Texas SB2478 mandates a supermajority vote for political subdivisions to set tax rates exceeding the no-new-revenue rate or issue bonds.

The bill Texas SB2478 requires a supermajority vote for political subdivisions to adopt an ad valorem tax rate that exceeds the no-new-revenue tax rate or issue general obligation bonds. Specifically, at least 75 percent of the governing body must vote in favor of such actions. For school districts, the vote must be a record vote. Additionally, the bill mandates that if a tax rate exceeds the no-new-revenue maintenance and operations rate, the governing body must include specific statements in the tax rate ordinance and on the taxing unit's website. The bill takes effect January 1, 2026.

Texas SB2478 mandates a supermajority vote for political subdivisions to set tax rates exceeding the no-new-revenue rate or issue bonds.

The bill Texas SB2478 requires a supermajority vote for political subdivisions to adopt an ad valorem tax rate that exceeds the no-new-revenue tax rate or issue general obligation bonds. Specifically, at least 75 percent of the governing body must vote in favor of such actions. For school districts, the vote must be a record vote. Additionally, the bill mandates that if a tax rate exceeds the no-new-revenue maintenance and operations rate, the governing body must include specific statements in the tax rate ordinance and on the taxing unit's website. The bill takes effect January 1, 2026.