Texas Education Code 48.259 – Adjustment for Optional Homestead Exemption
(a) In any school year, the commissioner may not provide funding under this chapter or Chapter 46 based on a school district’s taxable value of property computed in accordance with § 403.302(d)(2), Government Code, unless:
(1) funds are specifically appropriated for purposes of this section; or
(2) the commissioner determines that the total amount of state funds appropriated for purposes of the Foundation School Program for the school year exceeds the amount of state funds distributed to school districts in accordance with § 48.266 based on the taxable values of property in school districts computed in accordance with § 403.302(d), Government Code, without any deduction for residence homestead exemptions granted under § 11.13(n), Tax Code.
(b) In making a determination under Subsection (a)(2), the commissioner shall:
(1) notwithstanding § 48.266(b), reduce the entitlement under this chapter of a school district whose final taxable value of property is higher than the estimate under § 48.269 and make payments to school districts accordingly; and
(2) give priority to school districts that, due to factors beyond the control of the board of trustees, experience a rapid decline in the tax base used in calculating taxable values in excess of four percent of the tax base used in the preceding year.
Terms Used In Texas Education Code 48.259
- Entitlement: A Federal program or provision of law that requires payments to any person or unit of government that meets the eligibility criteria established by law. Entitlements constitute a binding obligation on the part of the Federal Government, and eligible recipients have legal recourse if the obligation is not fulfilled. Social Security and veterans' compensation and pensions are examples of entitlement programs.
- Property: means real and personal property. See Texas Government Code 311.005
- Year: means 12 consecutive months. See Texas Government Code 311.005
(c) In the first year of a state fiscal biennium, before providing funding as provided by Subsection (a)(2), the commissioner shall ensure that sufficient appropriated funds for purposes of the Foundation School Program are available for the second year of the biennium, including funds to be used for purposes of § 48.258.
(d) If the commissioner determines that the amount of funds available under Subsection (a)(1) or (2) does not at least equal the total amount of state funding to which districts would be entitled if state funding under this chapter were based on the taxable values of property in school districts computed in accordance with § 403.302(d)(2), Government Code, the commissioner may, to the extent necessary, provide state funding based on a uniform lesser fraction of the deduction under § 403.302(d)(2), Government Code.
(e) The commissioner shall notify school districts as soon as practicable as to the availability of funds under this section. For purposes of computing a voter-approval tax rate under § 26.08, Tax Code, a district shall adjust the district’s tax rate limit to reflect assistance received under this section.