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A BILL TO BE ENTITLED
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AN ACT
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relating to the award of attorney's fees in a judicial appeal of |
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certain ad valorem tax determinations. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 42.29, Tax Code, is amended to read as |
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follows: |
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Sec. 42.29. ATTORNEY'S FEES. [(a)] A property owner who |
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prevails in an appeal to a [the] court under Section 42.01, 42.02, |
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or 42.031 [42.25 or 42.26] may be awarded reasonable attorney's |
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fees. [The amount of the award may not exceed the greater of:
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[(1)$15,000; or
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[(2) 20 percent of the total amount by which the
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property owner's tax liability is reduced as a result of the appeal.
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[(b) Notwithstanding Subsection (a), the amount of an award
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of attorney's fees may not exceed the lesser of:
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[(1)$100,000; or
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[(2) the total amount by which the property owner's tax
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liability is reduced as a result of the appeal.] |
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SECTION 2. Section 42.225(a), Tax Code, is amended to read |
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as follows: |
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(a) On motion by a property owner who appeals an appraisal |
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review board order under this chapter, the court shall submit the |
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appeal to nonbinding arbitration. The court shall order the |
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nonbinding arbitration to be conducted in accordance with Chapter |
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154, Civil Practice and Remedies Code. If the appeal proceeds to |
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trial following an arbitration award or finding under this |
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subsection, either party may introduce the award or finding into |
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evidence. In addition, the court shall award the property owner |
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reasonable attorney fees if the trial was not requested by the |
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property owner and the determination of the appeal results in an |
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appraised value for the owner's property that is equal to or less |
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than the appraised value under the arbitration award or finding. |
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[However, the amount of an award of attorney fees under this
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subsection is subject to the same limitations as those provided by
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Section 42.29.] |
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SECTION 3. The changes in law to Sections 42.225 and 42.29, |
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Tax Code, made by this Act apply only to an appeal under Chapter 42, |
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Tax Code, that is filed on or after the effective date of this Act. |
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An appeal under Chapter 42, Tax Code, that was filed before the |
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effective date of this Act is governed by the law in effect on the |
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date the appeal was filed, and the former law is continued in effect |
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for that purpose. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2007. |