H.B. No. 211 proposes significant amendments to the Election Code and Tax Code concerning the calculation of voter-approval tax rates for certain taxing units and the process for obtaining voter approval for proposed ad valorem tax rates that exceed established limits. A key insertion in the bill mandates that elections for approving increases in ad valorem tax rates must occur on the November uniform election date, prohibiting emergency elections for this purpose. Additionally, if existing laws require elections on different dates, those elections must be rescheduled to align with this new requirement. The bill also modifies the voting threshold for tax rate approval, increasing it from a simple majority to at least 60 percent of votes cast in favor of the proposition.

Moreover, the bill amends various sections of the Tax Code and Water Code, focusing on the management and collection of ad valorem taxes. It allows taxing units or appraisal districts to impose an additional penalty on delinquent taxes due on or after June 1, with the penalty capped at attorney contract compensation for tax collection. The bill clarifies the definition of a "developed district" and requires these districts to include specific financial documents in their annual budgets. It also updates public hearing requirements for proposed tax rates, ensuring detailed disclosures about tax rate changes and their implications for property owners. The bill aims to streamline the tax rate approval process by repealing outdated provisions and is set to take effect on January 1, 2026, applying to ad valorem taxes for tax years beginning on or after that date.

Statutes affected:
Introduced: Health and Safety Code 281.124, Special District Local Laws Code 1101.254, Special District Local Laws Code 26.07, Special District Local Laws Code 8876.152, Tax Code 26.04, Tax Code 26.041, Tax Code 26.07, Tax Code 26.08, Tax Code 31.112, Water Code 49.057, Water Code 49.107, Water Code 49.108, Water Code 49.236, Water Code 49.23601 (Health and Safety Code 281, Special District Local Laws Code 1101, Tax Code 26, Tax Code 31, Special District Local Laws Code 26, Water Code 49, Special District Local Laws Code 8876)