CAI(LEGAL) - APPROPRIATIONS AND REVENUE SOURCES: AD VALOREM TAXES

Tax Bonds and Maintenance Tax

Notice

  1. The no-new-revenue tax rate, the voter-approval tax rate, and an explanation of how they were calculated;
  2. The estimated amount of interest and sinking fund balances and the estimated amount of maintenance and operation or general fund balances remaining at the end of the current fiscal year that are not encumbered with or by corresponding existing debt obligations; and
  3. A schedule of the taxing unit's debt obligations as prescribed by Tax Code 26.04(e)(3).

Tax Rate

  1. The rate that, if applied to the total taxable value, will impose the total amount described by Tax Code 26.04(e)(3)(c), less any amount of additional sales and use tax revenue that will be used to pay debt service; and
  2. The rate that, if applied to the total taxable value, will impose the amount of taxes needed to fund maintenance and operation expenditures of the taxing unit for the next year.

Tax Code 26.05(a)–(b)

No-New-Revenue Tax Rate

Maintenance and Operations Tax Rate

Internet Posting

Tax Rate Exceeding the Voter-Approval or No-New-Revenue Tax Rate

Public Hearing

Adoption of Tax Rate After Hearing

Supplemental Notice

  1. Is unable to comply with the requirements of this section because of the failure of an electronic or mechanical device, including a computer or server; or
  2. Is unable to comply with the requirements of this section due to other circumstances beyond its control.

Tax Rate Below the Voter-Approval or No-New-Revenue Tax Rate

Failure to Timely Adopt a Tax Rate

Election to Repeal Increase

Tax Code 26.07(b)–(e)

Call for Election

Exception

Notice to County Clerk and Voter Registrar

Proposition

Dissemination of Tax Information

Posting of Information Online

  1. The name of each member of the governing body of the taxing unit;
  2. The mailing address, email address, and telephone number of the taxing unit;
  3. The official contact information for each member of the governing body of the taxing unit, if that information is different from the information described by item 2;
  4. The taxing unit's budget for the preceding two years;
  5. The taxing unit's proposed or adopted budget for the current year;
  6. The change in the amount of the taxing unit's budget from the preceding year to the current year, by dollar amount and percentage;
  7. In the case of a taxing unit other than a school district, the amount of property tax revenue budgeted for maintenance and operations for the preceding two years and the current year;
  8. In the case of a taxing unit other than a school district, the amount of property tax revenue budgeted for debt service for the preceding two years and the current year;
  9. The tax rate for maintenance and operations adopted by the taxing unit for the preceding two years;
  10. In the case of a taxing unit other than a school district, the tax rate for debt service adopted by the taxing unit for the preceding two years;
  11. The tax rate for maintenance and operations proposed by the taxing unit for the current year;
  12. In the case of a taxing unit other than a school district, the tax rate for debt service proposed by the taxing unit for the current year; and
  13. The most recent financial audit of the taxing unit.

Tax Information to County

Tax Code 26.16(a)–(b)

Property Tax Database

  1. The information described by Tax Code 26.17(b)(5), (6), (7), (12), and (13), as applicable, as the information becomes available; and
  2. The tax rate calculation forms prepared under Tax Code 26.04(d-1) at the same time the designated officer or employee submits the tax rates to the governing body of the taxing unit under Tax Code 26.04(e).

Branch Campus Maintenance Tax

  1. To operate and maintain a branch campus and support its programs and services in the area of the political subdivision that levied the tax; and
  2. Under an agreement by the applicable junior college district and the political subdivision levying the tax, to make lease payments to the political subdivision for facilities used exclusively by the branch campus that are owned by the political subdivision.

Education Code 130.253(a), (k)

Local Steering Committee

  1. Serve as liaison between the local community, the college district which would operate the branch campus, and the Coordinating Board;
  2. Be responsible for conducting a feasibility study and a survey of the needs and potential of the area for a branch campus;
  3. Provide information to the community, which at a minimum, describes the nature and purpose of a branch campus;
  4. Summarize and evaluate the results of the feasibility study and survey and formulate conclusions for submission to the commissioner;
  5. Prepare and circulate a petition to obtain not fewer than five percent of the qualified voters of the proposed branch maintenance tax jurisdiction; and
  6. Present the appropriately signed petition as set out in 19 Administrative Code 8.30(a) to appropriate authorities for certification in compliance with Education Code 130.087.

19 TAC 8.93

Application Procedures

Local Feasibility Study and Survey

19 TAC 8.95

Petition

19 TAC 8.96–.98

Coordinating Board Approval

  1. The branch campus maintenance tax rate does not exceed five cents on each $100 valuation of all taxable property;
  2. A certified petition has been submitted by the appropriate authorities to the Coordinating Board; and
  3. The proposed tax is feasible and desirable.

Education Code 130.253(c); 19 TAC 8.99(a)

Criteria

  1. Demographic and economic characteristics of the jurisdiction seeking to establish the maintenance tax, such as:
    1. Population trends by age group;
    2. Economic development trends and projection; and
    3. Employment trends and projection (i.e., supply-demand data).
  2. Potential student clientele, including:
    1. Educational levels by age group; and
    2. College-bound data (i.e., trends by age group).
  3. The financial status of the proposed jurisdiction to be taxed and the state as a whole, including:
    1. Any projected growth or decline in the tax base; and
    2. Trends in state appropriations for community/junior colleges and other institutions of higher education.
  4. Projected programs and services for the proposed jurisdiction based on economic and population trends.
  5. Proximity and impediments to programs and services to existing institutions of higher education such as:
    1. Identification of institutions that could be affected by a new branch campus;
    2. Documentation of existing programs and services:
      1. On the campuses of nearby institutions of higher education;
      2. Available to citizens within a 50-mile radius of the proposed jurisdiction; and
      3. Offered in the proposed jurisdiction by existing institutions of higher education.
    3. Financial limitations on existing institutions of higher education inhibiting the offering of programs and services in the proposed jurisdiction;
    4. Availability of facilities, libraries, and equipment for institutions to offer classes in the proposed jurisdiction;
    5. Distance and traffic patterns to existing institutions of higher education;
    6. Effect on enrollments of existing institutions of higher education; and
    7. Effect on financing of existing institutions of higher education.

Education Code 130.253(c); 19 TAC 8.99(b)

Public Hearings

  1. Assess public sentiment regarding the levying of a branch campus maintenance tax;
  2. Determine whether programs in the proposed jurisdiction would create unnecessary duplication or seriously harm programs in existing community/junior college districts or other institutions of higher education in the area; and
  3. Assess the potential impact of the proposed jurisdiction on existing community/junior colleges or other institutions of higher education in the area and on the state of Texas.

Education Code 130.253(c); 19 TAC 8.99(c)

Recommendation

Education Code 130.253(c); 19 TAC 8.99(d), .100

Election

19 TAC 8.101–.102

Resubmission of Applications

Texarkana College

CAI(LEGAL)-LJC

UPDATE 38

DATE ISSUED: 5/22/2020