85R1275 TJB-D     By: Burton S.B. No. 1821       A BILL TO BE ENTITLED   AN ACT   relating to ballot propositions authorizing certain political   subdivisions to issue bonds.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 1251, Government Code, is amended by   designating Sections 1251.001, 1251.002, 1251.003, 1251.004,   1251.005, and 1251.006 as Subchapter A and adding a subchapter   heading to read as follows:   SUBCHAPTER A.  BOND ELECTION REQUIREMENTS FOR COUNTIES AND   MUNICIPALITIES          SECTION 2.   Chapter 1251, Government Code, is amended by   adding Subchapter B to read as follows:   SUBCHAPTER B.  BOND ELECTION BALLOTS FOR CERTAIN POLITICAL   SUBDIVISIONS          Sec. 1251.051.  DEFINITIONS. In this subchapter:                (1)  "Capital appreciation bond" means a bond that   accrues and compounds interest from its date of delivery, the   interest on which by its terms is payable only on maturity or prior   redemption.                (2)  "Political subdivision" means a county,   municipality, or school district.          Sec. 1251.052.  CONTENTS OF BALLOT PROPOSITION. (a)  The   proposition submitted for an election to authorize a political   subdivision to issue bonds supported by property taxes must:                (1)  distinctly state the projected annual increase in   property taxes attributable to the bonds to be issued that a   homeowner of an average-priced home within the political   subdivision may be required to pay; and                (2)  if the bonds to be issued may be of a type that   accrue and defer interest costs, such as capital appreciation   bonds:                      (A)  include a conspicuous statement that the   interest costs of the bonds continue to accrue but are deferred to a   later date; and                      (B)  distinctly state the range of the projected   tax impact on property taxes described by Subdivision (1) from the   date the bonds are issued until the date the bonds mature.          (b)  The requirements for a proposition prescribed by this   section are in addition to any other requirements prescribed by   law.  To the extent of a conflict between this section and Section   52.072, Election Code, this section controls.          (c)  A political subdivision must determine a projection   required by Subsection (a) in the manner prescribed by comptroller   rule.          Sec. 1251.053.  COMPTROLLER RULES. The comptroller shall   adopt rules that prescribe the manner by which a political   subdivision must determine a projection required by Section   1251.052.          SECTION 3.  (a) Section 1251.052, Government Code, as added   by this Act, applies only to a bond election ordered on or after   January 1, 2018. A bond election ordered before January 1, 2018, is   governed by the law in effect when the bond election was ordered,   and the former law is continued in effect for that purpose.          (b)  Not later than November 1, 2017, the comptroller of   public accounts shall adopt the rules required by Section 1251.053,   Government Code, as added by this Act.          SECTION 4.  This Act takes effect September 1, 2017.