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A BILL TO BE ENTITLED
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AN ACT
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relating to voter information provided by political subdivisions |
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before an election to authorize the issuance of bonds. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Sections 1251.052(a) and (b), Government Code, |
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as added by Chapter 728 (H.B. 477), Acts of the 86th Legislature, |
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Regular Session, 2019, are amended to read as follows: |
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(a) The ballot for a measure seeking voter approval of the |
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issuance of debt obligations by a political subdivision shall |
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specifically state: |
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(1) a general description of the purposes for which |
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the debt obligations are to be authorized; |
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(2) the total principal amount of the debt obligations |
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to be authorized; [and] |
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(3) that taxes sufficient to pay the principal of and |
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interest on the debt obligations will be imposed; and |
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(4) the ad valorem debt service tax rate expressed in |
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dollars per $100 valuation of all taxable property in the political |
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subdivision, stated as: |
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(A) the existing rate; |
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(B) the estimated rate if the bonds are issued; |
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and |
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(C) the estimated percentage increase in the rate |
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if the bonds are issued. |
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(b) A political subdivision [with at least 250 registered |
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voters on the date the governing body of the political subdivision |
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adopts the debt obligation election order] must prepare a voter |
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information document for each proposition to be voted on at the |
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election. The political subdivision shall post the voter |
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information document in the same manner as a debt obligation |
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election order is required to be posted under Section 4.003(f), |
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Election Code, and may include the voter information document in |
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the debt obligation election order. The voter information |
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document must distinctly state: |
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(1) the language that will appear on the ballot; |
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(2) the following information formatted as a table: |
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(A) the principal of the debt obligations to be |
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authorized; |
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(B) the estimated interest for the debt |
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obligations to be authorized; |
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(C) the estimated combined principal and |
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interest required to pay on time and in full the debt obligations to |
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be authorized; and |
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(D) as of the date the political subdivision |
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adopts the debt obligation election order: |
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(i) the principal of all outstanding debt |
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obligations of the political subdivision; |
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(ii) the estimated remaining interest on |
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all outstanding debt obligations of the political subdivision, |
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which may be based on the political subdivision's expectations |
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relative to the interest due on any variable rate debt obligations; |
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and |
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(iii) the estimated combined principal and |
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interest required to pay on time and in full all outstanding debt |
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obligations of the political subdivision, which may be based on the |
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political subdivision's expectations relative to the interest due |
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on any variable rate debt obligations; |
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(3) the estimated maximum annual increase in the |
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amount of taxes that would be imposed on a property [residence |
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homestead in the political subdivision with an appraised value of |
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$100,000] to repay the debt obligations to be authorized, if |
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approved, based upon assumptions made by the governing body of the |
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political subdivision; and |
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(4) any other information that the political |
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subdivision considers relevant or necessary to explain the |
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information required by this subsection. |
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SECTION 2. Sections 1251.052(a) and (b), Government Code, |
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as amended by this Act, apply only to a bond election ordered on or |
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after January 1, 2027. |
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SECTION 3. This Act takes effect September 1, 2025. |