By: Van Arsdale Senate Sponsor-Hegar H.B. No. 3630
       (In the Senate - Received from the House May 3, 2007;
May 7, 2007, read first time and referred to Committee on Finance;
May 19, 2007, reported favorably by the following vote:  Yeas 11,
Nays 0; May 19, 2007, sent to printer.)
 
 
A BILL TO BE ENTITLED
AN ACT
relating to the appraisal for ad valorem tax purposes of a parcel of
land that is used for single-family residential purposes and is
contiguous to a parcel of agricultural or open-space land owned by
the same person.
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  Subchapter B, Chapter 23, Tax Code, is amended by
adding Section 23.25 to read as follows:
       Sec. 23.25.  APPRAISAL OF LAND USED FOR SINGLE-FAMILY
RESIDENTIAL PURPOSES THAT IS CONTIGUOUS TO AGRICULTURAL OR
OPEN-SPACE LAND WITH COMMON OWNERSHIP. (a)  This section applies
only to the appraisal of a parcel of land that:
             (1)  is used for single-family residential purposes;
and
             (2)  is contiguous to a parcel of land that is:
                   (A)  appraised under Subchapter C or D; and
                   (B)  owned by:
                         (i)  the same person;
                         (ii)  the person's spouse;
                         (iii)  an individual related within the
first degree of consanguinity to the person; or
                         (iv)  a legal entity that is affiliated with
the person.
       (b)  In appraising the parcel of land, the chief appraiser
shall:
             (1)  determine the price for which the parcel of land
being appraised and the contiguous parcel of land described by
Subsection (a)(2) would sell if both parcels were sold as a single
combined parcel of land; and
             (2)  attribute a portion of the amount determined under
Subdivision (1) to the parcel of land being appraised based on the
proportion that the size of the parcel of land being appraised bears
to the size of the single combined parcel of land described by
Subdivision (1).
       (c)  If the chief appraiser uses the market data comparison
method of appraisal to appraise the parcel of land, the chief
appraiser may not use comparable sales data pertaining to the sale
of land located in the corporate limits of a municipality.
       SECTION 2.  This Act applies only to the appraisal of a
parcel of land for ad valorem tax purposes for a tax year that
begins on or after the effective date of this Act.
       SECTION 3.  This Act takes effect January 1, 2008.
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