SRC-DPW H.B. 1552 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 1552
76R6190 JD-DBy: Craddick (Brown)
Natural Resources
5/10/1999
Engrossed


DIGEST 

Currently, there are several pooled or unitized mineral interests with
production sites located in multiple counties whose property values are set
by multiple appraisal districts.  Annual appraisal district board hearings
to determine property values are set without regard to the percentage of
surface area in a pooled or unitized mineral interest that is located in
any particular county.  This may result in an appraisal district for a
county, which has a small percentage of surface area in a given pooled or
unitized mineral interest, determining the property values for the entire
mineral interest if that district's hearing is set first.  This bill would
provide that in the event of a protest being filed relating to a pooled or
unitized mineral interest, the appraisal district for the county in which
at least two-thirds of the surface area is located must hold its hearing
first.  

PURPOSE

As proposed, H.B. 1552 establishes procedures for determining protests
relating to the appraisal of certain pooled or unitized mineral interests.  

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 41C, Tax Code, by adding Section 41.455, as
follows: 

Sec. 41.455. POOLED OR UNITIZED MINERAL INTERESTS. Requires an appraisal
review board for an appraisal district established for the county in which
a production site or sites of a property owner  who files protests
regarding certain pooled or unitized mineral interests to determine the
protest and make its decision before another appraisal review board may
hold a hearing to determine the protest.  Provides that a protest
determined by an appraisal review board in violation of this section is
void.  Makes a conforming change. 

SECTION 2.Effective date: January 1, 2000. 
  Makes application of this Act prospective.

SECTION 3. Emergency clause.