1-1 By: Heflin (Senate Sponsor - Brown) H.B. No. 490
1-2 (In the Senate - Received from the House April 23, 2001;
1-3 April 24, 2001, read first time and referred to Committee on
1-4 Intergovernmental Relations; May 7, 2001, reported adversely, with
1-5 favorable Committee Substitute by the following vote: Yeas 6, Nays
1-6 0; May 7, 2001, sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR H.B. No. 490 By: Lindsay
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the administration and collection of ad valorem taxes.
1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12 SECTION 1. Section 6.035(a), Tax Code, is amended to read as
1-13 follows:
1-14 (a) An individual is ineligible to serve on an appraisal
1-15 district board of directors and is disqualified from employment as
1-16 chief appraiser if the individual:
1-17 (1) is related within the second degree by
1-18 consanguinity or affinity, as determined under Chapter 573,
1-19 Government Code, to an individual who is engaged in the business of
1-20 appraising property for compensation for use in proceedings under
1-21 this title or of representing property owners for compensation in
1-22 proceedings under this title in the appraisal district; or
1-23 (2) owns property on which delinquent taxes have been
1-24 owed to a taxing unit for more than 60 days after the date the
1-25 individual knew or should have known of the delinquency unless:
1-26 (A) the delinquent taxes and any penalties and
1-27 interest are being paid under an installment payment agreement
1-28 under Section 33.02; or
1-29 (B) a suit to collect the delinquent taxes is
1-30 deferred or abated under Section 33.06 or 33.065.
1-31 SECTION 2. Section 6.24, Tax Code, is amended by amending
1-32 Subsection (b) and adding Subsection (c) to read as follows:
1-33 (b) The commissioners court with the approval of the county
1-34 assessor-collector may contract as provided by the Interlocal
1-35 Cooperation Act with the governing body of another taxing unit in
1-36 the county or with the board of directors of the appraisal district
1-37 for the other unit or the district to perform duties relating to
1-38 the assessment or collection of taxes for the county. If a county
1-39 contracts to have its taxes assessed and collected by another
1-40 taxing unit or by the appraisal district, except as provided by
1-41 Subsection (c), the contract shall require the other unit or the
1-42 district to assess and collect all taxes the county is required to
1-43 assess and collect.
1-44 (c) A contract entered into under Subsection (b) may exclude
1-45 from the taxes the other unit or the district is required to assess
1-46 and collect taxes the county is required to assess and collect
1-47 under one or more of the following provisions:
1-48 (1) Section 23.121;
1-49 (2) Section 23.122;
1-50 (3) Section 23.124;
1-51 (4) Section 23.1241;
1-52 (5) Section 23.1242;
1-53 (6) Section 23.125;
1-54 (7) Section 23.127; or
1-55 (8) Section 23.128.
1-56 SECTION 3. Section 6.41(f), Tax Code, is amended to read as
1-57 follows:
1-58 (f) A member of the board may be removed from the board by a
1-59 majority vote of the appraisal district board of directors.
1-60 Grounds for removal are:
1-61 (1) a violation of Section 6.412, [or] 6.413,
1-62 41.66(f), or 41.69; or
1-63 (2) good cause relating to the attendance of members
1-64 at called meetings of the board as established by written policy
2-1 adopted by a majority of the appraisal district board of directors.
2-2 SECTION 4. Section 6.412(a), Tax Code, is amended to read as
2-3 follows:
2-4 (a) An individual is ineligible to serve on an appraisal
2-5 review board if the individual:
2-6 (1) is related within the second degree by
2-7 consanguinity or affinity, as determined under Chapter 573,
2-8 Government Code, to an individual who is engaged in the business of
2-9 appraising property for compensation for use in proceedings under
2-10 this title or of representing property owners for compensation in
2-11 proceedings under this title in the appraisal district for which
2-12 the appraisal review board is established; or
2-13 (2) owns property on which delinquent taxes have been
2-14 owed to a taxing unit for more than 60 days after the date the
2-15 individual knew or should have known of the delinquency unless:
2-16 (A) the delinquent taxes and any penalties and
2-17 interest are being paid under an installment payment agreement
2-18 under Section 33.02; or
2-19 (B) a suit to collect the delinquent taxes is
2-20 deferred or abated under Section 33.06 or 33.065.
2-21 SECTION 5. Section 22.27(b), Tax Code, is amended to read as
2-22 follows:
2-23 (b) Information made confidential by this section may be
2-24 disclosed:
2-25 (1) in a judicial or administrative proceeding
2-26 pursuant to a lawful subpoena;
2-27 (2) to the person who filed the statement or report or
2-28 the owner of property subject to the statement, report, or
2-29 information or to a representative of either authorized in writing
2-30 to receive the information;
2-31 (3) to the comptroller and the comptroller's [his]
2-32 employees authorized by the comptroller [him] in writing to receive
2-33 the information or to an assessor or a chief appraiser if requested
2-34 in writing;
2-35 (4) in a judicial or administrative proceeding
2-36 relating to property taxation to which the person who filed the
2-37 statement or report or the owner of the property that is a subject
2-38 of the statement, report, or information is a party;
2-39 (5) for statistical purposes if in a form that does
2-40 not identify specific property or a specific property owner; [or]
2-41 (6) if and to the extent the information is required
2-42 to be included in a public document or record that the appraisal
2-43 office is required to prepare or maintain; or
2-44 (7) to a taxing unit or its legal representative that
2-45 is engaged in the collection of delinquent taxes on the property
2-46 that is the subject of the information.
2-47 SECTION 6. Section 25.25, Tax Code, is amended by amending
2-48 Subsection (b) and adding Subsections (n) and (o) to read as
2-49 follows:
2-50 (b) The chief appraiser may change the appraisal roll at any
2-51 time to correct a name or address, a determination of ownership, a
2-52 description of property, multiple appraisals of a property, or a
2-53 clerical error or other inaccuracy as prescribed by board rule that
2-54 does not increase the amount of tax liability. Before the 10th day
2-55 after the end of each calendar quarter, the chief appraiser shall
2-56 submit to the appraisal review board and to the board of directors
2-57 of the appraisal district a written report of each change made
2-58 under this subsection that decreases the tax liability of the owner
2-59 of the property. The report must include:
2-60 (1) a description of each property; and
2-61 (2) the name of the owner of that property.
2-62 (n) After a chief appraiser certifies a change under
2-63 Subsection (b) that corrects multiple appraisals of a property, the
2-64 liability of a taxing unit for a refund of taxes under Section
2-65 26.15(f), and any penalty or interest on those taxes, is limited to
2-66 taxes paid for the tax year in which the appraisal roll is changed
2-67 and the four tax years preceding that year.
2-68 (o) The failure or refusal of a chief appraiser to change an
2-69 appraisal roll under Subsection (b) is not:
3-1 (1) an action that the appraisal review board is
3-2 authorized to determine under this section;
3-3 (2) an action that may be the subject of a suit to
3-4 compel filed under Subsection (g);
3-5 (3) an action that a property owner is entitled to
3-6 protest under Section 41.41; or
3-7 (4) an action that may be appealed under Chapter 42.
3-8 SECTION 7. Section 26.15(f), Tax Code, is amended to read as
3-9 follows:
3-10 (f) If a correction decreases the tax liability of a
3-11 property owner after the owner [he] has paid the tax, the taxing
3-12 unit shall refund to the property owner the difference between the
3-13 tax paid and the tax legally due, except as provided by Section
3-14 25.25(n).
3-15 SECTION 8. Section 31.11, Tax Code, is amended by adding
3-16 Subsection (g) to read as follows:
3-17 (g) If a taxpayer submits a payment of taxes that exceeds by
3-18 $5 or more the amount of taxes owed for a tax year to a taxing
3-19 unit, the collector for the taxing unit, without charge, shall mail
3-20 to the taxpayer or the taxpayer's representative a written notice
3-21 of the amount of the overpayment accompanied by a refund
3-22 application form.
3-23 SECTION 9. Chapter 31, Tax Code, is amended by adding Section
3-24 31.111 to read as follows:
3-25 Sec. 31.111. REFUNDS OF DUPLICATE PAYMENTS. (a) The
3-26 collector of a taxing unit who determines that a person erred in
3-27 making a payment of taxes because the identical taxes were paid by
3-28 another person shall refund the amount of the taxes to the person
3-29 who erred in making the payment.
3-30 (b) A refund under Subsection (a) shall be made as soon as
3-31 practicable after the collector discovers the erroneous payment.
3-32 The refund shall be accompanied by a description of the property
3-33 subject to the taxes sufficient to identify the property. If the
3-34 property is assigned an account number, the collector shall include
3-35 that number.
3-36 (c) Each month, the collector shall inform the auditor of
3-37 each appropriate taxing unit of refunds of taxes made under
3-38 Subsection (a) during the preceding month.
3-39 SECTION 10. Sections 31.12(a) and (b), Tax Code, are amended
3-40 to read as follows:
3-41 (a) If a refund of a tax provided by Section 11.431(b),
3-42 26.07(g), 26.15(f), [or] 31.11, or 31.111 is paid on or before the
3-43 60th day after the date the liability for the refund arises, no
3-44 interest is due on the amount refunded. If not paid on or before
3-45 that 60th day, the amount of the tax to be refunded accrues
3-46 interest at a rate of one percent for each month or part of a month
3-47 that the refund is unpaid, beginning with the date on which the
3-48 liability for the refund arises.
3-49 (b) For purposes of this section, liability for a refund
3-50 arises:
3-51 (1) if the refund is required by Section 11.431(b), on
3-52 the date the chief appraiser notifies the collector for the unit of
3-53 the approval of the late homestead exemption;
3-54 (2) if the refund is required by Section 26.07(g), on
3-55 the date the results of the election to reduce the tax rate are
3-56 certified;
3-57 (3) if the refund is required by Section 26.15(f):
3-58 (A) for a correction to the tax roll made under
3-59 Section 26.15(b), on the date the change in the tax roll is
3-60 certified to the assessor for the taxing unit under Section 25.25;
3-61 or
3-62 (B) for a correction to the tax roll made under
3-63 Section 26.15(c), on the date the change in the tax roll is ordered
3-64 by the governing body of the taxing unit; [or]
3-65 (4) if the refund is required by Section 31.11, on the
3-66 date the auditor for the taxing unit determines that the payment
3-67 was erroneous or excessive or, if the amount of the refund exceeds
3-68 the applicable amount specified by Section 31.11(a), on the date
3-69 the governing body of the unit approves the refund; or
4-1 (5) if the refund is required by Section 31.111, on
4-2 the date the collector for the taxing unit determines that the
4-3 payment was erroneous.
4-4 SECTION 11. Section 33.04, Tax Code, is amended to read as
4-5 follows:
4-6 Sec. 33.04. NOTICE OF DELINQUENCY. [(a)] At least once each
4-7 year the collector for a taxing unit shall deliver a notice of
4-8 delinquency to each person whose name appears on the current
4-9 delinquent tax roll. However, the notice need not be delivered if:
4-10 (1) a bill for the tax was not mailed under Section
4-11 31.01(f); or
4-12 (2) the collector does not know and by exercising
4-13 reasonable diligence cannot determine the delinquent taxpayer's
4-14 name and address.
4-15 [(b) In addition to the notice required by Subsection (a),
4-16 the collector for each taxing unit in each year divisible by five
4-17 shall deliver by mail a written notice of delinquency to:]
4-18 [(1) each person whose name and mailing address are
4-19 listed on the most recent certified appraisal roll, if the taxes on
4-20 the property of that person are shown on the collector's records as
4-21 having been delinquent more than one year; and]
4-22 [(2) each person who owes a tax on personal property
4-23 or an interest in a mineral estate that has been delinquent more
4-24 than one year, if that property or mineral estate is not listed on
4-25 the most recent certified appraisal roll under that person's name
4-26 but that person's name and mailing address are known to the
4-27 collector.]
4-28 [(c) The collector shall state in the notice required by
4-29 Subsection (b) the amount of the delinquent tax, penalties, and
4-30 interest due, the description of the property on which the tax was
4-31 imposed, and the year for which the tax is delinquent. Each notice
4-32 required by Subsection (b) to be delivered to the same person for
4-33 more than one year or on more than one property may be included in
4-34 a single notice.]
4-35 [(d) In a suit brought against a person entitled to receive
4-36 notice under Subsection (b) for the collection of penalties and
4-37 interest on a tax delinquent more than five years or a multiple of
4-38 five years, it is an affirmative defense available to the person
4-39 that the collector did not deliver the notice required by
4-40 Subsection (b).]
4-41 [(e) Notwithstanding Subsection (d), interest and penalties
4-42 on a tax are reinstated and shall be collected by the collector if,
4-43 subsequent to the collector's failure to deliver the notice
4-44 required by Subsection (b), the collector delivers the notice in
4-45 any subsequent year divisible by five. The interest and penalties
4-46 on the tax are reinstated prospectively and begin to accrue at the
4-47 rates provided by Section 33.01 on the first day of the first month
4-48 that begins at least 21 days after the date the collector delivers
4-49 the subsequent notice.]
4-50 [(f) A notice under this section is presumed to be delivered
4-51 when it is deposited in regular first-class mail, postage prepaid,
4-52 and addressed to the appropriate person under Subsection (b).
4-53 Notwithstanding Section 1.07, the presumption of delivery under
4-54 this section may not be rebutted with evidence of failure to
4-55 receive the notice.]
4-56 SECTION 12. Sections 33.06(a), (d), and (e), Tax Code, are
4-57 amended to read as follows:
4-58 (a) An individual is entitled to defer or abate a suit to
4-59 collect a delinquent tax if the individual [he] is 65 years of age
4-60 or older and the tax was imposed against property that the
4-61 individual [he] owns and occupies as a residence homestead [the
4-62 property on which the tax subject to the suit is delinquent].
4-63 (d) A tax lien remains on the property and interest
4-64 continues to accrue during the period collection of taxes is
4-65 deferred or abated under [as provided by] this section. The annual
4-66 interest rate during the deferral or abatement period is eight
4-67 percent [a year] instead of the rate provided by Section 33.01 [of
4-68 this code]. Interest and penalties that accrued or that were
4-69 incurred or imposed under Section 33.01 or 33.07 before the date
5-1 the individual files the deferral affidavit under Subsection (b) or
5-2 the date the judgment abating the suit is entered, as applicable,
5-3 are preserved. A penalty under Section 33.01 is [may] not incurred
5-4 [be imposed] during a deferral or abatement period. The additional
5-5 penalty under [provided by] Section 33.07 [of this code] may be
5-6 imposed and collected only if the taxes for which collection is
5-7 deferred or abated remain delinquent on or after the 91st day after
5-8 the date the deferral or abatement period expires. A plea of
5-9 limitation, laches, or want of prosecution does not apply against
5-10 the taxing unit because of deferral or abatement of collection as
5-11 provided by this section.
5-12 (e) Each year the chief appraiser for each appraisal
5-13 district shall publicize in a manner reasonably designed to notify
5-14 all residents of the district or county of the provisions of this
5-15 section and, specifically, the method by which eligible persons may
5-16 obtain a deferral or abatement.
5-17 SECTION 13. Section 33.065(g), Tax Code, is amended to read
5-18 as follows:
5-19 (g) A tax lien remains on the property and interest
5-20 continues to accrue during the period collection of delinquent
5-21 taxes is deferred or abated under [as provided by] this section.
5-22 The annual interest rate during the deferral or abatement period is
5-23 eight percent instead of the rate provided by Section 33.01.
5-24 Interest and penalties that accrued or that were incurred or
5-25 imposed under Section 33.01 or 33.07 before the date the individual
5-26 files the deferral affidavit under Subsection (c) or the date the
5-27 judgment abating the suit is entered, as applicable, are preserved.
5-28 A penalty is [may] not incurred [be imposed] on the delinquent
5-29 taxes for which collection is deferred or abated during a deferral
5-30 or abatement period. The additional penalty under [provided by]
5-31 Section 33.07 may be imposed and collected only if the delinquent
5-32 taxes for which collection is deferred or abated remain delinquent
5-33 on or after the 91st day after the date the deferral or abatement
5-34 period expires. A plea of limitation, laches, or want of
5-35 prosecution does not apply against the taxing unit because of
5-36 deferral or abatement of collection as provided by this section.
5-37 SECTION 14. Section 33.07(a), Tax Code, is amended to read
5-38 as follows:
5-39 (a) A taxing unit or appraisal district may provide, in the
5-40 manner required by law for official action by the body, that taxes
5-41 that become delinquent on or after February 1 of a year but not
5-42 later than May 1 of that year and that remain delinquent on July 1
5-43 of the year in which they become delinquent incur an additional
5-44 penalty to defray costs of collection, if the unit or district or
5-45 another unit that collects taxes for the unit has contracted with
5-46 an attorney pursuant to Section 6.30 [of this code]. The amount of
5-47 the penalty may not exceed [15 percent of] the amount of the
5-48 compensation specified in the contract with the attorney to be paid
5-49 in connection with the collection of the delinquent taxes[,
5-50 penalty, and interest due].
5-51 SECTION 15. Section 33.08(b), Tax Code, is amended to read
5-52 as follows:
5-53 (b) The governing body of the taxing unit or appraisal
5-54 district, in the manner required by law for official action, may
5-55 provide that taxes that become delinquent on or after June 1 under
5-56 Section 26.07(f), 26.15(e), 31.03, 31.031, 31.032, or 31.04 incur
5-57 an additional penalty to defray costs of collection. The amount of
5-58 the penalty may not exceed [15 percent of] the amount of the
5-59 compensation specified in the applicable contract with an attorney
5-60 under Section 6.30 to be paid in connection with the collection of
5-61 the delinquent taxes[, penalty, and interest due].
5-62 SECTION 16. Subchapter A, Chapter 33, Tax Code, is amended by
5-63 adding Section 33.09 to read as follows:
5-64 Sec. 33.09. TRANSFER OF DELINQUENT COUNTY EDUCATION DISTRICT
5-65 TAXES IN CERTAIN COUNTIES. (a) This section applies only to a
5-66 county with a population of less than 22,000.
5-67 (b) In this section, "county education district taxes" means
5-68 ad valorem taxes imposed by a county education district under
5-69 former Section 20.945, Education Code.
6-1 (c) The successor-in-interest to a county education district
6-2 may transfer to the component school districts of the county
6-3 education district all delinquent county education district taxes.
6-4 The amount transferred to each school district must be in
6-5 proportion to the ratio that the school district's weighted average
6-6 daily attendance for the 1992-1993 school year bears to the
6-7 weighted average daily attendance of all school districts in the
6-8 county education district for that year. For purposes of this
6-9 section, "weighted average daily attendance" is determined in the
6-10 manner provided by former Section 16.302, Education Code, as that
6-11 section existed September 1, 1992.
6-12 (d) A school district to which delinquent county education
6-13 district taxes are transferred under this section is responsible
6-14 for:
6-15 (1) collecting or contracting for the collection of
6-16 the taxes; and
6-17 (2) preparing and submitting any report required by
6-18 the commissioner of education or the comptroller of the amount of
6-19 delinquent county education taxes collected.
6-20 (e) This section expires February 1, 2014.
6-21 SECTION 17. Section 33.21, Tax Code, is amended by adding
6-22 Subsection (d) to read as follows:
6-23 (d) In this subchapter, "personal property" means:
6-24 (1) tangible personal property;
6-25 (2) cash on hand;
6-26 (3) notes or accounts receivable, including rents and
6-27 royalties;
6-28 (4) demand or time deposits; and
6-29 (5) certificates of deposit.
6-30 SECTION 18. Section 33.23, Tax Code, is amended by amending
6-31 Subsection (c) and adding Subsections (d) and (e) to read as
6-32 follows:
6-33 (c) After a tax warrant is issued, the collector or peace
6-34 officer shall take possession of the property pending its sale. The
6-35 person against whom a tax warrant is issued or another person
6-36 having possession of property of the person against whom a tax
6-37 warrant is issued shall surrender the property on demand. Pending
6-38 the sale of the property, the collector or peace officer may secure
6-39 the property at the location where it is seized or may move the
6-40 property to another location.
6-41 (d) A person who possesses personal property owned by the
6-42 person against whom a tax warrant is issued and who surrenders the
6-43 property on demand is not liable to any person for the surrender.
6-44 At the time of surrender, the collector shall provide the person
6-45 surrendering the property a sworn receipt describing the property
6-46 surrendered.
6-47 (e) Subsection (d) does not create an obligation on the part
6-48 of a person who surrenders property owned by the person against
6-49 whom a tax warrant is issued that exceeds or materially differs
6-50 from that person's obligation to the person against whom the tax
6-51 warrant is issued.
6-52 SECTION 19. Section 33.25, Tax Code, is amended by amending
6-53 Subsection (a) and adding Subsection (c) to read as follows:
6-54 (a) Except as provided by Subsection (c), after [After] a
6-55 seizure of personal property, the collector shall make a reasonable
6-56 inquiry to determine the identity and to ascertain the address of
6-57 any person having an interest in the property other than the person
6-58 against whom the tax warrant is issued. The collector [He] shall
6-59 provide in writing the name and address of each other person the
6-60 collector identifies as having an interest in the property to the
6-61 peace officer charged with executing the warrant. The peace
6-62 officer shall deliver as soon as possible a written notice stating
6-63 the time and place of the sale and briefly describing the property
6-64 seized to the person against whom the warrant is issued and to any
6-65 other person having [he discovers has] an interest in the property
6-66 whose name and address the collector provided to the peace officer.
6-67 The posting of the notice and the sale of the property shall be
6-68 conducted by the peace officer in the manner required for the sale
6-69 under execution of personal property [he ascertains].
7-1 (c) After a seizure of personal property defined by Sections
7-2 33.21(d)(2)-(5), the collector shall apply the seized property
7-3 toward the payment of the taxes, penalties, and interest included
7-4 in the application for warrant and all costs of the seizure.
7-5 SECTION 20. Section 33.41, Tax Code, is amended by adding
7-6 Subsections (d), (e), (f), (g), and (h) to read as follows:
7-7 (d) In a suit brought under this section, a court shall
7-8 grant a taxing unit injunctive relief on a showing that the
7-9 personal property on which the taxing unit seeks to foreclose a tax
7-10 lien is about to be:
7-11 (1) removed from the county in which the tax was
7-12 imposed; or
7-13 (2) transferred to another person and the other person
7-14 is not a buyer in the ordinary course of business, as defined by
7-15 Section 1.201, Business & Commerce Code.
7-16 (e) Injunctive relief granted under Subsection (d) must:
7-17 (1) prohibit alienation or dissipation of the
7-18 property;
7-19 (2) order that proceeds from the sale of the property
7-20 in an amount equal to the taxes claimed to be due be paid into the
7-21 court registry; or
7-22 (3) order any other relief to ensure the payment of
7-23 the taxes owed.
7-24 (f) A taxing unit is not required to file a bond as a
7-25 condition to the granting of injunctive relief under Subsection
7-26 (d).
7-27 (g) In a petition for relief under Subsection (d), the
7-28 taxing unit may also seek to secure the payment of taxes for a
7-29 current tax year that are not delinquent and shall estimate the
7-30 amount due if those taxes are not yet assessed.
7-31 (h) The tax lien attaches to any amounts paid into the
7-32 court's registry with the same priority as for the property on
7-33 which taxes are owed.
7-34 SECTION 21. Section 33.42(c), Tax Code, is amended to read as
7-35 follows:
7-36 (c) If a tax required by this section to be included in a
7-37 suit is omitted from the judgment in the suit, the taxing unit may
7-38 not enforce collection of the tax at a later time except as
7-39 provided by Section 34.04(c)(2).
7-40 SECTION 22. Section 33.43(a), Tax Code, is amended to read as
7-41 follows:
7-42 (a) A petition initiating a suit to collect a delinquent
7-43 property tax is sufficient if it alleges that:
7-44 (1) the taxing unit is legally constituted and
7-45 authorized to impose and collect ad valorem taxes on property;
7-46 (2) tax in a stated amount was legally imposed on each
7-47 separately described property for each year specified and on each
7-48 person named if known who owned the property on January 1 of the
7-49 year for which the tax was imposed;
7-50 (3) the tax was imposed in the county in which the
7-51 suit is filed;
7-52 (4) the tax is delinquent;
7-53 (5) penalties, interest, and costs authorized by law
7-54 in a stated amount for each separately assessed property are due;
7-55 (6) the taxing unit is entitled to recover each
7-56 penalty that is incurred and all interest that accrues on
7-57 delinquent taxes imposed on the property from the date of the
7-58 judgment to the date of the sale under Section 34.01 or under
7-59 Section 253.010, Local Government Code [34.015], as applicable, if
7-60 the suit seeks to foreclose a tax lien;
7-61 (7) the person sued owned the property on January 1 of
7-62 the year for which the tax was imposed if the suit seeks to enforce
7-63 personal liability;
7-64 (8) the person sued owns the property when the suit is
7-65 filed if the suit seeks to foreclose a tax lien;
7-66 (9) the taxing unit asserts a lien on each separately
7-67 described property to secure the payment of all taxes, penalties,
7-68 interest, and costs due if the suit seeks to foreclose a tax lien;
7-69 (10) all things required by law to be done have been
8-1 done properly by the appropriate officials; and
8-2 (11) the attorney signing the petition is legally
8-3 authorized to prosecute the suit on behalf of the taxing unit.
8-4 SECTION 23. Section 33.48(a), Tax Code, is amended to read as
8-5 follows:
8-6 (a) In addition to other costs authorized by law, a taxing
8-7 unit is entitled to recover the following costs and expenses in a
8-8 suit to collect a delinquent tax:
8-9 (1) all usual court costs, including the cost of
8-10 serving process;
8-11 (2) costs of filing for record a notice of lis pendens
8-12 against property;
8-13 (3) expenses of foreclosure sale;
8-14 (4) reasonable expenses that are incurred by the
8-15 taxing unit in determining the name, identity, and location of
8-16 necessary parties and in procuring necessary legal descriptions of
8-17 the property on which a delinquent tax is due; [and]
8-18 (5) attorney's fees in the amount of 15 percent of the
8-19 total amount of taxes, penalties, and interest due the unit; and
8-20 (6) reasonable attorney ad litem fees approved by the
8-21 court that are incurred in a suit in which the court orders the
8-22 appointment of an attorney to represent the interests of a
8-23 defendant served with process by means of citation by publication
8-24 or posting.
8-25 SECTION 24. Section 33.49(a), Tax Code, is amended to read as
8-26 follows:
8-27 (a) Except as provided by Subsection (b) [of this section],
8-28 a taxing unit is not liable in a suit to collect taxes for court
8-29 costs, including any fees for service of process, an attorney ad
8-30 litem, arbitration, or mediation, and may not be required to post
8-31 security for costs.
8-32 SECTION 25. Sections 33.56(a), (c), (d), and (e), Tax Code,
8-33 are amended to read as follows:
8-34 (a) If, in a suit to collect a delinquent tax, a court
8-35 renders a judgment for foreclosure of a tax lien on behalf of a
8-36 taxing unit, any [the] taxing unit that was a party to the judgment
8-37 may file a petition to vacate the judgment on one or more of the
8-38 following grounds [for]:
8-39 (1) failure to join a person needed for just
8-40 adjudication under the Texas Rules of Civil Procedure, including a
8-41 taxing unit required to be joined under Section 33.44(a);
8-42 (2) failure to serve a person needed for just
8-43 adjudication under the Texas Rules of Civil Procedure, including a
8-44 taxing unit required to be joined under Section 33.44(a); [or]
8-45 (3) failure of the judgment to adequately describe the
8-46 property that is the subject of the suit; or
8-47 (4) that the property described in the judgment was
8-48 subject to multiple appraisals for the tax years included in the
8-49 judgment.
8-50 (c) The taxing unit may not file a petition if a tax sale of
8-51 the property has occurred unless:
8-52 (1) the tax sale has been vacated by an order of a
8-53 court; [or]
8-54 (2) the property was bid off [sold] to a [the] taxing
8-55 unit under Section 34.01(j) [34.01(c)] and has not been resold; or
8-56 (3) the tax sale or resale purchaser, or the
8-57 purchaser's heirs, successors, or assigns, consents to the
8-58 petition.
8-59 (d) Consent of the purchaser to a petition may be shown by:
8-60 (1) a written memorandum signed by the purchaser and
8-61 filed with the court;
8-62 (2) the purchaser's joinder in the taxing unit's
8-63 petition;
8-64 (3) a statement of the purchaser made in open court on
8-65 the record in a hearing on the petition; or
8-66 (4) the purchaser's signature of approval to an agreed
8-67 order to grant the petition.
8-68 (e) A copy of the petition must be served in a manner
8-69 authorized by Rule 21a, Texas Rules of Civil Procedure, on each
9-1 party to the delinquent tax suit.
9-2 (f) [(e)] If the court grants the petition, the court shall
9-3 enter an order providing that:
9-4 (1) the judgment, any tax sale based on that judgment,
9-5 and any subsequent resale are [is] vacated;
9-6 (2) any applicable tax deed or applicable resale deed
9-7 is canceled;
9-8 (3) [and] the delinquent tax suit is revived; and
9-9 (4) except in a case in which judgment is vacated
9-10 under Subsection (a)(4), the taxes, penalties, interest, and
9-11 attorney's fees and costs, and the liens that secure each of those
9-12 items, are reinstated.
9-13 SECTION 26. Sections 34.01(b), (m), (o), (p), and (r), Tax
9-14 Code, are amended to read as follows:
9-15 (b) On receipt of an order of sale of real property, the
9-16 officer charged with selling the property shall endorse on the
9-17 order the date and exact time when the officer received the order.
9-18 The endorsement is a levy on the property without necessity for
9-19 going upon the ground. The officer shall calculate the total
9-20 amount due under the judgment, including all taxes, penalties, and
9-21 interest, plus any other amount awarded by the judgment, court
9-22 costs, and the costs of the sale. The costs of a sale include[,
9-23 including] the costs of advertising, and deed recording fees
9-24 anticipated to be paid in connection with the sale of the property.
9-25 To assist the officer in making the calculation, the collector of
9-26 any taxing unit that is party to the judgment may provide the
9-27 officer with a certified tax statement showing the amount of the
9-28 taxes included in the judgment that remain due that taxing unit and
9-29 all penalties, interest, and attorney's fees provided by the
9-30 judgment as of the date of the proposed sale. If a certified tax
9-31 statement is provided to the officer, the officer shall rely on the
9-32 amount included in the statement and is not responsible or liable
9-33 for the accuracy of the applicable portion of the calculation. A
9-34 certified tax statement is not required to be sworn to and is
9-35 sufficient if the tax collector or the collector's deputy signs the
9-36 statement.
9-37 (m) The officer making the sale shall prepare a deed to the
9-38 purchaser of real property at the sale, to any other person whom
9-39 the purchaser may specify, or to the taxing unit to which the
9-40 property was bid off. The taxing unit that requested the order of
9-41 sale may elect to prepare a deed for execution by the officer. If
9-42 the taxing unit prepares the deed, the officer shall execute that
9-43 deed. An officer who executes a deed prepared by the taxing unit
9-44 is not responsible or liable for any inconsistency, error, or other
9-45 defect in the form of the deed. As soon as practicable after a
9-46 deed is executed by the officer, the [The] officer shall [execute
9-47 the deed and] either file the deed for recording with the county
9-48 clerk or deliver the executed deed to the taxing unit that
9-49 requested the order of sale, which shall file the deed for
9-50 recording with the county clerk. The county clerk shall file and
9-51 record each deed filed under this subsection and after recording
9-52 shall return the deed to the grantee.
9-53 (o) If [Notwithstanding Subsection (j), if] a [sufficient]
9-54 bid sufficient to pay the amount specified by Subsection (p) is not
9-55 received, the officer making the sale, with the consent of the
9-56 collector who applied for the tax warrant, may offer [bid off]
9-57 property seized under Subchapter E, Chapter 33, to a person
9-58 described by Section 11.181 or 11.20 for less than that [the tax
9-59 warrant] amount [or the market value of the property]. If the
9-60 property is offered to a person described by Section 11.181 or
9-61 11.20, the officer making the sale shall reopen the bidding at the
9-62 amount of that person's bid and bid off the property to the highest
9-63 bidder. Consent to the sale by the taxing units entitled to
9-64 receive proceeds of the sale is not required. The acceptance of a
9-65 bid by the officer under this subsection is conclusive and binding
9-66 on the question of its sufficiency. An action to set aside the
9-67 sale on the grounds that a bid is insufficient may not be
9-68 sustained, except that a taxing unit that participates in
9-69 distribution of proceeds of the sale may file an action before the
10-1 first anniversary of the date of the sale to set aside the sale on
10-2 the grounds of fraud or collusion between the officer making the
10-3 sale and the purchaser.
10-4 (p) Except as provided by Subsection (o), property seized
10-5 under Subchapter E, Chapter 33, may not be sold for an amount that
10-6 is less than the lesser of the market value of the property as
10-7 specified in the warrant or the total amount of taxes, penalties,
10-8 interest, costs, and other claims for which the warrant was issued
10-9 [due on the property]. If a sufficient bid is not received by the
10-10 officer making the sale, the officer shall bid off the property to
10-11 a taxing unit in the manner specified by Subsection (j) and subject
10-12 to the other provisions of that subsection. A taxing unit that
10-13 takes title to property [seized] under this subsection [that
10-14 subchapter] takes title [to the property] for the use and benefit
10-15 of that taxing unit and all other taxing units that established tax
10-16 liens in the suit or that, on the date of the seizure, were owed
10-17 delinquent taxes on the property.
10-18 (r) A sale of real property under this section must take
10-19 place at the county courthouse in the county in which the land is
10-20 located. The commissioners court of the county may designate the
10-21 area in the county courthouse where sales under this section must
10-22 take place and shall record any designated area in the real
10-23 property records of the county. If the commissioners court
10-24 designates an area in the courthouse for sales, a sale must occur
10-25 in that area. If the commissioners court does not designate an
10-26 area in the courthouse for sales, a [The] sale must [shall] occur
10-27 in the same area [location] in the courthouse that is designated by
10-28 the commissioners court [of the county] for the sale of real
10-29 property under Section 51.002, Property Code.
10-30 SECTION 27. Section 34.04, Tax Code, is amended by amending
10-31 Subsection (c) and adding Subsections (e)-(i) to read as follows:
10-32 (c) At the hearing the court shall order that the proceeds
10-33 be paid according to the following priorities to each party that
10-34 establishes its claim to the proceeds:
10-35 (1) to the tax sale purchaser if the tax sale has been
10-36 adjudged to be void and the purchaser has prevailed in an action
10-37 against the taxing units under Section 34.07(d) by final judgment;
10-38 (2) to a taxing unit for any taxes, penalties, or
10-39 interest that have become due or delinquent on the subject property
10-40 subsequent to the date of the judgment or that were omitted from
10-41 the judgment by accident or mistake;
10-42 (3) [(2)] to any other lienholder, consensual or
10-43 otherwise, for the amount due under a lien, in accordance with the
10-44 priorities established by applicable law;
10-45 (4) [(3)] to a taxing unit for any unpaid taxes,
10-46 penalties, interest, or other amounts adjudged due under the
10-47 judgment that were not satisfied from the proceeds from the tax
10-48 sale; and
10-49 (5) [(4)] to each owner of the property.
10-50 (e) an order under this section is appealable.
10-51 (f) A person may not take an assignment of an owner's claim
10-52 to excess proceeds unless:
10-53 (1) the assignment is taken on or after the 36th day
10-54 after the date the excess proceeds are deposited in the registry of
10-55 the court;
10-56 (2) the assignment is in writing and signed by the
10-57 assignor; and
10-58 (3) the assignment document contains a sworn statement
10-59 by the assignor affirming:
10-60 (A) that the assignment was given
10-61 voluntarily;
10-62 (B) the date on which the assignment was
10-63 made and that the date was not earlier than the 36th day after the
10-64 date the excess proceeds were deposited in the registry of the
10-65 court;
10-66 (C) that the assignor has received the
10-67 notice from the clerk required by Section 34.03;
10-68 (D) the nature and amount of consideration
10-69 given for the assignment;
11-1 (E) the circumstances under which the excess
11-2 proceeds are in the registry of the court;
11-3 (F) the amount of the claim to excess proceeds
11-4 in the registry of the court;
11-5 (G) that the assignor has made no other
11-6 assignments of the assignor's claim to the excess proceeds; and
11-7 (H) that the assignor knows that the assignor
11-8 may retain counsel.
11-9 (g) An assignee who obtains excess proceeds without
11-10 complying with Subsection (f) is liable to the assignor for the
11-11 amount of excess proceeds obtained plus attorney's fees and
11-12 expenses.
11-13 (h) An assignee who files a petition setting forth a claim
11-14 to excess proceeds must attach a copy of the assignment document
11-15 and produce the original of the assignment document in court at the
11-16 hearing on the petition. If the original assignment document is
11-17 lost, the assignee must obtain the presence of the assignor to
11-18 testify at the hearing.
11-19 (i) A fee charged to obtain excess proceeds for an owner may
11-20 not be greater than 25 percent of the amount obtained or $1,000,
11-21 whichever is less.
11-22 SECTION 28. Sections 34.05(d) and (e), Tax Code, are amended
11-23 to read as follows:
11-24 (d) Except as provided by this subsection, all public sales
11-25 requested as provided by Subsection (c) shall be conducted in the
11-26 manner prescribed by the Texas Rules of Civil Procedure for the
11-27 sale of property under execution. The notice of the sale must
11-28 contain a description of the property to be sold, [which must be a
11-29 legal description in the case of real property,] the number and
11-30 style of the suit under which the property was sold at the tax
11-31 foreclosure sale, and the date of the tax foreclosure sale. The
11-32 description of the property in the notice is sufficient if it is
11-33 stated in the manner provided by Section 34.01(f). If the
11-34 commissioners court of a county by order specifies the date or time
11-35 at which or location in the county where a public sale requested
11-36 under Subsection (c) shall be conducted, the sale shall be
11-37 conducted on the date and at the time and location specified in the
11-38 order. The acceptance of a bid by the officer conducting the sale
11-39 is conclusive and binding on the question of its sufficiency. An
11-40 action to set aside the sale on the grounds that the bid is
11-41 insufficient may not be sustained in court, except that a taxing
11-42 unit that participates in distribution of proceeds of the sale may
11-43 file an action before the first anniversary of the date of the sale
11-44 to set aside the sale on the grounds of fraud or collusion between
11-45 the officer making the sale and the purchaser. On conclusion of
11-46 the sale, the officer making the sale shall prepare a deed to the
11-47 purchaser. The taxing unit that requested the sale may elect to
11-48 prepare a deed for execution by the officer. If the taxing unit
11-49 prepares the deed, the officer shall execute that deed. An
11-50 officer who executes a deed prepared by the taxing unit is not
11-51 responsible or liable for any inconsistency, error, or other defect
11-52 in the form of the deed. As soon as practicable after a deed is
11-53 executed by the officer, the [The] officer shall [execute the deed
11-54 and] either file the deed for recording with the county clerk or
11-55 deliver the executed deed to the taxing unit that requested the
11-56 sale, which shall file the deed for recording with the county
11-57 clerk. The county clerk shall file and record each deed under this
11-58 subsection and after recording shall return the deed to the
11-59 grantee.
11-60 (e) The presiding officer of a taxing unit selling real
11-61 property under Subsection (h) or (i), under Section 34.051, or
11-62 under Section 253.010, Local Government Code, or the sheriff or
11-63 constable selling real property under Subsections (c) and (d)
11-64 [pursuant to this section] shall execute a deed to the property
11-65 conveying to the purchaser the right, title, and interest acquired
11-66 or held by each taxing unit that was a party to the judgment
11-67 foreclosing tax liens on the property. The conveyance shall be
11-68 made subject to any remaining right of redemption at the time of
11-69 the sale.
12-1 SECTION 29. Section 34.051(b), Tax Code, is amended to read
12-2 as follows:
12-3 (b) Any taxing unit may enter into an interlocal agreement
12-4 with the municipality for the resale of tax foreclosed properties
12-5 to be used for a purpose consistent with the municipality's urban
12-6 redevelopment plans or the municipality's affordable housing
12-7 policy. If the tax foreclosed property is resold pursuant to this
12-8 section to be used for a purpose consistent with the municipality's
12-9 urban redevelopment plan or affordable housing policy, the deed of
12-10 conveyance must refer to or set forth the applicable terms of the
12-11 urban redevelopment plan or affordable housing policy. Any such
12-12 interlocal agreement should include the following:
12-13 (1) a general statement and goals of the
12-14 municipality's urban redevelopment plans or affordable housing
12-15 policy, as applicable;
12-16 (2) a statement that the interlocal agreement concerns
12-17 only tax foreclosed property that is either vacant or distressed
12-18 and has a tax delinquency of six or more years;
12-19 (3) a statement that the properties will be used only
12-20 for a purpose consistent with an urban redevelopment plan or
12-21 affordable housing policy, as applicable, that is primarily aimed
12-22 at providing housing for families of low or moderate income;
12-23 (4) a statement that the principal goal of the
12-24 interlocal agreement is to provide an efficient mechanism for
12-25 returning deteriorated or unproductive properties to the tax rolls,
12-26 enhancing the value of ownership to the surrounding properties, and
12-27 improving the safety and quality of life in deteriorating
12-28 neighborhoods; and
12-29 (5) a provision that all properties are sold subject
12-30 to any right of redemption.
12-31 SECTION 30. Section 34.07, Tax Code, is amended by amending
12-32 Subsection (d) and adding Subsection (f) to read as follows:
12-33 (d) In lieu of pursuing the subrogation rights provided by
12-34 this section to which a purchaser is subrogated, a purchaser at a
12-35 void tax sale or tax resale may elect to file an action against the
12-36 taxing units to which [the] proceeds of the sale were distributed
12-37 to recover an [the] amount from each taxing unit equal to the
12-38 distribution of taxes, penalties, interest, and attorney's fees the
12-39 taxing unit received [paid at the sale]. In a suit filed under
12-40 this subsection, the purchaser may include a claim for, and is
12-41 entitled to recover, any excess proceeds of the sale that remain on
12-42 deposit in the registry of the court or, in the alternative, is
12-43 entitled to have judgment against any party to whom the excess
12-44 proceeds have been distributed. A purchaser who files a suit
12-45 authorized by this subsection waives all rights of subrogation
12-46 otherwise provided by this section. This subsection applies only
12-47 to an original purchaser at a tax sale or resale and only if that
12-48 purchaser has not subsequently sold the property to another person.
12-49 (f) A suit filed against the taxing units under Subsection
12-50 (d) may not be maintained unless the action is instituted before
12-51 the first anniversary of the date of sale or resale. In this
12-52 subsection:
12-53 (1) "Date of sale" means the first Tuesday of the
12-54 month on which the sheriff or constable conducted the sale of the
12-55 property under Section 34.01.
12-56 (2) "Date of resale" means the date on which the
12-57 grantor's acknowledgment was taken or, in the case of multiple
12-58 grantors, the latest date of acknowledgment by the grantors as
12-59 shown in the deed.
12-60 SECTION 31. Section 34.21(b), Tax Code, is amended to read as
12-61 follows:
12-62 (b) If property that was used as the owner's residence
12-63 homestead or was land designated for agricultural use when the suit
12-64 or the application for the warrant was filed is bid off to a taxing
12-65 unit under Section 34.01(j) or (p) and has not been resold by the
12-66 taxing unit, the owner having a right of redemption may redeem the
12-67 property on or before the second anniversary of the date on which
12-68 the deed of the taxing unit is filed for record by paying the
12-69 taxing unit:
13-1 (1) the lesser of the amount of the judgment against
13-2 the property or the market value of the property as specified in
13-3 that judgment, plus the amount of the fee for filing the taxing
13-4 unit's deed and the amount spent by the taxing unit as costs on the
13-5 property, if the property was judicially foreclosed and bid off to
13-6 the taxing unit under Section 34.01(j); or
13-7 (2) the lesser of the amount of taxes, penalties,
13-8 interest, and costs for which the warrant was issued or the market
13-9 value of the property as specified in the warrant, plus the amount
13-10 of the fee for filing the taxing unit's deed and the amount spent
13-11 by the taxing unit as costs on the property, if the property was
13-12 seized under Subchapter E, Chapter 33, and bid off to the taxing
13-13 unit under Section 34.01(p).
13-14 SECTION 32. Section 42.02, Tax Code, is amended to read as
13-15 follows:
13-16 Sec. 42.02. RIGHT OF APPEAL BY CHIEF APPRAISER. On written
13-17 approval of the board of directors of the appraisal district, the
13-18 [The] chief appraiser is entitled to appeal an order of the
13-19 appraisal review board determining:
13-20 (1) a taxpayer protest as provided by Subchapter C,
13-21 Chapter 41; or
13-22 (2) a taxpayer's motion to change the appraisal roll
13-23 filed under Section 25.25 [of this code if he has written approval
13-24 of the local appraisal district board of directors to appeal].
13-25 SECTION 33. Section 34.015, Tax Code, as amended by Chapters
13-26 181 and 817, Acts of the 76th Legislature, Regular Session, 1999,
13-27 is redesignated as Section 253.010, Local Government Code, and is
13-28 amended to conform to the changes made by those chapters to read as
13-29 follows:
13-30 Sec. 253.010. SALE OF REAL PROPERTY TO CERTAIN NONPROFIT OR
13-31 RELIGIOUS ORGANIZATIONS. (a) Notwithstanding any other provision
13-32 of law, the governing body of a municipality may provide for the
13-33 manner in which any land acquired by the municipality may be sold
13-34 if the land is sold to:
13-35 (1) a nonprofit organization that develops housing for
13-36 low-income individuals and families as a primary activity to
13-37 promote community-based revitalization of the municipality;
13-38 (2) a nonprofit corporation described by 26 U.S.C.
13-39 Section 501(c)(3) that:
13-40 (A) has been incorporated in this state for at
13-41 least one year;
13-42 (B) has a corporate purpose to develop
13-43 affordable housing that is stated in its articles of incorporation,
13-44 bylaws, or charter;
13-45 (C) has at least one-fourth of its board of
13-46 directors residing in the municipality; and
13-47 (D) engages primarily in the building, repair,
13-48 rental, or sale of housing for low-income individuals and families;
13-49 or
13-50 (3) a religious organization that:
13-51 (A) owns other property located in the
13-52 municipality that is exempt from taxation under Section 11.20, Tax
13-53 Code; and
13-54 (B) has entered into a written agreement with
13-55 the municipality regarding the revitalization of the land.
13-56 (b) A municipality operating under this section may by
13-57 ordinance determine the individuals and families who qualify as
13-58 low-income individuals and families under Subsection (a)(1) or (2).
13-59 In adopting an ordinance under this subsection, the municipality
13-60 shall consider median income of individuals and median family
13-61 income in the area.
13-62 SECTION 34. Section 17.091(a), Civil Practice and Remedies
13-63 Code, is amended to read as follows:
13-64 (a) In a suit to collect delinquent [growing out of]
13-65 property taxes [taxation] by the state or a [legal] subdivision of
13-66 the state in which a person who is a defendant is a nonresident,
13-67 the secretary of state is an agent for service of process on that
13-68 defendant if the defendant owns [owned], has [had], or claims an
13-69 [claimed a taxable] interest in property in this state that is the
14-1 subject of the suit [on the first day of a tax year for which taxes
14-2 have not been paid].
14-3 SECTION 35. This Act takes effect September 1, 2001.
14-4 SECTION 36. The change in law to Section 6.035(a), Tax Code,
14-5 made by this Act applies to a person who is serving on the board of
14-6 directors of an appraisal district on the effective date of this
14-7 Act, a person appointed to the board of directors of an appraisal
14-8 district after that date, a person serving as a chief appraiser of
14-9 an appraisal district on the effective date of this Act, and a
14-10 person appointed as a chief appraiser after that date.
14-11 SECTION 37. Section 6.24, Tax Code, as amended by this Act
14-12 applies to a contract for the assessment and collection of taxes
14-13 that is entered into under that section on or after the effective
14-14 date of this Act. A contract for the assessment and collection of
14-15 taxes that was entered into before the effective date of this Act
14-16 is covered by the law in effect on the date the contract was
14-17 entered into, and the former law is continued in effect for that
14-18 purpose.
14-19 SECTION 38. The change in law to Section 6.412(a), Tax Code,
14-20 made by this Act applies to a person who is serving on an appraisal
14-21 review board on the effective date of this Act and to a person
14-22 appointed to serve on an appraisal review board after that date.
14-23 SECTION 39. The changes in law made by this Act to Sections
14-24 31.11 and 31.12, Tax Code, and Section 31.111, Tax Code, as added
14-25 by this Act, apply only to ad valorem taxes imposed in a tax year
14-26 that begins on or after January 1, 2002.
14-27 SECTION 40. Section 33.04, Tax Code, as amended by this Act,
14-28 does not apply to taxes subject to a delinquent tax suit pending
14-29 before the effective date of this Act. Section 33.04, Tax Code, as
14-30 amended by this Act, applies to all other taxes that became
14-31 delinquent before the effective date of this Act or that become
14-32 delinquent on or after that date. Penalties and interest on a
14-33 delinquent tax are not canceled under Section 33.04, Tax Code, for
14-34 failure to deliver any notice under that section as it existed
14-35 immediately before the effective date of this Act. A delinquent
14-36 tax that is the subject of a collection suit filed before the
14-37 effective date of this Act is governed by Section 33.04, Tax Code,
14-38 as that section existed immediately before the effective date of
14-39 this Act, and the former law is continued in effect for that
14-40 purpose.
14-41 SECTION 41. Sections 33.06 and 33.065, Tax Code, as amended
14-42 by this Act, apply to penalties and interest that accrued on a
14-43 delinquent tax before September 1, 2001, or that accrue on or after
14-44 that date, regardless of whether the deferral or abatement period
14-45 under the applicable section of that code began before September 1,
14-46 2001, or begins on or after that date.
14-47 SECTION 42. Sections 33.21, 33.23, and 33.25, Tax Code, as
14-48 amended by this Act, apply only to a case in which an application
14-49 for a tax warrant under Subchapter B, Chapter 33, Tax Code, is
14-50 filed on or after the effective date of this Act. A case in which
14-51 the application for a tax warrant was filed under that subchapter
14-52 before the effective date of this Act is governed by the law in
14-53 effect on the date the application for the tax warrant was filed,
14-54 and the former law is continued in effect for that purpose.
14-55 SECTION 43. Section 33.41, Tax Code, as amended by this Act,
14-56 applies to a suit that was filed before September 1, 2001, or that
14-57 is filed on or after that date.
14-58 SECTION 44. Sections 33.42 and 34.04, Tax Code, as amended
14-59 by this Act, apply to the disposition of excess proceeds from a
14-60 property tax foreclosure or a summary sale of seized property,
14-61 regardless of the date on which the judgment was rendered, the tax
14-62 sale was conducted, or the deposit of proceeds with the court was
14-63 made.
14-64 SECTION 45. Sections 33.48 and 33.49, Tax Code, as amended
14-65 by this Act, apply to a suit that was filed before September 1,
14-66 2001, or that is filed on or after that date and to a judgment on
14-67 the merits that is entered on or after that date.
14-68 SECTION 46. Section 33.56, Tax Code, as amended by this Act,
14-69 applies to a tax foreclosure judgment that was rendered before
15-1 September 1, 2001, or that is rendered on or after that date.
15-2 SECTION 47. (a) Section 34.01, Tax Code, as amended by this
15-3 Act, applies to each tax sale that is conducted on or after
15-4 September 1, 2001, regardless of whether the judgment on which the
15-5 sale is based was entered before, on, or after that date.
15-6 (b) For purposes of this section, the date on which a tax
15-7 sale was conducted is considered to be the first Tuesday of the
15-8 month in which the public sale occurs.
15-9 SECTION 48. (a) Section 34.05, Tax Code, as amended by this
15-10 Act, applies to a resale of property that is conducted on or after
15-11 September 1, 2001, regardless of whether the judgment was signed
15-12 before that date or is signed on or after that date.
15-13 (b) For purposes of this section, the date on which a resale
15-14 is conducted is considered to be:
15-15 (1) the date on which a public sale occurs under
15-16 Section 34.05(c), Tax Code; or
15-17 (2) for a sale under Section 34.051 or 34.05(h) or
15-18 (i), Tax Code, or under Section 253.010, Local Government Code, the
15-19 date on which the grantor's acknowledgment was taken or, if
15-20 multiple grantors, the latest date of acknowledgment of those
15-21 grantors.
15-22 SECTION 49. Section 34.07, Tax Code, as amended by this Act,
15-23 applies to a suit by the purchaser at a void tax sale or tax resale
15-24 filed on or after the effective date of this Act regardless of the
15-25 date of the tax sale or tax resale. A suit filed by a purchaser
15-26 before the effective date of this Act is governed by Section 34.07,
15-27 Tax Code, as that law existed immediately before that date, and the
15-28 former law is continued in effect for that purpose.
15-29 SECTION 50. Section 34.21, Tax Code, as amended by this Act,
15-30 applies to a redemption of property sold for taxes under a judgment
15-31 rendered or tax warrant that was issued before September 1, 2001,
15-32 or that is rendered or issued on or after that date.
15-33 SECTION 51. Section 17.091, Civil Practice and Remedies
15-34 Code, as amended by this Act, applies to a suit that was filed
15-35 before September 1, 2001, or that is filed on or after that date.
15-36 * * * * *