The bill proposes the repeal of provisions that currently allow certain taxing units to adopt an ad valorem tax rate exceeding the voter-approval tax rate in the year following a disaster without holding an election. This change aims to ensure that taxing units adhere to voter-approved tax rates, thereby enhancing accountability and transparency in tax rate adoption. The bill also includes conforming amendments to the Education Code and Tax Code to reflect this repeal.

Additionally, the bill amends specific sections of the Education Code and Tax Code to clarify the calculation of the voter-approval tax rate for taxing units in disaster areas. It specifies that a taxing unit must identify the disaster declaration that justifies the calculation of the tax rate and prohibits the reuse of the same disaster declaration in subsequent years if a different declaration has been specified in the interim. The bill will take effect on January 1, 2026, and applies only to ad valorem taxes imposed for tax years beginning on or after that date.

Statutes affected:
Introduced: Education Code 48.202, Tax Code 26.042 (Tax Code 26, Education Code 48)