S.B. No. 656
 
 
 
 
AN ACT
  relating to providing transparency in the budget adoption process
  of municipalities and counties.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 102.007, Local Government Code, is
  amended by amending Subsection (a) and adding Subsections (d) and
  (e) to read as follows:
         (a)  At the conclusion of the public hearing, the governing
  body of the municipality shall take action on the proposed budget.  
  A vote to adopt the budget must be a record vote.
         (d)  An adopted budget must contain a cover page that
  includes:
               (1)  one of the following statements in 18-point or
  larger type that accurately describes the adopted budget:
                     (A)  "This budget will raise more revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of increase), which is a (insert percentage increase)
  percent increase from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll).";
                     (B)  "This budget will raise less revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of decrease), which is a (insert percentage decrease)
  percent decrease from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll)."; or
                     (C)  "This budget will raise the same amount of
  revenue from property taxes as last year's budget.  The property tax
  revenue to be raised from new property added to the tax roll this
  year is (insert amount computed by multiplying the proposed tax
  rate by the value of new property added to the roll).";
               (2)  the record vote of each member of the governing
  body by name voting on the adoption of the budget;
               (3)  the municipal property tax rates for the preceding
  fiscal year, and each municipal property tax rate that has been
  adopted or calculated for the current fiscal year, including:
                     (A)  the property tax rate;
                     (B)  the effective tax rate;
                     (C)  the effective maintenance and operations tax
  rate;
                     (D)  the rollback tax rate; and
                     (E)  the debt rate; and
               (4)  the total amount of municipal debt obligations.
         (e)  In this section, "debt obligation" means an issued
  public security as defined by Section 1201.002, Government Code,
  secured by property taxes.
         SECTION 2.  Section 102.008, Local Government Code, is
  amended to read as follows:
         Sec. 102.008.  APPROVED BUDGET FILED WITH MUNICIPAL CLERK:  
  POSTING ON INTERNET.  (a)  On final approval of the budget by the
  governing body of the municipality, the governing body shall:
               (1)  file the budget with the municipal clerk; and
               (2)  if the municipality maintains an Internet website,
  take action to ensure that:
                     (A)  a copy of the budget, including the cover
  page, is posted on the website; and
                     (B)  the record vote described by Section
  102.007(d)(2) is posted on the website at least until the first
  anniversary of the date the budget is adopted.
         (b)  The governing body shall take action to ensure that the
  cover page of the budget is amended to include the property tax
  rates required by Section 102.007(d)(3) for the current fiscal year
  if the rates are not included on the cover page when the budget is
  filed with the municipal clerk.  The governing body shall file an
  amended cover page with the municipal clerk and take action to
  ensure that the amended cover page is posted on the municipality's
  website.
         SECTION 3.  Section 111.008, Local Government Code, is
  amended by amending Subsection (a) and adding Subsections (d) and
  (e) to read as follows:
         (a)  At the conclusion of the public hearing, the
  commissioners court shall take action on the proposed budget.  A
  vote to adopt the budget must be a record vote.
         (d)  An adopted budget must contain a cover page that
  includes:
               (1)  one of the following statements in 18-point or
  larger type that accurately describes the adopted budget:
                     (A)  "This budget will raise more revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of increase), which is a (insert percentage increase)
  percent increase from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll).";
                     (B)  "This budget will raise less revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of decrease), which is a (insert percentage decrease)
  percent decrease from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll)."; or
                     (C)  "This budget will raise the same amount of
  revenue from property taxes as last year's budget.  The property tax
  revenue to be raised from new property added to the tax roll this
  year is (insert amount computed by multiplying the proposed tax
  rate by the value of new property added to the roll).";
               (2)  the record vote of each member of the
  commissioners court by name voting on the adoption of the budget;
               (3)  the county property tax rates for the preceding
  fiscal year, and each county property tax rate that has been adopted
  or calculated for the current fiscal year, including:
                     (A)  the property tax rate;
                     (B)  the effective tax rate;
                     (C)  the effective maintenance and operations tax
  rate;
                     (D)  the rollback tax rate; and
                     (E)  the debt rate; and
               (4)  the total amount of county debt obligations.
         (e)  In this section, "debt obligation" means an issued
  public security as defined by Section 1201.002, Government Code,
  secured by property taxes.
         SECTION 4.  Section 111.009, Local Government Code, is
  amended to read as follows:
         Sec. 111.009.  APPROVED BUDGET FILED WITH COUNTY CLERK:
  POSTING ON INTERNET.  (a)  On final approval of the budget by the
  commissioners court, the court shall:
               (1)  file the budget with the county clerk; and
               (2)  if the county maintains an Internet website, take
  action to ensure that:
                     (A)  a copy of the budget, including the cover
  page, is posted on the website; and
                     (B)  the record vote described by Section
  111.008(d)(2) is posted on the website at least until the first
  anniversary of the date the budget is adopted.
         (b)  The commissioners court shall take action to ensure that
  the cover page of the budget is amended to include the property tax
  rates required by Section 111.008(d)(3) for the current fiscal year
  if the rates are not included on the cover page when the budget is
  filed with the county clerk.  The commissioners court shall file an
  amended cover page with the county clerk and take action to ensure
  that the amended cover page is posted on the county's website.
         SECTION 5.  Section 111.039, Local Government Code, is
  amended by amending Subsection (a) and adding Subsections (d) and
  (e) to read as follows:
         (a)  At the conclusion of the public hearing, the
  commissioners court shall take action on the proposed budget.  A
  vote to adopt the budget must be a record vote.
         (d)  An adopted budget must contain a cover page that
  includes:
               (1)  one of the following statements in 18-point or
  larger type that accurately describes the adopted budget:
                     (A)  "This budget will raise more revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of increase), which is a (insert percentage increase)
  percent increase from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll).";
                     (B)  "This budget will raise less revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of decrease), which is a (insert percentage decrease)
  percent decrease from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll)."; or
                     (C)  "This budget will raise the same amount of
  revenue from property taxes as last year's budget.  The property tax
  revenue to be raised from new property added to the tax roll this
  year is (insert amount computed by multiplying the proposed tax
  rate by the value of new property added to the roll).";
               (2)  the record vote of each member of the
  commissioners court by name voting on the adoption of the budget;
               (3)  the county property tax rates for the preceding
  fiscal year, and each county property tax rate that has been adopted
  or calculated for the current fiscal year, including:
                     (A)  the property tax rate;
                     (B)  the effective tax rate;
                     (C)  the effective maintenance and operations tax
  rate;
                     (D)  the rollback tax rate; and
                     (E)  the debt rate; and
               (4)  the total amount of county debt obligations.
         (e)  In this section, "debt obligation" means an issued
  public security as defined by Section 1201.002, Government Code,
  secured by property taxes.
         SECTION 6.  Section 111.040, Local Government Code, is
  amended to read as follows:
         Sec. 111.040.  APPROVED BUDGET FILED WITH OFFICERS:  POSTING
  ON INTERNET.  (a)  On final approval of the budget by the
  commissioners court, the court shall:
               (1)  file a copy of the budget with the county auditor
  and the county clerk; and
               (2)  if the county maintains an Internet website, take
  action to ensure that:
                     (A)  a copy of the budget, including the cover
  page, is posted on the website; and
                     (B)  the record vote described by Section
  111.039(d)(2) is posted on the website at least until the first
  anniversary of the date the budget is adopted.
         (b)  The commissioners court shall take action to ensure that
  the cover page of the budget is amended to include the property tax
  rates required by Section 111.039(d)(3) for the current fiscal year
  if the rates are not included on the cover page when the budget is
  filed with the county clerk.  The commissioners court shall file an
  amended cover page with the county clerk and take action to ensure
  that the amended cover page is posted on the county's website.
         SECTION 7.  Section 111.068, Local Government Code, is
  amended by amending Subsection (a) and adding Subsections (c) and
  (d) to read as follows:
         (a)  At the conclusion of the public hearing, the
  commissioners court shall take action on the proposed budget.  A
  vote to adopt the budget must be a record vote.
         (c)  An adopted budget must contain a cover page that
  includes:
               (1)  one of the following statements in 18-point or
  larger type that accurately describes the adopted budget:
                     (A)  "This budget will raise more revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of increase), which is a (insert percentage increase)
  percent increase from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll).";
                     (B)  "This budget will raise less revenue from
  property taxes than last year's budget by an amount of (insert total
  dollar amount of decrease), which is a (insert percentage decrease)
  percent decrease from last year's budget.  The property tax revenue
  to be raised from new property added to the tax roll this year is
  (insert amount computed by multiplying the proposed tax rate by the
  value of new property added to the roll)."; or
                     (C)  "This budget will raise the same amount of
  revenue from property taxes as last year's budget.  The property tax
  revenue to be raised from new property added to the tax roll this
  year is (insert amount computed by multiplying the proposed tax
  rate by the value of new property added to the roll).";
               (2)  the record vote of each member of the
  commissioners court by name voting on the adoption of the budget;
               (3)  the county property tax rates for the preceding
  fiscal year, and each county property tax rate that has been adopted
  or calculated for the current fiscal year, including:
                     (A)  the property tax rate;
                     (B)  the effective tax rate;
                     (C)  the effective maintenance and operations tax
  rate;
                     (D)  the rollback tax rate; and
                     (E)  the debt rate; and
               (4)  the total amount of county debt obligations.
         (d)  In this section, "debt obligation" means an issued
  public security as defined by Section 1201.002, Government Code,
  secured by property taxes.
         SECTION 8.  Section 111.069, Local Government Code, is
  amended to read as follows:
         Sec. 111.069.  APPROVED BUDGET FILED WITH OFFICERS; POSTING
  ON INTERNET.  (a)  On final approval of the budget by the
  commissioners court, the court shall:
               (1)  file a copy of the budget with the county auditor
  and the county clerk; and
               (2)  if the county maintains an Internet website, take
  action to ensure that:
                     (A)  a copy of the budget, including the cover
  page, is posted on the website; and
                     (B)  the record vote described by Section
  111.068(c)(2) is posted on the website at least until the first
  anniversary of the date the budget is adopted.
         (b)  The commissioners court shall take action to ensure that
  the cover page of the budget is amended to include the property tax
  rates required by Section 111.068(c)(3) for the current fiscal year
  if the rates are not included on the cover page when the budget is
  filed with the county clerk.  The commissioners court shall file an
  amended cover page with the county clerk and take action to ensure
  that the amended cover page is posted on the county's website.
         SECTION 9.  This Act applies only to a budget adopted for a
  fiscal year beginning on or after the effective date of this Act.
         SECTION 10.  This Act takes effect September 1, 2013.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 656 passed the Senate on
  April 11, 2013, by the following vote: Yeas 31, Nays 0; and that
  the Senate concurred in House amendment on May 24, 2013, by the
  following vote: Yeas 31, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 656 passed the House, with
  amendment, on May 21, 2013, by the following vote: Yeas 145,
  Nays 2, three present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor