By: Cain, et al. S.B. No. 841
A BILL TO BE ENTITLED
AN ACT
1-1 relating to ad valorem taxation.
1-2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-3 SECTION 1. Subsections (a), (b), (c), and (l), Section 6.03,
1-4 Tax Code, are amended to read as follows:
1-5 (a) The appraisal district is governed by a board of [five]
1-6 directors. Five directors are appointed by the taxing units that
1-7 participate in the district as provided by this section. If the
1-8 county assessor-collector is not appointed to the board, the county
1-9 assessor-collector serves as a nonvoting director. The county
1-10 assessor-collector is ineligible to serve if the board enters into
1-11 a contract under Section 6.05(b) or if the commissioners court of
1-12 the county enters into a contract under Section 6.24(b). To be
1-13 eligible to serve on the board of directors, an individual other
1-14 than a county assessor-collector serving as a nonvoting director
1-15 must be a resident of the district and must have resided in the
1-16 district for at least two years immediately preceding the date the
1-17 individual takes office. To be eligible to serve on the board of
1-18 an appraisal district established for a county having a population
1-19 of at least 200,000 bordering a county having a population of at
1-20 least 2,000,000 and the Gulf of Mexico, an individual other than a
1-21 county assessor-collector serving as a nonvoting director must be a
1-22 member of the governing body or an elected officer of a taxing unit
1-23 entitled to vote on the appointment of board members under this
2-1 section. However, an employee of a taxing unit that participates
2-2 in the district is not eligible to serve on the board unless the
2-3 individual is also a member of the governing body or an elected
2-4 official of a taxing unit that participates in the district.
2-5 (b) Members of the board of directors other than a county
2-6 assessor-collector serving as a nonvoting director serve two-year
2-7 terms beginning on January 1 of even-numbered years.
2-8 (c) Members of the board of directors other than a county
2-9 assessor-collector serving as a nonvoting director are appointed by
2-10 vote of the governing bodies of the incorporated cities and towns,
2-11 the school districts, and, if entitled to vote, the conservation
2-12 and reclamation districts that participate in the district and of
2-13 the county. A governing body may cast all its votes for one
2-14 candidate or distribute them among candidates for any number of
2-15 directorships. Conservation and reclamation districts are not
2-16 entitled to vote unless at least one conservation and reclamation
2-17 district in the district delivers to the chief appraiser a written
2-18 request to nominate and vote on the board of directors by June 1 of
2-19 each odd-numbered year. On receipt of a request, the chief
2-20 appraiser shall certify a list by June 15 of all eligible
2-21 conservation and reclamation districts that are imposing taxes and
2-22 that participate in the district.
2-23 (l) If a vacancy occurs on the board of directors other than
2-24 a vacancy in the position held by a county assessor-collector
2-25 serving as a nonvoting director, each taxing unit that is entitled
3-1 to vote by this section may nominate by resolution adopted by its
3-2 governing body a candidate to fill the vacancy. The unit shall
3-3 submit the name of its nominee to the chief appraiser within 10
3-4 days after notification from the board of directors of the
3-5 existence of the vacancy, and the chief appraiser shall prepare and
3-6 deliver to the board of directors within the next five days a list
3-7 of the nominees. The board of directors shall elect by majority
3-8 vote of its members one of the nominees to fill the vacancy.
3-9 SECTION 2. Subsection (a), Section 6.034, Tax Code, is
3-10 amended to read as follows:
3-11 (a) The taxing units participating in an appraisal district
3-12 may provide that the terms of the appointed members of the board of
3-13 directors be staggered if the governing bodies of at least
3-14 three-fourths of the taxing units that are entitled to vote on the
3-15 appointment of board members adopt resolutions providing for the
3-16 staggered terms. A change to staggered terms may be adopted only
3-17 if the method or procedure for appointing board members is changed
3-18 under Section 6.031 of this code to eliminate or have the effect of
3-19 eliminating cumulative voting for board members as provided by
3-20 Section 6.03 of this code. A change to staggered terms may be
3-21 proposed concurrently with a change that eliminates or has the
3-22 effect of eliminating cumulative voting.
3-23 SECTION 3. Subsection (c), Section 6.41, Tax Code, is
3-24 amended to read as follows:
3-25 (c) To be eligible to serve on the board, an individual must
4-1 be a resident of the district and must have resided in the district
4-2 for at least two years. A member of the appraisal district board
4-3 of directors or an officer or employee of the comptroller, the
4-4 appraisal office, or a taxing unit is ineligible to serve on the
4-5 board. In an appraisal district established for a county having a
4-6 population of more than 300,000, an individual who has served for
4-7 all or part of three previous terms as a board member or auxiliary
4-8 board member on the appraisal review board or is a former officer
4-9 or employee of a taxing unit is ineligible to serve on the
4-10 appraisal review board. In an appraisal district established for
4-11 any other county, an individual who has served for all or part of
4-12 three consecutive terms as a board member or auxiliary board member
4-13 on the appraisal review board is ineligible to serve on the
4-14 appraisal review board during a term that begins on the next
4-15 January 1 following the third of those consecutive terms.
4-16 SECTION 4. Section 6.411, Tax Code, is amended to read as
4-17 follows:
4-18 Sec. 6.411. AUXILIARY [BOARD] MEMBERS IN CERTAIN COUNTIES.
4-19 (a) The board of directors of an appraisal district may appoint
4-20 auxiliary members to [the appraisal review board to] hear taxpayer
4-21 protests before the appraisal review board and to assist the board
4-22 in performing its other duties.
4-23 (b) The number of auxiliary members that may be appointed
4-24 is:
4-25 (1) for a county with a population of 1,000,000 or
5-1 more, not more than 66 [30] auxiliary members;
5-2 (2) for a county with a population of at least 500,000
5-3 but less than 1,000,000, not more than 45 [20] auxiliary members;
5-4 (3) for a county with a population of at least 250,000
5-5 but less than 500,000, not more than 25 [10] auxiliary members; and
5-6 (4) for a county with a population of less than
5-7 250,000, not more than 10 [6] auxiliary members.
5-8 (c) Sections 6.41(c), (d), and (e) and Sections 6.412 and
5-9 6.413 apply to auxiliary [board] members [appointed under this
5-10 section].
5-11 (d) An auxiliary member [of the appraisal review board
5-12 appointed under this section] may not vote in a determination made
5-13 by the board, may not serve as chairman or secretary of the board,
5-14 and is not included in determining what constitutes a quorum of the
5-15 board or whether a quorum is present at any meeting of the board.
5-16 (e) An auxiliary member [of the appraisal review board
5-17 appointed under this section] is entitled to make a recommendation
5-18 to the board in a protest heard by the member but is not entitled
5-19 to vote on the determination of the protest by the board.
5-20 (f) An auxiliary member [of the appraisal review board
5-21 appointed under this section] is entitled to the per diem set by
5-22 the appraisal district budget for each day on which the member
5-23 actively engages in performing the member's duties under Subsection
5-24 (a) or (e) and is entitled to actual and necessary expenses
5-25 incurred in performing those duties in the same manner as [other]
6-1 members of the appraisal review board.
6-2 SECTION 5. Subsection (h), Section 11.13, Tax Code, is
6-3 amended to read as follows:
6-4 (h) Joint or community owners may not each receive the same
6-5 exemption provided by or pursuant to this section for the same
6-6 residence homestead in the same year. An eligible disabled person
6-7 who is 65 or older may not receive both a disabled and an elderly
6-8 residence homestead exemption but may choose either. A person may
6-9 not receive an exemption under this section for more than one
6-10 residence homestead in the same year.
6-11 SECTION 6. Section 11.26, Tax Code, is amended by amending
6-12 Subsection (b) and adding Subsection (g) to read as follows:
6-13 (b) If an individual makes improvements to the individual's
6-14 [his] residence homestead, other than improvements required to
6-15 comply with governmental requirements or repairs, the school
6-16 district may increase the tax on the homestead in the first year
6-17 the value of the homestead is increased on the appraisal roll
6-18 because of the enhancement of value by the improvements. The
6-19 amount of the tax increase is determined by applying the current
6-20 tax rate to the difference in the assessed value of the homestead
6-21 with the improvements and the assessed value it would have had
6-22 without the improvements. The limitations imposed by Subsection
6-23 (a) or (g), as applicable, [of this section] then apply to the
6-24 increased amount of tax until more improvements, if any, are made.
6-25 (g) Except as provided by Subsection (b), if an individual
7-1 who receives the limitation on tax increases imposed by this
7-2 section subsequently qualifies a different residence homestead for
7-3 an exemption under Section 11.13, a school district may not impose
7-4 ad valorem taxes on the subsequently qualified homestead in a year
7-5 in an amount that exceeds the amount of taxes the school district
7-6 would have imposed on the subsequently qualified homestead in the
7-7 first year in which the individual receives that exemption for the
7-8 subsequently qualified homestead had the limitation on tax
7-9 increases imposed by this section not been in effect, multiplied by
7-10 a fraction the numerator of which is the total amount of school
7-11 district taxes imposed on the former homestead in the last year in
7-12 which the individual received that exemption for the former
7-13 homestead and the denominator of which is the total amount of
7-14 school district taxes that would have been imposed on the former
7-15 homestead in the last year in which the individual received that
7-16 exemption for the former homestead had the limitation on tax
7-17 increases imposed by this section not been in effect.
7-18 SECTION 7. Section 11.41, Tax Code, is amended to read as
7-19 follows:
7-20 Sec. 11.41. PARTIAL OWNERSHIP OF EXEMPT PROPERTY. (a) If
7-21 [Except as provided by Subsection (b) of this section, if] a person
7-22 who qualifies for an exemption as provided by this chapter is not
7-23 the sole owner of the property to which the exemption applies, the
7-24 exemption shall be multiplied by a fraction, the numerator of which
7-25 is [limited to] the value of the property interest the person owns
8-1 and the denominator of which is the value of the property.
8-2 (b) [If a person who qualifies for an exemption as provided
8-3 by Section 11.13 or 11.22 of this code is not the sole owner of the
8-4 property to which the exemption applies, the amount of the
8-5 exemption is calculated on the basis of the value of the property
8-6 interest the person owns.]
8-7 [(c)] In the application of this section, community
8-8 ownership by a person who qualifies for the exemption and the
8-9 person's [his] spouse is treated as if the person owns the
8-10 community interest of the person's [his] spouse.
8-11 SECTION 8. Section 11.43, Tax Code, is amended by amending
8-12 Subsection (f) and adding Subsection (j) to read as follows:
8-13 (f) The comptroller, in prescribing the contents of the
8-14 application form for each kind of exemption, shall ensure that the
8-15 form requires an applicant to furnish the information necessary to
8-16 determine the validity of the exemption claim. The form must
8-17 require an applicant to provide the applicant's name and driver's
8-18 license number, personal identification certificate number, or
8-19 social security account number. The comptroller shall include on
8-20 the forms a notice of the penalties prescribed by Section 37.10,
8-21 Penal Code, for making or filing an application containing a false
8-22 statement. The comptroller shall include, on application forms for
8-23 exemptions that do not have to be claimed annually, a statement
8-24 explaining that the application need not be made annually and that
8-25 if the exemption is allowed, the applicant has a duty to notify the
9-1 chief appraiser when the applicant's [his] entitlement to the
9-2 exemption ends. In this subsection:
9-3 (1) "Driver's license" has the meaning assigned that
9-4 term by Section 521.001, Transportation Code.
9-5 (2) "Personal identification certificate" means a
9-6 certificate issued by the Department of Public Safety under
9-7 Subchapter E, Chapter 521, Transportation Code.
9-8 (j) An application for an exemption under Section 11.13
9-9 must:
9-10 (1) list each owner of the residence homestead and the
9-11 interest of each owner;
9-12 (2) state that the applicant does not claim an
9-13 exemption under that section on another residence homestead;
9-14 (3) state that each fact contained in the application
9-15 is true; and
9-16 (4) include a signed statement that the applicant has
9-17 read and understands the notice of the penalties required by
9-18 Subsection (f).
9-19 SECTION 9. Subsection (b), Section 23.01, Tax Code, is
9-20 amended to read as follows:
9-21 (b) The market value of property shall be determined by the
9-22 application of generally accepted appraisal methods and techniques,
9-23 including the mass appraisal standards recognized by the Uniform
9-24 Standards of Professional Appraisal Practice. The [and the] same
9-25 or similar appraisal methods and techniques shall be used in
10-1 appraising the same or similar kinds of property. However, each
10-2 property shall be appraised based upon the individual
10-3 characteristics that affect the property's market value.
10-4 SECTION 10. Subchapter A, Chapter 23, Tax Code, is amended
10-5 by adding Sections 23.011, 23.012, and 23.013 to read as follows:
10-6 Sec. 23.011. COST METHOD OF APPRAISAL. If the chief
10-7 appraiser uses the cost method of appraisal to determine the market
10-8 value of real property, the chief appraiser shall:
10-9 (1) use cost data obtained from generally accepted
10-10 sources;
10-11 (2) make any appropriate adjustment for physical,
10-12 functional, or economic obsolescence;
10-13 (3) make available to the public on request cost data
10-14 developed and used by the chief appraiser and may charge a
10-15 reasonable fee to the public for the data;
10-16 (4) clearly state the reason for any variation between
10-17 generally accepted cost data and locally produced cost data if the
10-18 data vary by more than 10 percent; and
10-19 (5) make available on request all applicable market
10-20 data that demonstrate the difference between the replacement cost
10-21 of the improvements to the property and the depreciated value of
10-22 the improvements.
10-23 Sec. 23.012. INCOME METHOD OF APPRAISAL. If the chief
10-24 appraiser uses the income method of appraisal to determine the
10-25 market value of real property, the chief appraiser shall:
11-1 (1) use market rental income and expense data
11-2 pertaining to the property if possible and applicable;
11-3 (2) make any projections of future rental income and
11-4 expenses only from clear and appropriate evidence;
11-5 (3) use data from generally accepted sources in
11-6 determining an appropriate capitalization rate; and
11-7 (4) determine a capitalization rate for
11-8 income-producing property that includes a reasonable return on
11-9 investment, taking into account the risk associated with the
11-10 investment.
11-11 Sec. 23.013. MARKET DATA COMPARISON METHOD OF APPRAISAL. If
11-12 the chief appraiser uses the market data comparison method of
11-13 appraisal to determine the market value of real property, the chief
11-14 appraiser shall use comparable sales data if possible.
11-15 SECTION 11. Section 25.19, Tax Code, is amended by amending
11-16 Subsections (b) and (i) and adding Subsection (j) to read as
11-17 follows:
11-18 (b) The chief appraiser shall separate real from personal
11-19 property and include in the notice for each:
11-20 (1) a list of the taxing units in which the property
11-21 is taxable;
11-22 (2) the appraised value of the property in the
11-23 preceding year;
11-24 (3) the assessed and taxable value of the property in
11-25 the preceding year for each taxing unit taxing the property;
12-1 (4) the appraised value of the property for the
12-2 current year and the kind and amount of each partial exemption, if
12-3 any, approved for the current year;
12-4 (5) if the appraised value is greater than it was in
12-5 the preceding year:
12-6 (A) the effective tax rate that would be
12-7 announced pursuant to Section 26.04 of this code if the total
12-8 values being submitted to the appraisal review board were to be
12-9 approved by the board with an explanation that that rate would
12-10 raise the same amount of revenue from property taxed in the
12-11 preceding year as the unit raised for those purposes in the
12-12 preceding year;
12-13 (B) the amount of tax that would be imposed on
12-14 the property on the basis of the rate described by Paragraph (A) of
12-15 this subdivision; and
12-16 (C) a statement that the governing body of the
12-17 unit may not adopt a rate that will increase tax revenues for
12-18 operating purposes from properties taxed in the preceding year
12-19 without publishing notice in a newspaper that it is considering a
12-20 tax increase and holding a hearing for taxpayers to discuss the tax
12-21 increase;
12-22 (6) in italic typeface, the following statement: "The
12-23 Texas Legislature does not set the amount of your local taxes.
12-24 Your property tax burden is decided by your locally elected
12-25 officials, and all inquiries concerning your taxes should be
13-1 directed to those officials";
13-2 (7) a detailed [brief] explanation of the time and
13-3 procedure for protesting the value;
13-4 (8) the date and place the appraisal review board will
13-5 begin hearing protests; and
13-6 (9) a brief explanation that:
13-7 (A) the governing body of each taxing unit
13-8 decides whether or not taxes on the property will increase and the
13-9 appraisal district only determines the value of the property; and
13-10 (B) a taxpayer who objects to increasing taxes
13-11 and government expenditures should complain to the governing bodies
13-12 of the taxing units and only complaints about value should be
13-13 presented to the appraisal office and the appraisal review board.
13-14 (i) By May 15 or as soon thereafter as practicable, the
13-15 chief appraiser shall deliver a written notice to the owner of each
13-16 property not included in a notice required to be delivered under
13-17 Subsection (a), if the property was reappraised in the current tax
13-18 year, if the ownership of the property changed during the preceding
13-19 year, or if the property owner or the agent of a property owner
13-20 authorized under Section 1.111 makes a written request for the
13-21 notice. The chief appraiser shall separate real from personal
13-22 property and include in the notice for each property:
13-23 (1) the appraised value of the property in the
13-24 preceding year;
13-25 (2) the appraised value of the property for the
14-1 current year and the kind of each partial exemption, if any,
14-2 approved for the current year;
14-3 (3) a detailed [brief] explanation of the time and
14-4 procedure for protesting the value; and
14-5 (4) the date and place the appraisal review board will
14-6 begin hearing protests.
14-7 (j) Delivery with a notice required by Subsection (a) or (i)
14-8 of a copy of the pamphlet published by the comptroller under
14-9 Section 5.06 or a copy of the notice published by the chief
14-10 appraiser under Section 41.70 is sufficient to comply with the
14-11 requirement that the notice include the information specified by
14-12 Subsection (b)(7) or (i)(3), as applicable.
14-13 SECTION 12. Section 33.01, Tax Code, is amended by adding
14-14 Subsections (d) and (e) to read as follows:
14-15 (d) In lieu of the penalty imposed under Subsection (a), a
14-16 delinquent tax incurs a penalty of 50 percent of the amount of the
14-17 tax without regard to the number of months the tax has been
14-18 delinquent if the tax is delinquent because the property owner
14-19 received an exemption under:
14-20 (1) Section 11.13 and the chief appraiser subsequently
14-21 cancels the exemption because the residence was not the principal
14-22 residence of the property owner and the property owner received an
14-23 exemption for two or more additional residence homesteads for the
14-24 tax year in which the tax was imposed;
14-25 (2) Section 11.13(c) or (d) for a person who is 65 or
15-1 older and the chief appraiser subsequently cancels the exemption
15-2 because the property owner was younger than 65 on the exemption
15-3 qualification date; or
15-4 (3) Section 11.13(q) and the chief appraiser
15-5 subsequently cancels the exemption because the property owner was
15-6 younger than 55 when the property owner's spouse died.
15-7 (e) A penalty imposed under Subsection (d) does not apply
15-8 if, at any time before the date the tax becomes delinquent, the
15-9 property owner gives to the chief appraiser of the appraisal
15-10 district in which the property is located written notice of
15-11 circumstances that would disqualify the owner for the exemption.
15-12 SECTION 13. The heading to Section 33.06, Tax Code, is
15-13 amended to read as follows:
15-14 Sec. 33.06. DEFERRED COLLECTION OF [CERTAIN] TAXES ON
15-15 RESIDENCE HOMESTEAD OF ELDERLY PERSON.
15-16 SECTION 14. Subsection (c), Section 33.06, Tax Code, is
15-17 amended to read as follows:
15-18 (c) To obtain an abatement, the individual must file in the
15-19 court in which suit is pending an affidavit stating the facts
15-20 required to be established by Subsection (a) of this section. If
15-21 no controverting affidavit is filed by the taxing unit filing suit
15-22 or if, after a hearing, the court finds the individual is entitled
15-23 to the deferral, the court shall abate the suit until the
15-24 individual no longer owns and occupies the property as a residence
15-25 homestead. The clerk of the court shall deliver a copy of the
16-1 judgment abating the suit to the chief appraiser of each appraisal
16-2 district that appraises the property.
16-3 SECTION 15. Subchapter A, Chapter 33, Tax Code, is amended
16-4 by adding Section 33.065 to read as follows:
16-5 Sec. 33.065. DEFERRED COLLECTION OF TAXES ON APPRECIATING
16-6 RESIDENCE HOMESTEAD. (a) An individual is entitled to defer or
16-7 abate a suit to collect a delinquent tax imposed on the portion of
16-8 the appraised value of property the individual owns and occupies as
16-9 the individual's residence homestead that exceeds the sum of:
16-10 (1) 105 percent of the appraised value of the property
16-11 for the preceding year; and
16-12 (2) the market value of all new improvements to the
16-13 property.
16-14 (b) An individual may not obtain a deferral or abatement
16-15 under this section if the taxes on the portion of the appraised
16-16 value of the property that does not exceed the amount provided by
16-17 Subsection (a) are delinquent.
16-18 (c) To obtain a deferral, an individual must file with the
16-19 chief appraiser for the appraisal district in which the property is
16-20 located an affidavit stating the facts required to be established
16-21 by Subsection (a). The chief appraiser shall notify each taxing
16-22 unit participating in the district of the filing. After an
16-23 affidavit is filed under this subsection, a taxing unit may not
16-24 file suit to collect delinquent taxes on the property for which
16-25 collection is deferred until the individual no longer owns and
17-1 occupies the property as a residence homestead.
17-2 (d) To obtain an abatement, the individual must file in the
17-3 court in which the delinquent tax suit is pending an affidavit
17-4 stating the facts required to be established by Subsection (a). If
17-5 the taxing unit that filed the suit does not file a controverting
17-6 affidavit or if, after a hearing, the court finds the individual is
17-7 entitled to the deferral, the court shall abate the suit until the
17-8 individual no longer owns and occupies the property as the
17-9 individual's residence homestead. The clerk of the court shall
17-10 deliver a copy of the judgment abating the suit to the chief
17-11 appraiser of each appraisal district that appraises the property.
17-12 (e) A deferral or abatement under this section applies only
17-13 to ad valorem taxes imposed beginning with the tax year following
17-14 the first tax year the individual entitled to the deferral or
17-15 abatement qualifies the property for an exemption under Section
17-16 11.13. For purposes of this subsection, the owner of a residence
17-17 homestead that is qualified for an exemption under Section 11.13 on
17-18 January 1, 1998, is considered to have qualified the property for
17-19 the first time in the 1997 tax year.
17-20 (f) If the collection of delinquent taxes on the property
17-21 was deferred in a prior tax year and the sum of the amounts
17-22 described by Subsections (a)(1) and (2) exceeds the appraised value
17-23 of the property for the current tax year, the amount of taxes the
17-24 collection of which may be deferred is reduced by the amount
17-25 calculated by multiplying the taxing unit's tax rate for the
18-1 current year by the amount by which that sum exceeds the appraised
18-2 value of the property.
18-3 (g) A tax lien remains on the property and interest
18-4 continues to accrue during the period collection of delinquent
18-5 taxes is deferred as provided by this section. The annual interest
18-6 rate during the deferral period is eight percent instead of the
18-7 rate provided by Section 33.01. A penalty may not be imposed on
18-8 the delinquent taxes for which collection is deferred during a
18-9 deferral period. The additional penalty provided by Section 33.07
18-10 may be imposed only if the delinquent taxes for which collection is
18-11 deferred remain delinquent on or after the 91st day after the date
18-12 the deferral period expires. A plea of limitation, laches, or want
18-13 of prosecution does not apply against the taxing unit because of
18-14 deferral of collection as provided by this section.
18-15 (h) Each year the chief appraiser for each appraisal
18-16 district shall publicize in a manner reasonably designed to notify
18-17 all residents of the district or county of the provisions of this
18-18 section and, specifically, the method by which eligible persons may
18-19 obtain a deferral.
18-20 (i) In this section:
18-21 (1) "New improvement" means an improvement to a
18-22 residence homestead that is made after the appraisal of the
18-23 property for the preceding year and that increases the market value
18-24 of the property. The term does not include ordinary maintenance of
18-25 an existing structure or the grounds or another feature of the
19-1 property.
19-2 (2) "Residence homestead" has the meaning assigned
19-3 that term by Section 11.13.
19-4 SECTION 16. Subsection (a), Section 41.46, Tax Code, is
19-5 amended to read as follows:
19-6 (a) The appraisal review board before which a protest
19-7 hearing is scheduled shall deliver written notice to the property
19-8 owner initiating a protest of the date, time, and place fixed for
19-9 the hearing on the protest unless the property owner waives in
19-10 writing notice of the hearing. The board shall deliver the notice
19-11 not later than the 15th day before the date of the hearing.
19-12 SECTION 17. Subchapter D, Chapter 41, Tax Code, is amended
19-13 by adding Section 41.71 to read as follows:
19-14 Sec. 41.71. EVENING AND WEEKEND HEARINGS. An appraisal
19-15 review board by rule shall provide for hearings on protests in the
19-16 evening or on a Saturday or Sunday.
19-17 SECTION 18. Subsection (d), Section 403.302, Government
19-18 Code, is amended to read as follows:
19-19 (d) For the purposes of this section, "taxable value" means
19-20 market value less:
19-21 (1) the total dollar amount of any exemptions of part
19-22 but not all of the value of taxable property required by the
19-23 constitution or a statute that a district lawfully granted in the
19-24 year that is the subject of the study;
19-25 (2) the total dollar amount of any exemptions granted
20-1 before May 31, 1993, within a reinvestment zone under agreements
20-2 authorized by Chapter 312, Tax Code;
20-3 (3) the total dollar amount of any captured appraised
20-4 value of property that is located in a reinvestment zone and that
20-5 is eligible for tax increment financing under Chapter 311, Tax
20-6 Code;
20-7 (4) the total dollar amount of any exemptions granted
20-8 under Section 11.251, Tax Code;
20-9 (5) the difference between the market value and the
20-10 productivity value of land that qualifies for appraisal on the
20-11 basis of its productive capacity, except that the productivity
20-12 value may not exceed the fair market value of the land;
20-13 (6) the portion of the appraised value of residence
20-14 homesteads of the elderly on which school district taxes are not
20-15 imposed in the year that is the subject of the study, calculated as
20-16 if the residence homesteads were appraised at the full value
20-17 required by law;
20-18 (7) a portion of the market value of property not
20-19 otherwise fully taxable by the district at market value because of
20-20 action required by statute or the constitution of this state that,
20-21 if the tax rate adopted by the district is applied to it, produces
20-22 an amount equal to the difference between the tax that the district
20-23 would have imposed on the property if the property were fully
20-24 taxable at market value and the tax that the district is actually
20-25 authorized to impose on the property; [and]
21-1 (8) the market value of all tangible personal
21-2 property, other than manufactured homes, owned by a family or
21-3 individual and not held or used for the production of income;
21-4 (9) the appraised value of property the collection of
21-5 delinquent taxes on which is deferred under Section 33.06, Tax
21-6 Code; and
21-7 (10) the portion of the appraised value of property
21-8 the collection of delinquent taxes on which is deferred under
21-9 Section 33.065, Tax Code.
21-10 SECTION 19. (a) Except as otherwise provided by this
21-11 section, this Act takes effect January 1, 1998.
21-12 (b) The change in law made by Section 3 of this Act relating
21-13 to the qualifications of an appraisal review board member applies
21-14 only to the appointment of a member on or after the effective date
21-15 of this Act.
21-16 (c) Section 6 of this Act takes effect only if the
21-17 constitutional amendment proposed by S.J.R. No. 43, 75th
21-18 Legislature, Regular Session, 1997, is approved by the voters. If
21-19 that amendment is not approved by the voters, that section of this
21-20 Act has no effect.
21-21 (d) The change in law made by Section 8 of this Act applies
21-22 only to an application for an exemption from ad valorem taxation
21-23 filed on or after the effective date of this Act. An application
21-24 for an exemption from ad valorem taxation filed before the
21-25 effective date of this Act is covered by the law in effect on the
22-1 date the application was filed, and that law is continued in effect
22-2 for that purpose.
22-3 (e) The change in law made by Section 12 of this Act applies
22-4 only to a penalty incurred on ad valorem taxes that become
22-5 delinquent on or after the effective date of this Act. A penalty
22-6 incurred on ad valorem taxes that became delinquent before the
22-7 effective date of this Act is covered by the law in effect when the
22-8 taxes became delinquent, and that law is continued in effect for
22-9 that purpose.
22-10 SECTION 20. The importance of this legislation and the
22-11 crowded condition of the calendars in both houses create an
22-12 emergency and an imperative public necessity that the
22-13 constitutional rule requiring bills to be read on three several
22-14 days in each house be suspended, and this rule is hereby suspended.