Texas 2009 - 81st Regular

Texas House Bill HB1401 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	81R8774 JD-F
2	2	By: Villarreal H.B. No. 1401
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to an appeal from an order of an appraisal review board
8	8	determining a protest.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 41A.01, Tax Code, is amended to read as
11	11	follows:
12	12	Sec. 41A.01. RIGHT OF APPEAL BY PROPERTY OWNER. As an
13	13	alternative to filing an appeal under Section 42.01, a property
14	14	owner is entitled to appeal through binding arbitration under this
15	15	chapter an appraisal review board order determining a protest
16	16	brought under Section 41.41(a)(1) or (2) concerning the appraised
17	17	or market value of [real] property if[:
18	18	[(1)] the appraised or market value, as applicable, of
19	19	the property as determined by the order is $1 million or less[; and
20	20	[(2) the appeal does not involve any matter in dispute
21	21	other than the determination of the appraised or market value of the
22	22	property].
23	23	SECTION 2. Section 41A.03(a), Tax Code, is amended to read
24	24	as follows:
25	25	(a) To appeal an appraisal review board order under this
26	26	chapter, a property owner must file with the appraisal district not
27	27	later than the 45th day after the date the property owner receives
28	28	notice of the order:
29	29	(1) a completed request for binding arbitration under
30	30	this chapter in the form prescribed by Section 41A.04; and
31	31	(2) an arbitration deposit [in the amount of $500,]
32	32	made payable to the comptroller in the amount of:
33	33	(A) $500; or
34	34	(B) $250, if the property owner requests
35	35	expedited arbitration under Section 41A.031.
36	36	SECTION 3. Chapter 41A, Tax Code, is amended by adding
37	37	Section 41A.031 to read as follows:
38	38	Sec. 41A.031. EXPEDITED ARBITRATION. (a) A property owner
39	39	is entitled to an expedited arbitration if the property owner
40	40	includes a request for expedited arbitration in the request filed
41	41	under Section 41A.03 and pays the required deposit.
42	42	(b) An expedited arbitration must provide for not more than
43	43	one hour of argument and testimony on behalf of the property owner
44	44	and not more than one hour of argument and testimony on behalf of
45	45	the appraisal district.
46	46	(c) The comptroller shall adopt rules and processes to
47	47	assist in the conduct of an expedited arbitration, including rules
48	48	relating to the evidence required to be produced by each party.
49	49	SECTION 4. Sections 41A.09(c) and (d), Tax Code, are
50	50	amended to read as follows:
51	51	(c) If the arbitrator determines that the appraised or
52	52	market value, as applicable, of the property that is the subject of
53	53	the appeal is less [nearer to the property owner's opinion of the
54	54	appraised or market value, as applicable, of the property as stated
55	55	in the request for binding arbitration submitted under Section
56	56	41A.03] than the value determined by the appraisal review board:
57	57	(1) the comptroller, on receipt of a copy of the award,
58	58	shall refund the property owner's arbitration deposit, less the
59	59	amount retained by the comptroller under Section 41A.05(b);
60	60	(2) the appraisal district, on receipt of a copy of the
61	61	award, shall pay the arbitrator's fee; and
62	62	(3) the chief appraiser shall correct the appraised or
63	63	market value, as applicable, of the property as shown in the
64	64	appraisal roll to reflect the arbitrator's determination.
65	65	(d) If the arbitrator determines that the appraised or
66	66	market value, as applicable, of the property that is the subject of
67	67	the appeal is [not nearer to the property owner's opinion of the
68	68	appraised or market value, as applicable, of the property as stated
69	69	in the request for binding arbitration submitted under Section
70	70	41A.03 than] the value determined by the appraisal review board, [:
71	71	[(1)] the comptroller, on receipt of a copy of the
72	72	award, shall:
73	73	(1) [(A)] pay the arbitrator's fee out of the owner's
74	74	arbitration deposit; and
75	75	(2) [(B)] refund to the owner the owner's arbitration
76	76	deposit, less the arbitrator's fee and the amount retained by the
77	77	comptroller under Section 41A.05(b)[; and
78	78	[(2) the chief appraiser shall correct the appraised
79	79	or market value, as applicable, of the property as shown in the
80	80	appraisal roll to reflect the arbitrator's determination if the
81	81	value as determined by the arbitrator is less than the value as
82	82	determined by the appraisal review board].
83	83	SECTION 5. Section 42.21, Tax Code, is amended by amending
84	84	Subsection (a) and adding Subsection (a-1) to read as follows:
85	85	(a) A party who appeals as provided by this chapter must
86	86	file a petition for review with the district court within 60 [45]
87	87	days after the party received notice that a final order has been
88	88	entered from which an appeal may be had or at any time after the
89	89	hearing but before the 60-day deadline. Failure to timely file a
90	90	petition bars any appeal under this chapter.
91	91	(a-1) A petition for review may include more than one party
92	92	if the parties have a common legal connection or the same client
93	93	representative and may include more than one property owned by the
94	94	parties.
95	95	SECTION 6. Subchapter B, Chapter 42, Tax Code, is amended by
96	96	adding Section 42.231 to read as follows:
97	97	Sec. 42.231. MASTERS FOR TAX APPEALS. (a) The court shall
98	98	give preference to the use of a master in chancery to resolve an
99	99	appeal brought under this chapter. In connection with an appeal
100	100	that seeks a remedy under Section 42.25 or 42.26, the court may, and
101	101	on request of a party to the appeal shall, appoint a master in
102	102	chancery.
103	103	(b) To be eligible to serve as a master in chancery, a person
104	104	must be a resident of this state and an attorney who is licensed in
105	105	this state. The person may not be an attorney for or related to a
106	106	party to the action. In appointing a master, the court shall give
107	107	preference to a qualified person who has judicial experience.
108	108	(c) A master in chancery shall perform all of the duties
109	109	required by the court, is subject to the orders of the court, and
110	110	has the power that a master in chancery in a court of equity has.
111	111	(d) Subject to any limitations or specifications stated in
112	112	the order of reference, a master in chancery may:
113	113	(1) regulate the proceedings in a hearing before the
114	114	master and do all acts and take all measures necessary or proper for
115	115	the efficient performance of the master's duties under the order;
116	116	(2) require the production of evidence regarding any
117	117	matter covered by the order and may require the production of books,
118	118	papers, vouchers, documents, and other writings applicable to the
119	119	case;
120	120	(3) require that parties produce all documentary
121	121	evidence in advance of the hearing;
122	122	(4) rule on the admissibility of evidence, unless
123	123	otherwise directed by the order;
124	124	(5) administer oaths to and examine witnesses;
125	125	(6) call and examine under oath the parties to the
126	126	action; and
127	127	(7) set a reasonable time limit on the proceedings
128	128	based on the complexity of the case, which may not be less than four
129	129	hours for a case involving property that is a residence homestead or
130	130	less than eight hours for a case involving any other type of
131	131	property, unless otherwise agreed to by the parties.
132	132	(e) A decision of a master in chancery is not binding on the
133	133	parties to the appeal but may be admitted into evidence in a trial
134	134	of the matter.
135	135	SECTION 7. Section 42.23, Tax Code, is amended by adding
136	136	Subsection (f) to read as follows:
137	137	(f) The court has jurisdiction over any issue listed in
138	138	Section 41.41 on which evidence or argument was offered at the
139	139	hearing held by the appraisal review board unless at the hearing the
140	140	parties agreed to waive this subsection.
141	141	SECTION 8. Section 42.24, Tax Code, is amended to read as
142	142	follows:
143	143	Sec. 42.24. ACTION BY COURT. (a) In determining an appeal,
144	144	the district court may:
145	145	(1) fix the appraised value of property in accordance
146	146	with the requirements of law if the appraised value is at issue;
147	147	(2) enter the orders necessary to ensure equal
148	148	treatment under the law for the appealing property owner if
149	149	inequality in the appraisal of the owner's [his] property is at
150	150	issue; or
151	151	(3) enter other orders necessary to preserve rights
152	152	protected by and impose duties required by the law.
153	153	(b) The district court shall enter an order that requires
154	154	the parties to participate in mediation.
155	155	SECTION 9. Section 42.26, Tax Code, is amended by adding
156	156	Subsections (e) and (f) to read as follows:
157	157	(e) Except as provided by Subsection (d), for purposes of
158	158	this section, the value of the property subject to the suit and the
159	159	value of a comparable property or sample property that is used for
160	160	comparison is the appraised value determined by the appraisal
161	161	review board.
162	162	(f) A comparable property that requires an overall
163	163	adjustment of more than 25 percent is presumed to be not comparable
164	164	to the subject property. The presumption may be rebutted by
165	165	evidence relating to the number of comparable properties or the
166	166	strength of the comparability.
167	167	SECTION 10. Subchapter D, Chapter 1152, Occupations Code,
168	168	is amended by adding Section 1152.163 to read as follows:
169	169	Sec. 1152.163. PROHIBITED ACTS. A person required to
170	170	register under this chapter may not:
171	171	(1) appear at a settlement conference for or attempt
172	172	to settle an appeal filed under Chapter 42, Tax Code, unless the
173	173	property owner or the property owner's attorney of record is
174	174	present;
175	175	(2) represent in a public solicitation for business
176	176	that the fee for services rendered includes the hiring of legal
177	177	services;
178	178	(3) engage the services of an attorney for purposes of
179	179	filing a suit under Chapter 42, Tax Code, unless the client has
180	180	previously given written consent; or
181	181	(4) solicit a client for an attorney for the purpose of
182	182	filing an appeal under Chapter 42, Tax Code, if the solicitation
183	183	results in compensation to the person.
184	184	SECTION 11. The change in law made by this Act applies only
185	185	to an appeal under Chapter 41A or 42, Tax Code, that is filed on or
186	186	after the effective date of this Act. An appeal under Chapter 41A
187	187	or 42, Tax Code, that is filed before the effective date of this Act
188	188	is governed by the law in effect on the date the appeal was filed,
189	189	and the former law is continued in effect for that purpose.
190	190	SECTION 12. This Act takes effect September 1, 2009.