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Senator Kel Seliger From the Office of Senator Kel Seliger Wednesday, July 19, 2006 Volume 1, Number 2 In This Issue • A Message from Kel Seliger Greetings • Public School Finance and from the Property Tax Reform • More Special Session Highlights Texas • Looking Forward Legislature! To the Constituents of Senate District 31: I hope this message finds you enjoying another warm Texas summer. I am excited about this opportunity to update you again on the activities of the Texas Legislature, especially on those issues most important to Senate District 31. As you know, last May, the Legislature completed a special session to address the state's public school finance system and to provide much-needed property tax relief. I am pleased to report that this effort resulted in the passage of a package of bills that provided for a more equitable school finance system, significant property tax cuts, and a pay raise for our hard working teachers. Although not currently in session, the Legislature continues to work as House and Senate Committees meet to study a number of vital issues in preparation for the upcoming regular session of the 80th Legislature in January 2007. Senate District 31 is made up of I look forward to hearing your input as I prepare for this Andrews, Bailey, Cochran, Crane, next legislative session. As always, please do not hesitate to Dallam, Deaf Smith, Ector, Gaines, contact me if I can ever be of any assistance to you. Glasscock, Hansford, Hartley, Hemphill, Howard, Hutchinson, Sincerely, Lipscomb, Martin, Midland, Moore, Ochiltree, Oldham, Parmer, Potter, Randall, Roberts, Sherman and Yoakum Counties. Kel Seliger Public School Finance and Contact Us Property Tax Reform State Capitol Office The main priority of the Third Called Session of the 79th P.O. Box 12068 Legislature was to address our state's method of funding our Austin, TX 78711 public school system. The Texas Supreme Court had previously (512) 463-0131 ruled that the current school finance system was FAX: (512) 475-3733 unconstitutional in that local school property tax rates constituted a statewide property tax. Amarillo District Office To address the constitutionality of the current system, 410 S. Taylor, Suite 1600 the Legislature passed House Bill 1 (HB 1), to lower the local Amarillo, TX 79101 school district property tax rate this year from $1.50 to $1.33 per $100 of valuation, using nearly $2.39 billion of the surplus P.O. Box 9155 to do so. HB 1 uses an additional $1.4 billion of the surplus to Amarillo, TX 79105 fund a number of education (806) 374-8994 excellence initiatives, including FAX: (806) 374-4607 enhanced student achievement and mentoring programs, and an Midland-Odessa incentive pay schedule for teachers District Office working in hard-to-staff schools 1400 N. FM 1788 and subject areas. It also funds a Midland, TX 79707 newly created high school (432) 563-0031 allotment to help schools deter at-risk students from dropping out by offering options like flexible school days. Lastly, a FAX: (432) 563-0653 portion of the surplus is dedicated to funding a $2,000 across- the-board pay raise for every Texas teacher, nurse, librarian Big Spring District Office and counselor, as well as restoring the $500 health care 401 Austin, Suite 101 supplement for these individuals along with school support Big Spring, TX 79720 personnel. (432) 268-9909 FAX: (432) 268-9899 Another bill, HB 2, represents an effort by the Texas Legislature to ensure ongoing local school property tax relief. Email: This bill will help guarantee that the tax relief achieved during [email protected] this special session represents a lasting solution to adequate funding for public schools throughout Texas. www.seliger.senate.state.tx.us House Bills 3, 4 and 5 were passed to create a better overall method of funding for our public schools. HB 3 will revise the current business franchise tax, that most businesses currently avoid paying, to create a new margins tax for businesses. Sole proprietors and general partnerships will be exempted as well as businesses with gross receipts under $300,000. Taxpayers under HB 3 will be allowed to deduct either their cost of goods sold or their payroll up to $300,000 per employee, whichever is greater. HB 4 will adjust the method by which used cars are valued for taxation purposes, ensuring that taxes will be paid on at least 80% of the "blue book" value of the vehicle. HB 5 will increase the current tax on cigarettes by $1 per pack effective January 1, 2007. This increase will also help to discourage smoking and reduce related health care costs. More Special Session Highlights In addition to measures on public school finance reform, property tax relief and education excellence, several other bills were passed during the special session. Two of these bills have the potential to greatly benefit Senate District 31. HB 149, related to the ownership and use of carbon dioxide captured by a clean coal project, is a legislative effort to bolster Texas' chances of being awarded the FutureGen project by the federal government. Helpful Links The U.S. Department of Energy is currently considering applications Texas Legislature Online from seven states for the $1 billion www.capitol.state.tx.us zero-emissions fossil fuel power plant. Two of the proposals are Texas Senate from Texas, including one from www.senate.state.tx.us Odessa. This change in law will allow the State of Texas to take ownership of the carbon Texas House of Representatives dioxide produced during the coal gasification process, giving Texas' proposal a notable advantage over others in relation to www.house.state.tx.us this element of the project. Office of Governor Rick Perry Another bill, HB 153, related to tuition revenue bonds, www.governor.state.tx.us provides the necessary legislative authority for several higher education projects within Senate District 31. West Texas A&M Comptroller of Public Accounts was granted authority for a $16.2 million classroom center www.window.state.tx.us renovation while the University of Texas of the Permian Basin received authority for two projects, $45 million for the construction of an arts, Dates of Interest convocation and classroom facility to be located at the Center for Tuesday, November 7, 2006 Energy and Economic General election for legislative and other Diversification and $54 million for offices is held a science and technology complex. Two additional projects authorized for the Texas Tech Health Sciences Center located in Senate District 31 are an $8 million expansion of the Monday, November 13, 2006 Amarillo School of Pharmacy and $18 million for the Amarillo Prefiling of legislation for the 80th research facility. Legislature begins Tuesday, January 9, 2007 80th Legislature convenes at noon Looking Forward During the remainder of the interim between now and Friday, March 9, 2007 the 80th Legislature, House and Senate Committees will Deadline for filing bills and joint conduct public hearings to study and make recommendations resolutions other than local bills, to the next legislature on a broad emergency appropriations, and bills that have been declared an emergency by the range of important issues facing the governor state. Earlier this year, Lieutenant Monday, May 28, 2007 Governor David Dewhurst issued Last day of 80th Regular Session interim charges on a variety of topics in preparation for the 2007 legislative session. Senate Committees will conduct hearings on these topics over the next few months and will report their findings and recommendations to the 80th Legislature by December 1, 2006. The full list of interim charges is available online at http://www.senate.state.tx.us/assets/pdf/79.Interim.Charges.pdf. Furthermore, information on currently scheduled interim hearings can be found at http://www.senate.state.tx.us/75r/Senate/Events.htm. .
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