Texas Local Government Code 387.010 – Repeal or Rate Change
(a) A district that has adopted a sales and use tax under this chapter may, by order and subject to § 387.007(b):
(1) reduce the rate of the tax or repeal the tax without an election, except that the district may not repeal the sales and use tax or reduce the rate of the sales and use tax below the amount pledged to secure payment of an outstanding district debt or contractual obligation;
(2) increase the rate of the sales and use tax, if the increased rate of the sales and use tax will not exceed the rate approved at an election held under § 387.003; or
(3) increase the rate of the sales and use tax to a rate that exceeds the rate approved at an election held under § 387.003 after the increase is approved by a majority of the votes received in the district at an election held for that purpose.
(b) The tax may be changed under Subsection (a) in one or more increments of one-eighth of one percent.
Terms Used In Texas Local Government Code 387.010
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
(c) The ballot for an election to increase the tax shall be printed to permit voting for or against the proposition: “The increase of a sales and use tax for the ____ County Assistance District No. ___ (insert name of district) from the rate of ____ percent (insert appropriate rate) to the rate of ____ percent (insert appropriate rate).”
(d) Repealed by Acts 2011, 82nd Leg., R.S., Ch. 1341, Sec. 29, eff. June 17, 2011.