BILL ANALYSIS

H.B. 4329

By: Workman

Special Purpose Districts

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties contend that the ability of the Travis County Municipal Utility District No. 3 to collect property taxes needs to be revised in order for the district to better address the needs of the local community. H.B. 4329 seeks to achieve this goal.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 4329 amends the Special District Local Laws Code to authorize the Travis County Municipal Utility District No. 3 and an owner of property that is located in the district and exempt from property taxation by the district to enter into an agreement to allow the district to tax that property, subject to the bill's provisions. The bill requires the agreement to be filed with the chief appraiser of the Travis County Appraisal District not later than December 31 of the tax year preceding the first tax year for which the agreement is effective. The bill makes the agreement effective until the earlier of the date on which the agreement expires under the terms of the agreement or the date on which the property described by the agreement is no longer entitled to exemption from property taxation. The bill requires the chief appraiser, on receipt of an agreement and beginning on January 1 of the first tax year following the year in which the agreement is filed and for each subsequent tax year for which the agreement is effective, to consider the property that is the subject of the agreement to be taxable by the district, but not by any other taxing unit, and take all necessary steps to ensure the property that is the subject of the agreement is listed as property that is taxable by the district, but not by any other taxing unit, on the appraisal roll that is certified by the chief appraiser to the district's assessor. The bill applies only to a property tax year that begins on or after January 1, 2018.

EFFECTIVE DATE

September 1, 2017.