BILL ANALYSIS
By: Armbrister
Local Government Ways & Means
BACKGROUND AND PURPOSE
Chief appraisers in many counties lump all open space land within their jurisdiction into broad, general classes of land use, such as "irrigated cropland," "dry cropland," "native pasture," or "improved pasture," etcetera. This practice results in uneven and inequitable valuation of much of this land for tax purposes.
As necessary and equitable, chief appraisers should create subclasses of land within an existing land class based on common factors that affect the land's productive capacity. These subcategories would enable the chief appraiser to identify and accurately value the land within that subcategory, thereby distinguishing it from other, either more or less productive, lands within that same land class.
As proposed, S.B. 760 provides chief appraisers with both the direction and the necessary tools to establish needed subcategories of open-space lands within existing classes of land use.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
SECTION 1. Amends Section 23.51(3), Tax Code, to redefine "category." Requires the chief appraiser to determine the categories into which land in the appraisal district is classified, and distinguish between certain general classes of land use. Authorizes the chief appraiser to establish categories in addition to the categories listed in this section. Requires the chief appraiser to obtain information from certain entities for purposes of determining the categories of land. Makes nonsubstantive changes.
SECTION 2. Provides that this Act applies only to the appraisal of open-spaced land for ad valorem tax purposes for a tax year beginning on or after the effective date of this Act.
SECTION 3. Effective date: September 1, 2006.
EFFECTIVE DATE
September 1, 2006.