TNT 2026: Three New Requirements

By Laurie Mann, TNT Specialist

Hyperlink in TNT worksheets

TNT worksheets must include a hyperlink to a document that evidences the accuracy of each entry in the worksheet, other than math entries. This applies to both taxing units that have their collector completing the TNT worksheet and to taxing units that calculate their own worksheet. All taxing entities should consult with the county tax office to see if that office will host the hyperlinked document or whether it will need to be on the entity’s website.

TNT worksheets are required to be on three websites:

• County tax assessor collectors’ website for five years
• Transparency database administered by appraisal districts for the current year TNT worksheet
• Taxing entities’ website as an appendix to the budget that must be posted until the third-year anniversary of budget adoption

If the taxing entity’s website will be hosting the hyperlinked document, then work with your IT department, especially since the best practice is to maintain hyperlinked document for the five years that the TNT worksheet is on the county tax office website.

There are a couple of items to keep in mind for the hyperlinked document that will substantiate the information.

• If information provided to the designated officer or employee (DOE) to calculate the worksheet changes, use memos/letterheads instead of including long emails in the hyperlinked document
• If the DOE requests the entity to fill out a data sheet, update the data sheet
• These documents will be online, so tailor the information accordingly. For example, use only contact information available to the public.

Minimum Debt Service for Voter Approval Tax Rate (VATR) Debt Rate

School Districts (districts) often use the authorization under Education Code Section 45.001(a)(2) to “pay the principal of and interest on the bonds as or before the principal and interest become due.” Districts use this option to pay debt off early by increasing the debt service above the minimum amount required for the upcoming year, increasing the VATR debt rate. The Texas Legislature created a process that districts now must complete before adopting a debt rate calculated using a debt service that exceeds the minimum amount.

The first step is to work with the district’s DOE to create two TNT worksheets, one calculating the VATR debt rate using the minimum debt service and a second worksheet, calculating the VATR debt rate using the higher debt service.

When determining the proposed higher debt service, keep in mind that the VATR debt rate is calculated using additional adjustments, including:

1. Excess collections certified by the collector
2. Anticipated collection rate certified by the collector
3. Actual collection rates for the last three years that serves as a floor to the anticipated collection rate
4. Current year taxable value that does not include the value of homesteads with tax ceilings

Next, the governing body must approve a motion to go above the minimum debt rate. The motion language must contain the following items:

• Proposed debt rate
• Difference in proposed debt rate and minimum debt rate
• Purpose for excess revenue collection from proposed rate that will be used

At least 60 percent of governing body must approve the motion to use the proposed debt rate calculated with the higher debt service.

Finally, the VATR with the approved higher debt rate is considered to be the VATR for that tax year. The TNT worksheet with the higher debt rate will be that year’s certified TNT worksheet.

On a related note, there are new submission requirements for databases administered by the Bond Review Board (BRB), the Comptroller’s office, and the Texas Education Agency (TEA).

For the BRB and the Comptroller’s databases, one of the new submission items for proposed or issued bonds, is the estimated minimum dollar amount required to be annually expended for debt service. The BRB database also requires the same estimated information for approved but unissued bonds.

This information will be compiled and reported to the Texas Legislature which has shown an interest in monitoring the minimum debt service compared to actual adopted debt rates.

Open Meetings Act

Last year the Texas Legislature made changes to the Open Meetings Act, effective starting on September 1, 2025, that apply to almost all types of open meetings, including those required for the TNT process. Instead of a 72-hour meeting notice, now the open meeting notice generally must be posted three (3) business days before the date of the meeting.

In addition, if the governing body “will discuss or adopt a budget for the governmental body,” then the open meeting notice must contain:

1. A link to the proposed budget on the taxing unit’s homepage

2. A taxpayer impact statement

The taxpayer impact statement must show for the median-valued homestead, the property tax bill for both the current and upcoming fiscal year. For the upcoming fiscal year estimated property tax bill, the taxing unit would use the tax rate if the proposed budget is adopted (proposed rate). Reach out to the appraisal districts(s) that serves the taxing unit for the median-valued homestead early in the process because this is not information appraisal districts have routinely provided in the past.

Remember this is included in the open meeting notice, not the newspaper meeting notice for the budget and tax rate. In addition, we recommend talking to the taxing unit’s attorney about what type of meetings will require the link and taxpayer impact statement, including whether it applies to budget workshops.

Research the New Requirements

Also seek out advice from a local taxing unit attorney about each of these new requirements, including reviewing specific bill language for each requirement.

• Hyperlinked Document: SB 1023
• Minimum Debt: SB 1453; along with database bills: HB 103, HB 3526, and SB 843
• Open Meetings Act: HB 1522

Join Our Free Webinars, Download our ISD Calendar

Linebarger will host live webinars in June and July with ACT VP Blair Riley and TNT Specialist Laurie Mann Register here.

Linebarger has created a TNT planning calendar to help you track upcoming deadlines for these new requirements. You can download our free calendar here.

Laurie Mann is Linebarger’s Truth-in-Taxation Specialist and has more than 17 years of experience with TNT regulations, having served as a policy advisor for the Comptroller of Public Accounts for more than a decade.

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