By Gutierrez H.B. No. 453 76R688 GJH-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the appraisal for ad valorem taxation of an inventory 1-3 of commercial real property. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 23.12(a), Tax Code, is amended to read as 1-6 follows: 1-7 (a) Except as provided by Sections 23.121, 23.1241, 23.12D, 1-8 and 23.127, the market value of an inventory is the price for which 1-9 it would sell as a unit to a purchaser who would continue the 1-10 business. An inventory shall include residential real property 1-11 which has never been occupied as a residence and is held for sale 1-12 in the ordinary course of a trade or business, provided that the 1-13 residential real property remains unoccupied, is not leased or 1-14 rented, and produces no income. An inventory also includes real 1-15 property that: 1-16 (1) has been substantially developed or improved in a 1-17 manner that makes the property suitable for industrial or 1-18 commercial use, other than agricultural use; 1-19 (2) was vacant during the development or improvement 1-20 and remains vacant; 1-21 (3) has been publicly offered for sale in the ordinary 1-22 course of the owner's business and is available for purchase or is 1-23 under a contract for purchase; and 1-24 (4) is not leased or rented and does not produce 2-1 income. 2-2 SECTION 2. This Act takes effect January 1, 2000, and 2-3 applies only to ad valorem taxes imposed on or after that date. 2-4 SECTION 3. The importance of this legislation and the 2-5 crowded condition of the calendars in both houses create an 2-6 emergency and an imperative public necessity that the 2-7 constitutional rule requiring bills to be read on three several 2-8 days in each house be suspended, and this rule is hereby suspended.