By: Cain H.B. No. 62       A BILL TO BE ENTITLED   AN ACT   relating to reducing school district maintenance and operations ad   valorem taxes through the use of certain surplus state revenue.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 48.255, Education Code, is amended by   amending Subsection (b) and adding Subsections (d) and (e) to read   as follows:          (b)  Subject to Subsection (d), the [The] state compression   percentage is the lower of:                (1)  93 percent, or a lower percentage set by   appropriation for a school year;                (2)  the percentage determined by the following   formula:   SCP = PYCP X 1.025/(1 + ECPV); or                (3)  the percentage determined under this section for   the preceding school year.          (d)  For each school year, the commissioner shall reduce the   state compression percentage determined under Subsection (b) to the   lowest percentage possible as a result of:                (1)  money deposited to the credit of the property tax   relief fund under Section 403.109(e), Government Code; and                (2)  any additional money appropriated for purposes of   this subsection.          (e)  Notwithstanding any other law, if for any school year   the commissioner determines under Subsection (b) or (d) that the   state compression percentage is zero:                (1)  a school district may not impose a tier one   maintenance and operations tax for that school year or for any   subsequent school year; and                (2)  each school district is entitled to funding under   Chapter 46 and this chapter for each school year as if the district   had:                      (A)  a tier one maintenance and operations tax   rate equal to the district's maximum compressed tax rate determined   under Section 48.2551; and                      (B)  no local share for purposes of Section   48.256.          SECTION 2.  Section 403.109, Government Code, is amended by   adding Subsections (e) and (f) to read as follows:          (e)  For each state fiscal biennium beginning before a   determination by the commissioner of education under Section   48.255(e), Education Code, the comptroller shall:                (1)  allocate for deposit to the credit of the fund   general revenue in an amount equal to 90 percent of the amount by   which the amount of general revenue received in that biennium   exceeds the amount of consolidated general revenue appropriations,   as defined by Section 316.001, that could be appropriated within   the limit on the rate of growth of those appropriations adopted   under Section 316.005 for that biennium; and                (2)  periodically deposit to the credit of the fund the   general revenue allocated under Subdivision (1), with the final   deposit for that biennium to be made not later than the 90th day of   the next state fiscal biennium.          (f)  Notwithstanding any other provision of this section,   and except as otherwise provided by this subsection, money   deposited to the credit of the fund under Subsection (e) may be   appropriated only to the Texas Education Agency for use in   providing property tax relief through reduction of the state   compression percentage, as defined by Section 48.255, Education   Code.  If the amount of money available to be appropriated under   this subsection for a state fiscal biennium exceeds the amount of   school district maintenance and operations taxes the commissioner   of education estimates to be payable for that biennium, the surplus   amount may be appropriated for any purpose.          SECTION 3.  This Act applies beginning with the state fiscal   biennium beginning September 1, 2027.          SECTION 4.  This Act takes effect on the 91st day after the   last day of the legislative session.