H.B. No. 121 amends the definition of "eligible school district" in the Government Code for the purpose of the comptroller of public accounts' study of school district property values. The bill specifies that an "eligible school district" is one where the comptroller has determined that the local value is invalid under Section 403.302(c) and does not exceed the state value for the district. Additionally, it requires that in the two studies preceding the most recent one, the school district's local value was valid under the same section. The previous criteria regarding the aggregate local value and compliance of the appraisal district have been deleted from the definition.

The changes made by this Act will only apply to studies conducted under Section 403.302 for tax years beginning on or after January 1, 2026. Any studies conducted before this date will continue to be governed by the law in effect prior to the enactment of this bill. The Act will take effect immediately if it receives a two-thirds vote from all elected members of both houses; otherwise, it will take effect 91 days after the end of the legislative session.

Statutes affected:
Introduced: Government Code 403.3011 (Government Code 403)