BILL ANALYSIS

Senate Research Center	S.B. 1146
86R7611 JES-F	By: Fallon
	Property Tax
	3/30/2019
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

The property tax bill paid by Texas taxpayers is a combination of two things: the property tax rate levied by local governments and the property tax value those tax rates are levied against. To figure the amount of an annual city property tax, multiply the city-set tax rate by the county appraisal district�s value on a property.

Appraisal districts are responsible for reviewing real estate data each year to determine the value of residential and commercial properties. These values ultimately become the property tax base for all cities, public schools, and special taxing districts. Nowhere in the Tax Code are elected officials who control property tax rates prohibited from also having direct control or undue influence over appraisal values.

S.B. 1146 is simple and straightforward. It stops a glaring conflict of interest by prohibiting an elected official in a county from serving as the chief appraiser in that county for any county over 20,000 residents. It also prohibits elected officials from serving as an assessor for the taxing unit. The Act would take effect September 1, 2019, and force a resignation or removal from the appraisal district no later than December 31, 2019.

As proposed, S.B. 1146 amends current law relating to the eligibility of certain local officials to serve as the chief appraiser of an appraisal district or as the assessor for a taxing unit that operates an appraisal office.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 6.035, Tax Code, by adding Subsection (a-2), as follows:

(a-2) Provides that an individual in a county with a population of more than 20,000 who is an elected or appointed officer of a taxing unit located wholly or partly in the appraisal district established for the county is disqualified from:

(1) employment as chief appraiser of the appraisal district; or

(2) service as the assessor for a taxing unit that performs the duties of the appraisal office for the appraisal district pursuant to a contract under Section 6.05 (Appraisal Office).

SECTION 2. Provides that an individual who on the effective date of this Act is employed as a chief appraiser or is serving as the assessor for a taxing unit that performs the duties of an appraisal office pursuant to a contract under Section 6.05, Tax Code, and who would be disqualified from serving in that position under Section 6.035(a-2), Tax Code, as added by this Act, must resign or be removed from that position not later than December 31, 2019.

SECTION 3. Effective date: September 1, 2019.