Amend CSHB 2879 as follows:
(1) Insert the following appropriately numbered SECTIONS:
SECTION ____. Subchapter M, Chapter 403, Government Code, is
amended by adding Section 403.3011 to read as follows:
Sec. 403.3011. DEFINITIONS. In this subchapter:
(1) "Annual study" means the study that the
comptroller is required to conduct under this subchapter.
(2) "Local value" means the market value of property
in a school district that is determined by the appraisal district
that appraises property for the school district, less the total
amounts and values listed under Section 403.302(d) that are
determined by the appraisal district that appraises property for
the school district.
(3) "State value" is the value determined by the
comptroller under Section 403.302.
SECTION ____. Section 403.302, Government Code, as amended by
Chapters 62, 396, 983, 1467, and 1525, Acts of the 76th
Legislature, Regular Session, 1999, is amended to read as follows:
Sec. 403.302. DETERMINATION OF SCHOOL DISTRICT PROPERTY
VALUES. (a) The comptroller shall conduct an annual study <using
comparable sales and generally accepted auditing and sampling
techniques> to determine the total taxable value of all property in
each school district. The annual study shall determine the taxable
value of all property and of each category of property in the
district and the productivity value of all land that qualifies for
appraisal on the basis of its productive capacity and for which the
owner has applied for and received a productivity appraisal. The
comptroller shall make appropriate adjustments in the annual study
to account for actions taken under Chapter 41, Education Code.
(b) In conducting the annual study, the comptroller shall
determine the taxable value of property in each school district:
(1) using, if appropriate, generally accepted auditing
techniques, including samples consisting of any combination of
property sales or appraisals selected through generally accepted
sampling techniques;
(2) according to generally accepted standard
valuation, statistical compilation, and analysis techniques; and
(3) ensuring that different levels of appraisal on
sold and unsold property do not adversely affect the accuracy of
the annual study.
(c) If the comptroller determines in the annual study that
the local value <market value of property in a school district as
determined by the appraisal district that appraises property for
the school district, less the total of the amounts and values
listed in Subsection (d) as determined by that appraisal district,>
is valid, the local value <market value of property in the school
district as determined by the appraisal district that appraises
property for the school district, less the total of the amounts and
values listed in Subsection (d) as determined by that appraisal
district,> is presumed to represent taxable value. In the absence
of such a presumption, taxable value is the state value <determined
by the comptroller under Subsection (a)>.
(d) For the purposes of this section, "taxable value" means
the market value of all taxable property less:
(1) the total dollar amount of any residence homestead
exemptions lawfully granted under Section 11.13(b) or (c), Tax
Code, in the year that is the subject of the annual study for each
school district;
(2) one-half of the total dollar amount of any
residence homestead exemptions granted under Section 11.13(n), Tax
Code, in the year that is the subject of the annual study for each
school district;
(3) the total dollar amount of any exemptions granted
before May 31, 1993, within a reinvestment zone under agreements
authorized by Chapter 312, Tax Code;
(4) subject to Subsection (e), the total dollar amount
of any captured appraised value of property that:
(A) is within a reinvestment zone created on or
before May 31, 1999, or is proposed to be included within the
boundaries of a reinvestment zone as the boundaries of the zone and
the proposed portion of tax increment paid into the tax increment
fund by a school district are described in a written notification
provided by the municipality or the board of directors of the zone
to the governing bodies of the other taxing units in the manner
provided by Section 311.003(e), Tax Code, before May 31, 1999, and
within the boundaries of the zone as those boundaries existed on
September 1, 1999, including subsequent improvements to the
property regardless of when made;
(B) generates taxes paid into a tax increment
fund created under Chapter 311, Tax Code, under a reinvestment zone
financing plan approved under Section 311.011(d), Tax Code, on or
before September 1, 1999; and
(C) is eligible for tax increment financing
under Chapter 311, Tax Code;
(5) the total dollar amount of any exemptions granted
under Section 11.251, Tax Code;
(6) the difference between the comptroller's estimate
of the market value and the productivity value of land that
qualifies for appraisal on the basis of its productive capacity,
except that the productivity value estimated by the comptroller may
not exceed the fair market value of the land;
(7) the portion of the appraised value of residence
homesteads of the elderly on which school district taxes are not
imposed in the year that is the subject of the annual study,
calculated as if the residence homesteads were appraised at the
full value required by law;
(8) a portion of the market value of property not
otherwise fully taxable by the district at market value because of
action required by statute or the constitution of this state that,
if the tax rate adopted by the district is applied to it, produces
an amount equal to the difference between the tax that the district
would have imposed on the property if the property were fully
taxable at market value and the tax that the district is actually
authorized to impose on the property, if this subsection does not
otherwise require that portion to be deducted;
(9) the market value of all tangible personal
property, other than manufactured homes, owned by a family or
individual and not held or used for the production of income;
(10) the appraised value of property the collection of
delinquent taxes on which is deferred under Section 33.06, Tax
Code;
(11) the portion of the appraised value of property
the collection of delinquent taxes on which is deferred under
Section 33.065, Tax Code; and
(12) the amount by which the market value of a
residence homestead to which Section 23.23, Tax Code, applies
exceeds the appraised value of that property as calculated under
that section.
(e) The total dollar amount deducted in each year as
required by Subsection (d)(3) in a reinvestment zone created after
January 1, 1999, may not exceed the captured appraised value
estimated for that year as required by Section 311.011(c)(8), Tax
Code, in the reinvestment zone financing plan approved under
Section 311.011(d), Tax Code, before September 1, 1999. The number
of years for which the total dollar amount may be deducted under
Subsection (d)(4) <(d)(3)> shall for any zone, including those
created on or before January 1, 1999, be limited to the duration of
the zone as specified as required by Section 311.011(c)(9), Tax
Code, in the reinvestment zone financing plan approved under
Section 311.011(d), Tax Code, before September 1, 1999. The total
dollar amount deducted under Subsection (d)(4) <(d)(3)> for any
zone, including those created on or before January 1, 1999, may not
be increased by any reinvestment zone financing plan amendments
that occur after August 31, 1999. The total dollar amount deducted
under Subsection (d)(4) <(d)(3)> for any zone, including those
created on or before January 1, 1999, may not be increased by a
change made after August 31, 1999, in the portion of the tax
increment retained by the school district.
(f) The annual study shall determine the taxable values as
of January 1 of each year.
(g) The comptroller shall publish preliminary findings,
listing local values, state values, and taxable values by district,
before February 1 of the year following the year of the annual
study. Preliminary findings shall be delivered to each school
district and shall be certified to the commissioner of education.
(h) On request of the commissioner of education or a school
district, the comptroller may audit a school district to determine
the total taxable value of property in the school district,
including the productivity values of land only if the land
qualifies for appraisal on that basis and the owner of the land has
applied for and received a productivity appraisal. The comptroller
shall certify the comptroller's findings to the commissioner.
(i) <(h)> If the comptroller determines in the annual study
that the market value of property in a school district as
determined by the appraisal district that appraises property for
the school district, less the total of the amounts and values
listed in Subsection (d) as determined by that appraisal district,
is valid, the comptroller, in determining the taxable value of
property in the school district under Subsection (d), shall for
purposes of Subsection (d)(12) <(d)(11)> subtract from the market
value as determined by the appraisal district of residence
homesteads to which Section 23.23, Tax Code, applies the amount by
which that amount exceeds the appraised value of those properties
as calculated by the appraisal district under Section 23.23, Tax
Code. If the comptroller determines in the annual study that the
market value of property in a school district as determined by the
appraisal district that appraises property for the school district,
less the total of the amounts and values listed in Subsection (d)
as determined by that appraisal district, is not valid, the
comptroller, in determining the taxable value of property in the
school district under Subsection (d), shall for purposes of
Subsection (d)(12) <(d)(11)> subtract from the market value as
estimated by the comptroller of residence homesteads to which
Section 23.23, Tax Code, applies the amount by which that amount
exceeds the appraised value of those properties as calculated by
the appraisal district under Section 23.23, Tax Code.
(j) <(h)> For purposes of Section 42.2511, Education Code,
the comptroller shall certify to the commissioner of education:
(1) a final value for each school district computed on
a residence homestead exemption under Section 1-b(c), Article VIII,
Texas Constitution, of $5,000; and
(2) a final value for each school district computed
on:
(A) a residence homestead exemption under
Section 1-b(c), Article VIII, Texas Constitution, of $15,000; and
(B) the effect of the additional limitation on
tax increases under Section 1-b(d), Article VIII, Texas
Constitution<, as proposed by H.J.R. No. 4, 75th Legislature,
Regular Session, 1997>.
(k) <(j)> For purposes of Section 42.2522, Education Code,
the comptroller shall certify to the commissioner of education:
(1) a final value for each school district computed
without any deduction for residence homestead exemptions granted
under Section 11.13(n), Tax Code; and
(2) a final value for each school district computed
after deducting one-half the total dollar amount of residence
homestead exemptions granted under Section 11.13(n), Tax Code.
SECTION ____. Subchapter M, Chapter 403, Government Code, is
amended by adding Section 403.3021 to read as follows:
Sec. 403.3021. TEMPORARY EXCEPTION. (a) Notwithstanding
Section 403.302, for a school district that has an invalid local
value under Section 403.302(c) for the 2000 annual study, the
school district's local value shall be the school district's
taxable value in 2000 and 2001 if the comptroller has determined
that the school district had a valid local value under Section
403.302(c) for the 1998 and 1999 annual study.
(b) This section expires September 1, 2002, and applies only
to the annual studies for 2000 and 2001.
SECTION ____. Sections 403.303(a) and (b), Government Code,
are amended to read as follows:
(a) A school district or a property owner whose property is
included in the annual study under Section 403.302 and whose tax
liability on the property is $100,000 or more may protest the
comptroller's findings under Section 403.302(g) or (h) by filing a
petition with the comptroller. The petition must be filed not
later than the 40th day after the date on which the comptroller's
findings are certified to the commissioner of education and must
specify the grounds for objection and the value claimed to be
correct by the school district or property owner.
(b) After receipt of a petition, the comptroller shall hold
a hearing. The comptroller has the burden to prove the accuracy of
the findings. Until a final decision is made by the comptroller,
the taxable value of property in the district is determined, with
respect to property subject to the protest, according to the value
claimed by the school district or property owner, except that the
value to be used while a final decision is pending may not be less
than the appraisal roll value for the year of the annual study. If
after a hearing the comptroller concludes that the findings should
be changed, the comptroller shall order the appropriate changes and
shall certify the changes to the commissioner of education. The
comptroller shall complete all protest hearings and certify all
changes as necessary to comply with Chapter 42, Education Code. A
hearing conducted under this subsection is not a contested case for
purposes of Section 2001.003.
SECTION ____. Section 403.304(a), Government Code, is amended
to read as follows:
(a) All information the comptroller obtains from a person,
other than a government or governmental subdivision or agency,
under an assurance that the information will be kept confidential,
in the course of conducting an annual <a> study of school district
values is confidential and may not be disclosed except as provided
in Subsection (b).
(2) Strike SECTION 12 of the bill (committee printing, page
12, lines 13 and 14) and insert the following appropriately
numbered SECTIONS:
SECTION ____. To the extent of any conflict, the changes made
to Section 403.302, Government Code, by this Act prevail over
another Act of the 77th Legislature, Regular Session, 2001,
relating to nonsubstantive additions to and corrections in enacted
codes.
SECTION ____. (a) Except as otherwise provided by this Act,
this Act takes effect September 1, 2001.
(b) The changes in law made by this Act to Subchapter M,
Chapter 403, Government Code, take effect immediately if this Act
receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution.
If this Act does not receive the vote necessary for immediate
effect, those changes take effect September 1, 2001.
(c) The changes in law made by this Act to Subchapter M,
Chapter 403, Government Code, apply to the comptroller's property
value study made under Section 403.303, Government Code, for the
year 2000 and subsequent years.
(3) Renumber the SECTIONS of the bill accordingly.