79S31837 JD-D

By:  Smith of Harris                                            H.J.R. No. 38 


A JOINT RESOLUTION
proposing a constitutional amendment authorizing the commissioners court of a county to establish for purposes of ad valorem taxation a limitation on the maximum average annual percentage increase in the appraised value of real property in the county. BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 1, Article VIII, Texas Constitution, is amended by adding Subsections (i-1) and (i-2) to read as follows: (i-1) Notwithstanding Subsections (a) and (b) of this section, the commissioners court of a county may establish for purposes of ad valorem taxation by the county and other political subdivisions a limitation on the maximum average annual percentage increase in the appraised value of real property in the county that is less than 10 percent but not less than three percent. A limitation on appraisal increases established under this subsection applies to the taxation of real property in the county by each political subdivision that imposes taxes on the property. If a commissioners court establishes a limitation under this subsection applicable to a tax year for which the Legislature has enacted a limitation under Subsection (i) of this section, the lower percentage limitation applies to ad valorem taxation of residence homesteads in the county. If a commissioners court establishes a limitation on appraisal increases under this subsection, that limitation remains in effect until amended, repealed, or rescinded by the commissioners court. An amendment, repeal, or rescission of the limitation may not take effect before January 1 of the tax year following the year in which the amendment, repeal, or rescission is made. (i-2) A limitation on appraisal increases authorized by Subsection (i-1) of this section: (1) takes effect: (A) in the tax year following the first tax year in which the owner owns the property on January 1; or (B) in the tax year following the tax year in which the owner acquires the property if the property qualifies for an exemption as the residence homestead of the owner under Section 1-b of this article in the tax year in which the owner acquires the property; and (2) expires on January 1 of the first tax year following the tax year in which the owner of the property when the limitation took effect ceases to own the property, except that the Legislature by general law may provide for the limitation applicable to a residence homestead to continue during ownership of the property by the owner's spouse or surviving spouse. SECTION 2. This proposed constitutional amendment shall be submitted to the voters at an election to be held November 7, 2006. The ballot shall be printed to permit voting for or against the proposition: "The constitutional amendment authorizing the commissioners court of a county to establish for purposes of ad valorem taxation a limitation on the maximum average annual percentage increase in the appraised value of real property in the county that is less than 10 percent but not less than three percent."