By: Guillen H.B. No. 3298
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the definition of new property value for purposes of the
  calculation of certain ad valorem tax rates for a county.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 26.012(17), Tax Code, is amended to read
  as follows:
               (17)  "New property value" means:
                     (A)  the total taxable value of property added to
  the appraisal roll in the current year by annexation and
  improvements listed on the appraisal roll that were made after
  January 1 of the preceding tax year, including personal property
  located in new improvements that was brought into the unit after
  January 1 of the preceding tax year;
                     (B)  property value that is included in the
  current total value for the tax year succeeding a tax year in which
  any portion of the value of the property was excluded from the total
  value because of the application of a tax abatement agreement to all
  or a portion of the property, less the value of the property that
  was included in the total value for the preceding tax year; [and]
                     (C)  for purposes of an entity created under
  Section 52, Article III, or Section 59, Article XVI, Texas
  Constitution, property value that is included in the current total
  value for the tax year succeeding a tax year in which the following
  occurs:
                           (i)  the subdivision of land by plat;
                           (ii)  the installation of water, sewer, or
  drainage lines; or
                           (iii)  the paving of undeveloped land; and
                     (D)  if approved by the voters in an election held
  as provided by Section 140.008, Local Government Code, for purposes
  of a county or a hospital district, the increase in total taxable
  value of real property interests in oil or gas in place listed on
  the appraisal roll in the current year attributable to the
  production of oil or gas from wells completed after January 1 of the
  preceding year.
         SECTION 2.  Chapter 140, Local Government Code, is amended
  by adding Section 140.008 to read as follows:
         Sec. 140.008.  ELECTION TO TREAT INCREASE IN TAXABLE VALUE
  OF OIL AND GAS INTERESTS AS NEW PROPERTY VALUE FOR AD VALOREM TAX
  RATE CALCULATIONS. (a) In this section, "eligible taxing unit"
  means a county or a hospital district that is authorized to impose
  and is imposing ad valorem taxes on property.
         (b)  The governing body of an eligible taxing unit may call
  an election to determine whether to treat the increase in total
  taxable value of real property interests in oil and gas in place
  listed on the appraisal roll in the current year attributable to the
  production of oil and gas from wells completed after January 1 of
  the preceding tax year as new property value for the purpose of
  calculating the effective tax rate of the taxing unit.
         (c)  The governing body of an eligible taxing unit shall call
  an election described by Subsection (b) if the qualified voters of
  the taxing unit file a petition requesting the election with the
  governing body that is signed by a number of qualified voters of the
  taxing unit that is equal to at least five percent of the number of
  votes cast in the taxing unit in the most recent gubernatorial
  election.
         (d)  Not later than the 30th day after the date the governing
  body receives a petition filed under Subsection (c), the governing
  body shall determine whether the petition is valid and enter a
  resolution stating its finding. If the governing body fails to act
  within the time allowed, the petition is treated as if it had been
  found valid.
         (e)  If the governing body finds that the petition is valid,
  or fails to act within the time allowed, the governing body shall
  order an election to be held in the eligible taxing unit not later
  than the 90th day after the date on which the governing body
  received the petition. Section 41.001(a), Election Code, does not
  apply to an election held under this section.
         (f)  At the election, the ballots shall be printed to permit
  voting for or against the proposition: "Treating the increase in
  the taxable value of real property interests in oil and gas in place
  that is attributable to the production of oil and gas from new wells
  as new property value for the purpose of calculating the effective
  tax rate of (name of eligible taxing unit)."
         (g)  If a majority of the votes cast in the election favor the
  proposition, the proposition is approved and the taxing unit shall
  calculate its new property value as provided by Section
  26.012(17)(D), Tax Code, for each tax year that begins after the
  date the election results are certified.
         (h)  The revenue received by an eligible taxing unit
  attributable to the calculation of new property value as provided
  by Section 26.012(17)(D), Tax Code, must be placed in a special
  account in the general fund of the taxing unit and may be used only
  for:
               (1)  road construction and repair within the boundaries
  of the taxing unit
         SECTION 3.  This Act applies to the calculation of certain ad
  valorem tax rates for a county only for a tax year beginning on or
  after the effective date of this Act.
         SECTION 4.  This Act takes effect January 1, 2014.