The bill amends the Texas Tax Code regarding the expiration of municipal sales and use taxes specifically designated for street maintenance in certain municipalities. It establishes new criteria for tax expiration based on population and voter approval. Notably, it introduces provisions for municipalities with populations under 50,000 that include parts of an international airport and are located in two counties, one with a population of 2.2 million or more. For these municipalities, the tax will expire on the last day of the first calendar quarter after the 10th anniversary of the last reauthorization, provided voters approve the tax at that election.

Additionally, the bill modifies the ballot language for reauthorization elections, allowing for clearer communication regarding the expiration dates of the tax. The new language specifies that the tax may expire on the fourth, eighth, or 10th anniversary, depending on the municipality's characteristics and voter approval. The changes in law will only apply to elections ordered after the effective date of the Act, which can take effect immediately with a two-thirds vote or on September 1, 2025, if that vote is not achieved.

Statutes affected:
Introduced: Tax Code 327.007 (Tax Code 327)