BILL ANALYSIS

H.B. 4864

By: Metcalf

Ways & Means

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Under current law, registered professional appraisers are not expressly eligible to serve as arbitrators in binding arbitration of appraisal review board (ARB) orders, despite their expertise in property valuation. The bill author has informed the committee that property owners and appraisal professionals in Montgomery County have raised concerns that with the rising numbers of property tax disputes, there is a growing need for qualified arbitrators with real‑world appraisal experience. H.B. 4864 seeks to address this issue by including registered professional appraisers among those eligible to serve as arbitrators in binding arbitration of appraisal review board orders.

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. 4864 amends the Tax Code, for the purpose of the initial qualifications for a person to serve as an arbitrator in an appeal through binding arbitration of an appraisal review board's order determining a taxpayer protest, to give an otherwise qualifying person the option of being licensed or certified as a registered professional appraiser under the Property Taxation Professional Certification Act continuously during the five years preceding the date the person agrees to serve as an arbitrator as an alternative to being licensed or certified as one of the following continuously during such a five year period:

· a real estate broker or sales agent under The Real Estate License Act;

· a real estate appraiser under the Texas Appraiser Licensing and Certification Act; or

· a certified public account under the Public Accountancy Act.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2025.