By: Nelson S.B. No. 1790
99S0814/2
A BILL TO BE ENTITLED
AN ACT
1-1 relating to certain economic development contracts associated with
1-2 reinvestment zone property entered into prior to September 1, 1999.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subsections (d) through (g), Section 403.302,
1-5 Government Code, as amended by Chapters 1040 and 1071, Acts of the
1-6 75th Legislature, Regular Session, 1997, are conformed and amended
1-7 to read as follows:
1-8 (d) For the purposes of this section, "taxable value" means
1-9 the market value of all taxable property less:
1-10 (1) the total dollar amount of any residence homestead
1-11 exemptions lawfully granted under Section 11.13(b) or (c), Tax
1-12 Code, in the year that is the subject of the study for each school
1-13 district;
1-14 (2) the total dollar amount of any exemptions granted
1-15 before May 31, 1993, within a reinvestment zone under agreements
1-16 authorized by Chapter 312, Tax Code;
1-17 (3) subject to Subsection (e), the total dollar amount
1-18 of any captured appraised value of property that is located in a
1-19 reinvestment zone [on August 31, 1999], [that] generates a tax
1-20 increment paid into a tax increment fund, and is eligible for tax
1-21 increment financing under Chapter 311, Tax Code, under a
1-22 reinvestment zone financing plan approved under Section 311.011(d),
1-23 Tax Code, before September 1, 1999;
1-24 (4) the total dollar amount of any exemptions granted
2-1 under Section 11.251, Tax Code;
2-2 (5) the difference between the comptroller's estimate
2-3 of the market value and the productivity value of land that
2-4 qualifies for appraisal on the basis of its productive capacity,
2-5 except that the productivity value estimated by the comptroller may
2-6 not exceed the fair market value of the land;
2-7 (6) the portion of the appraised value of residence
2-8 homesteads of the elderly on which school district taxes are not
2-9 imposed in the year that is the subject of the study, calculated as
2-10 if the residence homesteads were appraised at the full value
2-11 required by law;
2-12 (7) a portion of the market value of property not
2-13 otherwise fully taxable by the district at market value because of
2-14 action required by statute or the constitution of this state that,
2-15 if the tax rate adopted by the district is applied to it, produces
2-16 an amount equal to the difference between the tax that the district
2-17 would have imposed on the property if the property were fully
2-18 taxable at market value and the tax that the district is actually
2-19 authorized to impose on the property, if this subsection does not
2-20 otherwise require that portion to be deducted;
2-21 (8) the market value of all tangible personal
2-22 property, other than manufactured homes, owned by a family or
2-23 individual and not held or used for the production of income;
2-24 (9) the appraised value of property the collection of
2-25 delinquent taxes on which is deferred under Section 33.06, Tax
2-26 Code;
3-1 (10) the portion of the appraised value of property
3-2 the collection of delinquent taxes on which is deferred under
3-3 Section 33.065, Tax Code; and
3-4 (11) the amount by which the market value of a
3-5 residence homestead to which Section 23.23, Tax Code, applies
3-6 exceeds the appraised value of that property as calculated under
3-7 that section.
3-8 (e) Subsection (d)(3) applies only to the captured appraised
3-9 value of:
3-10 (1) real property that is located in a reinvestment
3-11 zone before September 1, 1999; or
3-12 (2) an improvement to real property described by
3-13 Subdivision (1), regardless of the date the improvement is made,
3-14 when made pursuant to a financing plan adopted before September 1,
3-15 1999.
3-16 (f) The study shall determine the values as of January 1 of
3-17 each year.
3-18 (g) [(f)] The comptroller shall publish preliminary
3-19 findings, listing values by district, before February 1 of the year
3-20 following the year of the study. Preliminary findings shall be
3-21 delivered to each school district and shall be certified to the
3-22 commissioner of education.
3-23 (h) [(g)] On request of the commissioner of education or a
3-24 school district, the comptroller may audit a school district to
3-25 determine the total taxable value of property in the school
3-26 district, including the productivity values of land only if the
4-1 land qualifies for appraisal on that basis and the owner of the
4-2 land has applied for and received a productivity appraisal. The
4-3 comptroller shall certify the comptroller's findings to the
4-4 commissioner.
4-5 SECTION 2. Subsection (a), Section 403.303, Government Code,
4-6 is amended to read as follows:
4-7 (a) A school district or a property owner whose property is
4-8 included in the study under Section 403.302 and whose tax liability
4-9 on the property is $100,000 or more may protest the comptroller's
4-10 findings under Section 403.302(g) [403.302(f)] or (h) [(g)] by
4-11 filing a petition with the comptroller. The petition must be filed
4-12 not later than the 40th day after the date on which the
4-13 comptroller's findings are certified to the commissioner of
4-14 education and must specify the grounds for objection and the value
4-15 claimed to be correct by the school district or property owner.
4-16 SECTION 3. This Act takes effect September 1, 1999.
4-17 SECTION 4. The importance of this legislation and the
4-18 crowded condition of the calendars in both houses create an
4-19 emergency and an imperative public necessity that the
4-20 constitutional rule requiring bills to be read on three several
4-21 days in each house be suspended, and this rule is hereby suspended.