1. education
2. school

Bills Filed for the 2015 Regular Session
of the 84th Texas Legislature
Update as of January 16, 2015
By Robert Mott, Chris Jackson, Adam Walker & Debbie Wheeler
Perdue Brandon Fielder Collins & Mott, LLP
Perdue Brandon tracks legislation during the 84rd Texas Legislature, Regular Session, which convened January
13, 2015. Pre-filing of bills began November 10, 2014. Organized by subject matter, each bill includes a short
summary, proposed effective date and current bill status. All references to section numbers are to the Texas
Property Tax Code, unless otherwise indicated. Some bills are listed several times because they address
multiple subjects. Check Perdue Brandon’s website at pbfcm.com for updates. Updates from the previous
issue are highlighted in gray.
Page
Appraisal District (CAD) Administration
1
Appraisal …………………………………
2
Renditions ………………………………..
2
Exemptions ……………………………….
2
Special Valuation ………………………...
5
Appraisal Review Board (ARB) …………
6
Appraisal District Litigation …………….
6
Assessment & Tax Rates ………………...
7
Tax Collections …………………………..
8
Delinquent Tax Litigation ……………….
8
County Tax Assessor-Collectors ………...
8
School Finance …………………………...
8
Special & Miscellaneous ……………….... 11
Open Meetings, Chapter 551 ………….… 12
Open Records, Chapter 552 ………….…. 12
Other Codes and Statutes …………….…. 12
Fines and Fees ………………………….… 14
and landscape features. These items are new
exceptions to the general prohibition against posting
photographs, sketches or floor plans on the Internet.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
Appraisal District Administration
CAD PHOTO OF BUILDING
CONFIDENTIAL
SB 46 Zaffirini
Amends Gov’t Code 552.155
Table of Contents
EXCEPTIONS
TO
POSTING
RESIDENTIAL INFORMATION
WEBSITE
HB 285 Springer
Amends 25.027
CERTAIN
TO CAD
This bill lists residential property items that may be
posted on the appraisal district’s website, including
an overhead sketch of the property that depicts the
outline of one or more buildings; general landscape
features, including ponds, pools or walls; and
dimensions of or distances between the buildings
2015 Legislative Update; Page 1
EXCEPTIONS TO POSTING CERTAIN OVER-65
HOMEOWNER INFORMATION TO CAD
WEBSITE
HB 394 McClendon
Amends 25.027
This bill restricts the CAD from posting the age of a
property owner, including information that a
property owner is 65 years of age or older, on the
appraisal district’s website.
Proposed Effective: 9/1/2015.
Status: Filed.
INTERIOR
This bill provides that a photograph taken by the
chief appraiser or appraiser’s representative for
property tax appraisal purposes and shows the
improvement (building) interior is confidential
information.
Proposed Effective: 9/1/2015.
Status: Filed.
Appraisal
5% CAP FOR RESIDENCES; LOCAL OPTION
ELECTION FOR A HIGHER CAP UP TO 10
PERCENT
SB 156, SJR 14 Nichols
Amends 23.23 and 42.26; amends Tex. Const. Art. 8,
Sec. 1
This bill and constitutional amendment would lower
the appraisal cap on residence homesteads for all
taxing units in the county from 10 to five percent,
but permit commissioner’s court to hold an election
to grant an amount between five and 10 percent.
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
Rendition
Exemptions
INCREASING $15,000 SCHOOL HOMESTEAD
EXEMPTION TO $45,000
HB 52, HJR 30 Martinez
Amends 11.13, 11.26; adds Education Code
42.2512; amends Gov’t Code 403.302(j); amends
Tex. Const. Art. 8, Sec. 1-b
This bill and constitutional amendment would
increase the general school homestead exemption
from $15,000 to $45,000. The bill decreases the
general $10,000 exemption offered by county
education districts (formed under former Chapters
17, 18, 25, 26, 27 and 28, Education Code) to
$5,000. The tax ceilings for over-65 and disabled
homeowners are reduced to reflect the increased
exemption amount for tax year 2016. The Texas
Comptroller would reduce the taxable values for
school districts to reflect the increased exemption.
The Education Commissioner would compute
additional state aid to a school district for any tax
revenue lost due to the increased exemption and
additional limitation.
2015 Legislative Update; Page 2
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
CHANGING EXEMPTION OF LOW VALUE
MINERAL INTERESTS FROM $500 TO $2,000
HB 128 Goldman
Amends 11.146
This bill changes the exemption from $500 to $2,000
for mineral interests with a low taxable value.
Proposed Effective: 1/1/2016.
Status: Filed.
GRANTING LOCAL OPTION HOMESTEAD
EXEMPTION FOR HONORABLY DISCHARGED
VETERAN
HB 242, HJR 42 Lucio III
Amends 11.13, 26.10, 26.112; amends Tex. Const.
Art. 8, Sec. 1-b
This bill and constitutional amendment would grant
to a veteran who has been honorably discharged a
$10,000 homestead exemption by a county, or a
greater amount adopted by the county’s
commissioners court provided that the total
exemption may not exceed $75,000. A veteran who
also qualifies under Sec. 11.13(d) (for over-65 or
disabled homeowner exemptions) may not receive
both but is entitled to the greater exemption. The
county commissioners must adopt the exemption
before July 1 of the tax year. Once the amount of the
exemption is increased, the commissioners’ court
may not reduce the exemption amount in future
years.
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
ADDING EGGS AS EXEMPT FARM PRODUCT
HB 275 Ashby
Amends 11.16
This bill specifically adds eggs, regardless of
whether the eggs are packaged, to the list of farm
products exempt from property taxation.
Proposed Effective: 1/1/2016.
Status: Filed.
REVISING THE HOMESTEAD EXEMPTION
FOR SURVIVING SPOUSES OF TOTALLY
DISABLED VETERANS
HB 432; HJR 51 Munoz; HB 660; HJR 66
Raymond
Amends 11.131; amends Tex. Const. Art. 8, Sec. 1-b
These bills and constitutional amendment would
grant the total homestead exemption to the surviving
spouse of a totally disabled veteran who would have
qualified if Section 11.131 had been authorized on
the date the disabled veteran died. The current
statute, which was added in 2009 and approved for
the surviving spouse in 2011 by Texas voters, did
not address veterans who had died prior to those
effective dates. If approved, the exemption would
apply to those surviving spouses for a tax year
beginning on or after January 1, 2016.
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
SPECIFYING A MAXIMUM AMOUNT FOR THE
20-PERCENT HOMESTEAD EXEMPTION
HB 490, HJR 57 Rodriquez
Amends 11.13; amends Tex. Const. Art. 8, Sec. 1-b
This bill and constitutional amendment would
provide that a taxing unit’s governing body may set
a maximum exemption amount for a homestead if
the unit grants the 20-percent homestead exemption.
The current law sets a minimum of $5,000 for the
exemption but does not provide for limiting the
exemption to a maximum amount.
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
EXEMPTING
PROPERTY
OWNED
BY
RESEARCH TECHNOLOGY CORPORATION
CREATED BY A TEXAS PUBLIC OR PRIVATE
UNIVERSITY
HB 590; HJR 64 Elkins
Adds Tex. Const. Art. 8, Sec. 1-p
This bill and constitutional amendment would
authorize universities to create corporations to
exclusively develop and commercialize technologies
owned wholly or partly by the institution. The
2015 Legislative Update; Page 3
university names the initial board but subsequent
boards are selected by shareholders. The creating
university must always be a shareholder and may be
issued shares in exchange for rights to the
technology. The principal offices of the corporation
must be in the state and the majority of all goods and
services must be produced in this state. The
corporation lasts for 15 years and may then reform
and restate its purposes and operate as a normal forprofit corporation. For so long as the corporation
engages in development and commercialization of
technologies owned in whole or in part by the
creating institution, then it will be exempt from
property taxes, franchise taxes and sales taxes. The
constitutional amendment would provide that the
Texas Legislature may exempt real and tangible
personal property owned by a research technology
corporation created by a Texas public or private
institutional of higher education to develop and
commercialize technologies owned wholly or partly
by that institution.
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
GRANTING THE TOTAL EXEMPTION OF THE
HOMESTEAD FOR A DISABLED VETERAN
WITH AT LEAST AN 80-PERCENT DISABILITY
RATING
HB 683; HJR 67 Sheets
Amends 11.131 and 26.1125
This bill and constitutional amendment would
provide for the exemption of the total appraised
value of the homestead of a disabled veteran with at
least an 80-percent disability compensation due to a
service-connected disability and a rating of at least
80 percent disabled or not employable. Current law
requires the disabled veteran to be 100-percent
disabled or not employable.
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
PROVIDING FOR ONE-TIME
APPLICATION FOR SOLAR
POWERED ENERGY DEVICE
HB 706 Farrar
Amends 11.43
EXEMPTION
OR WIND-
This bill changes the exemption application by a
property owner for a solar or wind-powered energy
device installed or constructed on property to a onetime application. Current law requires an annual
application for this exemption by the property
owner.
Proposed Effective: 1/1/2016.
Status: Filed.
REVISING COMPTROLLER REPORT ON TAX
REVENUES BASED ON SPECIAL EXEMPTIONS
AND TAX PREFERENCES
SB 70 Ellis
Amends Gov’t Code 403.014, 403.0141
This bill requires the Texas Comptroller to include in
the biennial report to the Texas Legislature any tax
that would have generated more than five percent of
the state tax revenue in the absence of all
exemptions,
discounts,
exclusions,
special
valuations, special rates or special reporting
methods. This report specifically includes school
district property taxes.
Proposed Effective: 9/1/2015.
Status: Filed.
PERIODIC REVIEW OF STATE AND LOCAL
TAX EXEMPTIONS, SPECIAL VALUATION,
DISCOUNTS, ETC.
SB 80 Ellis
Adds Gov’t Code Ch. 320A
This bill requires the Legislature to review state and
local tax preferences, including property tax credits,
discounts, exclusions, exemptions, refunds, special
valuation, special rate or special method of reporting.
The Texas Comptroller shall identify each tax
preference and develop a schedule to review each
once during a 12-year period. By December 1 of
each odd-numbered year, the Comptroller provides
the schedule to the Legislative Budget Board (LBB).
The LBB shall summarize the legislative history of
the tax preference, estimate the amount of lost tax
revenue, determine the effect on the tax burden by
income class and industry and evaluate the fiscal
2015 Legislative Update; Page 4
impact to the overall state economy. By September
1 of even-numbered years, the LBB reports to the
Senate Finance Committee and House Ways and
Means Committee.
Proposed Effective: 1/1/2016.
Status: Filed.
CHANGING SCHOOL GENERAL HOMESTEAD
EXEMPTION TO REFLECT INFLATION AND
PROVIDING ADDITIONAL STATE AID TO
SCHOOL DISTRICTS FOR LOST REVENUE
SB 278, SJR 21 Watson
Amends 11.13 and 11.26; adds Education Code
41.0011 and 46.101 and amends 42.2512; amends
Gov’t Code 403.302; amends Tex. Const. Art. 8,
Sec. 1-b
This bill and constitutional amendment would
change the $15,000 school homestead exemption to
an exemption amount for 2016 of $25,000, which is
then multiplied by the inflation rate for subsequent
years.
Each year by March 15, the Texas
Comptroller shall calculate the exemption amount
for the current tax year and publish that amount in
the Texas Register. The inflation rate is determined
by the percentage change in the consumer price
index for the two preceding years to the current year.
The school tax ceiling for the over-65 and disabled
homeowners are adjusted to reflect the increase in
the exemption amount. The computation of a school
district’s wealth per student is reduced to reflect an
increased exemption amount. The State will provide
additional state aid to a school district for an
increased homestead exemption amount to fully
compensate the district for the tax effort lost due to
the increased exemption amount.
The Texas
Comptroller’s tax year 2016 property value study
would determine a school district’s state value based
on a homestead exemption of $25,000 and the effect
of the additional limitation on ad valorem increases
proposed by joint resolution and adopted by the
Texas Legislature in 2015.
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
GRANTING ADDITIONAL DOLLAR AMOUNT
OF HOMESTEAD EXEMPTION BY TAXING
UNIT OTHER THAN A SCHOOL DISTRICT
SB 279, SJR 20 Watson
Amends 11.13 and 25.23; amends Tex. Const. Art. 8,
Sec. 1-b
low-income housing from the fifth anniversary of
acquisition to the 10th year of acquisition.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
This bill and constitutional amendment would
provide that a taxing unit, other than a school
district, may grant an additional general homestead
exemption of a dollar amount. The amount of the
exemption is $5,000 or a greater amount as
determined by the governing body. This exemption
is in addition to all other homestead exemptions.
This new homestead exemption applies to the
current year if the governing body adopts the
exemption by official action before July 1 of the tax
year. If the taxing unit does not grant the percentage
homestead exemption provided in Section 11.13(n),
a homeowner is entitled to the $5,000 homestead
exemption unless the governing body elects not to
adopt the exemption before July 1. If the taxing unit
decides to cease granting the percentage homestead
exemption provided in Section 11.13(n) and adopts
this new dollar exemption, the homeowner may elect
to continue with the percentage homestead
exemption by filing a written notice with the chief
appraiser by July 15 of that tax year. The election to
retain the percentage homestead exemption applies
only to the homestead that had been granted the
exemption in the preceding year and at that same
dollar amount. The homeowner may file a written
notice with the chief appraiser to rescind the election
of the percentage homestead exemption; however,
once rescinded, the percentage exemption may not
be reinstated. For supplemental appraisal records,
the chief appraiser shall note if the property qualifies
for exemption under Section 11.13(n) or the dollar
amount under Section 11.13(s).
Proposed Effective: 1/1/2016, if Texas voters
approve constitutional amendment November 3,
2015.
Status: Filed.
Special Valuation
EXTENDING
LOW-INCOMING
EXEMPTION TO TEN YEARS
SB 282 Watson
Amends 11.181
HOUSING
This bill extends the cut-off date for the charitable
organization exemption for improving property for
2015 Legislative Update; Page 5
REPEALING
ROLLBACK
TAXES
FOR
CHANGING USE OF QUALIFIED OPEN-SPACE
LAND
HB 133 Simpson
Repeals 23.55 and 23.58(c) and (d); amends 1.07,
23.52, 31.01, 41.41, 41.44; amends Agriculture Code
60.022; amends Property Code 21.0421
This bill repeals the provision for a five-year
rollback tax bill for changing the use of qualified
open-space land to a non-qualified use. References
to Section 23.55 are removed for all other statutes.
Proposed Effective: 9/1/2015.
Status: Filed.
TEMPORARY
CESSATION
OF
AGRICULTURAL
USE
WHEN
OWNER
DEPLOYED BY ARMED SERVICES OR IS
STATIONED OUTSIDE OF TEXAS
HB 276, HB 591 Ashby
Adds 23.523
These bills add a provision that land eligible for
agricultural use appraisal does not end if the property
owner is deployed as a member of the U. S. Armed
Forces to combat or a combat support posting
outside of the U. S. and intends to resume the land’s
use to the degree of intensity within 180 days after
deployment ends. The owner notifies the appraisal
office in writing within 30 days after the date the
owner is deployed. HB 591 also adds for temporary
cessation of agricultural use if a member of the
armed forces is stationed outside of Texas.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
PREVIOUS OWNER SUBJECT TO AG-USE
ROLLBACK TAXES FOR CHANGED USE OF
QUALIFIED OPEN-SPACE LAND CONVEYED
TO EXEMPT ENTITY AND RETURNED TO
OWNER
HB 376 Simmons
Amends 23.55
This bill provides that a property owner (including
the owner’s subsidiary or affiliate) who regains
possession of previously qualified open-space land
that was conveyed to the state or political
subdivision exempt from ag-use rollback taxes is
subject to the ag-use rollback taxes on or before the
fifth anniversary of that conveyance if the date of the
change in use is the conveyance date.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
SETTING PUBLIC USE AT NO FEE OR FOR
NOMINAL
FEE
TO
QUALIFY
FOR
RECREATIONAL, PARK AND SCENIC LAND
APPRAISAL
SB 71 Ellis
Amends 23.83
This bill adds to the recreational, park and scenic
land appraisal provision that an owner is entitled to
restricted land appraised on January 1 if the land has
a restricted use and its use is available to the public
without a fee or for a nominal fee (thus, excluding
this special appraisal for private golf courses and
country clubs).
Proposed Effective: 1/1/2016.
Status: Filed.
Appraisal Review Board (ARB)
PROPERTY TAX PROTESTS TO THE ARB
BASED ON UNEQUAL APPRAISAL
SB 280 Watson
Amends 41.43 and 42.26
This bill sets out provisions for protesting to the
ARB on the grounds of unequal appraisal: (1) a
comparison to a comparable property must be based
on the similarity of properties with regard to
characteristics described by Section 23.013(d), such
2015 Legislative Update; Page 6
as location, square footage of lot and improvements,
age, condition, access, amenities, views, income,
operating expenses, occupancy, deed restrictions or
other legal burdens; (2) adjustments must be
developed and quantified in accordance with
generally accepted appraisal standards; and (3)
calculation of the median appraised value of
comparable properties must be based on the
appraised value shown in the appraised records
submitted by the chief appraiser to the ARB. See
also Appraisal District Litigation.
Proposed Effective: 1/1/2016.
Status: Filed.
EVIDENCE OR ARGUMENT OFFERED BY
AFFIDAVIT TO ARB
SB 281 Watson
Amends 41.45
This bill requires that a property owner who submits
an affidavit to offer evidence or argument at an ARB
hearing must state in the affidavit the owner’s
opinion of the appraised or market value of the
property subject to the protest and must attach
evidence that supports that opinion of value.
Proposed Effective: 9/1/2015.
Status: Filed.
Appraisal District Litigation
PROPERTY TAX APPEALS TO DISTRICT
COURT ON UNEQUAL APPRAISAL
SB 280 Watson
Amends 41.43 and 42.26
This bill revises the grant of relief by a district court
for an appeal on the grounds of unequal appraisal.
For the district court to grant relief if the property’s
appraised value exceeds the median appraised value,
the appraised value of the property must exceed by at
least 10 percent the median appraised value of a
reasonable number of comparable properties in the
appraisal district appropriately adjusted. The bill
adds the 10-percent provision and requires the
comparable properties to be “in the appraisal
district.” For purposes of an unequal appraisal of
property that exceeds the median appraised value of
a reasonable number of comparable properties, the
bill adds these provisions: (1) a comparison to a
comparable property must be based on the similarity
of properties with regard to characteristics described
by Section 23.013(d), such as location, square
footage of lot and improvements, age, condition,
access, amenities, views, income, operating
expenses, occupancy, deed restrictions or other legal
burdens; (2) adjustments must be developed and
quantified in accordance with generally accepted
appraisal standards; and (3) calculation of the
median appraised value of comparable properties
must be based on the appraised value shown in the
appraised records certified to the taxing units by the
chief appraiser. The bill’s changes apply only to
lawsuits filed on or after the effective date of the bill.
See also Appraisal Review Board.
Proposed Effective: 1/1/2016.
Status: Filed.
ELIMINATING COURT FILING FEE FOR
ADDITIONAL PETITION OF MULTICOUNTY
PROPERTY APPEAL
SB 287 West
Amends 42.221; amends Gov’t code 102.101;
repeals Gov’t Code 101.0617, 101.0817, 101.1216
and 101.122; repeals Code of Criminal Procedure
102.009; repeals Transportation Code 112.059;
repeals Art. 6219, Revised Statutes
This bill eliminates certain court fees and costs,
including the $5 filing fee for each additional
petition for review for a consolidated appeal for a
multicounty property.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 8/31/2015.
Status: Filed.
Assessment & Tax Rates
REDUCING ROLLBACK TAX RATE TO 4
PERCENT INCREASE; AUTOMATIC ELECTION
REQUIRED TO RATIFY RATE ADOPTED
ABOVE ROLLBACK RATE
HB 365 Elkins; SB 182 Bettencourt
Repeals 26.07; amends 26.04, 26.041, 26.08 and
Water Code 49.236
These bills reduce the eight-percent increase allowed
in the rollback tax rate for maintenance and
operations purposes to a four-percent increase. The
2015 Legislative Update; Page 7
governing body of the taxing unit, including a water
district, may increase the M&O rate by eight percent
if any part of the district is located in an area
declared a disaster by the governor or President
during the current tax year. This bill also repeals the
petition process to call an election on an adopted tax
rate that exceeds the rollback tax rate. The governing
body of a taxing unit would call an election to ratify
the higher tax rate, using the same process that
school districts currently use.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 8/31/2015.
Status: Filed.
PROHIBITION OF CAPITAL APPRECIATION
BONDS BY LOCAL GOVERNMENTS
SB 103 Hinojosa
Adds Government Code 1210.0245
This bill restricts a county, municipality, special
district, school district, junior college district or
other political subdivision from issuing capital
appreciation bonds that are secured by ad valorem
taxes.
Proposed Effective: 9/1/2015.
Status: Filed.
REQUIRING PUBLIC ACCESS TO BOUNDARY,
FINANCIAL AND TAX RATE INFORMATION
OF LOCAL GOVERNMENT ENTITIES
SB 309 Campbell
Adds Education Code 44.012; adds Gov’t Code
403.0241; adds Local Gov’t Code Chapter 203D;
This bill requires the annual transmission of
information to the Texas Comptroller for the
Political Subdivision Public Information Warehouse,
a database of all active political subdivisions that
impose a property tax or sales tax or that issue bonds
or other obligations. For each political subdivision,
the database will show (1) name, (2) rate of any sales
tax, (3) table of property tax rates as found in Tax
Code Section 26.16, (4) amount of principal and
interest of each debt and when it would be paid with
current terms, (5) subdivision’s website address (or
if no website, contact information for the public to
obtain information and (6) website address of each
appraisal district in which the political subdivision
has territory. The database also may include
information or a link to the political subdivision’s (1)
boundaries, (2) current budget, (3) check registry and
(4) any financial audit or annual report. The
Comptroller shall update information, with rates
annually, and provide in a manner that is searchable
and intuitive to users, at no fee. A political
subdivision, other than a county or municipality,
shall transmit to the Comptroller each information
form, map or plat and statement regarding
annexation or consolidation by September 1, 2016 or
six months after the subdivision’s creation.
Proposed Effective: 9/1/2015.
Status: Filed.
Tax Collections
ATTACHMENT OF PERSONAL PROPERTY
TAX LIEN EVEN IF PROPERTY NOT LOCATED
IN TAXING UNIT’S BOUNDARIES
SB 50 Zaffirini
Amends 32.01
This bill provides that a tax lien on taxable personal
property attaches irrespective of whether the
personal property is located within the taxing
jurisdiction in whose favor the lien attaches. The
Governor vetoed a similar bill as passed in the 2013
legislative session.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
County Tax Assessor-Collectors
ADDING VOLUNTARY TDLR REGISTRATION
AND CERTIFICATION BY COUNTY TAX
ASSESSOR-COLLECTORS
AND
THEIR
EMPLOYEES
HB 639 Bonnen
Adds Occupations Code 1151.1515, amends
1151.151 and 1151.160 and repeals 1151.003
This bill adds a voluntary license registration and
certification for county tax assessor-collectors and
their employees with the Texas Department of
Licensing and Regulation. A county tax assessorcollector or county employee who was a TDLR
registration on June 13, 2013 and had not obtained
certification is entitled to a three-year extension from
the original registration date. This extension is in
addition to the one-year extension allowed by
Section 1151.160. TDLR shall adopt rules to
implement this new voluntary program by December
1, 2015.
Proposed Effective: 9/1/2015.
Status: Filed.
School Finance
Delinquent Tax Litigation
ADDITIONAL
DELINQUENT
REDUCED FOR DISABLED
HOMESTEAD
HB 286 Canales
Amends 33.07, 33.08, 33.11
PENALTY
VETERAN’S
This bill changes the additional delinquent penalty
(for attorney fees) for the homestead of a disabled
veteran. The additional penalty is reduced to six
percent if delinquent on July 1 of the first year, 15
percent if delinquent on July 1 of the second year
and 20 percent if delinquent on July 1 of the third
year and thereafter. A disabled veteran is defined in
Tax Code Section 11.22 for the disabled veteran’s
exemption and residence homestead is defined in
Section 11.13.
2015 Legislative Update; Page 8
INCREASING THE TAX RATE LIMITATION
FOR THE DEBT RATE FOR CERTAIN SCHOOL
DISTRICTS
HB 506 Rodriquez; SB 315 Hinojosa
Amends Education Code 45.0031 and 45.114
These bills add a second provision to the current tax
rate limitation of $.50 per $100 of valuation for
adopting a debt rate to pay bonds. A school district
that meets the following conditions may increase its
tax rate to an amount that is 20 percent greater than
the $0.50 limitation (not to exceed $0.60): (1) the
district is one that has a high enrollment growth, (2)
it has a current Financial Allocation Study for Texas
(FAST) rating from the Texas Comptroller of at least
three stars (or equivalent rating), (3) it has adopted a
capital improvement plan and (4) the district
demonstrates to the Texas Attorney General that the
terms of the proposed bond issuance will result in
total interest costs that are at least five percent less
than the total interest costs if the district were to
issue an alternate debt instrument that defers interest
costs, such as a capital appreciation bond. The bill
also requires a school board in a district with a debt
rate of $0.45 or greater to adopt a capital
improvement plan that addresses additional or
renovated facilities. The plan must include an
inventory of existing facilities; a list of proposed
projects in order of priority with details of need,
timeline and expenses; an assessment of the district’s
capacity to fund the projects; and the district’s
options for financing the projects. The school board
holds a public meeting on the proposed capital
improvement plan before its adoption, and the board
annually evaluates it.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
CHANGING THE REQUIREMENT FOR A
SMALL-SIZED
SCHOOL
DISTRICT
ADJUSTMENT
HB 645 Ashby; HB 720 Frank; SB 324 Nichols
Amends Education Code 42.103
These bills remove the requirement that a smallsized school district is one that contains at least 300
square miles. It would provide that the small-sized
district adjustment under the Foundation School
Program is based on a school district having less
than 1,600 students in average daily attendance.
Proposed Effective: 9/1/2015.
Status: Filed.
CREATING PUBLIC SCHOOL FINANCE
DISTRICTS
HB 654 Aycock
Adds Education Code Chapter 42A, amends 12.106
and 45.003 and repeals Chapters 41 and 42
This bill forms school finance districts to provide
equal access to similar revenue per student at similar
tax effort in replacing the current Robin Hood
system. The bill requires property rich districts to
consolidate their tax bases with poorer ones to
achieve more equitable funding per student. The
Texas Education Commissioner determines the
wealth per weighted average student, based on the
2015 Legislative Update; Page 9
statewide average total property tax rate, the
statewide average wealth per student in each school
district and the tax revenue per weighted student. A
school district’s wealth per weighted student is
required to be within +/-$300 of the wealth per
weighted average student determined by the
Commissioner. If a school district’s wealth per
weighted student is not within this permissible range,
the school district must form a school finance district
with one or more other school districts or be subject
to consolidation by the Commissioner. The school
finance district consolidates the tax bases of the
component school districts, which then may not levy
maintenance and bond taxes. By agreement, each
component school district receives an equal amount
of maintenance tax revenue per student in weighted
average daily attendance. The school finance district
assumes all the indebtedness of the component
school districts and uses the consolidated tax base to
repay indebtedness issued by the joint board of the
school finance district or previously issued by the
component school districts. A school finance district
is subject to the Commissioner’s approval and by
voter approval in an election held on the same date
in each component school district.
The
Commissioner shall ensure the formation of not
fewer than 30 school finance districts. The school
finance district has a limited purpose of taxing and
distributing the revenue to the component district
and is subject to any provision that relates to
imposing taxes, issuing bonds, collecting and
distributing tax revenue or determining a district’s
entitlement to funds. Each component school district
bears a share of the cost of assessing and collecting
taxes in proportion to the component district’s share
of weighted average daily attendance. The school
finance district submits the collected taxes to the
Texas Comptroller, who shall hold the money for the
component districts in a numbered account outside
the treasury for distribution to the component school
districts based on the Commissioner’s total weighted
average daily attendance. The initial school finance
board is a transitional board of trustees composed of
the trustees of the district with the largest student
membership plus one trustee from each of the other
districts in the agreement. The transitional board
shall divide the consolidated district into nine singlemember districts and call for an election on the first
May uniform election date. The bill also addresses
homestead exemptions, tax abatements, and tax
increment obligations. It outlines eligible students,
average daily attendance, state funding requirements,
Commissioner and TEA duties as well as other
provisions. Dates in the bills include: proposed
agreements for school finance districts to
Commissioner by April 1, 2016; Commissioner’s
approval of finance districts by May 1, 2016;
elections for voter approval by December 1, 2016;
Commissioner’s consolidation of districts who failed
to obtain voter approval by May 1, 2017; and new
finance plan for the 2017-2018 school year.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
CHANGING THE ADJUSTMENTS FOR SMALL
AND MID-SIZED SCHOOL DISTRICTS IN
FUNDING
HB 666 King; HB 719 King
Amends Education Code 42.103
These bills set out an adjustment for a school district
that contains at least 150 square miles but less than
300 square miles, with less than 1,600 students in
average daily attendance. The adjustment factor is
increased from .00025 to .00035. For a school
district that has less than 150 square miles with no
more than 1,600 students in average daily
attendance, the factor is .0003.
Proposed Effective: 9/1/2015.
Status: Filed.
SETTING THE STATE’S CONTRIBUTION
POLICY FOR PUBLIC SCHOOL FINANCE
SB 240 Watson
Amends Education Code 42.001
This bill states that the state’s contribution policy for
financing public education should not decrease as a
result of increases in local property values. It
requires the Legislature to provide for a basic
allotment and a guaranteed level of state and local
funds per weighted student per cent of tax effort that
are sufficient to result in at least a level of state
expenditure equal to the state’s expenditure for the
preceding biennium.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
CHANGING THE COST OF EDUCATION
ADJUSTMENT FOR SCHOOL FINANCE
2015 Legislative Update; Page 10
SB 243 Watson
Amends Education Code 7.062, 41.102, 42.261;
repeals Education Code 42.102 and 42.2517
This bill changes the cost of education adjustments
to be based on a statistical analysis conducted by the
Legislative Budget Board (LBB) to determine for
each school district the current geographic variation
in known resource costs and costs of education due
to factors beyond the district’s control. The Texas
Education Commissioner may request periodically
more current statistical analysis from the LBB. The
updated index shall be used for the 2015-2016
school year.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
ELIMINATING
COST
OF
EDUCATION
ADJUSTMENTS
IN
THE
FOUNDATION
SCHOOL PROGRAM
SB 243 Watson
Amends numerous Education Code sections and
repeals 42.102, 42.104 and 42.2517
This bill eliminates the cost of education adjustments
in the various Education Code sections setting forth
the Foundation School Program.
Proposed Effective: 9/1/2015.
Status: Filed.
INCREASING THE BASIC ALLOTMENT AND
CHANGING THE EFFECTIVE TAX RATE TO
DETERMINE
A
SCHOOL
DISTRICT’S
ALLOTMENT
SB 246 Watson
Amends Education Code 42.101
This bill increases the basic school allotment for
each student in average daily attendance at a set
amount of $5,040. For a school district’s share of
the Foundation School Program, the “tax rate” is an
effective rate of the lesser of (1) the amount equal to
the product of the state compression percentage
multiplied by $1.50 or the maintenance and
operation rate adopted by the district. This tax rate
adds “the lesser” and removes reference to the 2005
tax year.
Proposed Effective: 9/1/2015.
Status: Filed.
ADDRESSING
THE
SCHOOL
FINANCE
EQUALIZED
WEALTH
LEVEL
AND
GUARANTEED YIELD
SB 247 Watson
Amends Education Code 41.002 and 42.302
This bill removes the stated $319,500 wealth per
student and refers to the formula for determining that
wealth per student.
Proposed Effective: 9/1/2015.
Status: Filed.
Special & Miscellaneous
POSTING NOTICES ON
WEBSITE
HB 139 Stickland
Adds Gov’t Code 2051.151
COMPTROLLER’S
This bill requires a political subdivision to provide
an electronic copy of each notice required by law to
be published by the political subdivision in a
newspaper to the Texas Comptroller, excluding a
notice of an election. The political subdivision
provides the notice no later than the third day before
the date the notice is required to first be published.
The Comptroller shall maintain a web page for
notices and will post notices within three days of
receiving them from political subdivisions. A
political subdivision determines by official action if
it will exclusively provide notice through the
Comptroller’s webpage or continue to also publish in
a newspaper. If a political subdivision exclusively
uses the Comptroller’s webpage for notices, then it is
exempt from the publication requirements for a
newspaper after it publishes in a newspaper for four
consecutive weeks the Internet address for the
Comptroller’s webpage. The Comptroller shall
establish an e-mail alert request for a person to
receive notice updates by category. The Comptroller
shall maintain an electronic archive of posted
notices.
Proposed Effective: 9/1/2016, with the provision for
Comptroller rules effective 9/1/2015.
Status: Filed.
TIF EXPENDITURE EXCLUSION FROM
PROJECT DESIGN AND CONSTRUCTION
AGREEMENTS
2015 Legislative Update; Page 11
HB 208 Leach
Amends Local Gov’t Code 271.909
This bill addresses project design and construction
agreements between government entities, including a
county, municipality, district or other political
subdivision, excluding a specific expenditure in a tax
increment financing (TIF) zone in Tax Code Section
311.010(g).
Proposed Effective: 9/1/2015
Status: Filed.
SEARCHABLE
COUNTY
DATABASE
HB 317 Keough
Adds Local Gov’t Code 112.011
EXPENDITURE
This bill, called the “Transparency in Local
Government Act,” requires the commissioners’ court
in a county with a population of 45,000 or more to
establish and post on the Internet a free, searchable
database of county expenditures. The database
includes the amount, date, payor and payee of
expenditures and a listing of county expenditures by
expense with links to warrant or check register. The
county shall include graphic representations, such as
pie charts.
Proposed Effective: 9/1/2015
Status: Filed.
INCLUDING AFFORDABLE HOUSING AS
PROPERTY ELIGIBLE FOR AN APPRAISED
VALUE LIMITATION BY THE SCHOOL
DISTRICT
HB 752 Dutton
Amends 313.024
This bill adds property used for affordable housing
to the types of property use that allow a school
district to grant the property a limitation on its
appraised value under the Texas Economic
Development Act. Affordable housing is housing
that is owned for renting to individuals or families
whose median income is not more than 70 percent of
the area’s median family income.
Proposed Effective: 9/1/2015.
Status: Filed.
Open Meetings, Chapter 551
Other Codes and Statutes
REQUIRING AUDIO OR VIDEO RECORDINGS
OF OPEN MEETINGS TO BE AVAILABLE ON
INTERNET
HB 283 Fallon
Amends Gov’t Code 551.128
PROHIBITING LOCAL GOVERNMENTS FROM
INTERFERING WITH PERSON’S RIGHT TO
ENGAGE IN AGRICULTURAL PRODUCTION
HB 132 Flynn
Adds Local Gov’t Code Subchapter 229C and
Subchapter 240D
This bill requires an audio or video recording be
available on the Internet of each regularly scheduled
open meeting of a county commissioners’ court, a
school board or a home-rule municipality in a
county, school district or municipality with a
population of 50,000 or more. The recording does
not apply to a work session or a special called
meeting. The Internet site may be an existing site,
including a publicly accessible video-sharing or
social networking site. The archived recording of
each meeting must be available on the Internet not
later than seven days after the date the recording was
made and be maintained on the site for not less than
two years after recording date. A governmental
body is exempt from failure to make a recording as
the result of a catastrophe or technical breakdown.
A governmental body may broadcast a regularly
scheduled open meeting on television.
Proposed Effective: 9/1/2015
Status: Filed.
FULFILLING
PUBLIC
INFORMATION
REQUEST WITH REFERRAL TO POSTED
WEBSITE
HB 685 Sheets
Amends Gov’t Code 552.221
This bill provides that, in addition to current
methods of producing information in response to a
public information request, a political subdivision’s
public information officer complies by referring a
requestor to the subdivision’s public website, if the
requested information is identifiable and readily
available on the website.
Proposed Effective: 9/1/2015.
Status: Filed.
This bill prohibits a municipality or county from
adopting regulations that interfere with a person’s
right to engage in the production of agriculture,
notwithstanding any other law. The Texas Attorney
General may bring action in district court to obtain a
temporary or permanent injunction against the
municipality or county.
Proposed Effective: 9/1/2015
Status: Filed.
EXCLUDING THE TERMS FEE, LEVY,
SURCHARGE, ASSESSMENT OR PENALTY AS
A STATE TAX
HB 436, HJR 52 Raymond
Adds Tax Code Chapter 102; adds Tex. Const. Art.
8, Sec. 2-a
This bill and constitutional amendment would set out
“honesty in state taxation” by identifying a state tax
rather than using the terms fee, levy, surcharge,
assessment or penalty.
The constitutional
amendment requires that by January 1, 2018, the
Legislature shall revise every reference in statute
using those terms to refer to the state charge as a
“regulatory tax.” The Sunset Advisory Commission
shall recommend statutory revisions necessary to
correctly identify state charges as state taxes.
Proposed Effective: 9/1/2015 for HB 436; HJR 52
effective if Texas voters approve constitutional
amendment November 3, 2015.
Status: Filed.
CONSIDERING CRIMINAL HISTORY RECORD
OF APPLICANTS FOR PUBLIC EMPLOYMENT
HB 548 Johnson
Adds Gov’t Code 656.002; adds Local Gov’t Code
180.008
Open Records, Chapter 552
This bill provides that an initial employment
application of a state agency or of a local
government entity may not include a question
2015 Legislative Update; Page 12
regarding an applicant’s criminal history record. If
the applicant is otherwise qualified and has been
conditionally offered employment or is invited for an
interview, the state agency or local entity may
inquire into or consider the applicant’s criminal
history information. This requirement does not
apply to a position that involves services to or care
of children, requires direct interaction with children
or for which consideration of the criminal history
record is otherwise required by law.
Proposed Effective: 9/1/2015
Status: Filed.
CONSIDERING CRIMINAL HISTORY RECORD
OF
APPLICANTS
FOR
PROFESSIONAL
LICENSES
HB 551 Johnson
Amends Occupation Code 53.021 and 53.104
This bill provides that a licensing authority may not
suspend or revoke a license, disqualify a person from
receiving a license, deny a person an opportunity to
take a licensing exam or refuse to accept an
application for a license based on any conviction
under categorical sections of the Penal Code, other
than any categorical disqualification specified in
Occupations Code Chapter 53. Before acting on any
categorical disqualification listed in Chapter 53, the
licensing authority must give the person an
opportunity to appear for a formal meeting of the
authority to present arguments and evidence. If the
licensing authority determines that the requestor is
ineligible for the license, the authority must issue a
letter specifically explaining how the nature or
proximity of the offense is a disqualifying conviction
for specific aspects of the licensed activity.
Proposed Effective: 9/1/2015
Status: Filed.
SETTING WIDTH REQUIREMENT FOR AN
AREA ANNEXED BY A MUNICIPALITY
HB 555 Springer
Amends Local Gov’t Code 43.054
This bill provides that a municipality may not annex
an area if the area’s width at the widest point
exceeds the length of the area at the longest point.
This provision does not apply if the municipality’s
boundaries are contiguous to the area on at least two
sides or the area abuts or is contiguous to another
jurisdictional boundary.
2015 Legislative Update; Page 13
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
REQUIRING SUNSET REVIEW OF CERTAIN
MUNICIPAL MANAGEMENT DISTRICTS
HB 613 Davis
Adds Local Gov’t Code 375.005
This bill addresses the sunset review of certain
municipal management districts in certain counties.
These management districts located in a county with
a population of 3.3 million or more (Harris County)
shall be reviewed as if the district were scheduled to
be abolished on September 1 of the eighth year after
the year created. The Sunset Advisory Commission
shall determine the review cost to be paid by the
management district.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
REQUIRING STATE CONTRACTORS AND
LOCAL
GOVERNMENT
ENTITIES
TO
PARTICIPATE IN FEDERAL E-VERIFY
HB 630 Bonnen
Amends Gov’t Code Chapter 2264 and adds Chapter
619; adds Labor Chapter 53
This bill requires local taxing jurisdictions to
participate in the federal electronic verification of
work authorization program, or E-Verify. The Texas
Workforce Commission adopts rules.
Proposed Effective: 9/1/2015
Status: Filed.
ANNEXING INDUSTRIAL AND COMMERCIAL
PROPERTY BY MUNICIPALITY
HB 665 King
Adds Local Gov’t Code 43.0235
This bill provides that a general-law municipality
may annex an area in which 50 percent or more of
the property is primarily used for commercial or
industrial purposes if (1) the municipality is
otherwise authorized by law to annex it and (2) the
municipality obtains the written consent of the
owners of a majority of the property in the area to be
annexed. The written consent must be signed by the
property owners and must include a description of
the area to be annexed.
Proposed Effective: Immediately if passed by twothirds of both houses; otherwise, 9/1/2015.
Status: Filed.
ADDRESSING INFORMATION REQUESTED
ON APPLICATIONS FOR OCCUPATIONAL
LICENSES
HB 672 Israel
Amends Occupations Code Chapter 59
This bill provides that a licensing authority for an
occupational license may not consider the
immigration status of an applicant in determining
whether to issue or renew the license. A licensing
application that requires the applicant’s social
security number shall accept as a substitute the
applicant’s individual taxpayer ID number issued by
IRS, which would be held confidential except for
specific licensing requirements.
Proposed Effective: 9/1/2015.
Status: Filed.
REQUIRING GOVERNMENT ENTITIES
PARTICIPATE IN FEDERAL E-VERIFY
HB 739 Button
Adds Gov’t Code Chapter 619
TO
This bill requires the state and political subdivision
of the state, including a municipality, county or any
kind of district, to register and participate in the
federal electronic verification of work authorization
program, or E-Verify. A governmental entity shall
verify information of all new employees. The Texas
Workforce Commission shall adopt rules and
prescribe forms.
Proposed Effective: 9/1/2015
Status: Filed.
INCREASING NUMBER OF COUNTIES THAT
CAN DO COUNTY WORK ON PRIVATE ROADS
HJR 41 Springer; SJR 17 Perry
Amends Tex. Const. Art. 3, Sec. 52f
This bill raises the maximum county population
from the current 5,000 to 7,500 for a county that may
construct and maintain private roads if it imposes a
reasonable charge for the work.
Proposed Effective:
If Texas voters approve
constitutional amendment November 3, 2015.
Status: Filed.
2015 Legislative Update; Page 14
Fines and Fees