Bill > SB1449

This bill modifies the Texas Tax Code to provide special tax rate calculation provisions for local taxing units affected by presidentially or gubernatorially declared disaster areas. Specifically, the bill introduces new methods for calculating voter-approval tax rates when a jurisdiction has incurred disaster-related debris removal costs, creating two different approaches depending on the specific circumstances of the disaster declaration. For taxing units wholly or partly in a federally declared disaster area with a formal debris removal cost estimate, the bill allows calculating a voter-approval tax rate that includes a "disaster debris rate" - a formula that factors in the specific costs of debris removal. The bill also establishes definitions for "disaster debris cost" and "disaster debris rate" and provides rules about how these special tax rate calculations can be used, including limitations on repeatedly invoking the same disaster declaration for tax rate adjustments. The changes are designed to give local governments more flexibility in managing tax rates following major disaster events, while also providing a structured approach to incorporating extraordinary cleanup costs into tax calculations. The bill will take effect on January 1, 2026, and will apply to ad valorem tax years beginning on or after that date.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB1449