By Uher                                               H.B. No. 1449
         76R4205 GJH-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the additional tax imposed on the change of use of
 1-3     open-space or timber land.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 23.55(a), Tax Code, is amended to read as
 1-6     follows:
 1-7           (a)  If the use of land that has been appraised as provided
 1-8     by this subchapter changes, an additional tax is imposed on the
 1-9     land equal to the difference between the taxes imposed on the land
1-10     for the most recent year [each of the five years] preceding the
1-11     year in which the change of use occurs in which [that] the land was
1-12     appraised as provided by  this subchapter and the tax that would
1-13     have been imposed had the land been taxed on the basis of market
1-14     value in that year [each of those years], plus interest at an
1-15     annual rate of seven percent calculated from the date [dates] on
1-16     which the difference [differences] would have become due.  For
1-17     purposes of this subsection, the chief appraiser may not consider
1-18     any period during which land is owned by the state in determining
1-19     whether a change in the use of the land has occurred.
1-20           SECTION 2.  Section 23.76(a), Tax Code, is amended to read as
1-21     follows:
1-22           (a)  If the use of land that has been appraised as provided
1-23     by this subchapter changes, an additional tax is imposed on the
1-24     land equal to the difference between the taxes imposed on the land
 2-1     for the most recent year [each of the five years] preceding the
 2-2     year in which the change of use occurs in which [that] the land was
 2-3     appraised as provided by this subchapter and the tax that would
 2-4     have been imposed had the land been taxed on the basis of market
 2-5     value in that year [each of those years], plus interest at an
 2-6     annual rate of seven percent calculated from the date [dates] on
 2-7     which the difference [differences] would  have become due.
 2-8           SECTION 3.  This  Act takes effect September 1, 1999, and
 2-9     applies only to a change in the use of land appraised under
2-10     Subchapter D or E, Chapter 23, Tax Code, that occurs on or after
2-11     that date. A change in the use of land appraised under Subchapter D
2-12     or E, Chapter 23, Tax Code, that occurred before the effective date
2-13     of this Act is governed by the law in effect on the date the change
2-14     in use occurred, and that law is continued in effect for that
2-15     purpose.
2-16           SECTION 4.  The importance of this legislation and the
2-17     crowded condition of the calendars in both houses create an
2-18     emergency and an imperative public necessity that the
2-19     constitutional rule requiring bills to be read on three several
2-20     days in each house be suspended, and this rule is hereby suspended.