78S41610 JD-D

By:  Bohac                                                      H.J.R. No. 17 



A JOINT RESOLUTION

proposing a constitutional amendment authorizing the legislature 
to establish a three percent limit on annual increases in the 
appraised value for ad valorem tax purposes of residential real 
property.
	BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:                       
	SECTION 1.  Section 1(i), Article VIII, Texas Constitution, 
is amended to read as follows:
	(i)  Notwithstanding Subsections (a) and (b) of this 
section, the Legislature by general law may limit the maximum 
average annual percentage increase in the appraised value [of 
residence homesteads] for ad valorem tax purposes of residential 
real property, as defined by the Legislature, to three [10] 
percent, or a greater percentage, for each year since the most 
recent tax appraisal.  A limitation on appraisal increases for 
residential real property authorized by this subsection:
		(1)  takes effect in the tax year following the first 
tax year in which the owner owns the property on January 1 or, if the 
property qualifies for an exemption as the [to a] residence 
homestead of the owner under Section 1-b of this article in the tax 
year in which the owner acquires the property, in [on the later of 
the effective date of the law imposing the limitation or January 1 
of] the tax year following the [first] tax year in which the owner 
acquires [qualifies] the property [for an exemption under Section 
1-b of this article]; and
		(2)  expires on January 1 of the [first] tax year 
following the tax year in which [that neither] the owner of the 
property when the limitation took effect ceases to own the 
property, except that the Legislature by general law may provide 
for the limitation to continue during ownership of the property by
[nor] the owner's spouse or surviving spouse who qualifies the 
property for an exemption under Section 1-b of this article.
	SECTION 2.  The following temporary provision is added to 
the Texas Constitution:
	TEMPORARY PROVISION.  (a)  This temporary provision applies 
to the constitutional amendment proposed by the 78th Legislature, 
4th Called Session, 2004, to authorize the legislature to limit the 
maximum average annual increase in the appraised value for ad 
valorem tax purposes of residential real property and expires 
January 1, 2006.
	(b)  The amendment to Section 1(i), Article VIII, of this 
constitution takes effect January 1, 2005, and applies only to a tax 
year that begins on or after that date.
	SECTION 3.  This proposed constitutional amendment shall be 
submitted to the voters at an election to be held November 2, 2004.  
The ballot shall be printed to permit voting for or against the 
proposition:  "The constitutional amendment authorizing a three 
percent limitation on annual increases in the appraised value for 
ad valorem tax purposes of residential real property."