressed tax rate as
  calculated under Subsection (a) would be less than 90 percent of
  another school district's maximum compressed tax rate under
  Subsection (a), the district's maximum compressed tax rate is the
  value at which the district's maximum compressed tax rate would be
  equal to 90 percent of the other district's maximum compressed tax
  rate.
         (c)  Notwithstanding any other provision of this title or
  Chapter 26, Tax Code, for purposes of determining funding for
  school districts for the 2022-2023 school year, a reference in any
  of the following provisions of law to a school district's maximum
  compressed tax rate or maximum compressed rate as determined under
  Section 48.2551 means the maximum compressed tax rate determined
  for the district under this section:
               (1)  Sections 13.054(f) and (f-1);
               (2)  Section 45.003(d);
               (3)  Section 45.0032(a);
               (4)  Section 48.051(a);
               (5)  Sections 48.2553(a) and (e); and
               (6)  Section 26.08(n), Tax Code.
         (d)  For purposes of Section 30.003(f-1), a reference in that
  section to Section 48.2551 includes this section.
         (e)  Notwithstanding any other provision of this title, for
  purposes of determining a school district's maximum compressed tax
  rate under Section 48.2551 for the 2023-2024 school year, the
  commissioner shall exclude the reduction in the district's maximum
  compressed tax rate under this section for the preceding school
  year from the value of the district's "PYMCR."
         (f)  This section expires September 1, 2024.
         SECTION 2.  Section 26.08(b), Tax Code, is amended to read as
  follows:
         (b)  The governing body shall order that the election be held
  in the school district on the next uniform election date prescribed
  by Section 41.001, Election Code, that occurs after the date of the
  election order and that allows sufficient time to comply with the
  requirements of other law.  At the election, the ballots shall be
  prepared to permit voting for or against the
  proposition:  "Ratifying the ad valorem tax rate of ___ (insert
  adopted tax rate) in (name of school district) for the current year,
  a rate that will result in an increase of _____ (insert percentage
  increase in maintenance and operations tax revenue under the
  adopted tax rate as compared to maintenance and operations tax
  revenue in the preceding tax year) percent in maintenance and
  operations tax revenue for the district for the current year as
  compared to the preceding year, which is an additional $____
  (insert dollar amount of increase in maintenance and operations tax
  revenue under the adopted tax rate as compared to maintenance and
  operations tax revenue in the preceding tax year). If the adopted
  tax rate is not ratified, the (name of school district) may not
  adopt a tax rate that exceeds ____ (insert the school district's
  voter-approval tax rate)."
         SECTION 3.  (a)  Not later than June 1, 2022, the comptroller
  of public accounts shall prepare and provide to the legislature an
  update of the biennial revenue estimate prepared in accordance with
  Section 49a, Article III, Texas Constitution, and provided to the
  legislature in January 2021. The update must include the difference
  between the estimated balance of general revenue-related funds
  available for certification at the end of the state fiscal year
  ending August 31, 2023, as determined under:
               (1)  the update required under this subsection; and
               (2)  the comptroller's biennial revenue estimate update
  provided to the legislature in August 2021.
         (b)  In addition to other amounts appropriated to the Texas
  Education Agency for the state fiscal year ending August 31, 2023,
  an amount equal to the lesser of $4 billion or the sum of $2 billion
  and 50 percent of the amount, if any, by which the difference
  determined under Subsection (a) of this section exceeds $500
  million is appropriated from the general revenue fund to the agency
  for the state fiscal year ending August 31, 2023, for use in
  providing school district property tax relief by reducing each
  school district's maximum compressed tax rate under Section
  48.2555, Education Code, as added by this Act.
         SECTION 4.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect on the 91st day after the last day of the
  legislative session.
 
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