By Jackson                                            H.B. No. 1622
       74R1733 SMH-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the exemption of a residence homestead from ad valorem
    1-3  taxation by a school district.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 11.13(n), Tax Code, is amended to read as
    1-6  follows:
    1-7        (n)  In addition to any other exemptions provided by this
    1-8  section, an individual is entitled to an exemption from taxation by
    1-9  a taxing unit other than a school district of a percentage of the
   1-10  appraised value of the individual's <his> residence homestead if
   1-11  the exemption is adopted by the governing body of the taxing unit
   1-12  before May 1 in the manner provided by law for official action by
   1-13  the body.  If the percentage set by the taxing unit produces an
   1-14  exemption in a tax year of less than $5,000 when applied to a
   1-15  particular residence homestead, the individual is entitled to an
   1-16  exemption of $5,000 of the appraised value.  The percentage adopted
   1-17  by the taxing unit may not exceed 20 percent. In addition to any
   1-18  other exemptions provided by this section, an individual is
   1-19  entitled to an exemption from taxation by a school district of a
   1-20  percentage of the appraised value of the individual's residence
   1-21  homestead if the exemption is adopted by the governing body of the
   1-22  school district before May 1 in the manner provided by law for
   1-23  official action by the body or is adopted by a favorable vote of a
   1-24  majority of the qualified voters of the district at an election
    2-1  called by the governing body of the district.  The voters of a
    2-2  school district, at an election called by the governing body of the
    2-3  district, may increase or decrease the amount of an exemption under
    2-4  this subsection adopted by the governing body of the district or
    2-5  the voters of the district.  The governing body of a school
    2-6  district shall call an election on the petition of at least 20
    2-7  percent of the number of qualified voters who voted in the
    2-8  preceding election of the district.   The governing body of a
    2-9  school district may not increase or decrease the amount of an
   2-10  exemption under this subsection adopted by the voters of the
   2-11  district.  If the percentage set by the governing body of a school
   2-12  district or the voters of the district produces an exemption in a
   2-13  tax year of less than $5,000 when applied to a particular residence
   2-14  homestead, the individual is entitled to an exemption of $5,000 of
   2-15  the appraised value.  The percentage adopted by the governing body
   2-16  of a school district or the voters of the district may not exceed
   2-17  20 percent.
   2-18        SECTION 2.  This Act takes effect January 1, 1996, and
   2-19  applies only to taxes imposed for tax years beginning on or after
   2-20  that date, but only if the constitutional amendment proposed by the
   2-21  74th Legislature, Regular Session, 1995, to authorize the voters of
   2-22  a school district to adopt or determine the amount of a residence
   2-23  homestead exemption from ad valorem taxation by the district is
   2-24  approved by the voters.  If that amendment is not approved by the
   2-25  voters, this Act has no effect.
   2-26        SECTION 3.  The importance of this legislation and the
   2-27  crowded condition of the calendars in both houses create an
    3-1  emergency and an imperative public necessity that the
    3-2  constitutional rule requiring bills to be read on three several
    3-3  days in each house be suspended, and this rule is hereby suspended.