HBA-MSH S.B. 1785 77(R) BILL ANALYSIS Office of House Bill AnalysisS.B. 1785 By: Nelson Public Education 5/6/2001 Engrossed BACKGROUND AND PURPOSE Currently, the commissioner of education is authorized to increase the existing debt tax rate on an annual basis if the commissioner finds that there are excess appropriated Foundation School Program funds. Accordingly, the rate limit for the 2000-2001 school year has been set at 29 cents. However, without a change in the statutory rate limit, the rate will automatically revert to 12 cents after the current school year, resulting in an increase in local debt service costs and higher property taxes in 2001-2002 and thereafter, which may contribute to school district planning difficulties. Senate Bill 1785 raises the limit on the existing debt tax rate from $0.12 to $0.29. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS Senate Bill 1785 amends the Education Code to increase the limit on the existing debt tax rate under the existing debt allotment from $0.12 to $0.29 per $100 valuation or a greater amount for any year provided by appropriation. EFFECTIVE DATE September 1, 2001.