LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

May 23, 2003

TO:	Honorable Frank Madla, Chair, Senate Committee on Intergovernmental Relations
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	HB3419 by Davis, John (Relating to procedural and technical corrections and clarification of the Property Tax Code, procedures for the seizure and sale of property, and distribution of ad valorem tax sale proceeds. ), Committee Report 2nd House, Substituted

No fiscal implication to the State is anticipated.

The bill would amend numerous sections in the Tax Code relating to the seizure, sale, and distribution of proceeds from property tax foreclosures. First, the bill would permit a Harris County peace officer or collector selling personal business property at a property tax foreclosure sale to contract with a licensed auctioneer to advertise and conduct the auction for sale of the property. The bill would define what abandonment of property means. The bill would also permit an alternative form of notice before property becomes subject to seizure for non-payment of taxes. The bill would allow the county or municipality to collect attorney's fees in more situations than under current statute. Finally, the bill would make some changes in regard to the application of the proceeds from a tax sale. Since the bill would not change taxable property values reported by the Comptroller to the Commissioner of Education, no fiscal impact to the State is anticipated.

Local Government Impact

The provisions in the bill concerning ad valorem tax collections would provide administrative cost benefits to local governments and their collecting agents. 

Source Agencies:

LBB Staff:

JK, DLBa, DLBe