S.B. No. 1453 amends the Education Code and the Tax Code to enhance transparency and accountability in the budgeting and tax rate processes for school districts in Texas. The bill requires that notices for public meetings regarding budget discussions and proposed tax rates must be prominently displayed in newspapers and include specific information such as comparisons of proposed budgets with previous years, total appraised and taxable values, outstanding bonded indebtedness, and a detailed breakdown of tax rates. Notably, it introduces new language defining "current debt service" as the minimum dollar amount required for debt service in the current year and mandates that the governing body of a taxing unit can only approve a tax rate exceeding a certain threshold if specific conditions are met, including a motion approved by at least 60% of the governing body.

Additionally, the bill stipulates that if a taxing unit approves a rate that exceeds the established threshold, this rate will be considered the current debt rate for that tax year, necessitating recalculations of the voter-approval tax rate. The changes aim to ensure that taxpayers are well-informed about how their tax dollars are being allocated and the financial obligations of their school districts. The act is set to take effect on January 1, 2026, and applies to ad valorem taxes imposed for tax years beginning on or after this date.

Statutes affected:
Introduced: Education Code 44.004, Tax Code 26.012, Tax Code 26.04, Tax Code 26.05 (Tax Code 26, Education Code 44)
Senate Committee Report: Education Code 44.004, Tax Code 26.012, Tax Code 26.04, Tax Code 26.05 (Tax Code 26, Education Code 44)
Engrossed: Education Code 44.004, Tax Code 26.012, Tax Code 26.04, Tax Code 26.05 (Tax Code 26, Education Code 44)
House Committee Report: Education Code 44.004, Tax Code 26.012, Tax Code 26.04, Tax Code 26.05 (Tax Code 26, Education Code 44)
Enrolled: Education Code 44.004, Tax Code 26.012, Tax Code 26.04, Tax Code 26.05 (Tax Code 26, Education Code 44)