SRC-DBM S.B. 868 76(R)   BILL ANALYSIS


Senate Research Center   S.B. 868
76R6480  SMH-DBy: Cain
Finance
4/9/1999
As Filed


DIGEST 

Currently, the state holds school districts harmless for losses due to the
10 percent homestead value cap by requiring the Comptroller of Public
Accounts (comptroller) to deduct losses attributable to the limitation from
a school district's taxable value; the comptroller determines this loss
based on school district reports.  The losses determined by the state
should be equivalent to the appraisal level in school districts where state
education funding is based on property values.  S.B. 868 would expand the
definition of "taxable value," resulting in a limitation on increases in
appraised values of residence homesteads when the comptroller determines
school district property values. 

PURPOSE

As proposed, S.B. 868 expands the definition of "taxable value" which
results in a limitation on increases in the appraised value of a residence
homestead when the comptroller determines school district property values. 

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1.  Reenacts and amends Section 403.302(d), Government Code, 75th
Legislature, Regular Session, 1997, to redefine "taxable value." 

SECTION 2.Effective date: September 1, 1999.

SECTION 3.Emergency clause.