BILL ANALYSIS

 

 

Senate Research Center

H.B. 1533

89R25192 TJB-F

By: Button et al. (Bettencourt)

 

Local Government

 

5/18/2025

 

Engrossed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

The bill author has informed the committee that additional training and notification requirements and increased transparency can protect taxpayers and equip them to engage in the property tax appraisal process. H.B. 1533 seeks to achieve these goals, increase fairness for taxpayers, and expand taxpayer rights and participation by reforming the property tax appraisal process 

 

H.B. 1533 amends current law relating to the system for appraising property for ad valorem tax purposes.

 

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 1.07(d), Tax Code, to require that a notice required by Section 25.23(c) (relating to requiring the chief appraiser to deliver the notice of appraised value and submit the records of review) pertaining to property that was not on the appraisal roll in a prior year because it was omitted from the roll be sent by certified mail.

 

SECTION 2. Amends Section 1.111(k), Tax Code, as follows:

 

(k) Deletes existing text requiring an agent who electronically submits a designation of agent form, on written request by the chief appraiser, to provide the chief appraiser information concerning the Internet Protocol address of the computer the person used to complete the form. Makes nonsubstantive changes.

 

SECTION 3. Amends Section 5.041, Tax Code, by adding Subsections (e-4) and (e-5), as follows:

 

(e-4) Requires at least one trainer of the course established under Subsection (a) (relating to requiring the comptroller to supervise a comprehensive course for training and education of appraisal review board members) or (e-1) (relating to requiring the comptroller to approve curricula and provide materials for use in a continuing education course), if the comptroller contracts with a service provider to assist with the course to be a taxpayer representative. Provides that an individual is eligible to be a trainer who is a taxpayer representative only if the individual meets certain criteria.

 

(e-5) Authorizes the comptroller, notwithstanding Subsection (e-4), to contract with an individual to be a trainer described by that subsection who does not meet the eligibility requirements prescribed by that subsection if:

 

(1) no other individual who applies to be a trainer meets those eligibility requirements; and

 

(2) the individual to be contracted with resides in this state, has knowledge of and experience with the property tax system, has a bachelor's degree, and is not an officer or employee of an appraisal district, a member of the board of directs of an appraisal district, a member of an appraisal review board, or an officer or employee of a taxing unit.

 

SECTION 4. Amends Subchapter A, Chapter 6, Tax Code, by adding Section 6.17, as follows:

 

Sec. 6.17. INTERNET WEBSITE REQUIRED FOR POPULOUS DISTRICTS. Requires an appraisal district established in a county with a population of 120,000 or more to maintain an Internet website.

 

SECTION 5.� Amends Section 25.01, Tax Code, by adding Subsection (d), as follows:

 

(d) Provides that this subsection applies only to an appraisal district established in a county with a population of 120,000 or more. Requires the chief appraiser to post on the appraisal district's Internet website the district's completed appraisal records required to be prepared under Subsection (a) (relating to requiring the chief appraiser to prepare appraisal records listing all taxable property in the district by May 15 or as soon thereafter practicable), other than records that are confidential under law, and to update the posted records at least once each week to include any change in the appraised value of property.

 

SECTION 6. Reenacts Section 41.45(b-1), Tax Code, as amended by Chapters 965 (S.B. 1919) and 644 (H.B. 988), Acts of the 87th Legislature, Regular Session, 2021, and amends it, as follows:

 

(b-1) Requires an appraisal review board to conduct a hearing on a protest by telephone conference call or by videoconference, as specified by the property owner at the owner's election, if the property owner notifies the board that the property owner intends to appear by telephone conference call or videoconference in the owner's notice of protest or by written notice filed with the board not later than the fifth, rather than 10th, day before the date of the hearing if the property owner has not designated an agent under Section 1.111 (Representation of Property Owner) to represent the owner at the hearing or the 10th day before the date of the hearing if the property owner has designated an agent under that section to represent the owner at the hearing. Makes nonsubstantive changes.

 

SECTION 7. Amends Section 41.47(a), Tax Code, to require the appraisal review board, if the board dismisses the protest on jurisdictional grounds, to notify the property owner in writing of its decision and state in the notification the grounds for its determination.

 

SECTION 8. Amends Section 41.61(c), Tax Code, to require the appraisal review board to deliver the written notice to the party being subpoenaed not later than the 15th, rather than 5th, day before the date of the good cause hearing.

 

SECTION 9. Amends Chapter 41A, Tax Code, by adding Section 41A.011, as follows:

 

Sec. 41A.011. RIGHT TO APPEAL BY PERSON LEASING PROPERTY. (a) Provides that, as an alternative to filing an appeal under Section 42.015, a person leasing property who is contractually obligated to reimburse the property owner for taxes imposed on the property is entitled to appeal through binding arbitration under Chapter 41A (Appeal Through Binding Arbitration) an appraisal review board order determining a protest concerning the appraised or market value of property if the protest was brought by certain persons and the appraised or market value, as applicable, of the property as determined by the order is $5 million or less.

 

(b) Provides that a person appealing an order of the appraisal review board under this section is considered the owner of the property for purposes of the appeal. Requires the comptroller to deliver a copy of any notice relating to the appeal to the owner of the property and to the person bringing the appeal.

 

SECTION 10. Amends Section 42.23, Tax Code, by adding Subsections (j) and (k), as follows:

 

(j) Prohibits the court from ordering discovery unless the discovery is requested by a party to the appeal.

 

(k) Prohibits the court from imposing deadlines for discovery related to an expert witness, including deadlines for designating an expert witness, that fall before the deadlines specified by the Texas Rules of Civil Procedure or otherwise accelerating discovery related to an expert witness, unless agreed to by the parties.

 

SECTION 11. Makes application of Section 1.111(k), Tax Code, as amended by this Act, prospective.

 

SECTION 12. Makes application of Sections 5.041(e-4) and (e-5), Tax Code, as added by this Act, prospective to January 1, 2026.

 

SECTION 13. Makes application of Sections 41.45 and 41.47, Tax Code, as amended by this Act, prospective.

 

SECTION 14. Makes application of Section 41.61(c), Tax Code, as amended by this Act, prospective.

 

SECTION 15. Makes application of Section 41A.011, Tax Code, as added by this Act, prospective to January 1, 2026.

 

SECTION 16. Makes application of Sections 42.23(j) and (k), Tax Code, as added by this Act, prospective.

 

SECTION 17. Effective date: September 1, 2025.�