2015S0158-1 02/10/15
 
  By: Bettencourt S.B. No. 1215
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to abolishing the property tax assistance division of the
  office of the comptroller of public accounts and transferring its
  powers and duties to the newly created State Property Tax Board.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
  ARTICLE 1.  ESTABLISHING THE STATE PROPERTY TAX BOARD
         SECTION 1.01.  Chapter 5, Tax Code, is amended by
  designating Sections 5.03 through 5.16 as Subchapter A and adding a
  subchapter heading to read as follows:
  SUBCHAPTER A. STATE PROPERTY TAX BOARD
         SECTION 1.02.  Subchapter A, Chapter 5, Tax Code, as added by
  this Act, is amended by adding Sections 5.01, 5.02, 5.021, 5.022,
  and 5.023 to read as follows:
         Sec. 5.01.  DEFINITION. In this chapter, "board" means the
  State Property Tax Board.
         Sec. 5.02.  STATE PROPERTY TAX BOARD. (a)  The State
  Property Tax Board is established. The board consists of seven
  members appointed by the governor with the advice and consent of the
  senate. In making the appointments, the governor, to the extent
  practicable, shall select persons so that each geographical area of
  the state is represented. A vacancy on the board is filled in the
  same manner for the unexpired portion of the term. 
         (b)  Members of the board hold office for terms of six years,
  with the terms of two or three members expiring on March 1 of each
  odd-numbered year.
         (c)  To be eligible to serve on the board, a person must have
  been a resident of this state for at least 10 years.
         (d)  At least two members must be either registered with the
  Texas Department of Licensing and Regulation under Chapter 1151 or
  1152, Occupations Code, or an elected county assessor-collector.
         (e)  A majority of the board constitutes a quorum.
         (f)  The governor shall designate one of the members of the
  board to serve as chair for a term, in that capacity, of two years
  expiring on March 1 of each odd-numbered year.
         (g)  The board shall maintain a principal office in Austin.
         (h)  The board shall meet at least once in each calendar
  quarter and may meet at other times at the call of the chair or as
  provided by the rules of the board.
         (i)  A member of the board may not receive compensation for
  service on the board but is entitled to reimbursement for actual and
  necessary expenses, as provided by legislative appropriation,
  incurred while on travel status in the performance of official
  duties.
         Sec. 5.021.  BOARD PERSONNEL. (a)  The board shall employ
  an executive director who shall administer board operations as
  directed by the board.
         (b)  The executive director may employ professional,
  clerical, and other personnel to assist in administering board
  operations.
         Sec. 5.022.  GROUNDS FOR REMOVAL OF BOARD MEMBERS. (a)  It
  is a ground for removal from the board if a member:
               (1)  does not have at the time of appointment the
  qualifications required under Section 5.02;
               (2)  does not maintain during service on the board the
  qualifications and other eligibility conditions required by
  Section 5.02;
               (3)  violates a prohibition described by Section 5.023;
               (4)  cannot discharge the member's duties for a
  substantial part of the term for which the member is appointed
  because of illness or disability; or
               (5)  is absent from more than half of the regularly
  scheduled board meetings that the member is eligible to attend
  during a calendar year unless the absence is excused by a majority
  vote of the board.
         (b)  The validity of an action of the board is not affected by
  the fact that it is taken when a ground for removal of a board member
  exists.
         (c)  If the executive director has knowledge that a potential
  ground for removal exists, the executive director shall notify the
  chair of the ground. The chair shall then notify the governor that
  a potential ground for removal exists. If the member about which
  the executive director has knowledge that a potential ground for
  removal exists is the chair, the executive director shall notify
  two other board members of the ground, and those members shall then
  notify the governor that a potential ground for removal exists.
         Sec. 5.023.  RESTRICTIONS ON BOARD MEMBERSHIP AND
  EMPLOYMENT. (a)  An officer, employee, or paid consultant of a
  Texas trade association in the field of property taxation may not be
  a member of the board or be an employee of the board who is exempt
  from the state's position classification plan or is compensated at
  or above the amount prescribed by the General Appropriations Act
  for step 1, salary group 17, of the position classification salary
  schedule.
         (b)  A person who is the spouse of an officer, manager, or
  paid consultant of a Texas trade association in the field of
  property taxation may not be a member of the board or be an employee
  of the board who is exempt from the state's position classification
  plan or is compensated at or above the amount prescribed by the
  General Appropriations Act for step 1, salary group 17, of the
  position classification salary schedule.
         (c)  A person may not serve as a member of the board or act as
  the general counsel to the board if the person is required to
  register as a lobbyist under Chapter 305, Government Code, because
  of the person's activities for compensation on behalf of a
  profession related to the operation of the board.
         (d)  In this section, "Texas trade association" means a
  nonprofit, cooperative, and voluntarily joined association of
  business or professional competitors in this state designed to
  assist its members and its industry or profession in dealing with
  mutual business or professional problems and in promoting their
  common interest.
         SECTION 1.03.  Section 5.03, Tax Code, is amended to read as
  follows:
         Sec. 5.03.  POWERS AND DUTIES GENERALLY. (a)  The board 
  [comptroller] shall adopt rules establishing minimum standards for
  the administration and operation of an appraisal district. The
  minimum standards may vary according to the number of parcels and
  the kinds of property the district is responsible for appraising.
         (b)  The board [comptroller] may require from each district
  engaged in appraising property for taxation an annual report on a
  form prescribed by the board [comptroller] on the administration
  and operation of the appraisal office.
         (c)  The board [comptroller] may contract with consultants
  to assist in performance of the duties imposed by this chapter.
         SECTION 1.04.  Section 5.04(a), Tax Code, is amended to read
  as follows:
         (a)  The board [comptroller] shall enter into a memorandum of
  understanding with the Texas Department of Licensing and Regulation
  or any successor agency responsible for certifying tax
  professionals in this state in setting standards for and approving
  curricula and materials for use in training and educating
  appraisers and assessor-collectors, and the board [comptroller]
  may contract or enter into a memorandum of understanding with other
  public agencies, educational institutions, or private
  organizations in sponsoring courses of instruction and training
  programs.
         SECTION 1.05.  Sections 5.041(a), (b), (b-1), (c), (d),
  (e-1), (e-2), (e-3), and (f), Tax Code, are amended to read as
  follows:
         (a)  The board [comptroller] shall:
               (1)  approve curricula and provide materials for use in
  training and educating members of an appraisal review board;
               (2)  supervise a comprehensive course for training and
  education of appraisal review board members and issue certificates
  indicating course completion;
               (3)  make all materials for use in training and
  educating members of an appraisal review board freely available
  online;
               (4)  establish and maintain a toll-free telephone
  number that appraisal review board members may call for answers to
  technical questions relating to the duties and responsibilities of
  appraisal review board members and property appraisal issues; and
               (5)  provide, as feasible, online technological
  assistance to improve the operations of appraisal review boards and
  appraisal districts.
         (b)  A member of the appraisal review board established for
  an appraisal district must complete the course established under
  Subsection (a). A member of the appraisal review board may not
  participate in a hearing conducted by the appraisal review board
  unless the person has completed the course established under
  Subsection (a) and received a certificate of course completion.
         (b-1)  At the conclusion of a course established under
  Subsection (a), each member of an appraisal review board in
  attendance shall complete a statement, on a form prescribed by the
  board [comptroller], indicating that the member will comply with
  the requirements of this title in conducting hearings.
         (c)  The board [comptroller] may contract with service
  providers to assist with the duties imposed under Subsection (a),
  but the course required may not be provided by an appraisal
  district, the chief appraiser or another employee of an appraisal
  district, a member of the board of directors of an appraisal
  district, a member of an appraisal review board, or a taxing unit.
  The board [comptroller] may assess a fee to recover a portion of the
  costs incurred for the training course, but the fee may not exceed
  $50 per person trained.
         (d)  The course material for the course required under
  Subsection (a) is the State Property Tax Board's [comptroller's]
  Appraisal Review Board Manual [in use on the effective date of this
  section]. The manual shall be updated regularly. It may be revised
  on request, in writing, to the board [comptroller]. The revision
  language must be approved on the unanimous agreement of a committee
  selected by the board [comptroller] and representing, equally,
  taxpayers and chief appraisers. The person requesting the revision
  shall pay the costs of mediation if the board [comptroller]
  determines that mediation is required.
         (e-1)  In addition to the course established under
  Subsection (a), the board [comptroller] shall approve curricula and
  provide materials for use in a continuing education course for
  members of an appraisal review board. The curricula and materials
  must include information regarding:
               (1)  the cost, income, and market data comparison
  methods of appraising property;
               (2)  the appraisal of business personal property;
               (3)  the determination of capitalization rates for
  property appraisal purposes;
               (4)  the duties of an appraisal review board;
               (5)  the requirements regarding the independence of an
  appraisal review board from the board of directors and the chief
  appraiser and other employees of the appraisal district;
               (6)  the prohibitions against ex parte communications
  applicable to appraisal review board members;
               (7)  the Uniform Standards of Professional Appraisal
  Practice;
               (8)  the duty of the appraisal district to substantiate
  the district's determination of the value of property;
               (9)  the requirements regarding the equal and uniform
  appraisal of property;
               (10)  the right of a property owner to protest the
  appraisal of the property as provided by Chapter 41; and
               (11)  a detailed explanation of each of the actions
  described by Sections 25.25, 41.41(a), 41.411, 41.412, 41.413,
  41.42, and 41.43 so that members are fully aware of each of the
  grounds on which a property appraisal can be appealed.
         (e-2)  During the second year of an appraisal review board
  member's term of office, the member must successfully complete the
  course established under Subsection (e-1). At the conclusion of
  the course, the member must complete a statement described by
  Subsection (b-1). A person may not participate in a hearing
  conducted by the appraisal review board, vote on a determination of
  a protest, or be reappointed to an additional term on the appraisal
  review board until the person has completed the course established
  under Subsection (e-1) and has received a certificate of course
  completion. If the person is reappointed to an additional term on
  the appraisal review board, the person must successfully complete
  the course established under Subsection (e-1) and comply with the
  other requirements of this subsection in each year the member
  continues to serve.
         (e-3)  The board [comptroller] may contract with service
  providers to assist with the duties imposed under Subsection (e-1),
  but the course required by that subsection may not be provided by an
  appraisal district, the chief appraiser or another employee of an
  appraisal district, a member of the board of directors of an
  appraisal district, a member of an appraisal review board, or a
  taxing unit. The board [comptroller] may assess a fee to recover a
  portion of the costs incurred for the continuing education course,
  but the fee may not exceed $50 for each person trained.
         (f)  The board [comptroller] may not advise a property owner,
  a property owner's agent, or the chief appraiser or another
  employee of an appraisal district on a matter that the board
  [comptroller] knows is the subject of a protest to the appraisal
  review board. The board [comptroller] may provide advice to an
  appraisal review board member as authorized by Subsection (a)(4) of
  this section or Section 5.103 and may communicate with the chair
  [chairman] of an appraisal review board or a taxpayer liaison
  officer concerning a complaint filed under Section 6.052.
         SECTION 1.06.  Sections 5.05(a), (b), and (c), Tax Code, are
  amended to read as follows:
         (a)  The board [comptroller] may prepare and issue
  publications relating to the appraisal of property and the
  administration of taxes, or may approve other publications relating
  to those matters, including materials published by The Appraisal
  Foundation, the International Association of Assessing Officers,
  or other professionally recognized organizations, for use in the
  administration of property taxes, including:
               (1)  a general appraisal manual;
               (2)  special appraisal manuals as authorized by law;
               (3)  cost, price, and depreciation schedules as
  authorized by law, with provision for inserting local market index
  factors and with a standard procedure for determining local market
  index factors;
               (4)  periodic news and reference bulletins;
               (5)  [an] annotated digests of all laws relating to
  property taxation [version of this title and Title 3]; and
               (6)  a handbook of [containing selected laws and] all
  rules promulgated by the board [comptroller] relating to the
  property tax and its administration.
         (b)  The board [comptroller] shall revise or supplement all
  materials issued by the board [comptroller] or approve other
  publications periodically as necessary to keep them current.
         (c)  The board [comptroller] shall electronically publish
  all materials under this section for administering the property tax
  system. The board [comptroller] shall make the materials available
  to local governmental officials and members of the public but may
  charge a reasonable fee to offset the costs of preparing, printing,
  and distributing the materials.
         SECTION 1.07.  Sections 5.06, 5.07, 5.08, 5.09, 5.10, 5.102,
  5.103, 5.12, 5.13, 5.14, and 5.16, Tax Code, are amended to read as
  follows:
         Sec. 5.06.  EXPLANATION OF TAXPAYER REMEDIES. The board
  [comptroller] shall prepare and electronically publish a pamphlet
  explaining the remedies available to dissatisfied taxpayers and the
  procedures to be followed in seeking remedial action. The board
  [comptroller] shall include in the pamphlet advice on preparing and
  presenting a protest.
         Sec. 5.07.  PROPERTY TAX FORMS AND RECORDS SYSTEMS.
  (a)  The board [comptroller] shall prescribe the contents of all
  forms necessary for the administration of the property tax system
  and on request shall furnish sufficient copies of model forms of
  each type to the appropriate local officials. The board
  [comptroller] may require reimbursement for the costs of printing
  and distributing the forms.
         (b)  The board [comptroller] shall make the contents of the
  forms uniform to the extent practicable but may prescribe or
  approve additional or substitute forms for special circumstances.
         (c)  The board [comptroller] shall also prescribe a uniform
  record system to be used by all appraisal districts for the purpose
  of submitting data to be used in the studies required by Sections
  [Section] 5.10 [of this code] and 5.23 [by Section 403.302,
  Government Code]. The record system shall include a compilation of
  information concerning sales of real property within the boundaries
  of the appraisal district. The sales information maintained in the
  uniform record system shall be submitted annually in a form
  prescribed by the board [comptroller].
         Sec. 5.08.  PROFESSIONAL AND TECHNICAL ASSISTANCE. (a)  The
  board [comptroller] may provide professional and technical
  assistance on request in appraising property, installing or
  updating tax maps, purchasing equipment, developing recordkeeping
  systems, or performing other appraisal activities. The board
  [comptroller] may also provide professional and technical
  assistance on request to an appraisal review board. The board
  [comptroller] may require reimbursement for the costs of providing
  the assistance.
         (b)  The board [comptroller] may provide information to and
  consult with persons actively engaged in appraising property for
  tax purposes about any matter relating to property taxation without
  charge.
         Sec. 5.09.  BIENNIAL REPORTS. (a)  The board [comptroller]
  shall prepare a biennial report of its operations and the
  operations of the appraisal districts of this state. The report
  shall include the total appraised values and taxable values of
  taxable property by category and the tax rates of each county,
  municipality, and school district in effect for the two years
  preceding the year in which the report is prepared.
         (b)  Not later than December 31 of each even-numbered year,
  the board [comptroller] shall:
               (1)  electronically publish on the board's
  [comptroller's] Internet website the report required by Subsection
  (a); and
               (2)  notify the governor, the lieutenant governor, and
  each member of the legislature that the report is available on the
  website.
         Sec. 5.10.  RATIO STUDIES. (a)  At least once every two
  years, the board [comptroller] shall conduct a study in each
  appraisal district to determine the degree of uniformity of and the
  median level of appraisals by the appraisal district within each
  major category of property. The board [comptroller] shall publish
  a report of the findings of the study, including in the report the
  median levels of appraisal for each major category of property, the
  coefficient of dispersion around the median level of appraisal for
  each major category of property, and any other standard statistical
  measures that the board [comptroller] considers appropriate. In
  conducting the study, the board [comptroller] shall apply
  appropriate standard statistical analysis techniques to data
  collected as part of the study of school district taxable values
  required by Section 5.23 [403.302, Government Code].
         (b)  The published findings of a ratio study conducted by the
  board [comptroller] shall be distributed to all members of the
  legislature and to all appraisal districts.
         (c)  In conducting a study under this section, the board
  [comptroller] or the board's [comptroller's] authorized
  representative may enter the premises of a business, trade, or
  profession and inspect the property to determine the existence and
  market value of property used for the production of income. An
  inspection under this subsection must be made during normal
  business hours or at a time mutually agreeable to the board
  [comptroller] or the board's [comptroller's] authorized
  representative and the person in control of the premises.
         Sec. 5.102.  REVIEW OF APPRAISAL DISTRICTS. (a)  At least
  once every two years, the board [comptroller] shall review the
  governance of each appraisal district, taxpayer assistance
  provided, and the operating and appraisal standards, procedures,
  and methodology used by each appraisal district, to determine
  compliance with generally accepted standards, procedures, and
  methodology. After consultation with the advisory committee
  created under Section 5.23 [403.302, Government Code], the board
  [comptroller] by rule may establish procedures and standards for
  conducting and scoring the review.
         (b)  In conducting the review, the board [comptroller] is
  entitled to access to all records and reports of the appraisal
  district, to copy or print any record or report of the appraisal
  district, and to the assistance of the appraisal district's
  officers and employees.
         (c)  At the conclusion of the review, the board [comptroller]
  shall, in writing, notify the appraisal district concerning its
  performance in the review. If the review results in a finding that
  an appraisal district is not in compliance with generally accepted
  standards, procedures, and methodology, the board [comptroller]
  shall deliver a report that details the board's [comptroller's]
  findings and recommendations for improvement to:
               (1)  the appraisal district's chief appraiser and board
  of directors; and
               (2)  the superintendent and board of trustees of each
  school district participating in the appraisal district.
         (d)  If the appraisal district fails to comply with the
  recommendations in the report and the board [comptroller] finds
  that the board of directors of the appraisal district failed to take
  remedial action reasonably designed to ensure substantial
  compliance with each recommendation in the report before the first
  anniversary of the date the report was issued, the board
  [comptroller] shall notify the department [Board of Tax
  Professional Examiners, or a successor to the board], which shall
  take action necessary to ensure that the recommendations in the
  report are implemented as soon as practicable.
         (e)  Before February 1 of the year following the year in
  which the department [Board of Tax Professional Examiners, or its
  successor,] takes action under Subsection (d), and with the
  assistance of the board [comptroller], the department [board] shall
  determine whether the recommendations in the most recent report
  have been substantially implemented. The executive director of the
  department [presiding officer of the board] shall notify the chief
  appraiser and the board of directors of the appraisal district in
  writing of the department's [board's] determination.
         (f)  In this section, "department" means the Texas
  Department of Licensing and Regulation.
         Sec. 5.103.  APPRAISAL REVIEW BOARD OVERSIGHT. (a)  The
  board [comptroller] shall prepare model hearing procedures for
  appraisal review boards.
         (b)  The model hearing procedures shall address:
               (1)  the statutory duties of an appraisal review board;
               (2)  the process for conducting a hearing;
               (3)  the scheduling of hearings;
               (4)  the postponement of hearings;
               (5)  the notices required under this title;
               (6)  the determination of good cause under Section
  41.44(b);
               (7)  the determination of good cause under Sections
  41.45(e) and (e-1);
               (8)  a party's right to offer evidence and argument;
               (9)  a party's right to examine or cross-examine
  witnesses or other parties;
               (10)  a party's right to appear by an agent;
               (11)  the prohibition of an appraisal review board's
  consideration of information not provided at a hearing;
               (12)  ex parte and other prohibited communications;
               (13)  the exclusion of evidence at a hearing as
  required by Section 41.67(d);
               (14)  the postponement of a hearing as required by
  Section 41.66(h);
               (15)  conflicts of interest;
               (16)  the process for the administration of
  applications for membership on an appraisal review board; and
               (17)  any other matter related to fair and efficient
  appraisal review board hearings.
         (c)  The board [comptroller] may:
               (1)  categorize appraisal districts based on the size
  of the district, the number of protests filed in the district, or
  similar characteristics; and
               (2)  develop different model hearing procedures for
  different categories of districts.
         (d)  An appraisal review board shall follow the model hearing
  procedures prepared by the board [comptroller] when establishing
  its procedures for hearings as required by Section 41.66(a).
         (e)  The board [comptroller] shall prescribe the contents of
  a survey form for the purpose of providing the public a reasonable
  opportunity to offer comments and suggestions concerning the
  appraisal review board established for an appraisal district. The
  survey form must permit a person to offer comments and suggestions
  concerning the matters listed in Subsection (b) or any other matter
  related to the fairness and efficiency of the appraisal review
  board. The survey form, together with instructions for completing
  the form and submitting the form, shall be provided to each property
  owner at or before each hearing on a protest conducted by an
  appraisal review board. The appraisal office may provide clerical
  assistance to the board [comptroller] for purposes of the
  implementation of this subsection, including assistance in
  providing and receiving the survey form. The board [comptroller],
  or an appraisal office providing clerical assistance to the board
  [comptroller], may provide for the provision and submission of
  survey forms electronically.
         (f)  The board [comptroller] shall issue an annual report
  summarizing the survey forms submitted by property owners
  concerning each appraisal review board. The report may not
  disclose the identity of a person who submits a survey form.
         Sec. 5.12.  PERFORMANCE AUDIT OF APPRAISAL DISTRICT.
  (a)  The board [comptroller] shall audit the performance of an
  appraisal district if one or more of the following conditions exist
  according to each of two consecutive studies conducted by the board
  [comptroller] under Section 5.10, regardless of whether the
  prescribed condition or conditions that exist are the same for each
  of those studies:
               (1)  the overall median level of appraisal for all
  property in the district for which the board [comptroller]
  determines a median level of appraisal is less than 0.75;
               (2)  the coefficient of dispersion around the overall
  median level of appraisal of the properties used to determine the
  overall median level of appraisal for all property in the district
  for which the board [comptroller] determines a median level of
  appraisal exceeds 0.30; or
               (3)  the difference between the median levels of
  appraisal for any two classes of property in the district for which
  the board [comptroller] determines a median level of appraisal is
  more than 0.45.
         (b)  At the written request of the governing bodies of a
  majority of the taxing units participating in an appraisal district
  or of a majority of the taxing units entitled to vote on the
  appointment of appraisal district directors, the board
  [comptroller] shall audit the performance of the appraisal
  district. The governing bodies may request a general audit of the
  performance of the appraisal district or may request an audit of
  only one or more particular duties, practices, functions,
  departments, or other appraisal district matters.
         (c)  At the written request of the owners of not less than 10
  percent of the number of accounts or parcels of property in an
  appraisal district belonging to a single class of property, if the
  class constitutes at least five percent of the appraised value of
  taxable property within the district in the preceding year, or at
  the written request of the owners of property representing not less
  than 10 percent of the appraised value of all property in the
  district belonging to a single class of property, if the class
  constitutes at least five percent of the appraised value of taxable
  property in the district in the preceding year, the board
  [comptroller] shall audit the performance of the appraisal
  district. The property owners may request a general audit of the
  performance of the appraisal district or may request an audit of
  only one or more particular duties, practices, functions,
  departments, or other appraisal district matters. A property owner
  may authorize an agent to sign a request for an audit under this
  subsection on the property owner's behalf. The board [comptroller]
  may require a person signing a request for an audit to provide proof
  that the person is entitled to sign the request as a property owner
  or as the agent of a property owner.
         (d)  A request for a performance audit of an appraisal
  district may not be made under Subsection (b) or (c) if according to
  each of the two most recently published studies conducted by the
  board [comptroller] under Section 5.10:
               (1)  the overall median level of appraisal for all
  property in the district for which the board [comptroller]
  determines a median level of appraisal is more than 0.90 and less
  than 1.10;
               (2)  the coefficient of dispersion around the overall
  median level of appraisal of the properties used to determine the
  overall median level of appraisal for all property in the district
  for which the board [comptroller] determines a median level of
  appraisal is less than 0.15; and
               (3)  the difference between the highest and lowest
  median levels of appraisal in the district for the classes of
  property for which the board [comptroller] determines a median
  level of appraisal is less than 0.20.
         (e)  A request for a performance audit of an appraisal
  district may not be made under Subsection (b) or (c):
               (1)  during the two years immediately following the
  publication of the second of two consecutive studies according to
  which the board [comptroller] is required to conduct an audit of the
  district under Subsection (a);
               (2)  during the year immediately following the date the
  results of an audit of the district conducted by the board
  [comptroller] under Subsection (a) are reported to the chief
  appraiser of the district; or
               (3)  during a year in which the board [comptroller] is
  conducting a review of the district under Section 5.102.
         (f)  For purposes of this section, "class of property" means
  a major kind of property for which the board [comptroller]
  determines a median level of appraisal under Section 5.10 [of this
  code].
         (h)  In addition to the performance audits required by
  Subsections (a), (b), and (c) and the review of appraisal standards
  required by Section 5.102, the board [comptroller] may audit an
  appraisal district to analyze the effectiveness and efficiency of
  the policies, management, and operations of the appraisal district.
  The results of the audit shall be delivered in a report that details
  the board's [comptroller's] findings and recommendations for
  improvement to the appraisal district's chief appraiser and board
  of directors and the governing body of each taxing unit
  participating in the appraisal district. The board [comptroller]
  may require reimbursement by the appraisal district for some or all
  of the costs of the audit, not to exceed the actual costs associated
  with conducting the audit.
         Sec. 5.13.  ADMINISTRATION OF PERFORMANCE AUDITS. (a)  The
  board [comptroller] shall complete an audit required by Section
  5.12(a) within two years after the date of the publication of the
  second of the two studies the results of which required the audit to
  be conducted. The board [comptroller] shall complete an audit
  requested under Section 5.12(b) or (c) as soon as practicable after
  the request is made.
         (b)  The board [comptroller] may not audit the financial
  condition of an appraisal district or a district's tax collections.
  If the request is for an audit limited to one or more particular
  matters, the board's [comptroller's] audit must be limited to those
  matters.
         (c)  The board [comptroller] must approve the specific plan
  for the performance audit of an appraisal district. Before
  approving an audit plan, the board [comptroller] must provide any
  interested person an opportunity to appear before the board
  [comptroller] and to comment on the proposed plan. Not later than
  the 20th day before the date the board [comptroller] considers the
  plan for an appraisal district performance audit, the board
  [comptroller] must notify the presiding officer of the appraisal
  district board of directors that the board [comptroller] intends to
  consider the plan. The notice must include the time, date, and
  place of the meeting to consider the plan. Immediately after
  receiving the notice, the presiding officer shall deliver a copy of
  the notice to the other members of the appraisal district board of
  directors.
         (d)  In conducting a general audit, the board [comptroller]
  shall consider and report on:
               (1)  the extent to which the district complies with
  applicable law or generally accepted standards of appraisal or
  other relevant practice;
               (2)  the uniformity and level of appraisal of major
  kinds of property and the cause of any significant deviations from
  ideal uniformity and equality of appraisal of major kinds of
  property;
               (3)  duplication of effort and efficiency of operation;
               (4)  the general efficiency, quality of service, and
  qualification of appraisal district personnel; and
               (5)  except as otherwise provided by Subsection (b) of
  this section, any other matter included in the request for the
  audit.
         (e)  In conducting the audit, the board [comptroller] is
  entitled to have access at all times to the books, appraisal and
  other records, reports, vouchers, and other information, whether
  confidential or not, of the appraisal district. The board
  [comptroller] may require the assistance of appraisal district
  officers or employees that does not interfere significantly with
  the ordinary functions of the appraisal district. The board
  [comptroller] may rely on any analysis it has made previously
  relating to the appraisal district if the previous analysis is
  useful or relevant to the audit.
         (f)  The board [comptroller] shall report the results of its
  audit in writing to the governing body of each taxing unit that
  participates in the appraisal district, to the chief appraiser, and
  to the presiding officer of the appraisal district board of
  directors. If the audit was requested under Section 5.12(c) [of
  this code], the board [comptroller] shall also provide a report to a
  representative of the property owners who requested the audit.
         (g)  If the audit is required or requested under Section
  5.12(a) or (b) [of this code], the appraisal district shall
  reimburse the board [comptroller] for the costs incurred in
  conducting the audit and making its report of the audit. The costs
  shall be allocated among the taxing units participating in the
  district in the same manner as an operating expense of the district.
  If the audit is requested under Section 5.12(c) [of this code], the
  property owners who requested the audit shall reimburse the board
  [comptroller] for the costs incurred in conducting the audit and
  making its report of the audit and shall allocate the costs among
  those property owners in proportion to the appraised value of each
  property owner's property in the district or on such other basis as
  the property owners may agree. If the audit confirms that the
  median level of appraisal for a class of property exceeds 1.10 or
  that the median level of appraisal for a class of property varies at
  least 10 percent from the overall median level of appraisal for all
  property in the district for which the board [comptroller]
  determines a median level of appraisal, within 90 days after the
  date a request is made by the property owners for reimbursement the
  appraisal district shall reimburse the property owners who
  requested the audit for the amount paid to the board [comptroller]
  for the costs incurred in conducting the audit and making the
  report. Before conducting an audit under Section 5.12(c), the
  board [comptroller] may require the requesting taxing units or
  property owners to provide the board [comptroller] with a bond,
  deposit, or other financial security sufficient to cover the
  expected costs of conducting the audit and making the report. For
  purposes of this subsection, "costs" include expenses related to
  salaries, professional fees, travel, reproduction or other
  printing services, and consumable supplies that are directly
  attributable to conducting the audit.
         (h)  At any time after the request for an audit is made, the
  board [comptroller] may discontinue the audit in whole or in part if
  requested to do so by:
               (1)  the governing bodies of a majority of the taxing
  units participating in the district, if the audit was requested by a
  majority of those units;
               (2)  the governing bodies of a majority of the taxing
  units entitled to vote on the appointment of appraisal district
  directors, if the audit was requested by a majority of those units;
  or
               (3)  if the audit was requested under Section 5.12(c)
  [of this code], by the taxpayers who requested the audit.
         (i)  The board [comptroller] by rule may adopt procedures,
  audit standards, and forms for the administration of the
  performance audits.
         Sec. 5.14.  PUBLIC ACCESS, INFORMATION, AND COMPLAINTS.
  (a)  The board [comptroller] shall develop and implement policies
  that provide the public with a reasonable opportunity to submit
  information on any property tax issue under the jurisdiction of the
  board [comptroller].
         (b)  The board [comptroller] shall prepare and maintain a
  written plan that describes how a person who does not speak English
  or who has a physical, mental, or developmental disability may be
  provided reasonable access to the board's [comptroller's] programs.
         (c)  The board [comptroller] shall prepare information of
  public interest describing the property tax functions of the board
  [office of the comptroller] and the board's [comptroller's]
  procedures by which complaints are filed with and resolved by the
  board [comptroller]. The board [comptroller] shall make the
  information available to the public and appropriate state agencies.
         (d)  If a written complaint is filed with the board
  [comptroller] that the board [comptroller] has authority to
  resolve, the board [comptroller], at least quarterly and until
  final disposition of the complaint, shall notify the parties to the
  complaint of the status of the complaint unless notice would
  jeopardize an undercover investigation.
         (e)  The board [comptroller] shall keep an information file
  about each complaint filed with the board [comptroller] that the
  board [comptroller] has authority to resolve.
         Sec. 5.16.  ADMINISTRATIVE PROVISIONS. (a)  The board
  [comptroller] may inspect the records or other materials of an
  appraisal office or taxing unit, including the relevant records and
  materials in the possession or control of a consultant, advisor, or
  expert hired by the appraisal office or taxing unit, for the purpose
  of:
               (1)  establishing, reviewing, or evaluating the value
  of or an appraisal of any property; or
               (2)  conducting a study, review, or audit required by
  Section 5.10, [or] 5.102, or 5.23 [by Section 403.302, Government
  Code].
         (b)  On request of the board [comptroller], the chief
  appraiser or administrative head of the taxing unit shall produce
  the materials in the form and manner prescribed by the board
  [comptroller].
         SECTION 1.08.  Subchapter M, Chapter 403, Government Code,
  is transferred to Chapter 5, Tax Code, redesignated as Subchapter
  B, and amended to read as follows:
  SUBCHAPTER B [M].  STUDY OF SCHOOL DISTRICT PROPERTY VALUES
         Sec. 5.21  [403.301]. PURPOSE. It is the policy of this
  state to ensure equity among taxpayers in the burden of school
  district taxes and among school districts in the distribution of
  state financial aid for public education.  The purpose of this
  subchapter is to promote that policy by providing for uniformity in
  local property appraisal practices and procedures and in the
  determination of property values for schools in order to distribute
  state funding equitably.
         Sec. 5.22  [403.3011]. DEFINITIONS. In this subchapter:
               (1)  "Study" means a study conducted under Section 5.23
  [403.302].
               (2)  "Eligible school district" means a school district
  for which the board [comptroller] has determined the following:
                     (A)  in the most recent study, the local value is
  invalid under Section 5.23(c) [403.302(c)] and does not exceed the
  state value for the school district determined in the study;
                     (B)  in the two studies preceding the most recent
  study, the school district's local value was valid under Section
  5.23(c) [403.302(c)];
                     (C)  in the most recent study, the aggregate local
  value of all of the categories of property sampled by the board
  [comptroller] is not less than 90 percent of the lower limit of the
  margin of error as determined by the board [comptroller] of the
  aggregate value as determined by the board [comptroller] of all of
  the categories of property sampled by the board [comptroller]; and
                     (D)  the appraisal district that appraises
  property for the school district was in compliance with the scoring
  requirement of the board's [comptroller's] most recent review of
  the appraisal district conducted under Section 5.102[, Tax Code].
               (3)  "Local value" means the market value of property
  in a school district as determined by the appraisal district that
  appraises property for the school district, less the total amounts
  and values listed in Section 5.23(d) [403.302(d)] as determined by
  that appraisal district.
               (4)  "State value" means the value of property in a
  school district as determined in a study.
         Sec. 5.23  [403.302]. DETERMINATION OF SCHOOL DISTRICT
  PROPERTY VALUES. (a)  The board [comptroller] shall conduct a
  study using comparable sales and generally accepted auditing and
  sampling techniques to determine the total taxable value of all
  property in each school district.  The study shall determine the
  taxable value of all property and of each category of property in
  the district and the productivity value of all land that qualifies
  for appraisal on the basis of its productive capacity and for which
  the owner has applied for and received a productivity appraisal.
  The board [comptroller] shall make appropriate adjustments in the
  study to account for actions taken under Chapter 41, Education
  Code.
         (a-1)  The board [comptroller] shall conduct a study:
               (1)  at least every two years in each school district
  for which the most recent study resulted in a determination by the
  board [comptroller] that the school district's local value was
  valid; and
               (2)  each year in a school district for which the most
  recent study resulted in a determination by the board [comptroller]
  that the school district's local value was not valid.
         (a-2)  If in any year the board [comptroller] does not
  conduct a study, the school district's local value for that year is
  considered to be valid.
         (b)  In conducting the study, the board [comptroller] shall
  determine the taxable value of property in each school district:
               (1)  using, if appropriate, samples selected through
  generally accepted sampling techniques;
               (2)  according to generally accepted standard
  valuation, statistical compilation, and analysis techniques;
               (3)  ensuring that different levels of appraisal on
  sold and unsold property do not adversely affect the accuracy of the
  study; and
               (4)  ensuring that different levels of appraisal
  resulting from protests determined under Section 41.43[, Tax Code,]
  are appropriately adjusted in the study.
         (c)  If after conducting the study the board [comptroller]
  determines that the local value for a school district is valid, the
  local value is presumed to represent taxable value for the school
  district. In the absence of that presumption, taxable value for a
  school district is the state value for the school district
  determined by the board [comptroller] under Subsections (a) and (b)
  unless the local value exceeds the state value, in which case the
  taxable value for the school district is the district's local
  value. In determining whether the local value for a school district
  is valid, the board [comptroller] shall use a margin of error that
  does not exceed five percent unless the board [comptroller]
  determines that the size of the sample of properties necessary to
  make the determination makes the use of such a margin of error not
  feasible, in which case the board [comptroller] may use a larger
  margin of error.
         (c-1)  This subsection applies only to a school district
  whose central administrative office is located in a county with a
  population of 9,000 or less and a total area of more than 6,000
  square miles. If after conducting the study for a tax year the
  board [comptroller] determines that the local value for a school
  district is not valid, the board [comptroller] shall adjust the
  taxable value determined under Subsections (a) and (b) as follows:
               (1)  for each category of property sampled and tested
  by the board [comptroller] in the school district, the board
  [comptroller] shall use the weighted mean appraisal ratio
  determined by the study, unless the ratio is more than four
  percentage points lower than the weighted mean appraisal ratio
  determined by the board [comptroller] for that category of property
  in the immediately preceding study, in which case the board
  [comptroller] shall use the weighted mean appraisal ratio
  determined in the immediately preceding study minus four percentage
  points;
               (2)  the board [comptroller] shall use the category
  weighted mean appraisal ratios as adjusted under Subdivision (1) to
  establish a value estimate for each category of property sampled
  and tested by the board [comptroller] in the school district; and
               (3)  the value estimates established under Subdivision
  (2), together with the local tax roll value for any categories not
  sampled and tested by the board [comptroller], less total
  deductions determined by the board [comptroller], determine the
  taxable value for the school district.
         (d)  For the purposes of this section, "taxable value" means
  the market value of all taxable property less:
               (1)  the total dollar amount of any residence homestead
  exemptions lawfully granted under Section 11.13(b) or (c)[, Tax
  Code,] in the year that is the subject of the study for each school
  district;
               (2)  one-half of the total dollar amount of any
  residence homestead exemptions granted under Section 11.13(n)[,
  Tax Code,] in the year that is the subject of the study for each
  school district;
               (3)  the total dollar amount of any exemptions granted
  before May 31, 1993, within a reinvestment zone under agreements
  authorized by Chapter 312[, Tax Code];
               (4)  subject to Subsection (e), the total dollar amount
  of any captured appraised value of property that:
                     (A)  is within a reinvestment zone created on or
  before May 31, 1999, or is proposed to be included within the
  boundaries of a reinvestment zone as the boundaries of the zone and
  the proposed portion of tax increment paid into the tax increment
  fund by a school district are described in a written notification
  provided by the municipality or the board of directors of the zone
  to the governing bodies of the other taxing units in the manner
  provided by former Section 311.003(e)[, Tax Code,] before May 31,
  1999, and within the boundaries of the zone as those boundaries
  existed on September 1, 1999, including subsequent improvements to
  the property regardless of when made;
                     (B)  generates taxes paid into a tax increment
  fund created under Chapter 311[, Tax Code,] under a reinvestment
  zone financing plan approved under Section 311.011(d)[, Tax Code,]
  on or before September 1, 1999; and
                     (C)  is eligible for tax increment financing under
  Chapter 311[, Tax Code];
               (5)  the total dollar amount of any captured appraised
  value of property that:
                     (A)  is within a reinvestment zone:
                           (i)  created on or before December 31, 2008,
  by a municipality with a population of less than 18,000; and
                           (ii)  the project plan for which includes
  the alteration, remodeling, repair, or reconstruction of a
  structure that is included on the National Register of Historic
  Places and requires that a portion of the tax increment of the zone
  be used for the improvement or construction of related facilities
  or for affordable housing;
                     (B)  generates school district taxes that are paid
  into a tax increment fund created under Chapter 311[, Tax Code]; and
                     (C)  is eligible for tax increment financing under
  Chapter 311[, Tax Code];
               (6)  the total dollar amount of any exemptions granted
  under Section 11.251 or 11.253[, Tax Code];
               (7)  the difference between the board's [comptroller's]
  estimate of the market value and the productivity value of land that
  qualifies for appraisal on the basis of its productive capacity,
  except that the productivity value estimated by the board
  [comptroller] may not exceed the fair market value of the land;
               (8)  the portion of the appraised value of residence
  homesteads of individuals who receive a tax limitation under
  Section 11.26[, Tax Code,] on which school district taxes are not
  imposed in the year that is the subject of the study, calculated as
  if the residence homesteads were appraised at the full value
  required by law;
               (9)  a portion of the market value of property not
  otherwise fully taxable by the district at market value because of:
                     (A)  action required by statute or the
  constitution of this state, other than Section 11.311[, Tax Code,]
  that, if the tax rate adopted by the district is applied to it,
  produces an amount equal to the difference between the tax that the
  district would have imposed on the property if the property were
  fully taxable at market value and the tax that the district is
  actually authorized to impose on the property, if this subsection
  does not otherwise require that portion to be deducted; or
                     (B)  action taken by the district under Subchapter
  B or C, Chapter 313[, Tax Code,] before the expiration of the
  subchapter;
               (10)  the market value of all tangible personal
  property, other than manufactured homes, owned by a family or
  individual and not held or used for the production of income;
               (11)  the appraised value of property the collection of
  delinquent taxes on which is deferred under Section 33.06[, Tax
  Code];
               (12)  the portion of the appraised value of property
  the collection of delinquent taxes on which is deferred under
  Section 33.065[, Tax Code]; and
               (13)  the amount by which the market value of a
  residence homestead to which Section 23.23[, Tax Code,] applies
  exceeds the appraised value of that property as calculated under
  that section.
         (d-1)  For purposes of Subsection (d), a residence homestead
  that receives an exemption under Section 11.131 or 11.132[, Tax
  Code,] in the year that is the subject of the study is not
  considered to be taxable property.
         (e)  The total dollar amount deducted in each year as
  required by Subsection (d)(4) in a reinvestment zone created after
  January 1, 1999, may not exceed the captured appraised value
  estimated for that year as required by Section 311.011(c)(8)[, Tax
  Code,] in the reinvestment zone financing plan approved under
  Section 311.011(d)[, Tax Code,] before September 1, 1999. The
  number of years for which the total dollar amount may be deducted
  under Subsection (d)(4) shall for any zone, including those created
  on or before January 1, 1999, be limited to the duration of the zone
  as specified as required by Section 311.011(c)(9)[, Tax Code,] in
  the reinvestment zone financing plan approved under Section
  311.011(d)[, Tax Code,] before September 1, 1999. The total dollar
  amount deducted under Subsection (d)(4) for any zone, including
  those created on or before January 1, 1999, may not be increased by
  any reinvestment zone financing plan amendments that occur after
  August 31, 1999. The total dollar amount deducted under Subsection
  (d)(4) for any zone, including those created on or before January 1,
  1999, may not be increased by a change made after August 31, 1999,
  in the portion of the tax increment retained by the school district.
         (e-1)  This subsection applies only to a reinvestment zone
  created by a municipality that has a population of 70,000 or less
  and is located in a county in which all or part of a military
  installation is located. Notwithstanding Subsection (e), if on or
  after January 1, 2017, the municipality adopts an ordinance
  designating a termination date for the zone that is later than the
  termination date designated in the ordinance creating the zone, the
  number of years for which the total dollar amount may be deducted
  under Subsection (d)(4) is limited to the duration of the zone as
  determined under Section 311.017[, Tax Code].
         (f)  The study shall determine the values as of January 1 of
  each year:
               (1)  for a school district in which a study was
  conducted according to the results of the study; and
               (2)  for a school district in which a study was not
  conducted according to the market value determined by the appraisal
  district that appraises property for the district, less the amounts
  specified by Subsection (d).
         (g)  The board [comptroller] shall publish preliminary
  findings, listing values by district, before February 1 of the year
  following the year of the study. Preliminary findings shall be
  delivered to each school district and shall be certified to the
  commissioner of education.
         (h)  On request of the commissioner of education or a school
  district, the board [comptroller] may audit the total taxable value
  of property in a school district and may revise the study findings.
  The request for audit is limited to corrections and changes in a
  school district's appraisal roll that occurred after preliminary
  certification of the study findings by the board [comptroller].
  Except as otherwise provided by this subsection, the request for
  audit must be filed with the board [comptroller] not later than the
  third anniversary of the date of the final certification of the
  study findings. The request for audit may be filed not later than
  the first anniversary of the date the chief appraiser certifies a
  change to the appraisal roll if the chief appraiser corrects the
  appraisal roll under Section 25.25 or 42.41[, Tax Code,] and the
  change results in a material reduction in the total taxable value of
  property in the school district.  The board [comptroller] shall
  certify the findings of the audit to the commissioner of education.
         (i)  If the board [comptroller] determines in the study that
  the market value of property in a school district as determined by
  the appraisal district that appraises property for the school
  district, less the total of the amounts and values listed in
  Subsection (d) as determined by that appraisal district, is valid,
  the board [comptroller], in determining the taxable value of
  property in the school district under Subsection (d), shall for
  purposes of Subsection (d)(13) subtract from the market value as
  determined by the appraisal district of residence homesteads to
  which Section 23.23[, Tax Code,] applies the amount by which that
  amount exceeds the appraised value of those properties as
  calculated by the appraisal district under Section 23.23[, Tax
  Code]. If the board [comptroller] determines in the study that the
  market value of property in a school district as determined by the
  appraisal district that appraises property for the school district,
  less the total of the amounts and values listed in Subsection (d) as
  determined by that appraisal district, is not valid, the board
  [comptroller], in determining the taxable value of property in the
  school district under Subsection (d), shall for purposes of
  Subsection (d)(13) subtract from the market value as estimated by
  the board [comptroller] of residence homesteads to which Section
  23.23[, Tax Code,] applies the amount by which that amount exceeds
  the appraised value of those properties as calculated by the
  appraisal district under Section 23.23[, Tax Code].
         (j)  For purposes of Chapter 42, Education Code, the board
  [comptroller] shall certify to the commissioner of education:
               (1)  a final value for each school district computed on
  a residence homestead exemption under Section 1-b(c), Article VIII,
  Texas Constitution, of $5,000;
               (2)  a final value for each school district computed
  on:
                     (A)  a residence homestead exemption under
  Section 1-b(c), Article VIII, Texas Constitution, of $15,000; and
                     (B)  the effect of the additional limitation on
  tax increases under Section 1-b(d), Article VIII, Texas
  Constitution, as proposed by H.J.R. No. 4, 75th Legislature,
  Regular Session, 1997; and
               (3)  a final value for each school district computed on
  the effect of the reduction of the limitation on tax increases to
  reflect any reduction in the school district tax rate as provided by
  Section 11.26(a-1), (a-2), or (a-3), [Tax Code,] as applicable.
         (k)  For purposes of Section 42.2522, Education Code, the
  board [comptroller] shall certify to the commissioner of education:
               (1)  a final value for each school district computed
  without any deduction for residence homestead exemptions granted
  under Section 11.13(n)[, Tax Code]; and
               (2)  a final value for each school district computed
  after deducting one-half the total dollar amount of residence
  homestead exemptions granted under Section 11.13(n)[, Tax Code].
         (l)  If after conducting the study for a year the board
  [comptroller] determines that a school district is an eligible
  school district, for that year and the following year the taxable
  value for the school district is the district's local value.
         (m)  Subsection (d)(9) does not apply to property that was
  the subject of an application under Subchapter B or C, Chapter 313,
  [Tax Code,] made after May 1, 2009, that the board or comptroller,
  as applicable, recommended should be disapproved.
         (m-1)  The State Property Tax Board's [Comptroller's]
  Property Value Study Advisory Committee is created. The committee
  is composed of:
               (1)  one member of the house of representatives,
  appointed by the speaker of the house of representatives;
               (2)  one member of the senate, appointed by the
  lieutenant governor;
               (3)  two members who represent appraisal districts,
  appointed by the board chair [comptroller];
               (4)  two members who represent school districts,
  appointed by the board chair [comptroller]; and
               (5)  three members appointed by the board chair
  [comptroller] who are residents of this state and are school
  district taxpayers or have expertise in school district taxation or
  ratio studies.
         (n)  Chapter 2110, Government Code, does not apply to the
  size, composition, or duration of the State Property Tax Board's
  [Comptroller's] Property Value Study Advisory Committee.
         (o)  The board [comptroller] shall adopt rules governing the
  conduct of the study after consultation with the board's
  [Comptroller's] Property Value Study Advisory Committee.
         Sec. 5.24  [403.303]. PROTEST. (a)  A school district or a
  property owner whose property is included in the study under
  Section 5.23 [403.302] and whose tax liability on the property is
  $100,000 or more may protest the board's [comptroller's] findings
  under Section 5.23(g) or (h) [403.302(g) or (h)] by filing a
  petition with the board [comptroller]. The petition must be filed
  not later than the 40th day after the date on which the board's
  [comptroller's] findings are certified to the commissioner of
  education and must specify the grounds for objection and the value
  claimed to be correct by the school district or property owner.
         (b)  After receipt of a petition, the board [comptroller]
  shall hold a hearing. The board [comptroller] has the burden to
  prove the accuracy of the findings. Until a final decision is made
  by the board [comptroller], the taxable value of property in the
  district is determined, with respect to property subject to the
  protest, according to the value claimed by the school district or
  property owner, except that the value to be used while a final
  decision is pending may not be less than the appraisal roll value
  for the year of the study. If after a hearing the board
  [comptroller] concludes that the findings should be changed, the
  board [comptroller] shall order the appropriate changes and shall
  certify to the commissioner of education the changes in the values
  of the school district that brought the protest, the values of the
  school district named by the property owner who brought the
  protest, or, if the board [comptroller] by rule allows an appraisal
  district to bring a protest, the values of the school district named
  by the appraisal district that brought the protest. The board
  [comptroller] may not order a change in the values of a school
  district as a result of a protest brought by another school
  district, a property owner in the other school district, or an
  appraisal district that appraises property for the other school
  district. The board [comptroller] shall complete all protest
  hearings and certify all changes as necessary to comply with
  Chapter 42, Education Code. A hearing conducted under this
  subsection is not a contested case for purposes of Section
  2001.003, Government Code.
         (c)  The board [comptroller] shall adopt procedural rules
  governing the conduct of protest hearings. The rules shall provide
  each protesting school district and property owner with the
  requirements for submitting a petition initiating a protest and
  shall provide each protesting school district and property owner
  with adequate notice of a hearing, an opportunity to present
  evidence and oral argument, and notice of the board's
  [comptroller's] decision on the hearing.
         (d)  A protesting school district may appeal a determination
  of a protest by the board [comptroller] to a district court of
  Travis County by filing a petition with the court. An appeal must
  be filed not later than the 30th day after the date the school
  district receives notification of a final decision on a protest.
  Review is conducted by the court sitting without a jury. The court
  shall remand the determination to the board [comptroller] if on the
  review the court discovers that substantial rights of the school
  district have been prejudiced, and that:
               (1)  the board [comptroller] has acted arbitrarily and
  without regard to the facts; or
               (2)  the finding of the board [comptroller] is not
  reasonably supported by substantial evidence introduced before the
  court.
         (e)  If, in a hearing under Subsection (b), the board
  [comptroller] has not heard the case or read the record, the
  decision may not be made until a proposal for decision is served on
  each party and an opportunity to file exceptions is afforded to each
  party adversely affected. If exceptions are filed, an opportunity
  must be afforded to all other parties to file replies to the
  exceptions. The proposal for decision must contain a statement of
  the reasons for the proposed decision, prepared by the person who
  conducted the hearing or by a person who has read the record. The
  proposal for decision may be amended pursuant to the exceptions or
  replies submitted without again being served on the parties. The
  parties by written stipulation may waive compliance with this
  subsection. The board [comptroller] may adopt rules to implement
  this subsection.
         Sec. 5.25  [403.304]. COOPERATION WITH BOARD [COMPTROLLER];
  CONFIDENTIALITY. (a)  A school district, appraisal district, or
  other governmental entity in this state shall promptly comply with
  an oral or written request from the board [comptroller] for
  information to be used in conducting a study, including information
  that is made confidential by Chapter 552, Government Code [of this
  code], Section 22.27 of this code, [Tax Code,] or another law of
  this state.
         (a-1)  All information the board [comptroller] obtains from
  a person, other than a government or governmental subdivision or
  agency, under an assurance that the information will be kept
  confidential, in the course of conducting a study is confidential
  and may not be disclosed except as provided in Subsection (b).
         (b)  Information made confidential by this section may be
  disclosed:
               (1)  in a judicial or administrative proceeding
  pursuant to a lawful subpoena;
               (2)  to the person who gave the information to the board
  [comptroller]; or
               (3)  for statistical purposes if in a form that does not
  identify specific property or a specific property owner.
  ARTICLE 2. TRANSFER OF DUTIES AND CONFORMING AMENDMENTS
         SECTION 2.01.  Sections 1.085(e), (f), and (g), Tax Code,
  are amended to read as follows:
         (e)  The State Property Tax Board [comptroller] by rule:
               (1)  shall prescribe acceptable media, formats,
  content, and methods for the electronic transmission of notices
  required by Section 25.19; and
               (2)  may prescribe acceptable media, formats, content,
  and methods for the electronic transmission of other notices,
  renditions, and applications.
         (f)  In an agreement entered into under this section, a chief
  appraiser may select the medium, format, content, and method to be
  used by the appraisal district from among those prescribed by the
  State Property Tax Board [comptroller] under Subsection (e). If
  the board [comptroller] has not prescribed the media, format,
  content, and method applicable to the communication, the chief
  appraiser may determine the medium, format, content, and method to
  be used.
         (g)  Notwithstanding Subsection (a), if a property owner
  whose property is included in 25 or more accounts in the appraisal
  records of the appraisal district requests the chief appraiser to
  enter into an agreement for the delivery of the notice required by
  Section 25.19 in an electronic format, the chief appraiser must
  enter into an agreement under this section for that purpose if the
  appraisal district is located in a county that has a population of
  more than 200,000. If the chief appraiser must enter into an
  agreement under this subsection, the chief appraiser shall deliver
  the notice in accordance with an electronic medium, format,
  content, and method prescribed by the State Property Tax Board
  [comptroller] under Subsection (e). If the board [comptroller] has
  not prescribed the media, format, content, and method applicable to
  the notice, the chief appraiser may determine the medium, format,
  content, and method to be used.
         SECTION 2.02.  Sections 1.111(b), (e), and (h), Tax Code,
  are amended to read as follows:
         (b)  The designation of an agent must be made by written
  authorization on a form prescribed by the State Property Tax Board
  [comptroller] under Subsection (h) and signed by the owner, a
  property manager authorized to designate agents for the owner, or
  another person authorized to act on behalf of the owner other than
  the person being designated as agent, and must clearly indicate
  that the person is authorized to act on behalf of the property owner
  in property tax matters relating to the property or the property
  owner. The designation may authorize the agent to represent the
  owner in all property tax matters or in specific property tax
  matters as identified in the designation. The designation does not
  take effect with respect to an appraisal district or a taxing unit
  participating in the appraisal district until a copy of the
  designation is filed with the appraisal district. Each appraisal
  district established for a county having a population of 500,000 or
  more shall implement a system that allows a designation to be signed
  and filed electronically.
         (e)  An agreement between a property owner or the owner's
  agent and the chief appraiser is final if the agreement relates to a
  matter:
               (1)  which may be protested to the appraisal review
  board or on which a protest has been filed but not determined by the
  appraisal review board; or
               (2)  which may be corrected under Section 25.25 or on
  which a motion for correction under that section has been filed but
  not determined by the appraisal review board.
         (h)  The State Property Tax Board [comptroller] shall
  prescribe forms and adopt rules to facilitate compliance with this
  section. The board [comptroller] shall include on any form used for
  designation of an agent for a single-family residential property in
  which the property owner resides the following statement in
  boldfaced type:
  "In some cases, you may want to contact your appraisal district or
  other local taxing units for free information and/or forms
  concerning your case before designating an agent."
         SECTION 2.03.  Sections 6.05(c) and (i), Tax Code, are
  amended to read as follows:
         (c)  The chief appraiser is the chief administrator of the
  appraisal office. Except as provided by Section 6.0501, the chief
  appraiser is appointed by and serves at the pleasure of the
  appraisal district board of directors.  If a taxing unit performs
  the duties of the appraisal office pursuant to a contract, the
  assessor for the unit is the chief appraiser.  To be eligible to be
  appointed or serve as a chief appraiser, a person must be certified
  as a registered professional appraiser under Section 1151.160,
  Occupations Code, possess an MAI professional designation from the
  Appraisal Institute, or possess an Assessment Administration
  Specialist (AAS), Certified Assessment Evaluator (CAE), or
  Residential Evaluation Specialist (RES) professional designation
  from the International Association of Assessing Officers.  A person
  who is eligible to be appointed or serve as a chief appraiser by
  having a professional designation described by this subsection must
  become certified as a registered professional appraiser under
  Section 1151.160, Occupations Code, not later than the fifth
  anniversary of the date the person is appointed or begins to serve
  as chief appraiser. A chief appraiser who is not eligible to be
  appointed or serve as chief appraiser may not perform an action
  authorized or required by law to be performed by a chief appraiser,
  including the preparation, certification, or submission of any part
  of the appraisal roll. Not later than January 1 of each year, a
  chief appraiser shall notify the State Property Tax Board
  [comptroller] in writing that the chief appraiser is either
  eligible to be appointed or serve as the chief appraiser or not
  eligible to be appointed or serve as the chief appraiser.
         (i)  To ensure adherence with generally accepted appraisal
  practices, the board of directors of an appraisal district shall
  develop biennially a written plan for the periodic reappraisal of
  all property within the boundaries of the district according to the
  requirements of Section 25.18 and shall hold a public hearing to
  consider the proposed plan. Not later than the 10th day before the
  date of the hearing, the secretary of the board shall deliver to the
  presiding officer of the governing body of each taxing unit
  participating in the district a written notice of the date, time,
  and place for the hearing. Not later than September 15 of each
  even-numbered year, the board shall complete its hearings, make any
  amendments, and by resolution finally approve the plan. Copies of
  the approved plan shall be distributed to the presiding officer of
  the governing body of each taxing unit participating in the
  district and to the State Property Tax Board [comptroller] within
  60 days of the approval date.
         SECTION 2.04.  Section 6.0501, Tax Code, is amended to read
  as follows:
         Sec. 6.0501.  APPOINTMENT OF ELIGIBLE CHIEF APPRAISER BY
  STATE PROPERTY TAX BOARD [COMPTROLLER]. (a)  The State Property
  Tax Board [comptroller] shall appoint a person eligible to be a
  chief appraiser under Section 6.05(c) or a person who has
  previously been appointed or served as a chief appraiser to perform
  the duties of chief appraiser for an appraisal district whose chief
  appraiser is ineligible to serve.
         (b)  A chief appraiser appointed under this section serves
  until the earlier of:
               (1)  the first anniversary of the date the State
  Property Tax Board [comptroller] appoints the chief appraiser; or
               (2)  the date the board of directors of the appraisal
  district:
                     (A)  appoints a chief appraiser under Section
  6.05(c); or
                     (B)  contracts with an appraisal district or a
  taxing unit to perform the duties of the appraisal office for the
  district under Section 6.05(b).
         (c)  The State Property Tax Board [comptroller] shall
  determine the compensation of a chief appraiser appointed under
  this section.  A chief appraiser appointed under this section shall
  determine the budget necessary for the adequate operation of the
  appraisal office, subject to the approval of the State Property Tax
  Board [comptroller].  The board of directors of the appraisal
  district shall amend the budget as necessary to compensate the
  appointed chief appraiser and fund the appraisal office as
  determined under this subsection.
         (d)  An appraisal district that does not appoint a chief
  appraiser or contract with an appraisal district or a taxing unit to
  perform the duties of the appraisal office by the first anniversary
  of the date the State Property Tax Board [comptroller] appoints a
  chief appraiser shall contract with an appraisal district or a
  taxing unit to perform the duties of the appraisal office or with a
  qualified public or private entity to perform the duties of the
  chief appraiser, subject to the approval of the State Property Tax
  Board [comptroller].
         SECTION 2.05.  Sections 6.052(a) and (b), Tax Code, are
  amended to read as follows:
         (a)  The board of directors for an appraisal district created
  for a county with a population of more than 120,000 shall appoint a
  taxpayer liaison officer who shall serve at the pleasure of the
  board. The taxpayer liaison officer shall administer the public
  access functions required by Sections 6.04(d), (e), and (f), and is
  responsible for resolving disputes not involving matters that may
  be protested under Section 41.41. In addition, the taxpayer
  liaison officer is responsible for receiving, and compiling a list
  of, comments and suggestions filed by the chief appraiser, a
  property owner, or a property owner's agent concerning the matters
  listed in Section 5.103(b) or any other matter related to the
  fairness and efficiency of the appraisal review board established
  for the appraisal district. The taxpayer liaison officer shall
  forward to the State Property Tax Board [comptroller] comments and
  suggestions filed under this subsection in the form and manner
  prescribed by that board [the comptroller].
         (b)  The taxpayer liaison officer shall provide to the public
  information and materials designed to assist property owners in
  understanding the appraisal process, protest procedures, the
  procedure for filing comments and suggestions under Subsection (a)
  of this section or a complaint under Section 6.04(g), and other
  matters. Information concerning the process for submitting
  comments and suggestions to the State Property Tax Board
  [comptroller] concerning an appraisal review board shall be
  provided at each protest hearing.
         SECTION 2.06.  Section 6.412(c), Tax Code, is amended to
  read as follows:
         (c)  A person is ineligible to serve on the appraisal review
  board if the person is a member of the board of directors, an
  officer, or an employee of the appraisal district, is an employee or
  member of the State Property Tax Board [comptroller], or is a
  member of the governing body, an officer, or an employee of a taxing
  unit.
         SECTION 2.07.  Section 11.11(b), Tax Code, is amended to
  read as follows:
         (b)  Land owned by the Permanent University Fund is taxable
  for county purposes. Any notice required by Section 25.19 [of this
  code] shall be sent to the State Property Tax Board [comptroller],
  and the board [comptroller] shall appear on [in] behalf of the state
  in any protest or appeal relating to taxation of Permanent
  University Fund land.
         SECTION 2.08.  Section 11.135(g), Tax Code, is amended to
  read as follows:
         (g)  The State Property Tax Board [comptroller] shall adopt
  rules and forms to implement this section.
         SECTION 2.09.  Section 11.182(i), Tax Code, is amended to
  read as follows:
         (i)  If any property owned by an organization receiving an
  exemption under this section has been acquired or sold during the
  preceding year, such organization shall file by March 31 of the
  following year with the chief appraiser in the county in which the
  relevant property is located, on a form promulgated by the State
  Property Tax Board [comptroller of public accounts], a list of such
  properties acquired or sold during the preceding year.
         SECTION 2.10.  Section 11.26(e), Tax Code, is amended to
  read as follows:
         (e)  For each school district in an appraisal district, the
  chief appraiser shall determine the portion of the appraised value
  of residence homesteads of individuals on which school district
  taxes are not imposed in a tax year because of the limitation on tax
  increases imposed by this section. That portion is calculated by
  determining the taxable value that, if multiplied by the tax rate
  adopted by the school district for the tax year, would produce an
  amount equal to the amount of tax that would have been imposed by
  the school district on those residence homesteads if the limitation
  on tax increases imposed by this section were not in effect, but
  that was not imposed because of that limitation. The chief
  appraiser shall determine that taxable value and certify it to the
  State Property Tax Board [comptroller] as soon as practicable for
  each tax year.
         SECTION 2.11.  Section 11.27(b), Tax Code, is amended to
  read as follows:
         (b)  The State Property Tax Board [comptroller], with the
  assistance of the Texas Energy and Natural Resources Advisory
  Council, or its successor, shall develop guidelines to assist local
  officials in the administration of this section.
         SECTION 2.12.  Sections 11.43(f) and (j), Tax Code, are
  amended to read as follows:
         (f)  The State Property Tax Board [comptroller], in
  prescribing the contents of the application form for each kind of
  exemption, shall ensure that the form requires an applicant to
  furnish the information necessary to determine the validity of the
  exemption claim. The form must require an applicant to provide the
  applicant's name and driver's license number, personal
  identification certificate number, or social security account
  number. If the applicant is a charitable organization with a
  federal tax identification number, the form must allow the
  applicant to provide the organization's federal tax identification
  number in lieu of a driver's license number, personal
  identification certificate number, or social security account
  number. The board [comptroller] shall include on the forms a notice
  of the penalties prescribed by Section 37.10, Penal Code, for
  making or filing an application containing a false statement. The
  board [comptroller] shall include, on application forms for
  exemptions that do not have to be claimed annually, a statement
  explaining that the application need not be made annually and that
  if the exemption is allowed, the applicant has a duty to notify the
  chief appraiser when the applicant's entitlement to the exemption
  ends. In this subsection:
               (1)  "Driver's license" has the meaning assigned that
  term by Section 521.001, Transportation Code.
               (2)  "Personal identification certificate" means a
  certificate issued by the Department of Public Safety under
  Subchapter E, Chapter 521, Transportation Code.
         (j)  In addition to the items required by Subsection (f), an
  application for a residence homestead exemption prescribed by the
  State Property Tax Board [comptroller] and authorized by Section
  11.13 must:
               (1)  list each owner of the residence homestead and the
  interest of each owner;
               (2)  state that the applicant does not claim an
  exemption under that section on another residence homestead in this
  state or claim a residence homestead exemption on a residence
  homestead outside this state;
               (3)  state that each fact contained in the application
  is true;
               (4)  include a copy of the applicant's driver's license
  or state-issued personal identification certificate unless the
  applicant:
                     (A)  is a resident of a facility that provides
  services related to health, infirmity, or aging; or
                     (B)  is certified for participation in the address
  confidentiality program administered by the attorney general under
  Subchapter C, Chapter 56, Code of Criminal Procedure;
               (5)  state that the applicant has read and understands
  the notice of the penalties required by Subsection (f); and
               (6)  be signed by the applicant.
         SECTION 2.13.  Section 11.44(c), Tax Code, is amended to
  read as follows:
         (c)  The State Property Tax Board [comptroller] shall
  prescribe by rule the content of the explanation required by
  Subsection (a) of this section, and shall require that each
  exemption application form be printed and prepared:
               (1)  as a separate form from any other form; or
               (2)  on the front of the form if the form also provides
  for other information.
         SECTION 2.14.  Section 11.48(b), Tax Code, is amended to
  read as follows:
         (b)  Information made confidential by this section may be
  disclosed:
               (1)  in a judicial or administrative proceeding
  pursuant to a lawful subpoena;
               (2)  to the person who filed the application or to the
  person's representative authorized in writing to receive the
  information;
               (3)  to the State Property Tax Board [comptroller] and
  the board's [comptroller's] employees authorized by the board
  [comptroller] in writing to receive the information or to an
  assessor or a chief appraiser if requested in writing;
               (4)  in a judicial or administrative proceeding
  relating to property taxation to which the person who filed the
  application is a party; or
               (5)  if and to the extent the information is required to
  be included in a public document or record that the appraisal office
  is required by law to prepare or maintain.
         SECTION 2.15.  Section 21.03(b), Tax Code, is amended to
  read as follows:
         (b)  The State Property Tax Board [comptroller] shall adopt
  rules:
               (1)  identifying the kinds of property subject to this
  section; and
               (2)  establishing formulas for calculating the
  proportion of total market value to be allocated to this state.
         SECTION 2.16.  Sections 21.031(e) and (f), Tax Code, are
  amended to read as follows:
         (e)  To receive an allocation of value under this section, a
  property owner must apply for the allocation on a form that
  substantially complies with the form prescribed by the State
  Property Tax Board [comptroller]. The application must be filed
  with the chief appraiser for the district in which the property to
  which the application applies is taxable before the approval of the
  appraisal records by the appraisal review board as provided by
  Section 41.12 [of this code].
         (f)  The State Property Tax Board [comptroller] shall
  promulgate forms and may adopt rules consistent with the provisions
  of this section.
         SECTION 2.17.  Section 21.09(c), Tax Code, is amended to
  read as follows:
         (c)  The State Property Tax Board [comptroller] shall
  prescribe the contents of the allocation application form and shall
  ensure that the form requires an applicant to provide the
  information necessary to determine the validity of the allocation
  claim.
         SECTION 2.18.  Section 22.01(l), Tax Code, is amended to
  read as follows:
         (l)  If the information contained in the most recent
  rendition statement filed by a person in a prior tax year is
  accurate with respect to the current tax year, the person may comply
  with the requirements of Subsection (a) by filing a rendition
  statement on a form prescribed or approved by the State Property Tax
  Board [comptroller] under Section 22.24(c) on which the person has
  checked the appropriate box to affirm that the information
  continues to be complete and accurate.
         SECTION 2.19.  Section 22.21, Tax Code, is amended to read as
  follows:
         Sec. 22.21.  PUBLICIZING REQUIREMENTS. Each year the State
  Property Tax Board [comptroller] and each chief appraiser shall
  publicize in a manner reasonably designed to notify all property
  owners the requirements of the law relating to filing rendition
  statements and property reports and of the availability of forms.
         SECTION 2.20.  Sections 22.24(a), (c), and (e), Tax Code,
  are amended to read as follows:
         (a)  A person required to render property or to file a report
  as provided by this chapter shall use a form that substantially
  complies with the appropriate form prescribed or approved by the
  State Property Tax Board [comptroller].
         (c)  The State Property Tax Board [comptroller] may
  prescribe or approve different forms for different kinds of
  property but shall ensure that each form requires a property owner
  to furnish the information necessary to identify the property and
  to determine its ownership, taxability, and situs. Each form must
  include a box that the property owner may check to permit the
  property owner to affirm that the information contained in the most
  recent rendition statement filed by the property owner in a prior
  tax year is accurate with respect to the current tax year in
  accordance with Section 22.01(l). A form may not require but may
  permit a property owner to furnish information not specifically
  required by this chapter to be reported. In addition, a form
  prescribed or approved under this subsection must contain the
  following statement in bold type: "If you make a false statement on
  this form, you could be found guilty of a Class A misdemeanor or a
  state jail felony under Section 37.10, Penal Code."
         (e)  To be valid, a rendition or report must be sworn to
  before an officer authorized by law to administer an oath. The
  State Property Tax Board [comptroller] may not prescribe or approve
  a rendition or report form unless the form provides for the person
  filing the form to swear that the information provided in the
  rendition or report is true and accurate to the best of the person's
  knowledge and belief. This subsection does not apply to a rendition
  or report filed by a secured party, as defined by Section 22.01, the
  property owner, an employee of the property owner, or an employee of
  a property owner on behalf of an affiliated entity of the property
  owner.
         SECTION 2.21.  Sections 22.27(a), (b), and (d), Tax Code,
  are amended to read as follows:
         (a)  Rendition statements, real and personal property
  reports, attachments to those statements and reports, and other
  information the owner of property provides to the appraisal office
  in connection with the appraisal of the property, including income
  and expense information related to a property filed with an
  appraisal office and information voluntarily disclosed to an
  appraisal office or the State Property Tax Board [comptroller]
  about real or personal property sales prices after a promise it will
  be held confidential, are confidential and not open to public
  inspection. The statements and reports and the information they
  contain about specific real or personal property or a specific real
  or personal property owner and information voluntarily disclosed to
  an appraisal office about real or personal property sales prices
  after a promise it will be held confidential may not be disclosed to
  anyone other than an employee of the appraisal office who appraises
  property except as authorized by Subsection (b) of this section.
         (b)  Information made confidential by this section may be
  disclosed:
               (1)  in a judicial or administrative proceeding
  pursuant to a lawful subpoena;
               (2)  to the person who filed the statement or report or
  the owner of property subject to the statement, report, or
  information or to a representative of either authorized in writing
  to receive the information;
               (3)  to the State Property Tax Board [comptroller] and
  the board's [comptroller's] employees authorized by the board
  [comptroller] in writing to receive the information or to an
  assessor or a chief appraiser if requested in writing;
               (4)  in a judicial or administrative proceeding
  relating to property taxation to which the person who filed the
  statement or report or the owner of the property that is a subject
  of the statement, report, or information is a party;
               (5)  for statistical purposes if in a form that does not
  identify specific property or a specific property owner;
               (6)  if and to the extent the information is required to
  be included in a public document or record that the appraisal office
  is required to prepare or maintain;
               (7)  to a taxing unit or its legal representative that
  is engaged in the collection of delinquent taxes on the property
  that is the subject of the information;
               (8)  to an employee or agent of a taxing unit
  responsible for auditing, monitoring, or reviewing the operations
  of an appraisal district; or
               (9)  to an employee or agent of a school district that
  is engaged in the preparation of a protest of the State Property Tax
  Board's [comptroller's] property value study in accordance with
  Section 5.24 [403.303, Government Code].
         (d)  No person who directly or indirectly provides
  information to the State Property Tax Board [comptroller] or
  appraisal office about real or personal property sales prices,
  either as set forth in Subsection (a) of this section under a
  promise of confidentiality, or otherwise, shall be liable to any
  other person as the result of providing such information.
         SECTION 2.22.  Sections 23.121(a)(3) and (6), Tax Code, are
  amended to read as follows:
               (3)  "Dealer" means a person who holds a dealer's
  general distinguishing number issued by the Texas Department of
  Motor Vehicles under the authority of Chapter 503, Transportation
  Code, or who is legally recognized as a motor vehicle dealer
  pursuant to the law of another state and who complies with the terms
  of Section 152.063(f). The term does not include:
                     (A)  a person who holds a manufacturer's license
  issued under Chapter 2301, Occupations Code;
                     (B)  an entity that is owned or controlled by a
  person who holds a manufacturer's license issued under Chapter
  2301, Occupations Code;
                     (C)  a dealer whose general distinguishing number
  issued by the Texas Department of Motor Vehicles under the
  authority of Chapter 503, Transportation Code, prohibits the dealer
  from selling a vehicle to any person except a dealer; or
                     (D)  a dealer who:
                           (i)  does not sell motor vehicles described
  by Section 152.001(3)(A);
                           (ii)  meets either of the following
  requirements:
                                 (a)  the total annual sales from the
  dealer's motor vehicle inventory, less sales to dealers, fleet
  transactions, and subsequent sales, for the 12-month period
  corresponding to the preceding tax year are 25 percent or less of
  the dealer's total revenue from all sources during that period; or
                                 (b)  the dealer did not sell a motor
  vehicle to a person other than another dealer during the 12-month
  period corresponding to the preceding tax year and the dealer
  estimates that the dealer's total annual sales from the dealer's
  motor vehicle inventory, less sales to dealers, fleet transactions,
  and subsequent sales, for the 12-month period corresponding to the
  current tax year will be 25 percent or less of the dealer's total
  revenue from all sources during that period;
                           (iii)  not later than August 31 of the
  preceding tax year, filed with the chief appraiser and the
  collector a declaration on a form prescribed by the State Property
  Tax Board [comptroller] stating that the dealer elected not to be
  treated as a dealer under this section in the current tax year; and
                           (iv)  renders the dealer's motor vehicle
  inventory in the current tax year by filing a rendition with the
  chief appraiser in the manner provided by Chapter 22.
               (6)  "Declaration" means the dealer's motor vehicle
  inventory declaration form promulgated by the State Property Tax
  Board [comptroller] as required by this section.
         SECTION 2.23.  Section 23.121(f), Tax Code, is amended to
  read as follows:
         (f)  The State Property Tax Board [comptroller] shall
  promulgate a form entitled Dealer's Motor Vehicle Inventory
  Declaration. Except as provided by Section 23.122(l), not later
  than February 1 of each year, or, in the case of a dealer who was not
  in business on January 1, not later than 30 days after commencement
  of business, each dealer shall file a declaration with the chief
  appraiser and file a copy with the collector. For purposes of this
  subsection, a dealer is presumed to have commenced business on the
  date of issuance to the dealer of a dealer's general distinguishing
  number as provided by Chapter 503, Transportation Code.
  Notwithstanding the presumption created by this subsection, a chief
  appraiser may, at his or her sole discretion, designate as the date
  on which a dealer commenced business a date other than the date of
  issuance to the dealer of a dealer's general distinguishing number.
  The declaration is sufficient to comply with this subsection if it
  sets forth the following information:
               (1)  the name and business address of each location at
  which the dealer owner conducts business;
               (2)  each of the dealer's general distinguishing
  numbers issued by the Texas Department of Motor Vehicles;
               (3)  a statement that the dealer owner is the owner of a
  dealer's motor vehicle inventory; and
               (4)  the market value of the dealer's motor vehicle
  inventory for the current tax year as computed under Section
  23.121(b).
         SECTION 2.24.  Sections 23.122(a) and (e), Tax Code, are
  amended to read as follows:
         (a)  In this section:
               (1)  "Aggregate tax rate" means the combined tax rates
  of all relevant taxing units authorized by law to levy property
  taxes against a dealer's motor vehicle inventory.
               (2)  "Chief appraiser" has the meaning given it in
  Section 23.121 [of this code].
               (3)  "Collector" has the meaning given it in Section
  23.121 [of this code].
               (4)  "Dealer's motor vehicle inventory" has the meaning
  given it in Section 23.121 [of this code].
               (5)  "Declaration" has the meaning given it in Section
  23.121 [of this code].
               (6)  "Owner" has the meaning given it in Section 23.121
  [of this code].
               (7)  "Relevant taxing unit" means a taxing unit,
  including the county, authorized by law to levy property taxes
  against a dealer's motor vehicle inventory.
               (8)  "Sales price" has the meaning given it in Section
  23.121 [of this code].
               (9)  "Statement" means the Dealer's Motor Vehicle
  Inventory Tax Statement filed on a form promulgated by the State
  Property Tax Board [comptroller] as required by this section.
               (10)  "Subsequent sale" has the meaning given it in
  Section 23.121 [of this code].
               (11)  "Total annual sales" has the meaning given it in
  Section 23.121 [of this code].
               (12)  "Unit property tax factor" means a number equal
  to one-twelfth of the prior year aggregate tax rate at the location
  where a dealer's motor vehicle inventory is located on January 1 of
  the current year.
         (e)  The State Property Tax Board [comptroller] shall
  promulgate a form entitled a Dealer's Motor Vehicle Inventory Tax
  Statement. Each month, a dealer shall complete the form regardless
  of whether a motor vehicle is sold. A dealer may use no other form
  for that purpose. The statement may include the information the
  board [comptroller] deems appropriate but shall include at least
  the following:
               (1)  a description of each motor vehicle sold;
               (2)  the sales price of the motor vehicle;
               (3)  the unit property tax of the motor vehicle if any;
  and
               (4)  the reason no unit property tax is assigned if no
  unit property tax is assigned.
         SECTION 2.25.  Section 23.123(c), Tax Code, is amended to
  read as follows:
         (c)  Information made confidential by this section may be
  disclosed:
               (1)  in a judicial or administrative proceeding
  pursuant to a lawful subpoena;
               (2)  to the person who filed the declaration or
  statement or to that person's representative authorized by the
  person in writing to receive the information;
               (3)  to the comptroller or an employee of the
  comptroller authorized by the comptroller to receive the
  information;
               (4)  to a collector or chief appraiser;
               (5)  to a district attorney, criminal district attorney
  or county attorney involved in the enforcement of a penalty imposed
  pursuant to Section 23.121 or Section 23.122;
               (6)  for statistical purposes if in a form that does not
  identify specific property or a specific property owner;
               (7)  if and to the extent that the information is
  required for inclusion in a public document or record that the
  appraisal or collection office is required by law to prepare or
  maintain; [or]
               (8)  to the Texas Department of Motor Vehicles for use
  by that department in auditing compliance of its licensees with
  appropriate provisions of applicable law; or
               (9)  to the State Property Tax Board or an employee of
  the board authorized by the board to receive the information.
         SECTION 2.26.  Section 23.124(a)(6), Tax Code, is amended to
  read as follows:
               (6)  "Declaration" means the dealer's vessel and
  outboard motor inventory declaration form promulgated by the State
  Property Tax Board [comptroller] as required by this section.
         SECTION 2.27.  Section 23.124(f), Tax Code, is amended to
  read as follows:
         (f)  The State Property Tax Board [comptroller] shall
  promulgate a form entitled "Dealer's Vessel and Outboard Motor
  Inventory Declaration." Except as provided by Section 23.125(l)
  [of this code], not later than February 1 of each year or, in the
  case of a dealer who was not in business on January 1, not later than
  30 days after commencement of business, each dealer shall file a
  declaration with the chief appraiser and file a copy with the
  collector. The declaration is sufficient to comply with this
  subsection if it sets forth the following information:
               (1)  the name and business address of each location at
  which the dealer owner conducts business;
               (2)  each of the dealer's and manufacturer's numbers
  issued by the Parks and Wildlife Department;
               (3)  a statement that the dealer owner is the owner of a
  dealer's vessel and outboard motor inventory; and
               (4)  the market value of the dealer's vessel and
  outboard motor inventory for the current tax year as computed under
  Subsection (b) of this section.
         SECTION 2.28.  Section 23.1241(a)(4), Tax Code, is amended
  to read as follows:
               (4)  "Declaration" means a dealer's heavy equipment
  inventory declaration form adopted by the State Property Tax Board
  [comptroller] under this section.
         SECTION 2.29.  Section 23.1241(f), Tax Code, is amended to
  read as follows:
         (f)  The State Property Tax Board [comptroller] by rule shall
  adopt a dealer's heavy equipment inventory declaration form.
  Except as provided by Section 23.1242(k), not later than February 1
  of each year, or, in the case of a dealer who was not in business on
  January 1, not later than 30 days after commencement of business,
  each dealer shall file a declaration with the chief appraiser and
  file a copy with the collector. The declaration is sufficient to
  comply with this subsection if it sets forth:
               (1)  the name and business address of each location at
  which the declarant conducts business;
               (2)  a statement that the declarant is the owner of a
  dealer's heavy equipment inventory; and
               (3)  the market value of the declarant's heavy
  equipment inventory for the current tax year as computed under
  Subsection (b).
         SECTION 2.30.  Section 23.1242(a)(3), Tax Code, is amended
  to read as follows:
               (3)  "Statement" means the dealer's heavy equipment
  inventory tax statement filed on a form adopted by the State
  Property Tax Board [comptroller] under this section.
         SECTION 2.31.  Section 23.1242(e), Tax Code, is amended to
  read as follows:
         (e)  The State Property Tax Board [comptroller] by rule shall
  adopt a dealer's heavy equipment inventory tax statement form.
  Each month, a dealer shall complete the form regardless of whether
  an item of heavy equipment is sold, leased, or rented. A dealer may
  use no other form for that purpose. The statement may include the
  information the board [comptroller] considers appropriate but
  shall include at least the following:
               (1)  a description of each item of heavy equipment
  sold, leased, or rented including any unique identification or
  serial number affixed to the item by the manufacturer;
               (2)  the sales price of or lease or rental payment
  received for the item of heavy equipment, as applicable;
               (3)  the unit property tax of the item of heavy
  equipment, if any; and
               (4)  the reason no unit property tax is assigned if no
  unit property tax is assigned.
         SECTION 2.32.  Sections 23.125(a) and (e), Tax Code, are
  amended to read as follows:
         (a)  In [in] this section:
               (1)  "Aggregate tax rate" means the combined tax rates
  of all relevant taxing units authorized by law to levy property
  taxes against a dealer's vessel and outboard motor inventory.
               (2)  "Chief appraiser" has the meaning given it in
  Section 23.124 [of this code].
               (3)  "Collector" has the meaning given it in Section
  23.124 [of this code].
               (4)  "Dealer's vessel and outboard motor inventory" has
  the meaning given it in Section 23.124 [of this code].
               (5)  "Declaration" has the meaning given it in Section
  23.124 [of this code].
               (6)  "Owner" has the meaning given it in Section 23.124
  [of this code].
               (7)  "Relevant taxing unit" means a taxing unit,
  including the county, authorized by law to levy property taxes
  against a dealer's vessel and outboard motor inventory.
               (8)  "Sales price" has the meaning given it in Section
  23.124 [of this code].
               (9)  "Statement" means the dealer's vessel and outboard
  motor inventory tax statement filed on a form promulgated by the
  State Property Tax Board [comptroller] as required by this section.
               (10)  "Subsequent sale" has the meaning given it in
  Section 23.124 [of this code].
               (11)  "Total annual sales" has the meaning given it in
  Section 23.124 [of this code].
               (12)  "Unit property tax factor" means a number equal
  to one-twelfth of the prior year aggregate tax rate at the location
  where a dealer's vessel and outboard motor inventory is located on
  January 1 of the current year.
         (e)  The State Property Tax Board [comptroller] shall
  promulgate a form entitled "Dealer's Vessel and Outboard Motor
  Inventory Tax Statement." Each month, a dealer shall complete the
  form regardless of whether a vessel and outboard motor is sold. A
  dealer may use no other form for that purpose. The statement may
  include the information the board [comptroller] deems appropriate
  but shall include at least the following:
               (1)  a description of each vessel or outboard motor
  sold;
               (2)  the sales price of the vessel or outboard motor;
               (3)  the unit property tax of the vessel or outboard
  motor, if any; and
               (4)  the reason no unit property tax is assigned if no
  unit property tax is assigned.
         SECTION 2.33.  Section 23.126(c), Tax Code, is amended to
  read as follows:
         (c)  Information made confidential by this section may be
  disclosed:
               (1)  in a judicial or administrative proceeding
  pursuant to a lawful subpoena;
               (2)  to the person who filed the declaration or
  statement or to that person's representative authorized by the
  person in writing to receive the information;
               (3)  to the comptroller or an employee of the
  comptroller authorized by the comptroller to receive the
  information;
               (4)  to a collector or chief appraiser;
               (5)  to a district attorney, criminal district
  attorney, or county attorney involved in the enforcement of a
  penalty imposed pursuant to Section 23.124 or Section 23.125 [of
  this code];
               (6)  for statistical purposes if in a form that does not
  identify specific property or a specific property owner; [or]
               (7)  if and to the extent that the information is
  required for inclusion in a document or record that the appraisal or
  collection office is required by law to prepare or maintain; or
               (8)  to the State Property Tax Board or an employee of
  the board authorized by the board to receive the information.
         SECTION 2.34.  Section 23.127(a)(3), Tax Code, is amended to
  read as follows:
               (3)  "Declaration" means a retail manufactured housing
  inventory declaration form adopted by the State Property Tax Board
  [comptroller] under this section.
         SECTION 2.35.  Section 23.127(f), Tax Code, is amended to
  read as follows:
         (f)  The State Property Tax Board [comptroller] by rule shall
  adopt a form entitled "Retail Manufactured Housing Inventory
  Declaration." Except as provided by Section 23.128(k), not later
  than February 1 of each year or, in the case of a retailer who was
  not in business on January 1, not later than the 30th day after the
  date the retailer commences business, each retailer shall file a
  declaration with the chief appraiser and file a copy with the
  collector. The declaration is sufficient to comply with this
  subsection if it sets forth the following information:
               (1)  the name and business address of each location at
  which the retailer conducts business;
               (2)  the retailer's license number issued by the
  department;
               (3)  a statement that the retailer is the owner of a
  retail manufactured housing inventory; and
               (4)  the market value of the retailer's manufactured
  housing inventory for the current tax year as computed under
  Subsection (b).
         SECTION 2.36.  Section 23.128(a)(4), Tax Code, is amended to
  read as follows:
               (4)  "Statement" means the retail manufactured housing
  inventory tax statement filed on a form adopted by the State
  Property Tax Board [comptroller] under this section.
         SECTION 2.37.  Section 23.128(e), Tax Code, is amended to
  read as follows:
         (e)  The State Property Tax Board [comptroller] by rule shall
  adopt a form entitled "Retail Manufactured Housing Inventory Tax
  Statement."  Each month, a retailer shall complete the form
  regardless of whether a unit of manufactured housing is sold. A
  retailer may not use another form for that purpose. The statement
  shall include:
               (1)  a description of the unit of manufactured housing
  sold, including any unique identification or serial number affixed
  to each unit by the manufacturer;
               (2)  the sales price of the unit of manufactured
  housing;
               (3)  any unit property tax of the unit of manufactured
  housing;
               (4)  the reason a unit property tax is not assigned if
  that is the case; and
               (5)  any other information the board [comptroller]
  considers appropriate.
         SECTION 2.38.  Section 23.175(b), Tax Code, is amended to
  read as follows:
         (b)  The State Property Tax Board [comptroller] by rule shall
  develop and distribute to each appraisal office appraisal manuals
  that specify the formula to be used in computing the limit on the
  price for an interest used in the second through the sixth year of
  an appraisal and the methods and procedures to discount future
  income from the sale of oil or gas from the interest to present
  value.
         SECTION 2.39.  Sections 23.41(b) and (e), Tax Code, are
  amended to read as follows:
         (b)  The State Property Tax Board [comptroller] shall
  promulgate rules specifying the methods to apply and the procedures
  to use in appraising land designated for agricultural use.
         (e)  Improvements other than appurtenances to the land, the
  mineral estate, and all land used for residential purposes and for
  processing harvested agricultural products are appraised
  separately at market value. Riparian water rights, private roads,
  dams, reservoirs, water wells, and canals, ditches, terraces, and
  similar reshapings of or additions to the soil for agricultural
  purposes are appurtenances to the land, and the effect of each on
  the value of the land for agricultural use shall be considered in
  appraising the land. However, the State Property Tax Board
  [comptroller] shall provide that in calculating average net income
  from land a deduction from income be allowed for an appurtenance
  subject to depreciation or depletion.
         SECTION 2.40.  Section 23.43(d), Tax Code, is amended to
  read as follows:
         (d)  The State Property Tax Board [comptroller] in
  prescribing the contents of the application forms shall ensure that
  each form requires a claimant to furnish the information necessary
  to determine the validity of the claim. The board [comptroller]
  shall require that the form permit a claimant who has previously
  been allowed an agricultural designation to indicate that
  previously reported information has not changed and to supply only
  the eligibility information not previously reported.
         SECTION 2.41.  Section 23.45(b), Tax Code, is amended to
  read as follows:
         (b)  Information made confidential by this section may be
  disclosed:
               (1)  in a judicial or administrative proceeding
  pursuant to a lawful subpoena;
               (2)  to the person who filed the application or to the
  person's [his] representative authorized in writing to receive the
  information;
               (3)  to the comptroller and to employees of the
  comptroller [his employees] authorized by the comptroller [him] in
  writing to receive the information or to an assessor or a chief
  appraiser if requested in writing by that official;
               (4)  in a judicial or administrative proceeding
  relating to property taxation to which the person who filed the
  application is a party;
               (5)  for statistical purposes if in a form that does not
  identify specific property or a specific property owner; [or]
               (6)  if and to the extent the information is required to
  be included in a public document or record that the appraisal office
  is required to prepare or maintain; or
               (7)  to the State Property Tax Board or an employee of
  the board authorized by the board to receive the information.
         SECTION 2.42.  Section 23.52(d), Tax Code, is amended to
  read as follows:
         (d)  The State Property Tax Board [comptroller] by rule shall
  develop and distribute to each appraisal office appraisal manuals
  setting forth this method of appraising qualified open-space land,
  and each appraisal office shall use the appraisal manuals in
  appraising qualified open-space land. The board [comptroller] by
  rule shall develop and the appraisal office shall enforce
  procedures to verify that land meets the conditions contained in
  Subdivision (1) of Section 23.51 [of this code]. The rules, before
  taking effect, must be approved by a majority vote of a committee
  comprised of the following officials or their designees:  the
  governor, the comptroller, the attorney general, the agriculture
  commissioner, and the Commissioner of the General Land Office.
         SECTION 2.43.  Section 23.521(a), Tax Code, is amended to
  read as follows:
         (a)  The Parks and Wildlife Department, with the assistance
  of the State Property Tax Board [comptroller], shall develop
  standards for determining whether land qualifies under Section
  23.51(7) for appraisal under this subchapter. The board
  [comptroller] by rule shall adopt the standards developed by the
  Parks and Wildlife Department and distribute those rules to each
  appraisal district. On request of the Parks and Wildlife
  Department, the Texas Agricultural Extension Service shall assist
  the department in developing the standards.
         SECTION 2.44.  Sections 23.54(b) and (c), Tax Code, are
  amended to read as follows:
         (b)  To be valid, the application must:
               (1)  be on a form provided by the appraisal office and
  prescribed by the State Property Tax Board [comptroller]; and
               (2)  contain the information necessary to determine the
  validity of the claim.
         (c)  The State Property Tax Board [comptroller] shall
  include on the form a notice of the penalties prescribed by Section
  37.10, Penal Code, for making or filing an application containing a
  false statement. The board [comptroller], in prescribing the
  contents of the application form, shall require that the form
  permit a claimant who has previously been allowed appraisal under
  this subchapter to indicate that previously reported information
  has not changed and to supply only the eligibility information not
  previously reported.
         SECTION 2.45.  Section 23.73(b), Tax Code, is amended to
  read as follows:
         (b)  The State Property Tax Board [comptroller] by rule shall
  develop and distribute to each appraisal office appraisal manuals
  setting forth this method of appraising qualified timber land, and
  each appraisal office shall use the appraisal manuals in appraising
  qualified timber land. The board [comptroller] by rule shall
  develop and the appraisal office shall enforce procedures to verify
  that land meets the conditions contained in Section 23.72 [of this
  code]. The rules, before taking effect, must be approved by
  majority vote of a committee comprised of the following officials
  or their designees: the governor, the comptroller, the attorney
  general, the agriculture commissioner, and the Commissioner of the
  General Land Office.
         SECTION 2.46.  Sections 23.75(b) and (c), Tax Code, are
  amended to read as follows:
         (b)  To be valid, the application must:
               (1)  be on a form provided by the appraisal office and
  prescribed by the State Property Tax Board [comptroller]; and
               (2)  contain the information necessary to determine the
  validity of the claim.
         (c)  The State Property Tax Board [comptroller] shall include
  on the form a notice of the penalties prescribed by Section 37.10,
  Penal Code, for making or filing an application containing a false
  statement. The board [comptroller], in prescribing the contents of
  the application form, shall require that the form permit a claimant
  who has previously been allowed appraisal under this subchapter to
  indicate that previously reported information has not changed and to
  supply only the eligibility information not previously reported.
         SECTION 2.47.  Section 23.83(e), Tax Code, is amended to
  read as follows:
         (e)  The State Property Tax Board [comptroller] shall
  promulgate rules specifying the methods to apply and the procedures
  to use in appraising land under this subchapter.
         SECTION 2.48.  Section 23.84(f), Tax Code, is amended to
  read as follows:
         (f)  The State Property Tax Board [comptroller] in
  prescribing the contents of the application forms shall ensure that
  each form requires a claimant to furnish the information necessary
  to determine the validity of the claim and that the form requires
  the claimant to state that the land for which he or she claims
  appraisal under this subchapter will be used exclusively for
  recreational, park, or scenic uses in the current year.
         SECTION 2.49.  Section 23.93(e), Tax Code, is amended to
  read as follows:
         (e)  The State Property Tax Board [comptroller] shall
  promulgate rules specifying the methods to apply and the procedures
  to use in appraising property under this subchapter.
         SECTION 2.50.  Section 23.94(f), Tax Code, is amended to
  read as follows:
         (f)  The State Property Tax Board [comptroller] in
  prescribing the contents of the application forms shall ensure that
  each form requires a claimant to furnish the information necessary
  to determine the validity of the claim and that the form requires
  the claimant to state that the airport property for which he or she
  claims appraisal under this subchapter will be used exclusively as
  public access airport property in the current year.
         SECTION 2.51.  Sections 23.9804(b), (c), and (d), Tax Code,
  are amended to read as follows:
         (b)  To be valid, an application for appraisal under Section
  23.9802(a) must:
               (1)  be on a form provided by the appraisal office and
  prescribed by the State Property Tax Board [comptroller];
               (2)  provide evidence that the land qualifies for
  designation as an aesthetic management zone, critical wildlife
  habitat zone, or streamside management zone;
               (3)  specify the location of the proposed zone and the
  quantity of land, in acres, in the proposed zone; and
               (4)  contain other information necessary to determine
  the validity of the claim.
         (c)  To be valid, an application for appraisal under Section
  23.9802(b) must:
               (1)  be on a form provided by the appraisal office and
  prescribed by the State Property Tax Board [comptroller];
               (2)  provide evidence that the land on which the timber
  was harvested was appraised under Subchapter E in the year in which
  the timber was harvested;
               (3)  provide evidence that all of the land has been
  regenerated in compliance with Section 23.9802(b)(2); and
               (4)  contain other information necessary to determine
  the validity of the claim.
         (d)  The State Property Tax Board [comptroller] shall
  include on the form a notice of the penalties prescribed by Section
  37.10, Penal Code, for making or filing an application containing a
  false statement. The board [comptroller], in prescribing the
  contents of the application form, shall require that the form
  permit a claimant who has previously been allowed appraisal under
  this subchapter to indicate that the previously reported
  information has not changed and to supply only the eligibility
  information not previously reported.
         SECTION 2.52.  Section 24.32(c), Tax Code, is amended to
  read as follows:
         (c)  A report required by this section must be on a form
  prescribed by the State Property Tax Board [comptroller]. In
  prescribing the form, the board [comptroller] shall ensure that it
  requires the information necessary to determine market value of
  rolling stock used in this state.
         SECTION 2.53.  Section 24.34(b), Tax Code, is amended to
  read as follows:
         (b)  The State Property Tax Board [comptroller] shall adopt
  rules establishing formulas for interstate allocation of the value
  of railroad rolling stock.
         SECTION 2.54.  Section 24.36, Tax Code, is amended to read as
  follows:
         Sec. 24.36.  CERTIFICATION TO STATE PROPERTY TAX BOARD
  [COMPTROLLER]. On approval of the appraised value of the rolling
  stock as provided by Chapter 41 of this code, the chief appraiser
  shall certify to the State Property Tax Board [comptroller] the
  amount of market value allocated to this state for each owner whose
  rolling stock is appraised in the county and the name and business
  address of each owner.
         SECTION 2.55.  Section 24.365, Tax Code, is amended to read
  as follows:
         Sec. 24.365.  CORRECTION OF CERTIFIED AMOUNT. (a)  A chief
  appraiser who discovers that the chief appraiser's certification to
  the State Property Tax Board [comptroller] of the amount of the
  market value of rolling stock allocated to this state under Section
  24.36 was incomplete or incorrect shall immediately certify the
  correct amount of that market value to the board [comptroller].
         (b)  As soon as practicable after the State Property Tax
  Board [comptroller] receives the correct certification from the
  chief appraiser, the board [comptroller] shall certify to the
  county assessor-collector for each affected county the information
  required by Section 24.38 as corrected.
         SECTION 2.56.  Section 24.37, Tax Code, is amended to read as
  follows:
         Sec. 24.37.  INTRASTATE APPORTIONMENT. The State Property
  Tax Board [comptroller] shall apportion the appraised value of each
  owner's rolling stock to each county in which the railroad using it
  operates according to the ratio the mileage of road owned by the
  railroad in the county bears to the total mileage of road the
  railroad owns in this state.
         SECTION 2.57.  Section 24.38, Tax Code, is amended to read as
  follows:
         Sec. 24.38.  CERTIFICATION OF APPORTIONED VALUE. Before
  July 26, the State Property Tax Board [comptroller] shall certify
  to the county assessor-collector for each county in which a
  railroad operates:
               (1)  the county's apportioned amount of the market
  value of each owner's rolling stock; and
               (2)  the name and business address of each owner.
         SECTION 2.58.  Section 24.40(a), Tax Code, is amended to
  read as follows:
         (a)  If a chief appraiser discovers that rolling stock used
  in this state and subject to appraisal by him or her has not been
  appraised and apportioned to the counties in one of the two
  preceding years, the appraiser [he] shall appraise the property as
  of January 1 for each year it was omitted, submit the appraisal for
  review and protest, and certify the approved value to the State
  Property Tax Board [comptroller].
         SECTION 2.59.  Section 25.011(b), Tax Code, is amended to
  read as follows:
         (b)  The record for each type of specially appraised property
  must be maintained in a separate document for each 12-month period
  beginning June 1. The document must include the name of at least
  one owner of the property, the acreage of the property, and other
  information sufficient to identify the property as required by the
  State Property Tax Board [comptroller]. All entries in each
  document must be kept in alphabetical order according to the last
  name of each owner whose name is part of the record.
         SECTION 2.60.  Section 25.02(a), Tax Code, is amended to
  read as follows:
         (a)  The appraisal records shall be in the form prescribed by
  the State Property Tax Board [comptroller] and shall include:
               (1)  the name and address of the owner or, if the name
  or address is unknown, a statement that it is unknown;
               (2)  real property;
               (3)  separately taxable estates or interests in real
  property, including taxable possessory interests in exempt real
  property;
               (4)  personal property;
               (5)  the appraised value of land and, if the land is
  appraised as provided by Subchapter C, D, E, or H, Chapter 23, the
  market value of the land;
               (6)  the appraised value of improvements to land;
               (7)  the appraised value of a separately taxable estate
  or interest in land;
               (8)  the appraised value of personal property;
               (9)  the kind of any partial exemption the owner is
  entitled to receive, whether the exemption applies to appraised or
  assessed value, and, in the case of an exemption authorized by
  Section 11.23, the amount of the exemption;
               (10)  the tax year to which the appraisal applies; and
               (11)  an identification of each taxing unit in which
  the property is taxable.
         SECTION 2.61.  Section 25.025(b), Tax Code, is amended to
  read as follows:
         (b)  Information in appraisal records under Section 25.02 is
  confidential and is available only for the official use of the
  appraisal district, this state, the State Property Tax Board
  [comptroller], and taxing units and political subdivisions of this
  state if:
               (1)  the information identifies the home address of a
  named individual to whom this section applies; and
               (2)  the individual chooses to restrict public access
  to the information on the form prescribed for that purpose by the
  board [comptroller] under Section 5.07.
         SECTION 2.62.  Section 25.026(b), Tax Code, is amended to
  read as follows:
         (b)  Information in appraisal records under Section 25.02 is
  confidential and is available only for the official use of the
  appraisal district, this state, the State Property Tax Board
  [comptroller], and taxing units and political subdivisions of this
  state if the information identifies the address of a family
  violence shelter center, a sexual assault program, or a victims of
  trafficking shelter center.
         SECTION 2.63.  Section 25.03(b), Tax Code, is amended to
  read as follows:
         (b)  The State Property Tax Board [comptroller] may adopt
  rules establishing minimum standards for descriptions of property.
         SECTION 2.64.  Sections 25.19(i) and (j), Tax Code, are
  amended to read as follows:
         (i)  Delivery with a notice required by Subsection (a) or (g)
  of a copy of the pamphlet published by the State Property Tax Board
  [comptroller] under Section 5.06 or a copy of the notice published
  by the chief appraiser under Section 41.70 is sufficient to comply
  with the requirement that the notice include the information
  specified by Subsection (b)(7) or (g)(3), as applicable.
         (j)  The chief appraiser shall include with a notice required
  by Subsection (a) or (g):
               (1)  a copy of a notice of protest form as prescribed by
  the State Property Tax Board [comptroller] under Section 41.44(d);
  and
               (2)  instructions for completing and mailing the form
  to the appraisal review board and requesting a hearing on the
  protest.
         SECTION 2.65.  Section 25.23(b), Tax Code, is amended to
  read as follows:
         (b)  Supplemental appraisal records shall be in the form
  prescribed by the State Property Tax Board [comptroller] and shall
  include the items required by Section 25.02 [of this code].
         SECTION 2.66.  Section 26.01(b), Tax Code, is amended to
  read as follows:
         (b)  When a chief appraiser submits an appraisal roll for
  county taxes to a county assessor-collector, the chief appraiser
  also shall certify the appraisal district appraisal roll to the
  State Property Tax Board [comptroller]. However, the board
  [comptroller] by rule may provide for submission of only a summary
  of the appraisal roll. The chief appraiser shall certify the
  district appraisal roll or the summary of that roll in the form and
  manner prescribed by the board's [comptroller's] rule.
         SECTION 2.67.  Section 26.04(e), Tax Code, is amended to
  read as follows:
         (e)  By August 7 or as soon thereafter as practicable, the
  designated officer or employee shall submit the rates to the
  governing body. The officer or employee [He] shall deliver by mail
  to each property owner in the unit or publish in a newspaper in the
  form prescribed by the State Property Tax Board [comptroller]:
               (1)  the effective tax rate, the rollback tax rate, and
  an explanation of how they were calculated;
               (2)  the estimated amount of interest and sinking fund
  balances and the estimated amount of maintenance and operation or
  general fund balances remaining at the end of the current fiscal
  year that are not encumbered with or by corresponding existing debt
  obligation;
               (3)  a schedule of the unit's debt obligations showing:
                     (A)  the amount of principal and interest that
  will be paid to service the unit's debts in the next year from
  property tax revenue, including payments of lawfully incurred
  contractual obligations providing security for the payment of the
  principal of and interest on bonds and other evidences of
  indebtedness issued on behalf of the unit by another political
  subdivision and, if the unit is created under Section 52, Article
  III, or Section 59, Article XVI, Texas Constitution, payments on
  debts that the unit anticipates to incur in the next calendar year;
                     (B)  the amount by which taxes imposed for debt
  are to be increased because of the unit's anticipated collection
  rate; and
                     (C)  the total of the amounts listed in Paragraphs
  (A)-(B), less any amount collected in excess of the previous year's
  anticipated collections certified as provided in Subsection (b);
               (4)  the amount of additional sales and use tax revenue
  anticipated in calculations under Section 26.041;
               (5)  a statement that the adoption of a tax rate equal
  to the effective tax rate would result in an increase or decrease,
  as applicable, in the amount of taxes imposed by the unit as
  compared to last year's levy, and the amount of the increase or
  decrease;
               (6)  in the year that a taxing unit calculates an
  adjustment under Subsection (i) or (j), a schedule that includes
  the following elements:
                     (A)  the name of the unit discontinuing the
  department, function, or activity;
                     (B)  the amount of property tax revenue spent by
  the unit listed under Paragraph (A) to operate the discontinued
  department, function, or activity in the 12 months preceding the
  month in which the calculations required by this chapter are made;
  and
                     (C)  the name of the unit that operates a distinct
  department, function, or activity in all or a majority of the
  territory of a taxing unit that has discontinued operating the
  distinct department, function, or activity; and
               (7)  in the year following the year in which a taxing
  unit raised its rollback rate as required by Subsection (j), a
  schedule that includes the following elements:
                     (A)  the amount of property tax revenue spent by
  the unit to operate the department, function, or activity for which
  the taxing unit raised the rollback rate as required by Subsection
  (j) for the 12 months preceding the month in which the calculations
  required by this chapter are made; and
                     (B)  the amount published by the unit in the
  preceding tax year under Subdivision (6)(B).
         SECTION 2.68.  Section 26.16(e), Tax Code, is amended to
  read as follows:
         (e)  The State Property Tax Board [comptroller] by rule shall
  prescribe the manner in which the information described by this
  section is required to be presented.
         SECTION 2.69.  Section 31.075(a), Tax Code, is amended to
  read as follows:
         (a)  At the request of a property owner or a property owner's
  agent, the collector for a taxing unit shall issue a receipt showing
  the taxable value and the amount of tax imposed by the unit on the
  property in one or more tax years for which the information is
  requested, the tax rate for each of those tax years, and the amount
  of tax paid in each of those years. The receipt must describe the
  property in the manner prescribed by the State Property Tax Board
  [comptroller]. If the amount of the tax for the current year has
  not been calculated when the request is made, the collector shall on
  request issue to the property owner or agent a statement indicating
  that taxes for the current year have not been calculated.
         SECTION 2.70.  Section 31.11(c), Tax Code, is amended to
  read as follows:
         (c)  Except as provided by Subsection (c-1), an application
  for a refund must be made within three years after the date of the
  payment or the taxpayer waives the right to the refund. A taxpayer
  may apply for a refund by filing:
               (1)  an application on a form prescribed by the State
  Property Tax Board [comptroller] by rule; or
               (2)  a written request that includes information
  sufficient to enable the collector and the auditor for the taxing
  unit and, if applicable, the governing body of the taxing unit to
  determine whether the taxpayer is entitled to the refund.
         SECTION 2.71.  Section 33.43(e), Tax Code, is amended to
  read as follows:
         (e)  The State Property Tax Board [comptroller] shall
  prepare forms for petitions initiating suits to collect delinquent
  taxes. An attorney representing a taxing unit may use the forms or
  develop his or her own form.
         SECTION 2.72.  Section 41.44(d), Tax Code, is amended to
  read as follows:
         (d)  A notice of protest is sufficient if it identifies the
  protesting property owner, including a person claiming an ownership
  interest in the property even if that person is not listed on the
  appraisal records as an owner of the property, identifies the
  property that is the subject of the protest, and indicates apparent
  dissatisfaction with some determination of the appraisal office.
  The notice need not be on an official form, but the State Property
  Tax Board [comptroller] shall prescribe a form that provides for
  more detail about the nature of the protest. The form must permit a
  property owner to include each property in the appraisal district
  that is the subject of a protest. The State Property Tax Board
  [comptroller], each appraisal office, and each appraisal review
  board shall make the forms readily available and deliver one to a
  property owner on request.
         SECTION 2.73.  Sections 41.45(k) and (l), Tax Code, are
  amended to read as follows:
         (k)  The State Property Tax Board [comptroller] shall
  prescribe a standard form for an affidavit offered under Subsection
  (b). Each appraisal district shall make copies of the affidavit
  form available to property owners without charge.
         (l)  A property owner is not required to use the affidavit
  form prescribed by the State Property Tax Board [comptroller] when
  offering an affidavit under Subsection (b).
         SECTION 2.74.  Section 41.461(a), Tax Code, is amended to
  read as follows:
         (a)  At least 14 days before a hearing on a protest, the chief
  appraiser shall:
               (1)  deliver a copy of the pamphlet prepared by the
  State Property Tax Board [comptroller] under Section 5.06 [5.06(a)]
  to the property owner initiating the protest if the owner is
  representing himself or herself, or to an agent representing the
  owner if requested by the agent;
               (2)  inform the property owner that the owner or the
  agent of the owner may inspect and may obtain a copy of the data,
  schedules, formulas, and all other information the chief appraiser
  plans to introduce at the hearing to establish any matter at issue;
  and
               (3)  deliver a copy of the hearing procedures
  established by the appraisal review board under Section 41.66 to
  the property owner.
         SECTION 2.75.  Section 41.65, Tax Code, is amended to read as
  follows:
         Sec. 41.65.  REQUEST FOR STATE ASSISTANCE. The appraisal
  review board may request the State Property Tax Board [comptroller]
  to assist in determining the accuracy of appraisals by the
  appraisal office or to provide other professional assistance. The
  appraisal office shall reimburse the costs of providing assistance
  if the board [comptroller] requests reimbursement.
         SECTION 2.76.  Section 41.66(a), Tax Code, is amended to
  read as follows:
         (a)  The appraisal review board shall establish by rule the
  procedures for hearings it conducts as provided by Subchapters A
  and C of this chapter.  On request made by a property owner in the
  owner's notice of protest or in a separate writing delivered to the
  appraisal review board on or before the date the notice of protest
  is filed, the property owner is entitled to a copy of the hearing
  procedures. The copy of the hearing procedures shall be delivered
  to the property owner not later than the 10th day before the date
  the hearing on the protest begins and may be delivered with the
  notice of the protest hearing required under Section 41.46(a). The
  notice of protest form prescribed by the State Property Tax Board
  [comptroller] under Section 41.44(d) or any other notice of protest
  form made available to a property owner by the appraisal review
  board or the appraisal office shall provide the property owner an
  opportunity to make or decline to make a request under this
  subsection. The appraisal review board shall post a copy of the
  hearing procedures in a prominent place in the room in which the
  hearing is held.
         SECTION 2.77.  Section 41.68, Tax Code, is amended to read as
  follows:
         Sec. 41.68.  RECORD OF PROCEEDING. The appraisal review
  board shall keep a record of its proceedings in the form and manner
  prescribed by the State Property Tax Board [comptroller].
         SECTION 2.78.  Section 41.70(a), Tax Code, is amended to
  read as follows:
         (a)  On or after May 1 but not later than May 15, the chief
  appraiser shall publish notice of the manner in which a protest
  under this chapter may be brought by a property owner. The notice
  must describe how to initiate a protest and must describe the
  deadlines for filing a protest. The notice must also describe the
  manner in which an order of the appraisal review board may be
  appealed. The State Property Tax Board [comptroller] by rule shall
  adopt minimum standards for the form and content of the notice
  required by this section.
         SECTION 2.79.  Section 41A.03(a), Tax Code, is amended to
  read as follows:
         (a)  To appeal an appraisal review board order under this
  chapter, a property owner must file with the appraisal district not
  later than the 45th day after the date the property owner receives
  notice of the order:
               (1)  a completed request for binding arbitration under
  this chapter in the form prescribed by Section 41A.04; and
               (2)  an arbitration deposit made payable to the State
  Property Tax Board [comptroller] in the amount of $500.
         SECTION 2.80.  Section 41A.04, Tax Code, is amended to read
  as follows:
         Sec. 41A.04.  CONTENTS OF REQUEST FORM. The State Property
  Tax Board [comptroller] by rule shall prescribe the form of a
  request for binding arbitration under this chapter. The form must
  require the property owner to provide only:
               (1)  a brief statement that explains the basis for the
  property owner's appeal of the appraisal review board order;
               (2)  a statement of the property owner's opinion of the
  appraised or market value, as applicable, of the property that is
  the subject of the appeal; and
               (3)  any other information reasonably necessary for the
  appraisal district to request appointment of an arbitrator.
         SECTION 2.81.  Section 41A.05, Tax Code, is amended to read
  as follows:
         Sec. 41A.05.  PROCESSING OF REGISTRATION REQUEST. (a)  Not
  later than the 10th day after the date an appraisal district
  receives from a property owner a completed request for binding
  arbitration under this chapter and an arbitration deposit as
  required by Section 41A.03, the appraisal district shall:
               (1)  certify the request;
               (2)  submit the request and deposit to the State
  Property Tax Board [comptroller]; and
               (3)  request the State Property Tax Board [comptroller]
  to appoint a qualified arbitrator to conduct the arbitration.
         (b)  The State Property Tax Board [comptroller] may retain an
  amount equal to 10 percent of the deposit to cover the board's
  [comptroller's] administrative costs.
         SECTION 2.82.  Sections 41A.06(a) and (c), Tax Code, are
  amended to read as follows:
         (a)  The State Property Tax Board [comptroller] shall
  maintain a registry listing the qualified persons who have agreed
  to serve as arbitrators under this chapter.
         (c)  An arbitrator must complete a training program on
  property tax law before conducting a hearing on an arbitration
  relating to the appeal of an appraisal review board order
  determining a protest filed under Section 41.41(a)(2). The
  training program must:
               (1)  emphasize the requirements regarding the equal and
  uniform appraisal of property;
               (2)  be at least four hours in length; and
               (3)  be approved by the State Property Tax Board
  [comptroller].
         SECTION 2.83.  Section 41A.061, Tax Code, is amended to read
  as follows:
         Sec. 41A.061.  CONTINUED QUALIFICATION OF ARBITRATOR;
  RENEWAL OF AGREEMENT. (a)  The State Property Tax Board
  [comptroller] shall include a qualified arbitrator in the registry
  until the second anniversary of the date the person was added to the
  registry. To continue to be included in the registry after the
  second anniversary of the date the person was added to the registry,
  the person must renew the person's agreement with the board
  [comptroller] to serve as an arbitrator on or as near as possible to
  the date on which the person's license or certification issued
  under Chapter 901, 1101, or 1103, Occupations Code, is renewed.
         (b)  To renew the person's agreement to serve as an
  arbitrator, the person must:
               (1)  file a renewal application with the State Property
  Tax Board [comptroller] at the time and in the manner prescribed by
  the board [comptroller];
               (2)  continue to meet the requirements provided by
  Section 41A.06(b); and
               (3)  during the preceding two years have completed at
  least eight hours of continuing education in arbitration and
  alternative dispute resolution procedures offered by a university,
  college, real estate trade association, or legal association.
         (c)  The State Property Tax Board [comptroller] shall remove
  a person from the registry if the person fails or declines to renew
  the person's agreement to serve as an arbitrator in the manner
  required by this section.
         SECTION 2.84.  Section 41A.07, Tax Code, is amended to read
  as follows:
         Sec. 41A.07.  APPOINTMENT OF ARBITRATOR. (a)  On receipt of
  the request and deposit under Section 41A.05, the State Property
  Tax Board [comptroller] shall send the property owner and the
  appraisal district a copy of the board's [comptroller's] registry
  of qualified arbitrators and request that the parties select an
  arbitrator from the registry. The board [comptroller] may send a
  copy of the registry to the parties by regular mail in paper form or
  may send the parties written notice of the Internet address of a
  website at which the registry is maintained and may be accessed.
  The parties shall attempt to select an arbitrator from the
  registry.
         (b)  Not later than the 20th day after the date the parties
  receive the copy of the registry or notice of the Internet address
  of the registry website, the appraisal district shall notify the
  State Property Tax Board [comptroller] that:
               (1)  the parties have selected an arbitrator and
  request that the board [comptroller] appoint the selected
  arbitrator; or
               (2)  the parties were unable to select an arbitrator
  and request the board [comptroller] to appoint an arbitrator.
         (c)  On receipt of notice from the appraisal district under
  Subsection (b), the State Property Tax Board [comptroller] shall:
               (1)  appoint:
                     (A)  the arbitrator selected under Subsection
  (b)(1), if applicable; or
                     (B)  any arbitrator included in the board's
  [comptroller's] registry, if Subsection (b)(2) applies; and
               (2)  send notice to the arbitrator appointed,
  requesting that the arbitrator conduct the arbitration.
         (d)  If the arbitrator appointed is unable or unwilling to
  conduct the arbitration for any reason, the arbitrator shall
  promptly notify the State Property Tax Board [comptroller] that the
  arbitrator does not accept the appointment and state the reason.
  The board [comptroller] shall appoint a substitute arbitrator
  promptly after receipt of the notice.
         SECTION 2.85.  Sections 41A.09(a), (c), (d), and (e), Tax
  Code, are amended to read as follows:
         (a)  Not later than the 20th day after the date the hearing
  under Section 41A.08 is concluded, the arbitrator shall make an
  arbitration award and deliver a copy of the award to the property
  owner, appraisal district, and State Property Tax Board
  [comptroller].
         (c)  If the arbitrator determines that the appraised or
  market value, as applicable, of the property that is the subject of
  the appeal is nearer to the property owner's opinion of the
  appraised or market value, as applicable, of the property as stated
  in the request for binding arbitration submitted under Section
  41A.03 than the value determined by the appraisal review board:
               (1)  the State Property Tax Board [comptroller], on
  receipt of a copy of the award, shall refund the property owner's
  arbitration deposit, less the amount retained by the board
  [comptroller] under Section 41A.05(b);
               (2)  the appraisal district, on receipt of a copy of the
  award, shall pay the arbitrator's fee; and
               (3)  the chief appraiser shall correct the appraised or
  market value, as applicable, of the property as shown in the
  appraisal roll to reflect the arbitrator's determination.
         (d)  If the arbitrator determines that the appraised or
  market value, as applicable, of the property that is the subject of
  the appeal is not nearer to the property owner's opinion of the
  appraised or market value, as applicable, of the property as stated
  in the request for binding arbitration submitted under Section
  41A.03 than the value determined by the appraisal review board:
               (1)  the State Property Tax Board [comptroller], on
  receipt of a copy of the award, shall:
                     (A)  pay the arbitrator's fee out of the owner's
  arbitration deposit; and
                     (B)  refund to the owner the owner's arbitration
  deposit, less the arbitrator's fee and the amount retained by the
  board [comptroller] under Section 41A.05(b); and
               (2)  the chief appraiser shall correct the appraised or
  market value, as applicable, of the property as shown in the
  appraisal roll to reflect the arbitrator's determination if the
  value as determined by the arbitrator is less than the value as
  determined by the appraisal review board.
         (e)  The State Property Tax Board [comptroller] by rule may
  prescribe a standard form for an award and may require arbitrators
  to use the award form when making awards under this chapter.
         SECTION 2.86.  Section 41A.10(b), Tax Code, is amended to
  read as follows:
         (b)  A property owner may not file an appeal under this
  chapter if the taxes on the property subject to the appeal are
  delinquent. An arbitrator who determines that the taxes on the
  property subject to an appeal are delinquent shall dismiss the
  pending appeal with prejudice. If an appeal is dismissed under this
  subsection, the State Property Tax Board [comptroller] shall refund
  the property owner's arbitration deposit, less the amount retained
  by the board [comptroller] under Section 41A.05(b).
         SECTION 2.87.  Section 41A.12, Tax Code, is amended to read
  as follows:
         Sec. 41A.12.  USE OF PROPERTIES AS SAMPLES. An arbitrator's
  determination of market value under this chapter is the market
  value of the property subject to the appeal for the purposes of the
  study conducted under Section 5.23 [403.302, Government Code].
         SECTION 2.88.  Section 41A.13, Tax Code, is amended to read
  as follows:
         Sec. 41A.13.  RULES. The State Property Tax Board
  [comptroller] may adopt rules necessary to implement and administer
  this chapter.
         SECTION 2.89.  Section 42.01(a), Tax Code, is amended to
  read as follows:
         (a)  A property owner is entitled to appeal:
               (1)  an order of the appraisal review board
  determining:
                     (A)  a protest by the property owner as provided
  by Subchapter C of Chapter 41;
                     (B)  a determination of an appraisal review board
  on a motion filed under Section 25.25;
                     (C)  a determination of an appraisal review board
  that the property owner has forfeited the right to a final
  determination of a motion filed under Section 25.25 or of a protest
  under Section 41.411 for failing to comply with the prepayment
  requirements of Section 25.26 or 41.4115, as applicable; or
                     (D)  a determination of an appraisal review board
  of eligibility for a refund requested under Section 23.1243; or
               (2)  an order of the State Property Tax Board
  [comptroller] issued as provided by Subchapter B, Chapter 24,
  apportioning among the counties the appraised value of railroad
  rolling stock owned by the property owner.
         SECTION 2.90.  Section 42.03, Tax Code, is amended to read as
  follows:
         Sec. 42.03.  RIGHT OF APPEAL BY COUNTY. A county may appeal
  the order of the State Property Tax Board [comptroller] issued as
  provided by Subchapter B, Chapter 24 of this code apportioning
  among the counties the appraised value of railroad rolling stock.
         SECTION 2.91.  Section 42.05, Tax Code, is amended to read as
  follows:
         Sec. 42.05.  STATE PROPERTY TAX BOARD [COMPTROLLER] AS
  PARTY. The State Property Tax Board [comptroller] is an opposing
  party in an appeal by:
               (1)  a property owner of an order of the board
  [comptroller] determining a protest of the appraisal, interstate
  allocation, or intrastate apportionment of transportation business
  intangibles; or
               (2)  a county or a property owner of an order of the
  board [comptroller] apportioning among the counties the appraised
  value of railroad rolling stock.
         SECTION 2.92.  Sections 42.06(a), (b), and (c), Tax Code,
  are amended to read as follows:
         (a)  To exercise the party's right to appeal an order of an
  appraisal review board, a party other than a property owner must
  file written notice of appeal within 15 days after the date the
  party receives the notice required by Section 41.47 or, in the case
  of a taxing unit, by Section 41.07 that the order appealed has been
  issued. To exercise the right to appeal an order of the State
  Property Tax Board [comptroller], a party other than a property
  owner must file written notice of appeal within 15 days after the
  date the party receives the board's [comptroller's] order. A
  property owner is not required to file a notice of appeal under this
  section.
         (b)  A party required to file a notice of appeal under this
  section other than a chief appraiser who appeals an order of an
  appraisal review board shall file the notice with the chief
  appraiser of the appraisal district for which the appraisal review
  board is established. A chief appraiser who appeals an order of an
  appraisal review board shall file the notice with the appraisal
  review board. A party who appeals an order of the State Property
  Tax Board [comptroller] shall file the notice with that board [the
  comptroller].
         (c)  If the chief appraiser, a taxing unit, or a county
  appeals, the chief appraiser, if the appeal is of an order of the
  appraisal review board, or the State Property Tax Board
  [comptroller], if the appeal is of an order of the State Property
  Tax Board [comptroller], shall deliver a copy of the notice to the
  property owner whose property is involved in the appeal within 10
  days after the date the notice is filed.
         SECTION 2.93.  Section 42.21(b), Tax Code, is amended to
  read as follows:
         (b)  A petition for review brought under Section 42.02 must
  be brought against the owner of the property involved in the appeal.
  A petition for review brought under Section 42.031 must be brought
  against the appraisal district and against the owner of the
  property involved in the appeal. A petition for review brought
  under Section 42.01(a)(2) or 42.03 must be brought against the
  State Property Tax Board [comptroller]. Any other petition for
  review under this chapter must be brought against the appraisal
  district. A petition for review may not be brought against the
  appraisal review board. An appraisal district may hire an attorney
  that represents the district to represent the appraisal review
  board established for the district to file an answer and obtain a
  dismissal of a suit filed against the appraisal review board in
  violation of this subsection.
         SECTION 2.94.  Section 42.22, Tax Code, as amended by
  Chapters 667 (S.B. 548) and 1033 (H.B. 301), Acts of the 73rd
  Legislature, Regular Session, 1993, is reenacted and amended to
  read as follows:
         Sec. 42.22.  VENUE. Venue is in the county in which the
  appraisal review board that issued the order appealed is located,
  except as provided by Section 42.221. Venue is in Travis County if
  the order appealed was issued by the State Property Tax Board
  [comptroller].
         SECTION 2.95.  Section 42.23(b), Tax Code, is amended to
  read as follows:
         (b)  The court may not admit in evidence the fact of prior
  action by the appraisal review board or State Property Tax Board
  [comptroller], except to the extent necessary to establish its
  jurisdiction.
         SECTION 2.96.  Section 42.26(c), Tax Code, is amended to
  read as follows:
         (c)  For purposes of establishing the median level of
  appraisal under Subsection (a)(1), the median level of appraisal in
  the appraisal district as determined by the State Property Tax
  Board [comptroller] under Section 5.10 is admissible as evidence of
  the median level of appraisal of a reasonable and representative
  sample of properties in the appraisal district for the year of the
  board's [comptroller's] determination, subject to the Texas Rules
  of Evidence and the Texas Rules of Civil Procedure.
         SECTION 2.97.  Section 42.28, Tax Code, is amended to read as
  follows:
         Sec. 42.28.  APPEAL OF DISTRICT COURT JUDGMENT. A party may
  appeal the final judgment of the district court as provided by law
  for appeal of civil suits generally, except that an appeal bond is
  not required of the chief appraiser, the county, the State Property
  Tax Board [comptroller], or the commissioners court.
         SECTION 2.98.  Sections 42.43(g) and (i), Tax Code, are
  amended to read as follows:
         (g)  If a form prescribed by the State Property Tax Board
  [comptroller] under Subsection (i) is filed with a taxing unit
  before the 21st day after the final determination of an appeal that
  requires a refund be made, the taxing unit shall send the refund to
  the person and address designated on the form.
         (i)  The State Property Tax Board [comptroller] shall
  prescribe the form necessary to allow a property owner to designate
  the person to whom a refund must be sent. The board [comptroller]
  shall include on the form a space for the property owner to
  designate to whom and where the refund must be sent and provide
  options to mail the refund to:
               (1)  the property owner;
               (2)  the business office of the property owner's
  attorney of record in the appeal; or
               (3)  any other individual and address designated by the
  property owner.
         SECTION 2.99.  Section 43.01, Tax Code, is amended to read as
  follows:
         Sec. 43.01.  AUTHORITY TO BRING SUIT. A taxing unit may sue
  the appraisal district that appraises property for the unit to
  compel the appraisal district to comply with the provisions of this
  title, rules of the State Property Tax Board [comptroller], or
  other applicable law.
         SECTION 2.100.  Section 111.00455(b), Tax Code, is amended
  to read as follows:
         (b)  The following are not contested cases under Subsection
  (a) and Section 2003.101, Government Code:
               (1)  a show cause hearing or any hearing not related to
  the collection, receipt, administration, or enforcement of the
  amount of a tax or fee imposed, or the penalty or interest
  associated with that amount, except for a hearing under Section
  151.157(f), 151.1575(c), 151.712(g), 154.1142, or 155.0592;
               (2)  a property value study hearing under Subchapter B
  [M], Chapter 5 [403, Government Code];
               (3)  a hearing in which the issue relates to:
                     (A)  Chapters 72-75, Property Code;
                     (B)  forfeiture of a right to do business;
                     (C)  a certificate of authority;
                     (D)  articles of incorporation;
                     (E)  a penalty imposed under Section 151.703(d);
                     (F)  the refusal or failure to settle under
  Section 111.101; or
                     (G)  a request for or revocation of an exemption
  from taxation; and
               (4)  any other hearing not related to the collection,
  receipt, administration, or enforcement of the amount of a tax or
  fee imposed, or the penalty or interest associated with that
  amount.
         SECTION 2.101.  Section 111.0081(c), Tax Code, is amended to
  read as follows:
         (c)  The amount of a determination made under this code is
  due and payable 20 days after a [comptroller's] decision of the
  comptroller or the State Property Tax Board, as applicable, in a
  redetermination hearing becomes final. If the amount of the
  determination is not paid within 20 days after the day the decision
  became final, a penalty of 10 percent of the amount of the
  determination, exclusive of penalties and interest, shall be added.
         SECTION 2.102.  Section 111.009, Tax Code, is amended by
  amending Subsections (a) and (d) and adding Subsection (a-1) to
  read as follows:
         (a)  Except as provided by Subsection (a-1), a [A] person
  having a direct interest in a determination may petition the
  comptroller for a redetermination.
         (a-1)  A person having a direct interest in a determination
  under Section 313.0276 may petition the State Property Tax Board
  for a redetermination.
         (d)  An order or decision of the comptroller or State
  Property Tax Board, as applicable, on a petition for
  redetermination becomes final 20 days after service on the
  petitioner of the notice of the order or decision.
         SECTION 2.103.  Section 311.011(h), Tax Code, is amended to
  read as follows:
         (h)  Unless specifically provided otherwise in the plan, all
  amounts contained in the project plan or reinvestment zone
  financing plan, including amounts of expenditures relating to
  project costs and amounts relating to participation by taxing
  units, are considered estimates and do not act as a limitation on
  the described items, but the amounts contained in the project plan
  or reinvestment zone financing plan may not vary materially from
  the estimates. This subsection may not be construed to increase the
  amount of any reduction under Section 5.23(d)(4) [403.302(d)(4),
  Government Code,] in the total taxable value of the property in a
  school district that participates in the zone as computed under
  Section 5.23(d) [403.302(d) of that code].
         SECTION 2.104.  Section 311.013(n), Tax Code, is amended to
  read as follows:
         (n)  This subsection applies only to a school district whose
  taxable value computed under Section 5.23(d) [403.302(d),
  Government Code,] is reduced in accordance with Subdivision (4) of
  that subsection. In addition to the amount otherwise required to be
  paid into the tax increment fund, the district shall pay into the
  fund an amount equal to the amount by which the amount of taxes the
  district would have been required to pay into the fund in the
  current year if the district levied taxes at the rate the district
  levied in 2005 exceeds the amount the district is otherwise
  required to pay into the fund in the year of the reduction. This
  additional amount may not exceed the amount the school district
  receives in state aid for the current tax year under Section
  42.2514, Education Code. The school district shall pay the
  additional amount after the district receives the state aid to
  which the district is entitled for the current tax year under
  Section 42.2514, Education Code.
         SECTION 2.105.  Section 311.016(b), Tax Code, is amended to
  read as follows:
         (b)  The municipality or county shall send a copy of a report
  made under this section to the State Property Tax Board
  [comptroller].
         SECTION 2.106.  Section 311.0163(a), Tax Code, is amended to
  read as follows:
         (a)  Not later than December 31 of each even-numbered year,
  the State Property Tax Board [comptroller] shall submit a report to
  the legislature and to the governor on reinvestment zones
  designated under this chapter and on project plans and reinvestment
  zone financing plans adopted under this chapter.
         SECTION 2.107.  Section 311.019, Tax Code, is amended to
  read as follows:
         Sec. 311.019.  CENTRAL REGISTRY. (a)  The State Property
  Tax Board [comptroller] shall maintain a central registry of:
               (1)  reinvestment zones designated under this chapter;
               (2)  project plans and reinvestment zone financing
  plans adopted under this chapter; and
               (3)  annual reports submitted under Section 311.016.
         (b)  A municipality or county that designates a reinvestment
  zone or approves a project plan or reinvestment zone financing plan
  under this chapter shall deliver to the State Property Tax Board
  [comptroller] before April 1 of the year following the year in which
  the zone is designated or the plan is approved a report containing:
               (1)  a general description of each zone, including:
                     (A)  the size of the zone;
                     (B)  the types of property located in the zone;
                     (C)  the duration of the zone; and
                     (D)  the guidelines and criteria established for
  the zone under Section 311.005;
               (2)  a copy of each project plan or reinvestment zone
  financing plan adopted; and
               (3)  any other information required by the board
  [comptroller] to administer this section [and Subchapter F, Chapter
  111].
         (c)  A municipality or county that amends or modifies a
  project plan or reinvestment zone financing plan adopted under this
  chapter shall deliver a copy of the amendment or modification to the
  State Property Tax Board [comptroller] before April 1 of the year
  following the year in which the plan was amended or modified.
         SECTION 2.108.  Section 311.020, Tax Code, is amended to
  read as follows:
         Sec. 311.020.  STATE ASSISTANCE. (a)  On request of the
  governing body of a municipality or county or of the presiding
  officer of the governing body, the State Property Tax Board
  [comptroller] may provide assistance to a municipality or county
  relating to the administration of this chapter.
         (b)  The economic development and tourism division of the
  governor's office [Texas Department of Economic Development] and
  the State Property Tax Board [comptroller] may provide technical
  assistance to a municipality or county regarding:
               (1)  the designation of reinvestment zones under this
  chapter; and
               (2)  the adoption and execution of project plans or
  reinvestment zone financing plans under this chapter.
         SECTION 2.109.  Section 312.005, Tax Code, is amended to
  read as follows:
         Sec. 312.005.  STATE ADMINISTRATION. (a)  The State
  Property Tax Board [comptroller] shall maintain a central registry
  of reinvestment zones designated under this chapter and of ad
  valorem tax abatement agreements executed under this chapter. The
  chief appraiser of each appraisal district that appraises property
  for a taxing unit that has designated a reinvestment zone or
  executed a tax abatement agreement under this chapter shall deliver
  to the board [comptroller] before July 1 of the year following the
  year in which the zone is designated or the agreement is executed a
  report providing the following information:
               (1)  for a reinvestment zone, a general description of
  the zone, including its size, the types of property located in it,
  its duration, and the guidelines and criteria established for the
  reinvestment zone under Section 312.002, including subsequent
  amendments and modifications of the guidelines or criteria;
               (2)  a copy of each tax abatement agreement to which a
  taxing unit that participates in the appraisal district is a party;
  and
               (3)  any other information required by the board
  [comptroller] to administer this section [and Subchapter F, Chapter
  111].
         (b)  The State Property Tax Board [comptroller] may provide
  assistance to a taxing unit on request of its governing body or the
  presiding officer of its governing body relating to the
  administration of this chapter. The economic development and
  tourism division of the governor's office [Texas Department of
  Commerce] and the State Property Tax Board [comptroller] may
  provide technical assistance to a local governing body regarding
  the designation of reinvestment zones, the adoption of tax
  abatement guidelines, and the execution of tax abatement
  agreements.
         (c)  Not later than December 31 of each even-numbered year,
  the State Property Tax Board [comptroller] shall submit a report to
  the legislature and to the governor on reinvestment zones
  designated under this chapter and on tax abatement agreements
  adopted under this chapter, including a summary of the information
  reported under this section.
         SECTION 2.110.  Section 313.004, Tax Code, is amended to
  read as follows:
         Sec. 313.004.  LEGISLATIVE INTENT. It is the intent of the
  legislature in enacting this chapter that:
               (1)  economic development decisions involving school
  district taxes should occur at the local level with oversight by the
  state and should be consistent with identifiable statewide economic
  development goals;
               (2)  this chapter should not be construed or
  interpreted to allow:
                     (A)  property owners to pool investments to create
  sufficiently large investments to qualify for an ad valorem tax
  benefit provided by this chapter;
                     (B)  an applicant for an ad valorem tax benefit
  provided by this chapter to assert that jobs will be eliminated if
  certain investments are not made if the assertion is not true; or
                     (C)  an entity not subject to the tax imposed by
  Chapter 171 to receive an ad valorem tax benefit provided by this
  chapter;
               (3)  in implementing this chapter, school districts
  should:
                     (A)  strictly interpret the criteria and
  selection guidelines provided by this chapter; and
                     (B)  approve only those applications for an ad
  valorem tax benefit provided by this chapter that:
                           (i)  enhance the local community;
                           (ii)  improve the local public education
  system;
                           (iii)  create high-paying jobs; and
                           (iv)  advance the economic development goals
  of this state; and
               (4)  in implementing this chapter, the board
  [comptroller] should:
                     (A)  strictly interpret the criteria and
  selection guidelines provided by this chapter; and
                     (B)  issue certificates for limitations on
  appraised value only for those applications for an ad valorem tax
  benefit provided by this chapter that:
                           (i)  create high-paying jobs;
                           (ii)  provide a net benefit to the state over
  the long term; and
                           (iii)  advance the economic development
  goals of this state.
         SECTION 2.111.  Section 313.005, Tax Code, is amended to
  read as follows:
         Sec. 313.005.  DEFINITIONS. (a) Unless this chapter defines
  a word or phrase used in this chapter, Section 1.04 or any other
  section of Title 1 or this title that defines the word or phrase or
  ascribes a meaning to the word or phrase applies to the word or
  phrase used in this chapter.
         (b)  In this chapter, "board" means the State Property Tax
  Board.
         SECTION 2.112.  Section 313.022(b), Tax Code, is amended to
  read as follows:
         (b)  For purposes of determining the required minimum amount
  of a qualified investment under Section 313.021(2)(A)(iv)(a), and
  the minimum amount of a limitation on appraised value under Section
  313.027(b), school districts to which this subchapter applies are
  categorized according to the taxable value of property in the
  district for the preceding tax year determined under Subchapter B
  [M], Chapter 5 [403, Government Code], as follows:
 
CATEGORY TAXABLE VALUE OF PROPERTY
 
    I $10 billion or more
 
   II $1 billion or more but less than $10 billion
 
  III $500 million or more but less than $1 billion
 
   IV $100 million or more but less than $500 million
 
    V less than $100 million
         SECTION 2.113.  Sections 313.025(a), (a-1), (b), (b-1), (c),
  (d), (d-1), (e), (h), and (i), Tax Code, are amended to read as
  follows:
         (a)  The owner or lessee of, or the holder of another
  possessory interest in, any qualified property described by Section
  313.021(2)(A), (B), or (C) may apply to the governing body of the
  school district in which the property is located for a limitation on
  the appraised value for school district maintenance and operations
  ad valorem tax purposes of the person's qualified property. An
  application must be made on the form prescribed by the board
  [comptroller] and include the information required by the board
  [comptroller], and it must be accompanied by:
               (1)  the application fee established by the governing
  body of the school district;
               (2)  information sufficient to show that the real and
  personal property identified in the application as qualified
  property meets the applicable criteria established by Section
  313.021(2); and
               (3)  any information required by the board
  [comptroller] for the purposes of Section 313.026.
         (a-1)  Within seven days of the receipt of each document, the
  school district shall submit to the board [comptroller] a copy of
  the application and the proposed agreement between the applicant
  and the school district. If the applicant submits an economic
  analysis of the proposed project to the school district, the
  district shall submit a copy of the analysis to the board
  [comptroller]. In addition, the school district shall submit to
  the board [comptroller] any subsequent revision of or amendment to
  any of those documents within seven days of its receipt. The board
  [comptroller] shall publish each document received from the school
  district under this subsection on the board's [comptroller's]
  Internet website. If the school district maintains a generally
  accessible Internet website, the district shall provide on its
  website a link to the location of those documents posted on the
  board's [comptroller's] website in compliance with this subsection.
  This subsection does not require the board [comptroller] to post
  information that is confidential under Section 313.028.
         (b)  The governing body of a school district is not required
  to consider an application for a limitation on appraised value. If
  the governing body of the school district elects to consider an
  application, the governing body shall deliver a copy of the
  application to the board [comptroller] and request that the board
  [comptroller] conduct an economic impact evaluation of the
  investment proposed by the application. The board [comptroller]
  shall conduct or contract with a third person to conduct the
  economic impact evaluation, which shall be completed and provided
  to the governing body of the school district, along with the board's
  [comptroller's] certificate or written explanation under
  Subsection (d), as soon as practicable but not later than the 90th
  day after the date the board [comptroller] receives the
  application. The governing body shall provide to the board
  [comptroller] or to a third person contracted by the board
  [comptroller] to conduct the economic impact evaluation any
  requested information. A methodology to allow comparisons of
  economic impact for different schedules of the addition of
  qualified investment or qualified property may be developed as part
  of the economic impact evaluation. The governing body shall
  provide a copy of the economic impact evaluation to the applicant on
  request. The board [comptroller] may charge the applicant a fee
  sufficient to cover the costs of providing the economic impact
  evaluation. The governing body of a school district shall approve
  or disapprove an application not later than the 150th day after the
  date the application is filed, unless the economic impact
  evaluation has not been received or an extension is agreed to by the
  governing body and the applicant.
         (b-1)  The board [comptroller] shall promptly deliver a copy
  of the application to the Texas Education Agency. The Texas
  Education Agency shall determine the effect that the applicant's
  proposal will have on the number or size of the school district's
  instructional facilities and submit a written report containing the
  agency's determination to the school district. The governing body
  of the school district shall provide any requested information to
  the Texas Education Agency. Not later than the 45th day after the
  date the Texas Education Agency receives the application, the Texas
  Education Agency shall make the required determination and submit
  the agency's written report to the governing body of the school
  district.
         (c)  In determining whether to approve an application, the
  governing body of the school district is entitled to request and
  receive assistance from:
               (1)  the board [comptroller];
               (2)  the Texas Economic Development and Tourism Office;
               (3)  the Texas Workforce Investment Council; and
               (4)  the Texas Workforce Commission.
         (d)  Not later than the 90th day after the date the board
  [comptroller] receives the copy of the application, the board
  [comptroller] shall issue a certificate for a limitation on
  appraised value of the property and provide the certificate to the
  governing body of the school district or provide the governing body
  a written explanation of the board's [comptroller's] decision not
  to issue a certificate.
         (d-1)  The governing body of a school district may not
  approve an application unless the board [comptroller] submits to
  the governing body a certificate for a limitation on appraised
  value of the property.
         (e)  Before approving or disapproving an application under
  this subchapter that the governing body of the school district
  elects to consider, the governing body must make a written finding
  as to any criteria considered by the board [comptroller] in
  conducting the economic impact evaluation under Section 313.026.
  The governing body shall deliver a copy of those findings to the
  applicant.
         (h)  After receiving a copy of the application, the board
  [comptroller] shall determine whether the property meets the
  requirements of Section 313.024 for eligibility for a limitation on
  appraised value under this subchapter. The board [comptroller]
  shall notify the governing body of the school district of the
  board's [comptroller's] determination and provide the applicant an
  opportunity for a hearing before the determination becomes final.
  A hearing under this subsection is a contested case hearing and
  shall be conducted by the State Office of Administrative Hearings
  in the manner provided by Section 2003.101, Government Code. The
  applicant has the burden of proof on each issue in the hearing. The
  applicant may seek judicial review of the board's [comptroller's]
  determination in a Travis County district court under the
  substantial evidence rule as provided by Subchapter G, Chapter
  2001, Government Code.
         (i)  If the board's [comptroller's] determination under
  Subsection (h) that the property does not meet the requirements of
  Section 313.024 for eligibility for a limitation on appraised value
  under this subchapter becomes final, the board [comptroller] is not
  required to provide an economic impact evaluation of the
  application or to submit a certificate for a limitation on
  appraised value of the property or a written explanation of the
  decision not to issue a certificate, and the governing body of the
  school district may not grant the application.
         SECTION 2.114.  Section 313.026, Tax Code, is amended to
  read as follows:
         Sec. 313.026.  ECONOMIC IMPACT EVALUATION. (a)  The
  economic impact evaluation of the application must include any
  information the board [comptroller] determines is necessary or
  helpful to:
               (1)  the governing body of the school district in
  determining whether to approve the application under Section
  313.025; or
               (2)  the board [comptroller] in determining whether to
  issue a certificate for a limitation on appraised value of the
  property under Section 313.025.
         (b)  Except as provided by Subsections (c) and (d), the
  board's [comptroller's] determination whether to issue a
  certificate for a limitation on appraised value under this chapter
  for property described in the application shall be based on the
  economic impact evaluation described by Subsection (a) and on any
  other information available to the board [comptroller], including
  information provided by the governing body of the school district.
         (c)  The board [comptroller] may not issue a certificate for
  a limitation on appraised value under this chapter for property
  described in an application unless the board [comptroller]
  determines that:
               (1)  the project proposed by the applicant is
  reasonably likely to generate, before the 25th anniversary of the
  beginning of the limitation period, tax revenue, including state
  tax revenue, school district maintenance and operations ad valorem
  tax revenue attributable to the project, and any other tax revenue
  attributable to the effect of the project on the economy of the
  state, in an amount sufficient to offset the school district
  maintenance and operations ad valorem tax revenue lost as a result
  of the agreement; and
               (2)  the limitation on appraised value is a determining
  factor in the applicant's decision to invest capital and construct
  the project in this state.
         (d)  The board [comptroller] shall state in writing the basis
  for the determinations made under Subsections (c)(1) and (2).
         (e)  The applicant may submit information to the board
  [comptroller] that would provide a basis for an affirmative
  determination under Subsection (c)(2).
         (f)  Notwithstanding Subsections (c) and (d), if the board
  [comptroller] makes a qualitative determination that other
  considerations associated with the project result in a net positive
  benefit to the state, the board [comptroller] may issue the
  certificate.
         SECTION 2.115.  Section 313.0265, Tax Code, is amended to
  read as follows:
         Sec. 313.0265.  DISCLOSURE OF APPRAISED VALUE LIMITATION
  INFORMATION. (a)  The board [comptroller] shall post on the
  board's [comptroller's] Internet website each document or item of
  information the board [comptroller] designates as substantive
  before the 15th day after the date the document or item of
  information was received or created. Each document or item of
  information must continue to be posted until the appraised value
  limitation expires.
         (b)  The board [comptroller] shall designate the following
  as substantive:
               (1)  each application requesting a limitation on
  appraised value; and
               (2)  the economic impact evaluation made in connection
  with the application.
         (c)  If a school district maintains a generally accessible
  Internet website, the district shall maintain a link on its
  Internet website to the area of the board's [comptroller's]
  Internet website where information on each of the district's
  agreements to limit appraised value is maintained.
         SECTION 2.116.  Section 313.027(f), Tax Code, is amended to
  read as follows:
         (f)  In addition, the agreement:
               (1)  must incorporate each relevant provision of this
  subchapter and, to the extent necessary, include provisions for the
  protection of future school district revenues through the
  adjustment of the minimum valuations, the payment of revenue
  offsets, and other mechanisms agreed to by the property owner and
  the school district;
               (2)  may provide that the property owner will protect
  the school district in the event the district incurs extraordinary
  education-related expenses related to the project that are not
  directly funded in state aid formulas, including expenses for the
  purchase of portable classrooms and the hiring of additional
  personnel to accommodate a temporary increase in student enrollment
  attributable to the project;
               (3)  must require the property owner to maintain a
  viable presence in the school district for at least five years after
  the date the limitation on appraised value of the owner's property
  expires;
               (4)  must provide for the termination of the agreement,
  the recapture of ad valorem tax revenue lost as a result of the
  agreement if the owner of the property fails to comply with the
  terms of the agreement, and payment of a penalty or interest, or
  both, on that recaptured ad valorem tax revenue;
               (5)  may specify any conditions the occurrence of which
  will require the district and the property owner to renegotiate all
  or any part of the agreement;
               (6)  must specify the ad valorem tax years covered by
  the agreement; and
               (7)  must be in a form approved by the board
  [comptroller].
         SECTION 2.117.  Section 313.0275(d), Tax Code, is amended to
  read as follows:
         (d)  In the event of a casualty loss that prevents a person
  from complying with Subsection (a), the person may request and the
  board [comptroller] may grant a waiver of the penalty imposed under
  Subsection (b).
         SECTION 2.118.  Sections 313.0276(a), (b), (c), (d), (g),
  (j), (k), (l), and (m), Tax Code, are amended to read as follows:
         (a)  The board [comptroller] shall conduct an annual review
  and issue a determination as to whether a person with whom a school
  district has entered into an agreement under this chapter satisfied
  in the preceding year the requirements of this chapter regarding
  the creation of the required number of qualifying jobs. If the
  board [comptroller] makes an adverse determination in the review,
  the board [comptroller] shall notify the person of the cause of the
  adverse determination and the corrective measures necessary to
  remedy the determination.
         (b)  If a person who receives an adverse determination fails
  to remedy the determination following notification of the
  determination and the board [comptroller] makes an adverse
  determination with respect to the person's compliance in the
  following year, the person must submit to the board [comptroller] a
  plan for remedying the determination and certify the person's
  intent to fully implement the plan not later than December 31 of the
  year in which the determination is made.
         (c)  If a person who receives an adverse determination under
  Subsection (b) fails to comply with that subsection following
  notification of the determination and receives an adverse
  determination in the following year, the board [comptroller] shall
  impose a penalty on the person. The penalty is in an amount equal to
  the amount computed by:
               (1)  subtracting from the number of qualifying jobs
  required to be created the number of qualifying jobs actually
  created; and
               (2)  multiplying the amount computed under Subdivision
  (1) by the average annual wage for all jobs in the county during the
  most recent four quarters for which data is available.
         (d)  Notwithstanding Subsection (c), if a person receives an
  adverse determination and the board [comptroller] has previously
  imposed a penalty on the person under this section one or more
  times, the board [comptroller] shall impose a penalty on the person
  in an amount equal to the amount computed by multiplying the amount
  computed under Subsection (c)(1) by an amount equal to twice the
  amount computed under Subsection (c)(2).
         (g)  An adverse determination under this section is a
  deficiency determination under Section 111.008. The board shall
  report a penalty under this section to the comptroller. The [A
  penalty imposed under this section is an amount the] comptroller is
  required to collect, receive, or administer the amount of the
  penalty imposed under this section, [or enforce,] and the
  determination is subject to the payment and redetermination
  requirements of Sections 111.0081 and 111.009.
         (j)  If the board [comptroller] imposes a penalty on a person
  under this section three times, the board [comptroller] may rescind
  the agreement between the person and the school district under this
  chapter.
         (k)  A person may contest a determination by the board
  [comptroller] to rescind an agreement between the person and a
  school district under this chapter pursuant to Subsection (j) by
  filing suit against the board [comptroller] and the attorney
  general. The district courts of Travis County have exclusive,
  original jurisdiction of a suit brought under this subsection.
  This subsection prevails over a provision of Chapter 25, Government
  Code, to the extent of any conflict.
         (l)  If a person files suit under Subsection (k) and the
  board's [comptroller's] determination to rescind the agreement is
  upheld on appeal, the person shall pay to the board [comptroller]
  any tax that would have been due and payable to the school district
  during the pendency of the appeal, including statutory interest and
  penalties imposed on delinquent taxes under Sections 111.060 and
  111.061.
         (m)  The board [comptroller] shall transfer any [deposit a]
  penalty collected under this section, including any interest and
  penalty applicable to the penalty, to the comptroller who shall
  deposit it to the credit of the foundation school fund.
         SECTION 2.119.  Section 313.028, Tax Code, is amended to
  read as follows:
         Sec. 313.028.  CERTAIN BUSINESS INFORMATION CONFIDENTIAL.
  Information provided to a school district in connection with an
  application for a limitation on appraised value under this
  subchapter that describes the specific processes or business
  activities to be conducted or the specific tangible personal
  property to be located on real property covered by the application
  shall be segregated in the application from other information in
  the application and is confidential and not subject to public
  disclosure unless the governing body of the school district
  approves the application. Other information in the custody of a
  school district or the board [comptroller] in connection with the
  application, including information related to the economic impact
  of a project or the essential elements of eligibility under this
  chapter, such as the nature and amount of the projected investment,
  employment, wages, and benefits, may not be considered confidential
  business information if the governing body of the school district
  agrees to consider the application. Information in the custody of a
  school district or the board [comptroller] if the governing body
  approves the application is not confidential under this section.
         SECTION 2.120.  Section 313.031(a), Tax Code, is amended to
  read as follows:
         (a)  The board [comptroller] shall:
               (1)  adopt rules and forms necessary for the
  implementation and administration of this chapter, including rules
  for determining whether a property owner's property qualifies as a
  qualified investment under Section 313.021(1); and
               (2)  provide without charge one copy of the rules and
  forms to any school district and to any person who states that the
  person intends to apply for a limitation on appraised value under
  this subchapter.
         SECTION 2.121.  Sections 313.032(a), (b-1), (c), and (d),
  Tax Code, are amended to read as follows:
         (a)  Before the beginning of each regular session of the
  legislature, the board [comptroller] shall submit to the lieutenant
  governor, the speaker of the house of representatives, and each
  other member of the legislature a report on the agreements entered
  into under this chapter that includes:
               (1)  an assessment of the following with regard to the
  agreements entered into under this chapter, considered in the
  aggregate:
                     (A)  the total number of jobs created, direct and
  otherwise, in this state;
                     (B)  the total effect on personal income, direct
  and otherwise, in this state;
                     (C)  the total amount of investment in this state;
                     (D)  the total taxable value of property on the
  tax rolls in this state, including property for which the
  limitation period has expired;
                     (E)  the total value of property not on the tax
  rolls in this state as a result of agreements entered into under
  this chapter; and
                     (F)  the total fiscal effect on the state and
  local governments; and
               (2)  an assessment of the progress of each agreement
  made under this chapter that states for each agreement:
                     (A)  the number of qualifying jobs each recipient
  of a limitation on appraised value committed to create;
                     (B)  the number of qualifying jobs each recipient
  created;
                     (C)  the total amount of wages and the median wage
  of the new qualifying jobs each recipient created;
                     (D)  the amount of the qualified investment each
  recipient committed to spend or allocate for each project;
                     (E)  the amount of the qualified investment each
  recipient spent or allocated for each project;
                     (F)  the market value of the qualified property of
  each recipient as determined by the applicable chief appraiser,
  including property that is no longer eligible for a limitation on
  appraised value under the agreement;
                     (G)  the limitation on appraised value for the
  qualified property of each recipient;
                     (H)  the dollar amount of the taxes that would
  have been imposed on the qualified property if the property had not
  received a limitation on appraised value; and
                     (I)  the dollar amount of the taxes imposed on the
  qualified property.
         (b-1)  In preparing the portion of the report described by
  Subsection (a)(1), the board [comptroller] may use standard
  economic estimation techniques, including economic multipliers.
         (c)  The portion of the report described by Subsection (a)(2)
  must be based on data certified to the board [comptroller] by each
  recipient or former recipient of a limitation on appraised value
  under this chapter.
         (d)  The board [comptroller] may require a recipient or
  former recipient of a limitation on appraised value under this
  chapter to submit, on a form the board [comptroller] provides,
  information required to complete the report.
         SECTION 2.122.  Section 313.033, Tax Code, is amended to
  read as follows:
         Sec. 313.033.  REPORT ON COMPLIANCE WITH JOB-CREATION
  REQUIREMENTS. Each recipient of a limitation on appraised value
  under this chapter shall submit to the board [comptroller] an
  annual report on a form provided by the board [comptroller] that
  provides information sufficient to document the number of
  qualifying jobs created.
         SECTION 2.123.  Sections 313.051(a) and (a-3), Tax Code, are
  amended to read as follows:
         (a)  In this section, "strategic investment area" means an
  area the board [comptroller] determines under Subsection (a-3) is:
               (1)  a county within this state with unemployment above
  the state average and per capita income below the state average;
               (2)  an area within this state that is a federally
  designated urban enterprise community or an urban enhanced
  enterprise community; or
               (3)  a defense economic readjustment zone designated
  under Chapter 2310, Government Code.
         (a-3)  Not later than September 1 of each year, the board
  [comptroller] shall determine areas that qualify as a strategic
  investment area using the most recently completed full calendar
  year data available on that date and, not later than October 1,
  shall publish a list and map of the designated areas. A
  determination under this subsection is effective for the following
  tax year for purposes of this subchapter.
         SECTION 2.124.  Section 313.052, Tax Code, is amended to
  read as follows:
         Sec. 313.052.  CATEGORIZATION OF SCHOOL DISTRICTS. For
  purposes of determining the required minimum amount of a qualified
  investment under Section 313.021(2)(A)(iv)(a) and the minimum
  amount of a limitation on appraised value under this subchapter,
  school districts to which this subchapter applies are categorized
  according to the taxable value of industrial property in the
  district for the preceding tax year determined under Subchapter B
  [M], Chapter 5 [403, Government Code], as follows:
 
CATEGORY TAXABLE VALUE OF INDUSTRIAL PROPERTY
 
    I $200 million or more
 
   II $90 million or more but less than $200 million
 
  III $1 million or more but less than $90 million
 
   IV $100,000 or more but less than $1 million
 
    V less than $100,000
         SECTION 2.125.  Section 7.062(a), Education Code, is amended
  to read as follows:
         (a)  In this section, "wealth per student" means a school
  district's taxable value of property as determined under Subchapter
  B [M], Chapter 5 [403], Tax [Government] Code, or, if applicable,
  Section 42.2521, divided by the district's average daily attendance
  as determined under Section 42.005.
         SECTION 2.126.  Section 13.051(c), Education Code, is
  amended to read as follows:
         (c)  Territory that does not have residents may be detached
  from a school district and annexed to another school district if:
               (1)  the total taxable value of the property in the
  territory according to the most recent certified appraisal roll for
  each school district is not greater than:
                     (A)  five percent of the district's taxable value
  of all property in that district as determined under Subchapter B
  [M], Chapter 5 [403], Tax [Government] Code; and
                     (B)  $5,000 property value per student in average
  daily attendance as determined under Section 42.005; and
               (2)  the school district from which the property will
  be detached does not own any real property located in the territory.
         SECTION 2.127.  Section 13.231(b), Education Code, is
  amended to read as follows:
         (b)  In this section, "taxable value" has the meaning
  assigned by Section 5.23 [403.302], Tax [Government] Code.
         SECTION 2.128.  Section 41.001(2), Education Code, is
  amended to read as follows:
               (2)  "Wealth per student" means the taxable value of
  property, as determined under Subchapter B [M], Chapter 5 [403],
  Tax [Government] Code, divided by the number of students in
  weighted average daily attendance.
         SECTION 2.129.  Section 41.002(f), Education Code, is
  amended to read as follows:
         (f)  For purposes of Subsection (e), a school district's
  effective tax rate is determined by dividing the total amount of
  taxes collected by the district for the applicable school year less
  any amounts paid into a tax increment fund under Chapter 311, Tax
  Code, by the quotient of the district's taxable value of property,
  as determined under Subchapter B [M], Chapter 5 [403], Tax
  [Government] Code, divided by 100.
         SECTION 2.130.  Section 41.202(a), Education Code, is
  amended to read as follows:
         (a)  For purposes of this subchapter, the taxable value of an
  individual parcel or other item of property and the total taxable
  value of property in a school district resulting from the
  detachment of property from or annexation of property to that
  district is determined by applying the appraisal ratio for the
  appropriate category of property determined under Subchapter B [M],
  Chapter 5 [403], Tax [Government] Code, for the preceding tax year
  to the taxable value of the detached or annexed property determined
  under Title 1, Tax Code, for the preceding tax year.
         SECTION 2.131.  Sections 42.252(a), (b), and (c), Education
  Code, are amended to read as follows:
         (a)  Each school district's share of the Foundation School
  Program is determined by the following formula:
  LFA = TR X DPV
  where:
         "LFA" is the school district's local share;
         "TR" is a tax rate which for each hundred dollars of valuation
  is an effective tax rate of the amount equal to the product of the
  state compression percentage, as determined under Section 42.2516,
  multiplied by the lesser of:
               (1)  $1.50; or
               (2)  the maintenance and operations tax rate adopted by
  the district for the 2005 tax year; and
         "DPV" is the taxable value of property in the school district
  for the preceding tax year determined under Subchapter B [M],
  Chapter 5 [403], Tax [Government] Code.
         (b)  The commissioner shall adjust the values reported in the
  official report of the State Property Tax Board [comptroller] as
  required by Section 5.09(a), Tax Code, to reflect reductions in
  taxable value of property resulting from natural or economic
  disaster after January 1 in the year in which the valuations are
  determined. The decision of the commissioner is final. An
  adjustment does not affect the local fund assignment of any other
  school district.
         (c)  Appeals of district values shall be held pursuant to
  Section 5.24 [403.303], Tax [Government] Code.
         SECTION 2.132.  Sections 42.2522(a) and (d), Education Code,
  are amended to read as follows:
         (a)  In any school year, the commissioner may not provide
  funding under this chapter based on a school district's taxable
  value of property computed in accordance with Section 5.23(d)(2)
  [403.302(d)(2)], Tax [Government] Code, unless:
               (1)  funds are specifically appropriated for purposes
  of this section; or
               (2)  the commissioner determines that the total amount
  of state funds appropriated for purposes of the Foundation School
  Program for the school year exceeds the amount of state funds
  distributed to school districts in accordance with Section 42.253
  based on the taxable values of property in school districts
  computed in accordance with Section 5.23(d) [403.302(d)], Tax
  [Government] Code, without any deduction for residence homestead
  exemptions granted under Section 11.13(n), Tax Code.
         (d)  If the commissioner determines that the amount of funds
  available under Subsection (a)(1) or (2) does not at least equal the
  total amount of state funding to which districts would be entitled
  if state funding under this chapter were based on the taxable values
  of property in school districts computed in accordance with Section
  5.23(d)(2) [403.302(d)(2)], Tax [Government] Code, the
  commissioner may, to the extent necessary, provide state funding
  based on a uniform lesser fraction of the deduction under Section
  5.23(d)(2) [403.302(d)(2)], Tax [Government] Code.
         SECTION 2.133.  Section 42.254, Education Code, is amended
  to read as follows:
         Sec. 42.254.  ESTIMATES REQUIRED. (a)  Not later than
  October 1 of each even-numbered year:
               (1)  the agency shall submit to the legislature an
  estimate of the tax rate and student enrollment of each school
  district for the following biennium; and
               (2)  the State Property Tax Board [comptroller] shall
  submit to the legislature an estimate of the total taxable value of
  all property in the state as determined under Subchapter B [M],
  Chapter 5 [403], Tax [Government] Code, for the following biennium.
         (b)  The agency and the State Property Tax Board
  [comptroller] shall update the information provided to the
  legislature under Subsection (a) not later than March 1 of each
  odd-numbered year.
         SECTION 2.134.  Section 42.257(a), Education Code, is
  amended to read as follows:
         (a)  If the final determination of an appeal under Chapter
  42, Tax Code, results in a reduction in the taxable value of
  property that exceeds five percent of the total taxable value of
  property in the school district for the same tax year determined
  under Subchapter B [M], Chapter 5 [403], Tax [Government] Code, the
  commissioner shall request the State Property Tax Board
  [comptroller] to adjust its taxable property value findings for
  that year consistent with the final determination of the appraisal
  appeal.
         SECTION 2.135.  Section 42.259(a)(4), Education Code, is
  amended to read as follows:
               (4)  "Wealth per student" means the taxable property
  values reported by the State Property Tax Board [comptroller] to
  the commissioner under Section 42.252 divided by the number of
  students in average daily attendance.
         SECTION 2.136.  Section 42.302(a), Education Code, is
  amended to read as follows:
         (a)  Each school district is guaranteed a specified amount
  per weighted student in state and local funds for each cent of tax
  effort over that required for the district's local fund assignment
  up to the maximum level specified in this subchapter. The amount of
  state support, subject only to the maximum amount under Section
  42.303, is determined by the formula:
  GYA = (GL X WADA X DTR X 100) - LR
  where:
         "GYA" is the guaranteed yield amount of state funds to be
  allocated to the district;
         "GL" is the dollar amount guaranteed level of state and local
  funds per weighted student per cent of tax effort, which is an
  amount described by Subsection (a-1) or a greater amount for any
  year provided by appropriation;
         "WADA" is the number of students in weighted average daily
  attendance, which is calculated by dividing the sum of the school
  district's allotments under Subchapters B and C, less any allotment
  to the district for transportation, any allotment under Section
  42.158 or 42.160, and 50 percent of the adjustment under Section
  42.102, by the basic allotment for the applicable year;
         "DTR" is the district enrichment tax rate of the school
  district, which is determined by subtracting the amounts specified
  by Subsection (b) from the total amount of maintenance and
  operations taxes collected by the school district for the
  applicable school year and dividing the difference by the quotient
  of the district's taxable value of property as determined under
  Subchapter B [M], Chapter 5 [403], Tax [Government] Code, or, if
  applicable, under Section 42.2521, divided by 100; and
         "LR" is the local revenue, which is determined by multiplying
  "DTR" by the quotient of the district's taxable value of property as
  determined under Subchapter B [M], Chapter 5 [403], Tax
  [Government] Code, or, if applicable, under Section 42.2521,
  divided by 100.
         SECTION 2.137.  Section 46.003(a), Education Code, is
  amended to read as follows:
         (a)  For each year, except as provided by Sections 46.005 and
  46.006, a school district is guaranteed a specified amount per
  student in state and local funds for each cent of tax effort, up to
  the maximum rate under Subsection (b), to pay the principal of and
  interest on eligible bonds issued to construct, acquire, renovate,
  or improve an instructional facility. The amount of state support
  is determined by the formula:
  FYA = (FYL X ADA X BTR X 100) - (BTR X (DPV/100))
  where:
         "FYA" is the guaranteed facilities yield amount of state
  funds allocated to the district for the year;
         "FYL" is the dollar amount guaranteed level of state and
  local funds per student per cent of tax effort, which is $35 or a
  greater amount for any year provided by appropriation;
         "ADA" is the greater of the number of students in average
  daily attendance, as determined under Section 42.005, in the
  district or 400;
         "BTR" is the district's bond tax rate for the current year,
  which is determined by dividing the amount budgeted by the district
  for payment of eligible bonds by the quotient of the district's
  taxable value of property as determined under Subchapter B [M],
  Chapter 5 [403], Tax [Government] Code, or, if applicable, Section
  42.2521, divided by 100; and
         "DPV" is the district's taxable value of property as
  determined under Subchapter B [M], Chapter 5 [403], Tax
  [Government] Code, or, if applicable, Section 42.2521.
         SECTION 2.138.  Section 46.006(g), Education Code, is
  amended to read as follows:
         (g)  In this section, "wealth per student" means a school
  district's taxable value of property as determined under Subchapter
  B [M], Chapter 5 [403], Tax [Government] Code, or, if applicable,
  Section 42.2521, divided by the district's average daily attendance
  as determined under Section 42.005.
         SECTION 2.139.  Section 46.032(a), Education Code, is
  amended to read as follows:
         (a)  Each school district is guaranteed a specified amount
  per student in state and local funds for each cent of tax effort to
  pay the principal of and interest on eligible bonds. The amount of
  state support, subject only to the maximum amount under Section
  46.034, is determined by the formula:
  EDA = (EDGL X ADA X EDTR X 100) - (EDTR X (DPV/100))
  where:
         "EDA" is the amount of state funds to be allocated to the
  district for assistance with existing debt;
         "EDGL" is the dollar amount guaranteed level of state and
  local funds per student per cent of tax effort, which is $35 or a
  greater amount for any year provided by appropriation;
         "ADA" is the number of students in average daily attendance,
  as determined under Section 42.005, in the district;
         "EDTR" is the existing debt tax rate of the district, which is
  determined by dividing the amount budgeted by the district for
  payment of eligible bonds by the quotient of the district's taxable
  value of property as determined under Subchapter B [M], Chapter 5
  [403], Tax [Government] Code, or, if applicable, under Section
  42.2521, divided by 100; and
         "DPV" is the district's taxable value of property as
  determined under Subchapter B [M], Chapter 5 [403], Tax
  [Government] Code, or, if applicable, under Section 42.2521.
         SECTION 2.140.  The heading to Section 552.149, Government
  Code, is amended to read as follows:
         Sec. 552.149.  EXCEPTION: CONFIDENTIALITY OF RECORDS OF
  STATE PROPERTY TAX BOARD [COMPTROLLER] OR APPRAISAL DISTRICT
  RECEIVED FROM PRIVATE ENTITY.
         SECTION 2.141.  Sections 552.149(a), (c), and (d),
  Government Code, are amended to read as follows:
         (a)  Information relating to real property sales prices,
  descriptions, characteristics, and other related information
  received from a private entity by the State Property Tax Board
  [comptroller] or the chief appraiser of an appraisal district under
  Chapter 6, Tax Code, is excepted from the requirements of Section
  552.021.
         (c)  Notwithstanding Subsection (a) or Section 5.25, Tax
  Code [403.304], so as to assist a property owner or an appraisal
  district in a protest filed under Section 5.24, Tax Code [403.303],
  the property owner, the district, or an agent of the property owner
  or district may, on request, obtain from the State Property Tax
  Board [comptroller] any information, including confidential
  information, obtained by the board [comptroller] in connection with
  the board's [comptroller's] finding that is being protested.
  Confidential information obtained by a property owner, an appraisal
  district, or an agent of the property owner or district under this
  subsection:
               (1)  remains confidential in the possession of the
  property owner, district, or agent; and
               (2)  may not be disclosed to a person who is not
  authorized to receive or inspect the information.
         (d)  Notwithstanding Subsection (a) or Section 5.25, Tax
  Code [403.304], so as to assist a school district in the preparation
  of a protest filed or to be filed under Section 5.24, Tax Code
  [403.303], the school district or an agent of the school district
  may, on request, obtain from the State Property Tax Board
  [comptroller] or the appraisal district any information, including
  confidential information, obtained by the board [comptroller] or
  the appraisal district that relates to the appraisal of property
  involved in the board's [comptroller's] finding that is being
  protested.  Confidential information obtained by a school district
  or an agent of the school district under this subsection:
               (1)  remains confidential in the possession of the
  school district or agent; and
               (2)  may not be disclosed to a person who is not
  authorized to receive or inspect the information.
         SECTION 2.142.  Sections 825.405(h) and (i), Government
  Code, are amended to read as follows:
         (h)  This section does not apply to state contributions for
  members employed by a school district in a school year if the
  district's effective tax rate for maintenance and operation
  revenues for the tax year that ended in the preceding school year
  equals or exceeds 125 percent of the statewide average effective
  tax rate for school district maintenance and operation revenues for
  that tax year. For a tax year, the statewide average effective tax
  rate for school district maintenance and operation revenues is the
  tax rate that, if applied to the statewide total appraised value of
  taxable property for every school district in the state determined
  under Section 5.23, Tax Code [403.302], would produce an amount
  equal to the statewide total amount of maintenance and operation
  taxes imposed in the tax year for every school district in the
  state.
         (i)  Not later than the seventh day after the final date the
  State Property Tax Board [comptroller] certifies to the
  commissioner of education changes to the property value study
  conducted under Subchapter B [M], Chapter 5, Tax Code [403], the
  board [comptroller] shall certify to the Teacher Retirement System
  of Texas:
               (1)  the effective tax rate for school district
  maintenance and operation revenues for each school district in the
  state for the immediately preceding tax year; and
               (2)  the statewide average effective tax rate for
  school district maintenance and operation revenues for the
  immediately preceding tax year.
         SECTION 2.143.  Section 61.040, Health and Safety Code, is
  amended to read as follows:
         Sec. 61.040.  TAX INFORMATION. The State Property Tax Board
  [comptroller] shall give the department information relating to:
               (1)  the taxable value of property taxable by each
  county and each county's applicable general revenue tax levy for
  the relevant period; and
               (2)  the amount of sales and use tax revenue received by
  each county for the relevant period.
         SECTION 2.144.  Section 1151.1015, Occupations Code, is
  amended to read as follows:
         Sec. 1151.1015.  ASSISTANCE FROM STATE PROPERTY TAX BOARD
  [COMPTROLLER]. The State Property Tax Board [comptroller] shall
  enter into a memorandum of understanding with the department under
  which the board [comptroller] shall provide:
               (1)  information on the educational needs of and
  opportunities for tax professionals;
               (2)  review and approval of all required educational
  courses, examinations, and continuing education programs for
  registrants;
               (3)  a copy of any report issued by the board
  [comptroller] under Section 5.102, Tax Code, and if requested by
  the department a copy of any work papers or other documents
  collected or created in connection with a report issued under that
  section; and
               (4)  information and assistance regarding
  administrative proceedings conducted under the commission's rules
  or this chapter.
         SECTION 2.145.  Sections 1151.1581(b) and (e), Occupations
  Code, are amended to read as follows:
         (b)  The State Property Tax Board [comptroller] must review
  and approve all continuing education programs for registrants.
         (e)  The State Property Tax Board [comptroller] may set fees
  for continuing education courses and providers of continuing
  education courses in amounts reasonable and necessary to cover the
  board's [comptroller's] costs in administering the board's
  [comptroller's] duties under this section.
         SECTION 2.146.  Section 1151.161(c), Occupations Code, is
  amended to read as follows:
         (c)  The department may accept, develop, or contract for the
  examinations required by this section, including the
  administration of the examinations. The State Property Tax Board
  [comptroller] must approve the content of an examination accepted,
  developed, or contracted for by the department. The department may
  require a third-party vendor to collect a fee associated with the
  examination directly from examinees.
         SECTION 2.147.  Section 1151.202(c), Occupations Code, is
  amended to read as follows:
         (c)  Before imposing an administrative penalty under
  Subchapter F, Chapter 51, against a registrant, the department must
  consider evidence that the registrant:
               (1)  attempted in good faith to implement or execute a
  law, policy, rule, order, budgetary restriction, or other
  regulation provided by the laws of this state, the State Property
  Tax Board [comptroller], or the governing body or the chief
  administrator of the appraisal district or taxing jurisdiction that
  employs the registrant;
               (2)  acted on the advice of counsel or the State
  Property Tax Board [comptroller]; or
               (3)  had discretion over the matter on which the
  complaint is based, if the complaint is based solely on grounds that
  the registrant decided incorrectly or failed to exercise discretion
  in favor of the complainant.
         SECTION 2.148.  Section 1151.204(c), Occupations Code, is
  amended to read as follows:
         (c)  This section does not apply to:
               (1)  a matter referred to the department by the State
  Property Tax Board [comptroller] under Section 5.102, Tax Code, or
  a successor statute;
               (2)  a complaint concerning a registrant's failure to
  comply with the registration and certification requirements of this
  chapter; or
               (3)  a complaint concerning a newly appointed chief
  appraiser's failure to complete the training program described by
  Section 1151.164.
         SECTION 2.149.  Section 1152.204(c), Occupations Code, is
  amended to read as follows:
         (c)  The commission may recognize an educational program or
  course:
               (1)  related to property tax consulting services; and
               (2)  offered or sponsored by a public provider or a
  recognized private provider, including:
                     (A)  the State Property Tax Board [comptroller];
                     (B)  the State Bar of Texas;
                     (C)  the Texas Real Estate Commission;
                     (D)  an institution of higher education that meets
  program and accreditation standards comparable to those for public
  institutions of higher education as determined by the Texas Higher
  Education Coordinating Board; or
                     (E)  a nonprofit and voluntary trade association,
  institute, or organization:
                           (i)  whose membership consists primarily of
  persons who represent property owners in property tax or
  transactional tax matters;
                           (ii)  that has written experience and
  examination requirements for membership or for granting
  professional designation to its members; and
                           (iii)  that subscribes to a code of
  professional conduct or ethics.
  ARTICLE 3. TRANSITION AND EFFECTIVE DATE
         SECTION 3.01.  (a)  On January 1, 2016:
               (1)  the property tax assistance division of the office
  of the comptroller of public accounts is abolished and all powers
  and duties of the division are transferred to the State Property Tax
  Board;
               (2)  all obligations, rights, contracts,
  appropriations, records, and property of the property tax
  assistance division of the office of the comptroller of public
  accounts are transferred to the State Property Tax Board;
               (3)  a rule, policy, procedure, or decision of the
  property tax assistance division of the office of the comptroller
  of public accounts continues in effect as a rule, policy,
  procedure, or decision of the State Property Tax Board, in
  accordance with Subdivision (1) of this subsection, until
  superseded by a later act of the State Property Tax Board; and
               (4)  a reference in law to the property tax assistance
  division of the office of the comptroller of public accounts or to
  the comptroller in a law concerning the former duties of the
  division means the State Property Tax Board.
         (b)  The validity of a form adopted, contract or acquisition
  made, proceeding begun, obligation incurred, right accrued, or
  other action taken by or in connection with the authority of the
  property tax assistance division of the office of the comptroller
  of public accounts before it is abolished under Subsection (a) of
  this section is not affected by this Act. To the extent those
  actions continue to have any effect on or after January 1, 2016,
  they are considered to be actions of the State Property Tax Board.
         (c)  The State Property Tax Board shall reimburse the general
  revenue fund with all money received from appraisal districts or
  property owners as reimbursement for the board's cost of conducting
  performance audits.
         (d)  All appropriations made to the office of the comptroller
  of public accounts to conduct the duties of the property tax
  assistance division of that office are transferred to the State
  Property Tax Board.
         (e)  As soon as practicable after the effective date of this
  Act, but not later than October 1, 2015, the governor shall make
  appointments to the State Property Tax Board. In making those
  appointments, the governor shall appoint three members to terms
  expiring March 1, 2017, two to terms expiring March 1, 2019, and two
  to terms expiring March 1, 2021.
         (f)  The governor or the person appointed by the governor to
  be the chair of the State Property Tax Board may designate a person
  to perform ministerial duties necessary for posting notice of and
  holding the first meeting of the board.
         SECTION 3.02.  (a)  Not later than November 1, 2015, the
  property tax assistance division of the office of the comptroller
  of public accounts and the State Property Tax Board shall adopt a
  comprehensive transition plan to transfer the powers and duties of
  the division to the board under this Act. The comprehensive
  transition plan may include an agreement for the provision of
  office space, utilities and other facility services, and support
  services and for the transfer of information technology as
  necessary or appropriate to effect the transfer of the powers and
  duties of the division to the board.
         (b)  Otherwise confidential information shared between the
  property tax assistance division of the office of the comptroller
  of public accounts and the State Property Tax Board remains subject
  to the same confidentiality requirements and legal restrictions on
  access to the information that are imposed by law on the entity that
  originally obtained or collected the information.
         (c)  Information described in Subsection (b) of this section
  may be shared between the property tax assistance division of the
  office of the comptroller of public accounts and the State Property
  Tax Board without the consent of the person who is the subject of
  the information.
         SECTION 3.03.  (a)  Not later than December 1, 2015, the
  head of the property tax assistance division of the office of the
  comptroller of public accounts shall meet with the State Property
  Tax Board to provide for the transfer of essential personnel to the
  board.
         (b)  The division shall continue, as necessary, to perform
  the duties and functions being transferred to the board until the
  transfer of agency duties and functions is complete.
         SECTION 3.04.  The Comptroller's Appraisal Review Board
  Manual is renamed the State Property Tax Board's Appraisal Review
  Board Manual. Any references to the Comptroller's Appraisal Review
  Board Manual mean the State Property Tax Board's Appraisal Review
  Board Manual.
         SECTION 3.05.  This Act applies only to a tax year beginning
  on or after the effective date of this Act.
         SECTION 3.06.  This Act takes effect September 1, 2015.