78R6239 SMH-F

By:  Staples                                                      S.B. No. 1416


A BILL TO BE ENTITLED
AN ACT
relating to the transfer of the powers and duties of the comptroller of public accounts relating to state administration of the property tax system to the commissioner of the General Land Office. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 31.051, Natural Resources Code, is amended to read as follows: Sec. 31.051. GENERAL DUTIES. The commissioner shall: (1) superintend, control, and direct the official conduct of subordinate officers of the land office; (2) execute and perform all acts and other things relating to public land of the state or rights of individuals in public land which is required by law; (3) make and enforce suitable rules consistent with the law; [and] (4) give information when required to the governor and the legislature relating to public land and the land office; (5) as provided by Chapter 51, Tax Code: (A) conduct an annual study to determine the taxable value of all property in each school district in the state; (B) conduct a ratio study of each appraisal district in the state to determine the degree of uniformity of and median level of appraisals within each major category of property; and (C) perform audits and appraisal standards reviews of appraisal districts; and (6) adopt rules establishing minimum standards for the administration and operation of appraisal districts and perform other duties as provided by Title 1, Tax Code. SECTION 2. Title 1, Tax Code, is amended by adding Subtitle G to read as follows:
SUBTITLE G. DETERMINATION OF SCHOOL DISTRICT PROPERTY VALUES
AND APPRAISAL DISTRICT ACCOUNTABILITY
CHAPTER 51. DETERMINATION OF SCHOOL DISTRICT PROPERTY VALUES AND APPRAISAL DISTRICT ACCOUNTABILITY
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 51.01. PURPOSE. It is the policy of this state to ensure equity among taxpayers in the burden of school district taxes and among school districts in the distribution of state financial aid for public education. The purpose of this chapter is to promote that policy by providing for uniformity in local property appraisal practices and procedures and for determining property values for schools in order to distribute state funding equitably. Sec. 51.02. DEFINITIONS. In this chapter: (1) "Annual study" means a study conducted under Section 51.21. (2) "Division" means the property tax division established in the land office under Section 51.03. (3) "Eligible school district" means a school district for which the commissioner has determined the following: (A) in the most recent annual study, the local value is invalid under Section 51.21(c) and does not exceed the state value for the school district determined in the annual study; and (B) in the annual study for each of the two years preceding the most recent annual study, the school district's local value was valid. (4) "Land office" means the General Land Office. (5) "Local value" means 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 amounts and values listed in Section 51.21(d) as determined by that appraisal district. (6) "Ratio study" means a study conducted under Section 51.41. (7) "State value" means the value of property in a school district as determined in the annual study as provided by Section 51.21(c). Sec. 51.03. PROPERTY TAX DIVISION. (a) The property tax division is established in the land office. (b) The commissioner may employ a deputy commissioner for property tax to administer the division.
[Sections 51.04-51.20 reserved for expansion]
SUBCHAPTER B. DETERMINATION OF SCHOOL DISTRICT PROPERTY VALUES
Sec. 51.21. DETERMINATION OF SCHOOL DISTRICT PROPERTY VALUES. (a) The commissioner shall conduct an annual study to determine the total taxable value of all property in each school district. The annual study shall determine the total taxable value of all property and of each category of property in each school district. The annual study shall also determine the productivity value of all land designated as agricultural, open-space, or timber land under Chapter 23. The commissioner shall make appropriate adjustments in the study to account for actions taken under Chapter 41, Education Code. (b) In conducting the annual study, the commissioner shall determine the taxable value of property in each school district: (1) using, if appropriate, samples 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 study. (c) If after conducting the annual study the commissioner determines that the local value for a school district is valid, the local value is presumed to represent taxable value for the school district. In the absence of that presumption, taxable value for a school district is the state value for the school district determined in the annual study under Subsections (a) and (b), unless the local value exceeds the state value, in which case the taxable value for the school district is the district's local value. (d) For 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) in the year that is the subject of the study for each school district; (2) one-half of the total dollar amount of any residence homestead exemptions granted under Section 11.13(n) in the year that is the subject of the 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; (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) 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 under a reinvestment zone financing plan approved under Section 311.011(d) on or before September 1, 1999; and (C) is eligible for tax increment financing under Chapter 311; (5) the total dollar amount of any exemptions granted under Section 11.251; (6) the difference between the commissioner's determination of the market value and the productivity value of land that qualifies for appraisal on the basis of its productive capacity under Chapter 23; (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 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: (A) 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; or (B) action taken by the district under Subchapter B or C, Chapter 313; (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 for which the collection of delinquent taxes is deferred under Section 33.06; (11) the portion of the appraised value of property for which the collection of delinquent taxes is deferred under Section 33.065; and (12) the amount by which the market value of a residence homestead to which Section 23.23 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) in the reinvestment zone financing plan approved under Section 311.011(d) before September 1, 1999. The number of years for which the total dollar amount may be deducted under Subsection (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) in the reinvestment zone financing plan approved under Section 311.011(d) before September 1, 1999. The total dollar amount deducted under Subsection (d)(3) for any zone, including a zone 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)(3) for any zone, including a zone 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 school district values as of January 1 of each study year. (g) Notwithstanding a determination by the comptroller in the annual study conducted for the year 2002 that a school district's local value is invalid, for that year the taxable value for the school district is the district's local value. This subsection expires September 30, 2004. (h) If after conducting the annual study for the year 2003 or a subsequent year the commissioner determines that a school district is an eligible school district, for that year and the following year the taxable value for the school district is the district's local value. Not later than the first anniversary of the date of the determination that a school district is an eligible school district, the commissioner shall complete an appraisal standards review as provided by Section 51.42 of each appraisal district that appraises property for the school district. (i) The commissioner shall publish preliminary findings, listing values by school district, before February 1 of the year following the study year. Preliminary findings shall be delivered to each school district and shall be certified to the commissioner of education. (j) For purposes of Section 42.2511, Education Code, the commissioner 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. (k) For purposes of Section 42.2522, Education Code, the commissioner 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); 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). Sec. 51.22. ADMINISTRATIVE AND JUDICIAL REVIEW. (a) A school district, or a property owner whose property is included in the annual study and whose tax liability on the property is $100,000 or more, may protest the commissioner's findings by filing a petition with the commissioner. The petition must be filed not later than the 40th day after the date on which the commissioner's findings are certified to the commissioner of education and must include specific pleadings stating the legal and appraisal issues in dispute and the value claimed to be correct. (b) On receipt of a petition, the commissioner shall hold a hearing. The commissioner has the burden to prove the accuracy of the findings. Until a final decision is made by the commissioner, the taxable value of property in the district is determined, with respect to the property subject to the protest, according to the value of the property 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 value of the property as listed on the school district's appraisal roll for the year of the study. If after the hearing the commissioner concludes that the findings should be changed, the commissioner shall order the appropriate changes and shall certify the changes to the commissioner of education. The commissioner 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, Government Code. (c) The commissioner shall adopt procedural rules governing the conduct of protest hearings. The rules shall provide for each protesting school district and property owner to: (1) be informed of the requirements for submitting a petition initiating a protest; (2) receive adequate notice of a hearing; (3) have an opportunity to present evidence and oral argument; and (4) be given notice by the commissioner of the commissioner's decision on the hearing. (d) A protesting school district may appeal a determination of protest by the commissioner to a district court in Travis County by filing a petition with the court. An appeal must be filed not later than the 30th day after the date the school district receives notice from the commissioner of the determination. Review is conducted by the court sitting without a jury. The court shall remand the determination to the commissioner if on review the court discovers that substantial rights of the school district have been prejudiced and that: (1) the commissioner has acted arbitrarily and without regard to the facts; or (2) the determination of the commissioner is not reasonably supported by substantial evidence introduced before the court. Sec. 51.23. AUDIT. (a) On request of a school district or the commissioner of education, the commissioner may audit the total taxable value of property in a school district and may revise the annual study findings. The request for audit is limited to corrections and changes in a school district's appraisal roll that occurred after preliminary certification of the annual study findings by the commissioner. (b) Except as provided by Subsection (c), the request for audit must be filed with the commissioner not later than the third anniversary of the date of the final certification of the annual study findings. (c) The request for audit may be filed not later than the first anniversary of the date the chief appraiser certifies a change to the appraisal roll if: (1) the chief appraiser corrects the appraisal roll under Section 25.25 or 42.41; and (2) the change results in a material reduction in the total taxable value of property in the school district. (d) The commissioner shall certify the findings of the audit to the commissioner of education. Sec. 51.24. CONFIDENTIALITY. (a) All information the commissioner obtains from a person, other than a governmental entity, under an assurance that the information will be kept confidential, in the course of conducting the annual study is confidential and may not be disclosed, except as provided by Subsection (b). (b) Information made confidential by this section may be disclosed: (1) in a judicial or administrative proceeding pursuant to a lawful subpoena; (2) to the person who gave the information to the commissioner; or (3) for statistical purposes if in a form that does not identify specific property or a specific owner.
[Sections 51.25-51.40 reserved for expansion]
SUBCHAPTER C. DETERMINATION OF APPRAISAL DISTRICT ACCOUNTABILITY
Sec. 51.41. APPRAISAL DISTRICT RATIO STUDY. (a) The commissioner shall conduct a study in each appraisal district for each tax year to determine the degree of uniformity of and the median level of appraisals by the appraisal district within each major category of property for that tax year. In conducting the study, the commissioner shall apply appropriate standard statistical analysis techniques to data collected as part of the annual study of school district property values required by Section 51.21. (b) The commissioner shall publish a report of the findings of the study, including the median level of appraisal for each major category of property, the coefficient of dispersion around the median level of appraisal for each major category of property, and any other standard statistical measure that the commissioner considers appropriate. A copy of the published report of the commissioner shall be distributed to each member of the legislature and to each appraisal district. (c) In conducting a study under this section, the commissioner or the commissioner's authorized representatives may enter the premises of a business, trade, or profession and inspect the property to determine the existence and market value of property used for the production of income. An inspection under this subsection must be made during normal business hours or at a time mutually agreeable to the commissioner or the commissioner's authorized representatives and the person in control of the premises. Sec. 51.42. APPRAISAL STANDARDS REVIEW. (a) The commissioner shall review the appraisal standards, procedures, and methodology used by each appraisal district that appraises property for an eligible school district to determine compliance with generally accepted appraisal standards and practices. The commissioner by rule may establish procedures and standards for conducting the review. (b) In conducting the review, the commissioner is entitled to access to all records and reports of the appraisal district and to the assistance of the appraisal district's officers and employees. (c) If the review results in a finding that an appraisal district is not in compliance with generally accepted appraisal standards and practices, the commissioner shall deliver a report that details the commissioner's findings and recommendations for improvement to: (1) the appraisal district's chief appraiser and board of directors; and (2) the superintendent and board of trustees of each school district participating in the appraisal district. (d) If the appraisal district fails to comply with the recommendations in the report and the commissioner finds that the board of directors of the appraisal district failed to take remedial action before the first anniversary of the date the report was issued, the commissioner shall notify the judge of each district court in the county for which the appraisal district is established, who shall appoint a board of conservators consisting of five members to implement the recommendations. The board of conservators shall exercise supervision and control over the operations of the appraisal district until the commissioner determines under Section 51.21 that in the same year the taxable value of each school district for which the appraisal district appraises property is the local value for the district. The appraisal district shall bear the costs related to the supervision and control of the district by the board of conservators. Sec. 51.43. APPRAISAL DISTRICT PERFORMANCE AUDITS. (a) The commissioner shall audit the performance of an appraisal district if one or more of the following conditions exist according to each of two consecutive ratio studies conducted under Section 51.41, regardless of whether the prescribed condition or conditions that exist are the same for each of those studies: (1) the overall median level of appraisal for all property in the district for which the commissioner determines a median level of appraisal is less than 0.75; (2) the coefficient of dispersion around the overall median level of appraisal of the properties used to determine the overall median level of appraisal for all property in the district for which the commissioner determines a median level of appraisal is more than 0.30; or (3) the difference between the median levels of appraisal for any two classes of property in the district for which the commissioner determines a median level of appraisal is more than 0.45. (b) At the written request of the governing bodies of a majority of the taxing units participating in an appraisal district or of a majority of the taxing units entitled to vote on the appointment of appraisal district directors, the commissioner shall audit the performance of the appraisal district. The governing bodies may request a general audit of the performance of the appraisal district or may request an audit of only one or more specific duties, practices, functions, departments, or other appraisal district matters. (c) At the written request of the owners of not less than 10 percent of the number of accounts or parcels of property in an appraisal district belonging to a single class of property, if the class constitutes at least five percent of the appraised value of taxable property within the district in the preceding year, or at the written request of the owners of property representing not less than 10 percent of the appraised value of all property in the district belonging to a single class of property, if the class constitutes at least five percent of the appraised value of taxable property in the district in the preceding year, the commissioner shall audit the performance of the appraisal district. The property owners may request a general audit of the performance of the appraisal district or may request an audit of only one or more specific duties, practices, functions, departments, or other appraisal district matters. A property owner may authorize an agent to sign a request for an audit under this subsection on the property owner's behalf. The commissioner may require a person signing a request for an audit to provide proof that the person is entitled to sign the request as a property owner or as the agent of a property owner. (d) A request for a performance audit of an appraisal district may not be made under Subsection (b) or (c) if according to each of the two most recently published ratio studies conducted by the commissioner under Section 51.41: (1) the overall median level of appraisal for all property in the district for which the commissioner determines a median level of appraisal is more than 0.90 and less than 1.10; (2) the coefficient of dispersion around the overall median level of appraisal of the properties used to determine the overall median level of appraisal for all property in the district for which the commissioner determines a median level of appraisal is less than 0.15; and (3) the difference between the highest and lowest median levels of appraisal in the district for the classes of property for which the commissioner determines a median level of appraisal is less than 0.20. (e) A request for a performance audit of an appraisal district may not be made under Subsection (b) or (c): (1) during the two years following the publication of the second of two consecutive ratio studies according to which the commissioner is required to conduct an audit of the district under Subsection (a); or (2) during the year immediately following the date the results of an audit of the district conducted by the commissioner under Subsection (a) are reported to the chief appraiser of the district. (f) For purposes of this section, "class of property" means a major kind of property for which the commissioner determines a median level of appraisal under Section 51.41. (g) In addition to the performance audits permitted by Subsections (a), (b), and (c) and the appraisal standards review required by Section 51.42, the commissioner may audit an appraisal district to analyze the effectiveness and efficiency of the policies, management, and operations of the appraisal district. The results of the audit shall be delivered in a report that details the commissioner's findings and recommendations for improvement to the appraisal district's chief appraiser and board of directors and to the governing body of each taxing unit participating in the appraisal district. The commissioner may require reimbursement by the appraisal district for some or all of the costs of the audit, not to exceed the actual costs associated with conducting the audit. Sec. 51.44. ADMINISTRATION OF PERFORMANCE AUDITS. (a) The commissioner shall complete an audit required by Section 51.43(a) not later than the second anniversary of the date of the publication of the second of the two ratio studies the results of which required the audit to be conducted. The commissioner shall complete an audit requested under Section 51.43(b) or (c) as soon as practicable after the request is made. The commissioner shall complete an audit conducted under Section 51.43(g) not later than the first anniversary of the date that it is initiated by the commissioner. (b) The commissioner may not audit the financial condition of an appraisal district or a district's tax collections. If the request is for an audit limited to one or more particular matters, the commissioner's audit must be limited to those matters. (c) The commissioner must approve the specific plan for the performance audit of an appraisal district. Before approving an audit plan, the commissioner must provide any interested person an opportunity to appear before the commissioner and to comment on the proposed plan. Not later than the 20th day before the date the commissioner considers the plan for an appraisal district performance audit, the commissioner must notify the presiding officer of the appraisal district's board of directors that the commissioner intends to consider the plan. The notice must include the time, date, and location of the meeting to consider the plan. Immediately after receiving the notice, the presiding officer shall deliver a copy of the notice to the other members of the appraisal district's board of directors. (d) In conducting a general audit, the commissioner shall consider and report on: (1) the extent to which the district complies with applicable law and generally accepted standards of appraisal or other relevant practice; (2) the uniformity and level of appraisal of major kinds of property and the cause of any significant deviation from ideal uniformity and equality of appraisal of major kinds of property; (3) duplication of effort and efficiency of operation; (4) the general efficiency, quality of service, and qualification of appraisal district personnel; and (5) except as otherwise provided by Subsection (b), any other matter included in the request for the audit. (e) In conducting the audit, the commissioner is entitled to have access at all times to the books, appraisal and other records, reports, vouchers, and other information, confidential or not, of the appraisal district. The commissioner may require the assistance of appraisal district officers and employees that does not interfere significantly with the ordinary functions of the appraisal district. The commissioner may rely on any previous analysis the commissioner has made relating to the appraisal district if the previous analysis is useful or relevant to the audit. (f) The commissioner shall report the results of the audit in writing to the governing body of each taxing unit that participates in the appraisal district, to the chief appraiser, and to the presiding officer of the appraisal district's board of directors. If the audit was requested under Section 51.43(c), the commissioner shall also provide a report to a representative of the property owners who requested the audit. (g) If the audit is required or requested under Section 51.43(a) or (b), the appraisal district shall reimburse the commissioner for the costs incurred in conducting the audit and making the commissioner's report of the audit. The costs shall be allocated among the taxing units participating in the district in the same manner as an operating expense of the district. If the audit is requested under Section 51.43(c), the property owners who requested the audit shall reimburse the commissioner for the costs incurred in conducting the audit and making the report of the audit and shall allocate the costs among those property owners in proportion to the appraised value of each property owner's property in the district or on any other basis agreed to by the property owners. If the audit confirms that the median level of appraisal for a class of property exceeds 1.10 or that the median level of appraisal for a class of property varies at least 10 percent from the overall median level of appraisal for all property in the district for which the commissioner determines a median level of appraisal, not later than the 90th day after the date a request is made by the property owners for reimbursement the appraisal district shall reimburse the property owners who requested the audit for the amount paid to the commissioner for the costs incurred in conducting the audit and making the report. Before conducting an audit under Section 51.43(c), the commissioner may require the requesting property owners to provide the commissioner with a bond, deposit, or other financial security sufficient to cover the projected costs of conducting the audit and making the report. For purposes of this subsection, "costs" include expenses related to salaries, professional fees, travel, reproduction or other printing services, and consumable supplies that are directly attributable to conducting the audit. (h) At any time after the request for an audit is made, the commissioner may discontinue the audit in whole or in part if requested to do so by: (1) the governing bodies of a majority of the taxing units participating in the district, if the audit was requested by a majority of those units; (2) the governing bodies of a majority of the taxing units entitled to vote on the appointment of appraisal district directors, if the audit was requested by a majority of those units; or (3) if the audit was requested under Section 51.43(c), by the property owners who requested the audit. (i) The commissioner by rule may adopt procedures, audit standards, and forms for the administration of performance audits. Sec. 51.45. ADMINISTRATIVE PROVISIONS. (a) The commissioner may inspect the records or other materials of an appraisal district or taxing unit, including relevant records and materials in the possession or control of a consultant, advisor, or expert hired by the appraisal district or taxing unit, for the purpose of conducting an annual study, ratio study, appraisal standards review, or performance audit required or authorized by this chapter. (b) On request of the commissioner, the appraisal district or administrative officer of the taxing unit shall produce the records or other materials in the form and manner prescribed by the commissioner. (c) The commissioner shall prescribe a uniform record system to be used by all appraisal districts for the purpose of submitting data to be used in the annual study and ratio study. The record system shall include a compilation of information concerning sales of real property within the boundaries of the appraisal district. The sales information maintained in the uniform record system shall be submitted annually in a form prescribed by the commissioner. SECTION 3. Section 13.051(c), Education Code, is amended to read as follows: (c) Territory that does not have residents may be detached from a school district and annexed to another school district if: (1) the total taxable value of the property in the territory according to the most recent certified appraisal roll for each school district is not greater than: (A) five percent of the district's taxable value of all property in that district as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code; and (B) $5,000 property value per student in average daily attendance as determined under Section 42.005; and (2) the school district from which the property will be detached does not own any real property located in the territory. SECTION 4. Section 13.231(b), Education Code, is amended to read as follows: (b) In this section, "taxable value" has the meaning assigned by Section 51.21, Tax [403.302, Government] Code. SECTION 5. Section 41.001(2), Education Code, is amended to read as follows: (2) "Wealth per student" means the taxable value of property, as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, divided by the number of students in weighted average daily attendance. SECTION 6. Section 41.002(f), Education Code, is amended to read as follows: (f) For purposes of Subsection (e), a school district's effective tax rate is determined by dividing the total amount of taxes collected by the district for the applicable school year less any amounts paid into a tax increment fund under Chapter 311, Tax Code, by the quotient of the district's taxable value of property, as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, divided by 100. SECTION 7. Section 41.005, Education Code, is amended to read as follows: Sec. 41.005. [COMPTROLLER AND APPRAISAL DISTRICT] COOPERATION. The chief appraiser of each appraisal district and the commissioner of the General Land Office [comptroller] shall cooperate with the commissioner and school districts in implementing this chapter. SECTION 8. Section 41.202(a), Education Code, is amended to read as follows: (a) For purposes of this subchapter, the taxable value of an individual parcel or other item of property and the total taxable value of property in a school district resulting from the detachment of property from or annexation of property to that district is determined by applying the appraisal ratio for the appropriate category of property determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, for the preceding tax year to the taxable value of the detached or annexed property determined under Title 1, Tax Code, for the preceding tax year. SECTION 9. Sections 42.106 and 42.2511, Education Code, are amended to read as follows: Sec. 42.106. ADJUSTED PROPERTY VALUE FOR DISTRICTS NOT OFFERING ALL GRADE LEVELS. For purposes of this chapter, the taxable value of property of a school district that contracts for students residing in the district to be educated in another district under Section 25.039(a) is adjusted by applying the formula:
ADPV = DPV - (TN/.015)
where: "ADPV" is the district's adjusted taxable value of property; "DPV" is the taxable value of property in the district for the preceding tax year determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code; and "TN" is the total amount of tuition required to be paid by the district under Section 25.039 for the school year for which the adjustment is made. Sec. 42.2511. ADDITIONAL STATE AID FOR HOMESTEAD EXEMPTION. (a) Notwithstanding any other provision of this chapter, a school district is entitled to additional state aid to the extent that state aid under this chapter based on the determination of the school district's taxable value of property as provided under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, does not fully compensate the district for ad valorem tax revenue lost due to the increase in the homestead exemption under Section 1-b(c), Article VIII, Texas Constitution, as proposed by H.J.R. No. 4, 75th Legislature, Regular Session, 1997, and 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. (b) The commissioner, using information provided by the commissioner of the General Land Office [comptroller], shall compute the amount of additional state aid to which a district is entitled under this section. A determination by the commissioner under this section is final and may not be appealed. SECTION 10. Sections 42.252(a) and (c), Education Code, are amended to read as follows: (a) Each school district's share of the Foundation School Program is determined by the following formula:
LFA = TR X DPV
where: "LFA" is the school district's local share; "TR" is a tax rate which for each hundred dollars of valuation is an effective tax rate of $0.86; and "DPV" is the taxable value of property in the school district for the preceding tax year determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code. (c) Appeals of district values shall be held pursuant to Section 51.22, Tax [403.303, Government] Code. SECTION 11. Sections 42.2522(a) and (d), Education Code, are amended to read as follows: (a) In any school year, the commissioner may not provide funding under this chapter based on a school district's taxable value of property computed in accordance with Section 51.21(d)(2), Tax [403.302(d)(2), Government] Code, unless: (1) funds are specifically appropriated for purposes of this section; or (2) the commissioner determines that the total amount of state funds appropriated for purposes of the Foundation School Program for the school year exceeds the amount of state funds distributed to school districts in accordance with Section 42.253 based on the taxable values of property in school districts computed in accordance with Section 51.21(d), Tax [403.302(d), Government] Code, without any deduction for residence homestead exemptions granted under Section 11.13(n), Tax Code. (d) If the commissioner determines that the amount of funds available under Subsection (a)(1) or (2) does not at least equal the total amount of state funding to which districts would be entitled if state funding under this chapter were based on the taxable values of property in school districts computed in accordance with Section 51.21(d)(2), Tax [403.302(d)(2), Government] Code, the commissioner may, to the extent necessary, provide state funding based on a uniform lesser fraction of the deduction under Section 51.21(d)(2), Tax [403.302(d)(2), Government] Code. SECTION 12. Section 42.253(h), Education Code, is amended to read as follows: (h) If the legislature fails during the regular session to enact the transfer and appropriation proposed under Subsection (f) and there are not funds available under Subsection (j), the commissioner shall reduce the total amount of state funds allocated to each district by an amount determined by a method under which the application of the same number of cents of increase in tax rate in all districts applied to the taxable value of property of each district, as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, results in a total levy equal to the total reduction. The following fiscal year, a district's entitlement under this section is increased by an amount equal to the reduction made under this subsection. SECTION 13. Section 42.254, Education Code, is amended to read as follows: Sec. 42.254. ESTIMATES REQUIRED. (a) Not later than October 1 of each even-numbered year: (1) the agency shall submit to the legislature an estimate of the tax rate and student enrollment of each school district for the following biennium; and (2) the commissioner of the General Land Office [comptroller] shall submit to the legislature an estimate of the total taxable value of all property in the state as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, for the following biennium. (b) The agency and the commissioner of the General Land Office [comptroller] shall update the information provided to the legislature under Subsection (a) not later than March 1 of each odd-numbered year. SECTION 14. Section 42.257(a), Education Code, is amended to read as follows: (a) If the final determination of an appeal under Chapter 42, Tax Code, results in a reduction in the taxable value of property that exceeds five percent of the total taxable value of property in the school district for the same tax year determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, the commissioner shall request the commissioner of the General Land Office [comptroller] to adjust the [its] taxable property value findings for that year consistent with the final determination of the appraisal appeal. SECTION 15. Section 42.302(a), Education Code, is amended to read as follows: (a) Each school district is guaranteed a specified amount per weighted student in state and local funds for each cent of tax effort over that required for the district's local fund assignment up to the maximum level specified in this subchapter. The amount of state support, subject only to the maximum amount under Section 42.303, is determined by the formula:
GYA = (GL X WADA X DTR X 100) - LR
where: "GYA" is the guaranteed yield amount of state funds to be allocated to the district; "GL" is the dollar amount guaranteed level of state and local funds per weighted student per cent of tax effort, which is $27.14 or a greater amount for any year provided by appropriation; "WADA" is the number of students in weighted average daily attendance, which is calculated by dividing the sum of the school district's allotments under Subchapters B and C, less any allotment to the district for transportation, any allotment under Section 42.158, and 50 percent of the adjustment under Section 42.102, by the basic allotment for the applicable year; "DTR" is the district enrichment tax rate of the school district, which is determined by subtracting the amounts specified by Subsection (b) from the total amount of maintenance and operations taxes collected by the school district for the applicable school year and dividing the difference by the quotient of the district's taxable value of property as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, or, if applicable, under Section 42.2521, divided by 100; and "LR" is the local revenue, which is determined by multiplying "DTR" by the quotient of the district's taxable value of property as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, or, if applicable, under Section 42.2521, divided by 100. SECTION 16. Section 46.003(a), Education Code, is amended to read as follows: (a) For each year, except as provided by Sections 46.005 and 46.006, a school district is guaranteed a specified amount per student in state and local funds for each cent of tax effort, up to the maximum rate under Subsection (b), to pay the principal of and interest on eligible bonds issued to construct, acquire, renovate, or improve an instructional facility. The amount of state support is determined by the formula:
FYA = (FYL X ADA X BTR X 100) - (BTR X (DPV/100))
where: "FYA" is the guaranteed facilities yield amount of state funds allocated to the district for the year; "FYL" is the dollar amount guaranteed level of state and local funds per student per cent of tax effort, which is $35 or a greater amount for any year provided by appropriation; "ADA" is the greater of the number of students in average daily attendance, as determined under Section 42.005, in the district or 400; "BTR" is the district's bond tax rate for the current year, which is determined by dividing the amount budgeted by the district for payment of eligible bonds by the quotient of the district's taxable value of property as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, or, if applicable, Section 42.2521, divided by 100; and "DPV" is the district's taxable value of property as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, or, if applicable, Section 42.2521. SECTION 17. Section 46.006(g), Education Code, is amended to read as follows: (g) In this section, "wealth per student" means a school district's taxable value of property as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, or, if applicable, Section 42.2521, divided by the district's average daily attendance as determined under Section 42.005. SECTION 18. Section 46.032(a), Education Code, is amended to read as follows: (a) Each school district is guaranteed a specified amount per student in state and local funds for each cent of tax effort to pay the principal of and interest on eligible bonds. The amount of state support, subject only to the maximum amount under Section 46.034, is determined by the formula:
EDA = (EDGL X ADA X EDTR X 100) - (EDTR X (DPV/100))
where: "EDA" is the amount of state funds to be allocated to the district for assistance with existing debt; "EDGL" is the dollar amount guaranteed level of state and local funds per student per cent of tax effort, which is $35 or a greater amount for any year provided by appropriation; "ADA" is the number of students in average daily attendance, as determined under Section 42.005, in the district; "EDTR" is the existing debt tax rate of the district, which is determined by dividing the amount budgeted by the district for payment of eligible bonds by the quotient of the district's taxable value of property as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, or, if applicable, under Section 42.2521, divided by 100; and "DPV" is the district's taxable value of property as determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, or, if applicable, under Section 42.2521. SECTION 19. Sections 825.405(h) and (i), Government Code, are amended to read as follows: (h) This section does not apply to state contributions for members employed by a school district in a school year if the district's effective tax rate for maintenance and operation revenues for the tax year that ended in the preceding school year equals or exceeds 125 percent of the statewide average effective tax rate for school district maintenance and operation revenues for that tax year. For a tax year, the statewide average effective tax rate for school district maintenance and operation revenues is the tax rate that, if applied to the statewide total appraised value of taxable property for every school district in the state determined under Section 51.21, Tax Code [403.302], would produce an amount equal to the statewide total amount of maintenance and operation taxes imposed in the tax year for every school district in the state. (i) Not later than the seventh day after the final date the commissioner of the General Land Office [comptroller] certifies to the commissioner of education changes to the property value study conducted under Section 51.21, Tax Code [Subchapter M, Chapter 403], the commissioner of the General Land Office [comptroller] shall certify to the Teacher Retirement System of Texas: (1) the effective tax rate for school district maintenance and operation revenues for each school district in the state for the immediately preceding tax year; and (2) the statewide average effective tax rate for school district maintenance and operation revenues for the immediately preceding tax year. SECTION 20. Section 61.040, Health and Safety Code, is amended to read as follows: Sec. 61.040. TAX INFORMATION. (a) The commissioner of the General Land Office [comptroller] shall give the department information relating to[: [(1)] the taxable value of property taxable by each county and each county's applicable general revenue tax levy for the relevant period. (b) The comptroller shall give the department information relating to[; and [(2)] the amount of sales and use tax revenue received by each county for the relevant period. SECTION 21. Section 1152.204(c), Occupations Code, is amended to conform to the changes in terminology made by Chapter 836, Acts of the 77th Legislature, Regular Session, 2001, and is further amended to read as follows: (c) The executive director [commissioner] may recognize an educational program or course: (1) related to property tax consulting services; and (2) offered or sponsored by a public provider or a recognized private provider, including: (A) the commissioner of the General Land Office [comptroller]; (B) the State Bar of Texas; (C) the Texas Real Estate Commission; (D) an institution of higher education that meets program and accreditation standards comparable to those for public institutions of higher education as determined by the Texas Higher Education Coordinating Board; or (E) a nonprofit and voluntary trade association, institute, or organization: (i) whose membership consists primarily of persons who represent property owners in property tax or transactional tax matters; (ii) that has written experience and examination requirements for membership or for granting professional designation to its members; and (iii) that subscribes to a code of professional conduct or ethics. SECTION 22. Section 1.04(19), Tax Code, is amended to read as follows: (19) "Commissioner" ["Comptroller"] means the commissioner of the General Land Office [Comptroller of Public Accounts of the State of Texas]. SECTION 23. Section 1.111(h), Tax Code, is amended to read as follows: (h) The commissioner [comptroller] shall prescribe forms and adopt rules to facilitate compliance with this section. The commissioner [comptroller] shall include on any form used for designation of an agent for a single-family residential property in which the property owner resides the following statement in boldfaced type: "In some cases, you may want to contact your appraisal district or other local taxing units for free information and/or forms concerning your case before designating an agent." SECTION 24. Section 5.03, Tax Code, is amended to read as follows: Sec. 5.03. POWERS AND DUTIES GENERALLY. (a) The commissioner [comptroller] shall adopt rules establishing minimum standards for the administration and operation of an appraisal district. The minimum standards may vary according to the number of parcels and the kinds of property the district is responsible for appraising. (b) The commissioner [comptroller] may require from each district engaged in appraising property for taxation an annual report on a form prescribed by the commissioner [comptroller] on the administration and operation of the appraisal office. (c) The commissioner [comptroller] may contract with consultants to assist in performance of the duties imposed by this chapter. SECTION 25. Section 5.04(a), Tax Code, is amended to read as follows: (a) The commissioner [comptroller] shall consult and cooperate with the Board of Tax Professional Examiners or any successor agency responsible for certifying tax professionals in this state in setting standards for and approving curricula and materials for use in training and educating appraisers and assessor-collectors, and the commissioner [comptroller] may cooperate with the board or with other public agencies, educational institutions, or private organizations in sponsoring courses of instruction and training programs. SECTION 26. Sections 5.041(a), (c), (d), and (f), Tax Code, are amended to read as follows: (a) The commissioner [comptroller] shall: (1) approve curricula and provide materials for use in training and educating members of an appraisal review board; and (2) supervise a course for training and education of appraisal review board members and issue certificates indicating course completion. (c) The commissioner [comptroller] may contract with service providers to assist with the duties imposed under Subsection (a), but the course required may not be provided by an appraisal district or a taxing unit. The commissioner [comptroller] may assess a fee to recover a portion of the costs incurred for the training course, but the fee may not exceed $50 per person trained. (d) The course material for the course required under Subsection (a) is the commissioner's [comptroller's] Appraisal Review Board Manual in use on the effective date of this section. The manual shall be updated regularly. It may be revised on request, in writing, to the commissioner [comptroller]. The revision language must be approved on the unanimous agreement of a committee selected by the commissioner [comptroller] and representing, equally, taxpayers and chief appraisers. The person requesting the revision shall pay the costs of mediation if the commissioner [comptroller] determines that mediation is required. (f) The commissioner [comptroller] may not advise a property owner, a property owner's agent, an appraisal district, or an appraisal review board on a matter that the commissioner [comptroller] knows is the subject of a protest to the appraisal review board. SECTION 27. Sections 5.05(a), (b), and (c), Tax Code, are amended to read as follows: (a) The commissioner [comptroller] shall prepare and issue: (1) a general appraisal manual; (2) special appraisal manuals; (3) cost, price, and depreciation schedules, with provision for inserting local market index factors and with a standard procedure for determining local market index factors; (4) news and reference bulletins; (5) annotated digests of all laws relating to property taxation; and (6) a handbook of all rules promulgated by the commissioner [comptroller] relating to the property tax and its administration. (b) The commissioner [comptroller] shall revise or supplement all materials periodically as necessary to keep them current. (c) The commissioner [comptroller] shall provide without charge one copy of all materials to officials of local government who are responsible for administering the property tax system. If a local government official requests more than one copy, the commissioner [comptroller] may charge a reasonable fee to offset the costs of printing and distributing the materials. The commissioner [comptroller] shall make the materials available to members of the public but may charge a reasonable fee to offset the costs of printing and distributing the materials. SECTION 28. Sections 5.06, 5.07, 5.08, 5.09, 5.101, 5.14, and 5.16, Tax Code, are amended to read as follows: Sec. 5.06. EXPLANATION OF TAXPAYER REMEDIES. (a) The commissioner [comptroller] shall prepare and publish a pamphlet explaining the remedies available to dissatisfied taxpayers and the procedures to be followed in seeking remedial action. The commissioner [comptroller] shall include in the pamphlet advice on preparing and presenting a protest. (b) The commissioner [comptroller] shall provide without charge a reasonable number of copies of the pamphlet to any person on request. The commissioner [comptroller] may charge a person who requests multiple copies of the pamphlet a reasonable fee to offset the costs of printing and distributing those copies. The commissioner [comptroller] at its discretion shall determine the number of copies that a person may receive without charge. Sec. 5.07. PROPERTY TAX FORMS AND RECORDS SYSTEMS. (a) The commissioner [comptroller] shall prescribe the contents of all forms necessary for the administration of the property tax system and on request shall furnish sufficient copies of model forms of each type to the appropriate local officials. The commissioner [comptroller] may require reimbursement for the costs of printing and distributing the forms. (b) The commissioner [comptroller] shall make the contents of the forms uniform to the extent practicable but may prescribe or approve additional or substitute forms for special circumstances. (c) The commissioner [comptroller] shall also prescribe a uniform record system to be used by all offices appraising property for tax purposes. Sec. 5.08. PROFESSIONAL AND TECHNICAL ASSISTANCE. (a) The commissioner [comptroller] may provide professional and technical assistance on request in appraising property, installing or updating tax maps, purchasing equipment, developing recordkeeping systems, or performing other appraisal activities. The commissioner [comptroller] may also provide professional and technical assistance on request to an appraisal review board. The commissioner [comptroller] may require reimbursement for the costs of providing the assistance. (b) The commissioner [comptroller] may provide information to and consult with persons actively engaged in appraising property for tax purposes about any matter relating to property taxation without charge. Sec. 5.09. ANNUAL REPORTS. (a) The commissioner [comptroller] shall publish an annual report of the operations of the appraisal districts. The report shall include for each appraisal district, each county, and each school district and may include for other taxing units the total appraised values, assessed values, and taxable values of taxable property by class of property, the assessment ratio, and the tax rate. (b) The commissioner [comptroller] shall deliver a copy of each annual report published under Subsection (a) of this section to the governor, the lieutenant governor, and each member of the legislature. Sec. 5.101. TECHNICAL ADVISORY COMMITTEE. (a) The commissioner [comptroller] shall appoint a technical advisory committee for the purpose of providing professional and practical expertise to the commissioner [comptroller] and to review and comment on the methodology used by the commissioner [comptroller] to conduct the annual studies required by Section 51.21 and the ratio studies required by Section 51.41 [Section 5.10 of this code and by Section 403.302, Government Code]. A member of the committee serves at the will of the commissioner [comptroller]. (b) The committee shall: (1) review the methodology used by the commissioner [comptroller] to conduct the studies described in Subsection (a); (2) make an annual report to the commissioner [comptroller] that includes the committee's findings and recommendations relating to the methodology used to conduct the studies; and (3) meet as often as necessary to perform its duties, but not less often than semiannually. (c) The commissioner [comptroller] shall appoint the committee to provide for a balanced representation of the general public and of professionals affiliated with the entities affected by the studies. (d) Each member of the committee must have expertise sufficient to determine the accuracy of the [annual] studies and the appropriateness of the methods used to develop the findings of the studies. (e) The commissioner [comptroller] shall specify the committee's purpose, powers, and duties and shall require the committee to report to the commissioner [comptroller] in a manner specified by the commissioner [comptroller] relating to the committee's activities and the results of its work. (f) A member of the committee may receive compensatory per diem for serving on the committee and is entitled to reimbursement for transportation expenses and the per diem meals and lodging allowance as provided for the commissioner [comptroller] and for commission members in the General Appropriations Act. (g) The commissioner [comptroller] shall make the committee's annual report available to the public on request. Sec. 5.14. PUBLIC ACCESS, INFORMATION, AND COMPLAINTS. (a) The commissioner [comptroller] shall develop and implement policies that provide the public with a reasonable opportunity to submit information on any property tax issue under the jurisdiction of the commissioner [comptroller]. (b) The commissioner [comptroller] shall prepare and maintain a written plan that describes how a person who does not speak English or who has a physical, mental, or developmental disability may be provided reasonable access to the commissioner's [comptroller's] programs. (c) The commissioner [comptroller] shall prepare information of public interest describing the property tax functions of the office of the commissioner [comptroller] and the commissioner's [comptroller's] procedures by which complaints are filed with and resolved by the commissioner [comptroller]. The commissioner [comptroller] shall make the information available to the public and appropriate state agencies. (d) If a written complaint is filed with the commissioner [comptroller] that the commissioner [comptroller] has authority to resolve, the commissioner [comptroller], at least quarterly and until final disposition of the complaint, shall notify the parties to the complaint of the status of the complaint unless notice would jeopardize an undercover investigation. (e) The commissioner [comptroller] shall keep an information file about each complaint filed with the commissioner [comptroller] that the commissioner [comptroller] has authority to resolve. Sec. 5.16. ADMINISTRATIVE PROVISIONS. (a) The commissioner [comptroller] may inspect the records or other materials of an appraisal office or taxing unit, including the relevant records and materials in the possession or control of a consultant, advisor, or expert hired by the appraisal office or taxing unit, for the purpose of[: [(1)] establishing, reviewing, or evaluating the value of or an appraisal of any property[; or [(2) conducting a study, review, or audit required by Section 5.10 or 5.102 or by Section 403.302, Government Code]. (b) On request of the commissioner [comptroller], the chief appraiser or administrative head of the taxing unit shall produce the materials in the form and manner prescribed by the commissioner [comptroller]. SECTION 29. Section 6.025(a), Tax Code, is amended to read as follows: (a) The chief appraisers of two or more appraisal districts that have boundaries that include any part of the same territory shall enter into a written understanding that, with respect to the property located in the territory in which each of the districts has appraisal jurisdiction: (1) permits each appraiser to have access to and use information appropriate to appraisals, including a record of an exemption application, rendition, or other property owner report; (2) eliminates differences in the information in appraisal records of the districts, including information relating to ownership of property, the description of property, and the physical characteristics of property; and (3) contains the form of a written advisory prescribed by the commissioner [comptroller] informing the owners of property that reports and other documents required of the owners must be filed with or sent to each appraisal district and that the owners should consider sending any other document relating to the property to each appraisal district. SECTION 30. Section 6.235(a), Tax Code, is amended to read as follows: (a) During each full term of office, a county assessor-collector of a county with a population of 1,000,000 or more shall complete 64 or more classroom hours of instruction that relate to the duties of the office and that are accredited by the Board of Tax Professional Examiners, the division of the office of commissioner [comptroller] with responsibility for property taxes, the division of the Texas Department of Transportation with responsibility for motor vehicles, or the secretary of state as continuing education credits for the office of county assessor-collector. SECTION 31. Sections 6.28(b), (d), and (e), Tax Code, are amended to read as follows: (b) The bond for state taxes must be payable to the governor and his successors in office in an amount equal to five percent of the net state collections from motor vehicle sales and use taxes and motor vehicle registration fees in the county during the year ending August 31 preceding the date bond is given, except that the amount of bond may not be less than $2,500 or more than $100,000. To be effective, the bond must be approved by the commissioners court of the county and the commissioner [state comptroller of public accounts]. (d) The commissioner [state comptroller of public accounts] or the commissioners court of the county may require a new bond for state taxes at any time. The commissioners court may require a new bond for county taxes at any time. However, the total amount of state bonds or county bonds required of an assessor-collector may not exceed $100,000 at one time. The commissioners court shall suspend the assessor-collector from office and begin removal proceedings if the assessor-collector [he] fails to give new bond within a reasonable time after demand. (e) The assessor-collector's official oath and bonds for state and county taxes shall be recorded in the office of the county clerk, and the county judge shall submit the bond for state taxes to the commissioner [state comptroller of public accounts]. SECTION 32. Section 6.412(c), Tax Code, is amended to read as follows: (c) A person is ineligible to serve on the appraisal review board if the person is a member of the board of directors, an officer, or employee of the appraisal district, an employee of the commissioner [comptroller], or a member of the governing body, officer, or employee of a taxing unit. SECTION 33. Section 11.11(b), Tax Code, is amended to read as follows: (b) Land owned by the Permanent University Fund is taxable for county purposes. Any notice required by Section 25.19 of this code shall be sent to the commissioner [comptroller], and the commissioner [comptroller] shall appear in behalf of the state in any protest or appeal relating to taxation of Permanent University Fund land. SECTION 34. Section 11.182(f), Tax Code, as added by Chapter 842, Acts of the 77th Legislature, Regular Session, 2001, is relettered and amended to read as follows: (i) [(f)] If any property owned by an organization receiving an exemption under this section has been acquired or sold during the preceding year, such organization shall file by March 31 of the following year with the chief appraiser in the county in which the relevant property is located, on a form promulgated by the commissioner [comptroller of public accounts], a list of such properties acquired or sold during the preceding year. SECTION 35. Sections 11.252(c), (d), (i), and (j), Tax Code, are amended to read as follows: (c) The commissioner [comptroller] by rule shall establish exemption application requirements and appropriate procedures to determine whether a motor vehicle subject to a lease qualifies for an exemption under Subsection (a). (d) In connection with the requirements and procedures under Subsection (c), the commissioner [comptroller] by rule shall adopt a form to be completed by the lessee of a motor vehicle for which the owner of the vehicle may apply for an exemption under Subsection (a). The form shall require the lessee to provide the lessee's name, address, and driver's license or personal identification certificate number and to certify under oath that the lessee does not hold the vehicle for the production of income and that the vehicle is used primarily for activities that do not involve the production of income. The commissioner [comptroller] shall include on the form a notice of the penalties prescribed by Section 37.10, Penal Code, for making a false statement on the form. (i) In addition to the requirements of Subsections (c) and (d), the commissioner [comptroller] by rule shall prescribe a property report form to be completed by the lessor describing the leased motor vehicles that the lessor owns. The property report form shall require the lessor to list each leased vehicle the lessor owns on January 1, to provide the year, make, model, and vehicle identification number of each leased vehicle, and to provide the name of the lessee, the address at which the vehicle is kept, and an indication of whether the lessee has designated the vehicle as not held for the production and not used for the production of income. (j) The lessor shall provide the chief appraiser with the completed property report form adopted by the commissioner [comptroller] in the manner provided by Subchapter B, Chapter 22. SECTION 36. Section 11.26(e), Tax Code, is amended to read as follows: (e) For each school district in an appraisal district, the chief appraiser shall determine the portion of the appraised value of residence homesteads of the elderly on which school district taxes are not imposed in a tax year because of the limitation on tax increases imposed by this section. That portion is calculated by determining the taxable value that, if multiplied by the tax rate adopted by the school district for the tax year, would produce an amount equal to the amount of tax that would have been imposed by the school district on residence homesteads of the elderly if the limitation on tax increases imposed by this section were not in effect, but that was not imposed because of that limitation. The chief appraiser shall determine that taxable value and certify it to the commissioner [comptroller] as soon as practicable for each tax year. SECTION 37. Section 11.27(b), Tax Code, is amended to read as follows: (b) The commissioner [comptroller], with the assistance of the Texas Energy and Natural Resources Advisory Council, or its successor, shall develop guidelines to assist local officials in the administration of this section. SECTION 38. Section 11.43(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller], in prescribing the contents of the application form for each kind of exemption, shall ensure that the form requires an applicant to furnish the information necessary to determine the validity of the exemption claim. The form must require an applicant to provide the applicant's name and driver's license number, personal identification certificate number, or social security account number. The commissioner [comptroller] shall include on the forms a notice of the penalties prescribed by Section 37.10, Penal Code, for making or filing an application containing a false statement. The commissioner [comptroller] shall include, on application forms for exemptions that do not have to be claimed annually, a statement explaining that the application need not be made annually and that if the exemption is allowed, the applicant has a duty to notify the chief appraiser when the applicant's entitlement to the exemption ends. In this subsection: (1) "Driver's license" has the meaning assigned that term by Section 521.001, Transportation Code. (2) "Personal identification certificate" means a certificate issued by the Department of Public Safety under Subchapter E, Chapter 521, Transportation Code. SECTION 39. Section 11.44(c), Tax Code, is amended to read as follows: (c) The commissioner [comptroller] shall prescribe by rule the content of the explanation required by Subsection (a) [of this section], and shall require that each exemption application form be printed and prepared: (1) as a separate form from any other form; or (2) on the front of the form if the form also provides for other information. SECTION 40. Section 21.03(b), Tax Code, is amended to read as follows: (b) The commissioner [comptroller] shall adopt rules: (1) identifying the kinds of property subject to this section; and (2) establishing formulas for calculating the proportion of total market value to be allocated to this state. SECTION 41. Sections 21.031(e) and (f), Tax Code, are amended to read as follows: (e) To receive an allocation of value under this section, a property owner must apply for the allocation on a form that substantially complies with the form prescribed by the commissioner [comptroller]. The application must be filed with the chief appraiser for the district in which the property to which the application applies is taxable before the approval of the appraisal records by the appraisal review board as provided by Section 41.12 [of this code]. (f) The commissioner [comptroller] shall promulgate forms and may adopt rules consistent with the provisions of this section. SECTION 42. Section 22.21, Tax Code, is amended to read as follows: Sec. 22.21. PUBLICIZING REQUIREMENTS. Each year the commissioner [comptroller] and each chief appraiser shall publicize in a manner reasonably designed to notify all property owners the requirements of the law relating to filing rendition statements and property reports and of the availability of forms. SECTION 43. Sections 22.24(a), (c), and (e), Tax Code, are amended to read as follows: (a) A person required to render property or to file a report as provided by this chapter shall use a form that substantially complies with the appropriate form prescribed or approved by the commissioner [comptroller]. (c) The commissioner [comptroller] may prescribe or approve different forms for different kinds of property but shall ensure that each form requires a property owner to furnish the information necessary to identify the property and to determine its ownership, taxability, and situs. A form may not require a property owner to furnish information not relevant to the appraisal of property for tax purposes or to the assessment or collection of property taxes. (e) To be valid, a rendition or report must be sworn to before an officer authorized by law to administer an oath. The commissioner [comptroller] may not prescribe or approve a rendition or report form unless the form provides for the person filing the form to swear that the information provided in the rendition or report is true and accurate to the best of the person's knowledge and belief. This subsection does not apply to a rendition or report filed by the property owner, an employee of the property owner, or an employee of a property owner on behalf of an affiliated entity of the property owner. SECTION 44. Sections 22.27(a), (b), and (d), Tax Code, are amended to read as follows: (a) Rendition statements, real and personal property reports, attachments to those statements and reports, and other information the owner of property provides to the appraisal office in connection with the appraisal of the property, including income and expense information related to a property filed with an appraisal office and information voluntarily disclosed to an appraisal office or the commissioner [comptroller] about real or personal property sales prices after a promise it will be held confidential, are confidential and not open to public inspection. The statements and reports and the information they contain about specific real or personal property or a specific real or personal property owner and information voluntarily disclosed to an appraisal office about real or personal property sales prices after a promise it will be held confidential may not be disclosed to anyone other than an employee of the appraisal office who appraises property except as authorized by Subsection (b) [of this section]. (b) Information made confidential by this section may be disclosed: (1) in a judicial or administrative proceeding pursuant to a lawful subpoena; (2) to the person who filed the statement or report or the owner of property subject to the statement, report, or information or to a representative of either authorized in writing to receive the information; (3) to the commissioner [comptroller] and the commissioner's [comptroller's] employees authorized by the commissioner [comptroller] in writing to receive the information or to an assessor or a chief appraiser if requested in writing; (4) in a judicial or administrative proceeding relating to property taxation to which the person who filed the statement or report or the owner of the property that is a subject of the statement, report, or information is a party; (5) for statistical purposes if in a form that does not identify specific property or a specific property owner; (6) if and to the extent the information is required to be included in a public document or record that the appraisal office is required to prepare or maintain; or (7) to a taxing unit or its legal representative that is engaged in the collection of delinquent taxes on the property that is the subject of the information. (d) No person who directly or indirectly provides information to the commissioner [comptroller] or appraisal office about real or personal property sales prices, either as set forth in Subsection (a) [of this section] under a promise of confidentiality, or otherwise, shall be liable to any other person as the result of providing such information. SECTION 45. Section 23.121(a)(6), Tax Code, is amended to read as follows: (6) "Declaration" means the dealer's motor vehicle inventory declaration form promulgated by the commissioner [comptroller] as required by this section. SECTION 46. Section 23.121(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] shall promulgate a form entitled Dealer's Motor Vehicle Inventory Declaration. Except as provided by Section 23.122(l) [of this code], not later than February 1 of each year, or, in the case of a dealer who was not in business on January 1, not later than 30 days after commencement of business, each dealer shall file a declaration with the chief appraiser and file a copy with the collector. For purposes of this subsection, a dealer is presumed to have commenced business on the date of issuance to the dealer of a dealer's general distinguishing number as provided by Chapter 503, Transportation Code. Notwithstanding the presumption created by this subsection, a chief appraiser may, at the chief appraiser's [his or her] sole discretion, designate as the date on which a dealer commenced business a date other than the date of issuance to the dealer of a dealer's general distinguishing number. The declaration is sufficient to comply with this subsection if it sets forth the following information: (1) the name and business address of each location at which the dealer owner conducts business; (2) each of the dealer's general distinguishing numbers issued by the Texas Department of Transportation; (3) a statement that the dealer owner is the owner of a dealer's motor vehicle inventory; and (4) the market value of the dealer's motor vehicle inventory for the current tax year as computed under Section 23.121(b) [of this code]. SECTION 47. Section 23.122(a)(9), Tax Code, is amended to read as follows: (9) "Statement" means the Dealer's Motor Vehicle Inventory Tax Statement filed on a form promulgated by the commissioner [comptroller] as required by this section. SECTION 48. Section 23.122(e), Tax Code, is amended to read as follows: (e) The commissioner [comptroller] shall promulgate a form entitled a Dealer's Motor Vehicle Inventory Tax Statement. A dealer shall complete the form with respect to each motor vehicle sold. A dealer may use no other form for that purpose. The statement may include the information the commissioner [comptroller] deems appropriate but shall include at least the following: (1) a description of the motor vehicle sold; (2) the sales price of the motor vehicle; (3) the unit property tax of the motor vehicle if any; and (4) the reason no unit property tax is assigned if no unit property tax is assigned. SECTION 49. Section 23.123(c), Tax Code, is amended to read as follows: (c) Information made confidential by this section may be disclosed: (1) in a judicial or administrative proceeding pursuant to a lawful subpoena; (2) to the person who filed the declaration or statement or to that person's representative authorized by the person in writing to receive the information; (3) to the commissioner [comptroller] or an employee of the commissioner [comptroller] authorized by the commissioner [comptroller] to receive the information; (4) to a collector or chief appraiser; (5) to a district attorney, criminal district attorney or county attorney involved in the enforcement of a penalty imposed pursuant to Section 23.121 or Section 23.122 [of this code]; (6) for statistical purposes if in a form that does not identify specific property or a specific property owner; (7) if and to the extent that the information is required for inclusion in a public document or record that the appraisal or collection office is required by law to prepare or maintain; or (8) to the Texas Department of Transportation for use by that department in auditing compliance of its licensees with appropriate provisions of applicable law. SECTION 50. Section 23.124(a)(6), Tax Code, is amended to read as follows: (6) "Declaration" means the dealer's vessel and outboard motor inventory declaration form promulgated by the commissioner [comptroller] as required by this section. SECTION 51. Section 23.124(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] shall promulgate a form entitled "Dealer's Vessel and Outboard Motor Inventory Declaration." Except as provided by Section 23.125(l) [of this code], not later than February 1 of each year or, in the case of a dealer who was not in business on January 1, not later than 30 days after commencement of business, each dealer shall file a declaration with the chief appraiser and file a copy with the collector. The declaration is sufficient to comply with this subsection if it sets forth the following information: (1) the name and business address of each location at which the dealer owner conducts business; (2) each of the dealer's and manufacturer's numbers issued by the Parks and Wildlife Department; (3) a statement that the dealer owner is the owner of a dealer's vessel and outboard motor inventory; and (4) the market value of the dealer's vessel and outboard motor inventory for the current tax year as computed under Subsection (b) of this section. SECTION 52. Section 23.1241(a)(4), Tax Code, is amended to read as follows: (4) "Declaration" means a dealer's heavy equipment inventory declaration form adopted by the commissioner [comptroller] under this section. SECTION 53. Section 23.1241(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] by rule shall adopt a dealer's heavy equipment inventory declaration form. Except as provided by Section 23.1242(k), not later than February 1 of each year, or, in the case of a dealer who was not in business on January 1, not later than 30 days after commencement of business, each dealer shall file a declaration with the chief appraiser and file a copy with the collector. The declaration is sufficient to comply with this subsection if it sets forth: (1) the name and business address of each location at which the declarant conducts business; (2) a statement that the declarant is the owner of a dealer's heavy equipment inventory; and (3) the market value of the declarant's heavy equipment inventory for the current tax year as computed under Subsection (b). SECTION 54. Section 23.1242(a)(3), Tax Code, is amended to read as follows: (3) "Statement" means the dealer's heavy equipment inventory tax statement filed on a form adopted by the commissioner [comptroller] under this section. SECTION 55. Section 23.1242(e), Tax Code, is amended to read as follows: (e) The commissioner [comptroller] by rule shall adopt a dealer's heavy equipment inventory tax statement form. A dealer shall complete the form with respect to each item of heavy equipment sold. A dealer may use no other form for that purpose. The statement may include the information the commissioner [comptroller] considers appropriate but shall include at least the following: (1) a description of the item of heavy equipment sold, including any unique identification or serial number affixed to the item by the manufacturer; (2) the sales price of the item of heavy equipment; (3) the unit property tax of the item of heavy equipment, if any; and (4) the reason no unit property tax is assigned if no unit property tax is assigned. SECTION 56. Section 23.125(a)(9), Tax Code, is amended to read as follows: (9) "Statement" means the dealer's vessel and outboard motor inventory tax statement filed on a form promulgated by the commissioner [comptroller] as required by this section. SECTION 57. Section 23.125(e), Tax Code, is amended to read as follows: (e) The commissioner [comptroller] shall promulgate a form entitled "Dealer's Vessel and Outboard Motor Inventory Tax Statement." A dealer shall complete the form with respect to each vessel and outboard motor sold. A dealer may use no other form for that purpose. The statement may include the information the commissioner [comptroller] deems appropriate but shall include at least the following: (1) a description of the vessel or outboard motor sold; (2) the sales price of the vessel or outboard motor; (3) the unit property tax of the vessel or outboard motor, if any; and (4) the reason no unit property tax is assigned if no unit property tax is assigned. SECTION 58. Section 23.126(c), Tax Code, is amended to read as follows: (c) Information made confidential by this section may be disclosed: (1) in a judicial or administrative proceeding pursuant to a lawful subpoena; (2) to the person who filed the declaration or statement or to that person's representative authorized by the person in writing to receive the information; (3) to the commissioner [comptroller] or an employee of the commissioner [comptroller] authorized by the commissioner [comptroller] to receive the information; (4) to a collector or chief appraiser; (5) to a district attorney, criminal district attorney, or county attorney involved in the enforcement of a penalty imposed pursuant to Section 23.124 or Section 23.125 [of this code]; (6) for statistical purposes if in a form that does not identify specific property or a specific property owner; or (7) if and to the extent that the information is required for inclusion in a document or record that the appraisal or collection office is required by law to prepare or maintain. SECTION 59. Section 23.127(a)(3), Tax Code, is amended to read as follows: (3) "Declaration" means a retail manufactured housing inventory declaration form adopted by the commissioner [comptroller] under this section. SECTION 60. Section 23.127(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] by rule shall adopt a form entitled "Retail Manufactured Housing Inventory Declaration." Except as provided by Section 23.128(k), not later than February 1 of each year or, in the case of a retailer who was not in business on January 1, not later than the 30th day after the date the retailer commences business, each retailer shall file a declaration with the chief appraiser and file a copy with the collector. The declaration is sufficient to comply with this subsection if it sets forth the following information: (1) the name and business address of each location at which the retailer conducts business; (2) the retailer's license number issued by the department; (3) a statement that the retailer is the owner of a retail manufactured housing inventory; and (4) the market value of the retailer's manufactured housing inventory for the current tax year as computed under Subsection (b). SECTION 61. Section 23.128(a)(4), Tax Code, is amended to read as follows: (4) "Statement" means the retail manufactured housing inventory tax statement filed on a form adopted by the commissioner [comptroller] under this section. SECTION 62. Section 23.128(e), Tax Code, is amended to read as follows: (e) The commissioner [comptroller] by rule shall adopt a form entitled "Retail Manufactured Housing Inventory Tax Statement." A retailer shall complete the form with respect to each unit of manufactured housing sold. A retailer may not use another form for that purpose. The statement shall include: (1) a description of the unit of manufactured housing sold, including any unique identification or serial number affixed to the unit by the manufacturer; (2) the sales price of the unit of manufactured housing; (3) any unit property tax of the unit of manufactured housing; (4) the reason a unit property tax is not assigned if that is the case; and (5) any other information the commissioner [comptroller] considers appropriate. SECTION 63. Section 23.175(b), Tax Code, is amended to read as follows: (b) The commissioner [comptroller] by rule shall develop and distribute to each appraisal office appraisal manuals that specify methods and procedures to discount future income from the sale of oil or gas from the interest to present value. SECTION 64. Sections 23.41(b) and (e), Tax Code, are amended to read as follows: (b) The commissioner [comptroller] shall promulgate rules specifying the methods to apply and the procedures to use in appraising land designated for agricultural use. (e) Improvements other than appurtenances to the land, the mineral estate, and all land used for residential purposes and for processing harvested agricultural products are appraised separately at market value. Riparian water rights, private roads, dams, reservoirs, water wells, and canals, ditches, terraces, and similar reshapings of or additions to the soil for agricultural purposes are appurtenances to the land, and the effect of each on the value of the land for agricultural use shall be considered in appraising the land. However, the commissioner [comptroller] shall provide that in calculating average net income from land a deduction from income be allowed for an appurtenance subject to depreciation or depletion. SECTION 65. Section 23.43(d), Tax Code, is amended to read as follows: (d) The commissioner [comptroller] in prescribing the contents of the application forms shall ensure that each form requires a claimant to furnish the information necessary to determine the validity of the claim. The commissioner [comptroller] shall require that the form permit a claimant who has previously been allowed an agricultural designation to indicate that previously reported information has not changed and to supply only the eligibility information not previously reported. SECTION 66. Section 23.45(b), Tax Code, is amended to read as follows: (b) Information made confidential by this section may be disclosed: (1) in a judicial or administrative proceeding pursuant to a lawful subpoena; (2) to the person who filed the application or to his representative authorized in writing to receive the information; (3) to the commissioner [comptroller] and his employees authorized by him in writing to receive the information or to an assessor or a chief appraiser if requested in writing; (4) in a judicial or administrative proceeding relating to property taxation to which the person who filed the application is a party; (5) for statistical purposes if in a form that does not identify specific property or a specific property owner; or (6) if and to the extent the information is required to be included in a public document or record that the appraisal office is required to prepare or maintain. SECTION 67. Section 23.52(d), Tax Code, is amended to read as follows: (d) The commissioner [comptroller] by rule shall develop and distribute to each appraisal office appraisal manuals setting forth this method of appraising qualified open-space land, and each appraisal office shall use the appraisal manuals in appraising qualified open-space land. The commissioner [comptroller] by rule shall develop and the appraisal office shall enforce procedures to verify that land meets the conditions contained in Subdivision (1) of Section 23.51 [of this code]. The rules, before taking effect, must be approved by a majority vote of a committee comprised of the following officials or their designees: the commissioner, the governor, the comptroller, the attorney general, and the agriculture commissioner[, and the Commissioner of the General Land Office]. SECTION 68. Section 23.521(a), Tax Code, is amended to read as follows: (a) The Parks and Wildlife Department, with the assistance of the commissioner [comptroller], shall develop standards for determining whether land qualifies under Section 23.51(7) for appraisal under this subchapter. The commissioner [comptroller] by rule shall adopt the standards developed by the Parks and Wildlife Department and distribute those rules to each appraisal district. On request of the Parks and Wildlife Department, the Texas Agricultural Extension Service shall assist the department in developing the standards. SECTION 69. Sections 23.54(b) and (c), Tax Code, are amended to read as follows: (b) To be valid, the application must: (1) be on a form provided by the appraisal office and prescribed by the commissioner [comptroller]; and (2) contain the information necessary to determine the validity of the claim. (c) The commissioner [comptroller] shall include on the form a notice of the penalties prescribed by Section 37.10, Penal Code, for making or filing an application containing a false statement. The commissioner [comptroller], in prescribing the contents of the application form, shall require that the form permit a claimant who has previously been allowed appraisal under this subchapter to indicate that previously reported information has not changed and to supply only the eligibility information not previously reported. SECTION 70. Section 23.73(b), Tax Code, is amended to read as follows: (b) The commissioner [comptroller] by rule shall develop and distribute to each appraisal office appraisal manuals setting forth this method of appraising qualified timber land, and each appraisal office shall use the appraisal manuals in appraising qualified timber land. The commissioner [comptroller] by rule shall develop and the appraisal office shall enforce procedures to verify that land meets the conditions contained in Section 23.72 [of this code]. The rules, before taking effect, must be approved by majority vote of a committee comprised of the following officials or their designees: the commissioner, the governor, the comptroller, the attorney general, and the agriculture commissioner[, and the Commissioner of the General Land Office]. SECTION 71. Sections 23.75(b) and (c), Tax Code, are amended to read as follows: (b) To be valid, the application must: (1) be on a form provided by the appraisal office and prescribed by the commissioner [comptroller]; and (2) contain the information necessary to determine the validity of the claim. (c) The commissioner [comptroller] shall include on the form a notice of the penalties prescribed by Section 37.10, Penal Code, for making or filing an application containing a false statement. The commissioner [comptroller], in prescribing the contents of the application form, shall require that the form permit a claimant who has previously been allowed appraisal under this subchapter to indicate that previously reported information has not changed and to supply only the eligibility information not previously reported. SECTION 72. Section 23.83(e), Tax Code, is amended to read as follows: (e) The commissioner [comptroller] shall promulgate rules specifying the methods to apply and the procedures to use in appraising land under this subchapter. SECTION 73. Section 23.84(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] in prescribing the contents of the application forms shall ensure that each form requires a claimant to furnish the information necessary to determine the validity of the claim and that the form requires the claimant to state that the land for which the claimant [he] claims appraisal under this subchapter will be used exclusively for recreational, park, or scenic uses in the current year. SECTION 74. Section 23.93(e), Tax Code, is amended to read as follows: (e) The commissioner [comptroller] shall promulgate rules specifying the methods to apply and the procedures to use in appraising property under this subchapter. SECTION 75. Section 23.94(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] in prescribing the contents of the application forms shall ensure that each form requires a claimant to furnish the information necessary to determine the validity of the claim and that the form requires the claimant to state that the airport property for which the claimant [he] claims appraisal under this subchapter will be used exclusively as public access airport property in the current year. SECTION 76. Sections 23.9804(b), (c), and (d), Tax Code, are amended to read as follows: (b) To be valid, an application for appraisal under Section 23.9802(a) must: (1) be on a form provided by the appraisal office and prescribed by the commissioner [comptroller]; (2) provide evidence that the land qualifies for designation as an aesthetic management zone, critical wildlife habitat zone, or streamside management zone; (3) specify the location of the proposed zone and the quantity of land, in acres, in the proposed zone; and (4) contain other information necessary to determine the validity of the claim. (c) To be valid, an application for appraisal under Section 23.9802(b) must: (1) be on a form provided by the appraisal office and prescribed by the commissioner [comptroller]; (2) provide evidence that the land on which the timber was harvested was appraised under Subchapter E in the year in which the timber was harvested; (3) provide evidence that all of the land has been regenerated in compliance with Section 23.9802(b)(2); and (4) contain other information necessary to determine the validity of the claim. (d) The commissioner [comptroller] shall include on the form a notice of the penalties prescribed by Section 37.10, Penal Code, for making or filing an application containing a false statement. The commissioner [comptroller], in prescribing the contents of the application form, shall require that the form permit a claimant who has previously been allowed appraisal under this subchapter to indicate that the previously reported information has not changed and to supply only the eligibility information not previously reported. SECTION 77. Section 24.32(c), Tax Code, is amended to read as follows: (c) A report required by this section must be on a form prescribed by the commissioner [comptroller]. In prescribing the form, the commissioner [comptroller] shall ensure that it requires the information necessary to determine market value of rolling stock used in this state. SECTION 78. Section 24.34(b), Tax Code, is amended to read as follows: (b) The commissioner [comptroller] shall adopt rules establishing formulas for interstate allocation of the value of railroad rolling stock. SECTION 79. Sections 24.36, 24.365, 24.37, and 24.38, Tax Code, are amended to read as follows: Sec. 24.36. CERTIFICATION TO COMMISSIONER [COMPTROLLER]. On approval of the appraised value of the rolling stock as provided by Chapter 41 [of this code], the chief appraiser shall certify to the commissioner [comptroller] the amount of market value allocated to this state for each owner whose rolling stock is appraised in the county and the name and business address of each owner. Sec. 24.365. CORRECTION OF CERTIFIED AMOUNT. (a) A chief appraiser who discovers that the chief appraiser's certification to the commissioner [comptroller] of the amount of the market value of rolling stock allocated to this state under Section 24.36 was incomplete or incorrect shall immediately certify the correct amount of that market value to the commissioner [comptroller]. (b) As soon as practicable after the commissioner [comptroller] receives the correct certification from the chief appraiser, the commissioner [comptroller] shall certify to the county assessor-collector for each affected county the information required by Section 24.38 as corrected. Sec. 24.37. INTRASTATE APPORTIONMENT. The commissioner [comptroller] shall apportion the appraised value of each owner's rolling stock to each county in which the railroad using it operates according to the ratio the mileage of road owned by the railroad in the county bears to the total mileage of road the railroad owns in this state. Sec. 24.38. CERTIFICATION OF APPORTIONED VALUE. Before August 1, the commissioner [comptroller] shall certify to the county assessor-collector for each county in which a railroad operates: (1) the county's apportioned amount of the market value of each owner's rolling stock; and (2) the name and business address of each owner. SECTION 80. Section 24.40(a), Tax Code, is amended to read as follows: (a) If a chief appraiser discovers that rolling stock used in this state and subject to appraisal by the chief appraiser [him] has not been appraised and apportioned to the counties in one of the two preceding years, he shall appraise the property as of January 1 for each year it was omitted, submit the appraisal for review and protest, and certify the approved value to the commissioner [comptroller]. SECTION 81. Section 25.011(b), Tax Code, is amended to read as follows: (b) The record for each type of specially appraised property must be maintained in a separate document for each 12-month period beginning June 1. The document must include the name of at least one owner of the property, the acreage of the property, and other information sufficient to identify the property as required by the commissioner [comptroller]. All entries in each document must be kept in alphabetical order according to the last name of each owner whose name is part of the record. SECTION 82. Section 25.02(a), Tax Code, is amended to read as follows: (a) The appraisal records shall be in the form prescribed by the commissioner [comptroller] and shall include: (1) the name and address of the owner or, if the name or address is unknown, a statement that it is unknown; (2) real property; (3) separately taxable estates or interests in real property, including taxable possessory interests in exempt real property; (4) personal property; (5) the appraised value of land and, if the land is appraised as provided by Subchapter C, D, E, or H, Chapter 23, the market value of the land; (6) the appraised value of improvements to land; (7) the appraised value of a separately taxable estate or interest in land; (8) the appraised value of personal property; (9) the kind of any partial exemption the owner is entitled to receive, whether the exemption applies to appraised or assessed value, and, in the case of an exemption authorized by Section 11.23, the amount of the exemption; (10) the tax year to which the appraisal applies; and (11) an identification of each taxing unit in which the property is taxable. SECTION 83. Section 25.025(b), Tax Code, is amended to read as follows: (b) Information in appraisal records under Section 25.02 is confidential and is available only for the official use of the appraisal district, this state, the commissioner [comptroller], and taxing units and political subdivisions of this state if: (1) the information identifies the home address of a named individual to whom this section applies; and (2) the individual chooses to restrict public access to the information on the form prescribed for that purpose by the commissioner [comptroller] under Section 5.07. SECTION 84. Section 25.026(b), Tax Code, is amended to read as follows: (b) Information in appraisal records under Section 25.02 is confidential and is available only for the official use of the appraisal district, this state, the commissioner [comptroller], and taxing units and political subdivisions of this state if the information identifies the address of a family violence shelter center or a sexual assault program. SECTION 85. Section 25.03(b), Tax Code, is amended to read as follows: (b) The commissioner [comptroller] may adopt rules establishing minimum standards for descriptions of property. SECTION 86. Sections 25.19(i) and (j), Tax Code, are amended to read as follows: (i) Delivery with a notice required by Subsection (a) or (g) of a copy of the pamphlet published by the commissioner [comptroller] under Section 5.06 or a copy of the notice published by the chief appraiser under Section 41.70 is sufficient to comply with the requirement that the notice include the information specified by Subsection (b)(7) or (g)(3), as applicable. (j) The chief appraiser shall include with a notice required by Subsection (a) or (g): (1) a copy of a notice of protest form as prescribed by the commissioner [comptroller] under Section 41.44(d); and (2) instructions for completing and mailing the form to the appraisal review board and requesting a hearing on the protest. SECTION 87. Section 25.23(b), Tax Code, is amended to read as follows: (b) Supplemental appraisal records shall be in the form prescribed by the commissioner [comptroller] and shall include the items required by Section 25.02 [of this code]. SECTION 88. Section 26.01(b), Tax Code, is amended to read as follows: (b) When a chief appraiser submits an appraisal roll for county taxes to a county assessor-collector, the chief appraiser also shall certify the appraisal district appraisal roll to the commissioner [comptroller]. However, the commissioner [comptroller] by rule may provide for submission of only a summary of the appraisal roll. The chief appraiser shall certify the district appraisal roll or the summary of that roll in the form and manner prescribed by the commissioner's [comptroller's] rule. SECTION 89. Section 26.04(e), Tax Code, is amended to read as follows: (e) By August 7 or as soon thereafter as practicable, the designated officer or employee shall submit the rates to the governing body. The designated officer or employee [He] shall deliver by mail to each property owner in the unit or publish in a newspaper in the form prescribed by the commissioner [comptroller]: (1) the effective tax rate, the rollback tax rate, and an explanation of how they were calculated; (2) the estimated amount of interest and sinking fund balances and the estimated amount of maintenance and operation or general fund balances remaining at the end of the current fiscal year that are not encumbered with or by corresponding existing debt obligation; (3) a schedule of the unit's debt obligations showing: (A) the amount of principal and interest that will be paid to service the unit's debts in the next year from property tax revenue, including payments of lawfully incurred contractual obligations providing security for the payment of the principal of and interest on bonds and other evidences of indebtedness issued on behalf of the unit by another political subdivision and, if the unit is created under Section 52, Article III, or Section 59, Article XVI, Texas Constitution, payments on debts that the unit anticipates to incur in the next calendar year; (B) the amount by which taxes imposed for debt are to be increased because of the unit's anticipated collection rate; and (C) the total of the amounts listed in Paragraphs (A)-(B), less any amount collected in excess of the previous year's anticipated collections certified as provided in Subsection (b); (4) the amount of additional sales and use tax revenue anticipated in calculations under Section 26.041; (5) a statement that the adoption of a tax rate equal to the effective tax rate would result in an increase or decrease, as applicable, in the amount of taxes imposed by the unit as compared to last year's levy, and the amount of the increase or decrease; (6) in the year that a taxing unit calculates an adjustment under Subsection (i) or (j), a schedule that includes the following elements: (A) the name of the unit discontinuing the department, function, or activity; (B) the amount of property tax revenue spent by the unit listed under Paragraph (A) to operate the discontinued department, function, or activity in the 12 months preceding the month in which the calculations required by this chapter are made; and (C) the name of the unit that operates a distinct department, function, or activity in all or a majority of the territory of a taxing unit that has discontinued operating the distinct department, function, or activity; and (7) in the year following the year in which a taxing unit raised its rollback rate as required by Subsection (j), a schedule that includes the following elements: (A) the amount of property tax revenue spent by the unit to operate the department, function, or activity for which the taxing unit raised the rollback rate as required by Subsection (j) for the 12 months preceding the month in which the calculations required by this chapter are made; and (B) the amount published by the unit in the preceding tax year under Subdivision (6)(B). SECTION 90. Section 26.06(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] by rule shall prescribe the language and format to be used in the part of the notice required by Subsection (b)(2). A notice under Subsection (b) is not valid if it does not substantially conform to the language and format prescribed by the commissioner [comptroller] under this subsection. SECTION 91. Section 31.01(c), Tax Code, is amended to read as follows: (c) The tax bill or a separate statement accompanying the tax bill shall: (1) identify the property subject to the tax; (2) state the appraised value, assessed value, and taxable value of the property; (3) if the property is land appraised as provided by Subchapter C, D, E, or H, Chapter 23, state the market value and the taxable value for purposes of deferred or additional taxation as provided by Section 23.46, 23.55, 23.76, or 23.9807, as applicable; (4) state the assessment ratio for the unit; (5) state the type and amount of any partial exemption applicable to the property, indicating whether it applies to appraised or assessed value; (6) state the total tax rate for the unit; (7) state the amount of tax due, the due date, and the delinquency date; (8) explain the payment option and discounts provided by Sections 31.03 and 31.05, if available to the unit's taxpayers, and state the date on which each of the discount periods provided by Section 31.05 concludes, if the discounts are available; (9) state the rates of penalty and interest imposed for delinquent payment of the tax; (10) include the name and telephone number of the assessor for the unit and, if different, of the collector for the unit; and (11) include any other information required by the commissioner [comptroller]. SECTION 92. Section 31.032(f), Tax Code, is amended to read as follows: (f) The commissioner [comptroller] shall adopt rules to implement this section. SECTION 93. Section 31.075(a), Tax Code, is amended to read as follows: (a) At the request of a property owner or a property owner's agent, the collector for a taxing unit shall issue a receipt showing the taxable value and the amount of tax imposed by the unit on the property in one or more tax years for which the information is requested, the tax rate for each of those tax years, and the amount of tax paid in each of those years. The receipt must describe the property in the manner prescribed by the commissioner [comptroller]. SECTION 94. Section 31.11(c), Tax Code, is amended to read as follows: (c) An application for a refund must be made within three years after the date of the payment or the taxpayer waives the right to the refund. A taxpayer may apply for a refund by filing: (1) an application on a form prescribed by the commissioner [comptroller] by rule; or (2) a written request that includes information sufficient to enable the auditor for the taxing unit and, if applicable, the governing body of the taxing unit to determine whether the taxpayer is entitled to the refund. SECTION 95. Section 33.43(e), Tax Code, is amended to read as follows: (e) The commissioner [comptroller] shall prepare forms for petitions initiating suits to collect delinquent taxes. An attorney representing a taxing unit may use the forms or develop a [his own] form. SECTION 96. Section 41.44(d), Tax Code, is amended to read as follows: (d) A notice of protest is sufficient if it identifies the protesting property owner, including a person claiming an ownership interest in the property even if that person is not listed on the appraisal records as an owner of the property, identifies the property that is the subject of the protest, and indicates apparent dissatisfaction with some determination of the appraisal office. The notice need not be on an official form, but the commissioner [comptroller] shall prescribe a form that provides for more detail about the nature of the protest. The form must permit a property owner to include each property in the appraisal district that is the subject of a protest. The commissioner [comptroller], each appraisal office, and each appraisal review board shall make the forms readily available and deliver one to a property owner on request. SECTION 97. Sections 41.45(k) and (l), Tax Code, are amended to read as follows: (k) The commissioner [comptroller] shall prescribe a standard form for an affidavit offered under Subsection (b). Each appraisal district shall make copies of the affidavit form available to property owners without charge. (l) A property owner is not required to use the affidavit form prescribed by the commissioner [comptroller] when offering an affidavit under Subsection (b). SECTION 98. Section 41.461(a), Tax Code, is amended to read as follows: (a) At least 14 days before a hearing on a protest, the chief appraiser shall: (1) deliver a copy of the pamphlet prepared by the commissioner [comptroller] under Section 5.06(a) to the property owner initiating the protest if the owner is not represented by another person [representing himself], or to an agent representing the owner if requested by the agent; (2) inform the property owner that the owner or the agent of the owner may inspect and may obtain a copy of the data, schedules, formulas, and all other information the chief appraiser plans to introduce at the hearing to establish any matter at issue; and (3) deliver a copy of the hearing procedures established by the appraisal review board under Section 41.66 to the property owner. SECTION 99. Sections 41.65 and 41.68, Tax Code, are amended to read as follows: Sec. 41.65. REQUEST FOR STATE ASSISTANCE. The appraisal review board may request the commissioner [comptroller] to assist in determining the accuracy of appraisals by the appraisal office or to provide other professional assistance. The appraisal office shall reimburse the costs of providing assistance if the commissioner [comptroller] requests reimbursement. Sec. 41.68. RECORD OF PROCEEDING. The appraisal review board shall keep a record of its proceedings in the form and manner prescribed by the commissioner [comptroller]. SECTION 100. Section 41.70(a), Tax Code, is amended to read as follows: (a) On or after May 1 but not later than May 15, the chief appraiser shall publish notice of the manner in which a protest under this chapter may be brought by a property owner. The notice must describe how to initiate a protest and must describe the deadlines for filing a protest. The notice must also describe the manner in which an order of the appraisal review board may be appealed. The commissioner [comptroller] by rule shall adopt minimum standards for the form and content of the notice required by this section. SECTION 101. Sections 42.01, 42.03, and 42.05, Tax Code, are amended to read as follows: Sec. 42.01. RIGHT OF APPEAL BY PROPERTY OWNER. A property owner is entitled to appeal: (1) an order of the appraisal review board determining: (A) a protest by the property owner as provided by Subchapter C of Chapter 41; or (B) a determination of an appraisal review board on a motion filed under Section 25.25; or (2) an order of the commissioner [comptroller] issued as provided by Subchapter B, Chapter 24, apportioning among the counties the appraised value of railroad rolling stock owned by the property owner. Sec. 42.03. RIGHT OF APPEAL BY COUNTY. A county may appeal the order of the commissioner [comptroller] issued as provided by Subchapter B, Chapter 24 of this code apportioning among the counties the appraised value of railroad rolling stock. Sec. 42.05. COMMISSIONER [COMPTROLLER] AS PARTY. The commissioner [comptroller] is an opposing party in an appeal by: (1) a property owner of an order of the commissioner [comptroller] determining a protest of the appraisal, interstate allocation, or intrastate apportionment of transportation business intangibles; or (2) a county or a property owner of an order of the commissioner [comptroller] apportioning among the counties the appraised value of railroad rolling stock. SECTION 102. Sections 42.06(a), (b), and (c), Tax Code, are amended to read as follows: (a) To exercise the party's right to appeal an order of an appraisal review board, a party other than a property owner must file written notice of appeal within 15 days after the date the party receives the notice required by Section 41.47 or, in the case of a taxing unit, by Section 41.07 that the order appealed has been issued. To exercise the right to appeal an order of the commissioner [comptroller], a party other than a property owner must file written notice of appeal within 15 days after the date the party receives the commissioner's [comptroller's] order. A property owner is not required to file a notice of appeal under this section. (b) A party required to file a notice of appeal under this section other than a chief appraiser who appeals an order of an appraisal review board shall file the notice with the chief appraiser of the appraisal district for which the appraisal review board is established. A chief appraiser who appeals an order of an appraisal review board shall file the notice with the appraisal review board. A party who appeals an order of the commissioner [comptroller] shall file the notice with the commissioner [comptroller]. (c) If the chief appraiser, a taxing unit, or a county appeals, the chief appraiser, if the appeal is of an order of the appraisal review board, or the commissioner [comptroller], if the appeal is of an order of the commissioner [comptroller], shall deliver a copy of the notice to the property owner whose property is involved in the appeal within 10 days after the date the notice is filed. SECTION 103. Section 42.21(b), Tax Code, is amended to read as follows: (b) A petition for review brought under Section 42.02 must be brought against the owner of the property involved in the appeal. A petition for review brought under Section 42.031 must be brought against the appraisal district and against the owner of the property involved in the appeal. A petition for review brought under Subdivision (2) or (3) of Section 42.01 or under Section 42.03 must be brought against the commissioner [comptroller]. Any other petition for review under this chapter must be brought against the appraisal district. A petition for review is not required to be brought against the appraisal review board, but may be brought against the appraisal review board in addition to any other required party, if appropriate. SECTION 104. Section 42.22, Tax Code, as amended by Chapters 667 and 1033, Acts of the 73rd Legislature, Regular Session, 1993, is reenacted and amended to read as follows: Sec. 42.22. VENUE. (a) Except as provided by Subsections (b) and (c), and by Section 42.221, venue is in the county in which the appraisal review board that issued the order appealed is located. (b) Venue of an action brought under Section 42.01(1) is in the county in which the property is located or in the county in which the appraisal review board that issued the order is located. (c) Venue is in Travis County if the order appealed was issued by the commissioner [comptroller]. SECTION 105. Section 42.23(b), Tax Code, is amended to read as follows: (b) The court may not admit in evidence the fact of prior action by the appraisal review board or commissioner [comptroller], except to the extent necessary to establish its jurisdiction. SECTION 106. Section 42.26(c), Tax Code, is amended to read as follows: (c) For purposes of establishing the median level of appraisal under Subsection (a)(1), the median level of appraisal in the appraisal district as determined by the commissioner [comptroller] under Section 51.41 [5.10] is admissible as evidence of the median level of appraisal of a reasonable and representative sample of properties in the appraisal district for the year of the commissioner's [comptroller's] determination, subject to the Texas Rules of Evidence and the Texas Rules of Civil Procedure. SECTION 107. Sections 42.28 and 43.01, Tax Code, are amended to read as follows: Sec. 42.28. APPEAL OF DISTRICT COURT JUDGMENT. A party may appeal the final judgment of the district court as provided by law for appeal of civil suits generally, except that an appeal bond is not required of the chief appraiser, the county, the commissioner [comptroller], or the commissioners court of a county. Sec. 43.01. AUTHORITY TO BRING SUIT. A taxing unit may sue the appraisal district that appraises property for the unit to compel the appraisal district to comply with the provisions of this title, rules of the commissioner [comptroller], or other applicable law. SECTION 108. Section 313.022(b), Tax Code, is amended to read as follows: (b) For purposes of determining the required minimum amount of a qualified investment under Section 313.021(2)(A)(iv)(a), and the minimum amount of a limitation on appraised value under Section 313.027(b), school districts to which this subchapter applies are categorized according to the taxable value of property in the district for the preceding tax year determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, as follows: CATEGORY       TAXABLE VALUE OF PROPERTY        I       $10 billion or more        II       $1 billion or more but less than $10 billion        III       $500 million or more but less than $1 billion        IV       $100 million or more but less than $500 million        V       less than $100 million        SECTION 109. Section 313.052, Tax Code, is amended to read as follows: Sec. 313.052. CATEGORIZATION OF SCHOOL DISTRICTS. For purposes of determining the required minimum amount of a qualified investment under Section 313.021(2)(A)(iv)(a) and the minimum amount of a limitation on appraised value under this subchapter, school districts to which this subchapter applies are categorized according to the taxable value of industrial property in the district for the preceding tax year determined under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, as follows: CATEGORY       TAXABLE VALUE OF INDUSTRIAL PROPERTY        I       $200 million or more        II       $90 million or more but less than $200 million        III       $1 million or more but less than $90 million        IV       $100,000 or more but less than $1 million        V       less than $100,000        SECTION 110. Sections 39.901(a), (b), (c), and (e), Utilities Code, are amended to read as follows: (a) Not later than August 31 each year, the commissioner of the General Land Office [comptroller] shall certify to the Texas Education Agency the statewide net loss in electric generating facility property value attributable to electric utility restructuring. In calculating the statewide net loss in electric generating facility property value, the commissioner of the General Land Office [comptroller] shall: (1) subtract current year electric generating facility appraisal roll values, as defined by Section 25.24, Tax Code, from 1999 electric generating facility appraised values in each school district; (2) sum the resulting property value losses (positive differences); (3) sum the resulting property value gains (negative differences); and (4) subtract the absolute value of the property value gains, subject to the limitation in Section 39.9011, from the absolute value of the property value losses to calculate a statewide net loss. (b) The Texas Education Agency shall determine the amount necessary to compensate the state for the statewide net loss certified under Subsection (a) by multiplying the statewide net loss by the average adopted property tax rate of the school districts that had losses, weighted by the value losses in each school district, and dividing the result by 100 and shall notify the commission of the amount necessary to compensate the state for the reduction. The commissioner of the General Land Office [comptroller] shall provide the Texas Education Agency the electric generating facility value losses in each school district used in Subsection (a)(2) for use in calculating the weighted average property tax rate. (c) The amounts determined by the commissioner of the General Land Office [comptroller] and the Texas Education Agency under this section, for the purposes of this section, are final and may not be appealed. (e) The commissioner of education and the commissioner of the General Land Office [comptroller] shall adopt rules necessary to implement this section, including rules providing for public input. SECTION 111. The following laws are repealed: (1) Sections 5.10, 5.102, 5.12, and 5.13, Tax Code; and (2) Subchapter M, Chapter 403, Government Code. SECTION 112. (a) The comptroller of public accounts and the commissioner of the General Land Office shall coordinate the transfer of all aspects and functions of the comptroller relating to state administration of the property tax system to the commissioner of the General Land Office. The transfer from the comptroller to the commissioner of the General Land Office shall be accomplished as soon as practicable but not later than the 45th day after the effective date of this Act. (b) The transfer required by Subsection (a) of this section includes all assets, obligations, and liabilities of any kind relating to state administration of the property tax system, including all contracts, leases, real or personal property, personnel, furniture, computers and other equipment, files, and related materials used by the comptroller for that purpose. (c) All appropriations made to the comptroller for the operation of the property tax division, as well as the personnel assigned to the division, are transferred to the General Land Office. (d) All forms, rules, and procedures relating to state administration of the property tax system adopted by the comptroller or administratively transferred to the comptroller and in effect on the effective date of this Act remain in effect on or after that date as if adopted by the commissioner of the General Land Office until amended, repealed, withdrawn, or otherwise superseded by the commissioner. (e) In any protest, appeal, or other administrative or judicial action in which the comptroller is a party on the effective date of this Act in connection with a duty or function transferred from the comptroller to the commissioner of the General Land Office by this Act, the commissioner is substituted for the comptroller on the effective date of this Act. SECTION 113. This Act takes effect immediately if it 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, this Act takes effect September 1, 2003.