The bill, S.B. No. 1449, 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. The bill aims to amend the Education Code and the Tax Code to make conforming changes, including the removal of specific sections that previously permitted this practice. Notably, it modifies Section 48.202(f) of the Education Code to clarify that school districts must reduce their tax rates in certain circumstances and introduces new language regarding the calculation of voter-approval tax rates for taxing units in disaster areas.

Additionally, the bill repeals several sections of the Tax Code and Education Code that previously outlined the procedures for adopting tax rates in disaster situations. The changes emphasize the need for taxing units to adhere to voter-approval tax rates and limit their ability to increase maintenance and operations tax rates under specific conditions. The bill is set to take effect on January 1, 2026, and will apply 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 (Education Code 48, Tax Code 26)