81R10879 SMH-D
By: Rodriguez H.B. No. 2284
A BILL TO BE ENTITLED
AN ACT
relating to the ad valorem taxation of property owned by certain
organizations and used to provide affordable housing.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 11.1825(f) and (q), Tax Code, are
amended to read as follows:
(f) For property to be exempt under this section, the
organization must own the property for the purpose of constructing
or rehabilitating a housing project on the property and:
(1) renting the housing, regardless of whether the
housing project consists of multi-family or single-family
dwellings, to individuals or families whose median income is not
more than 60 percent of the greater of:
(A) the area median family income for the
household's place of residence, as adjusted for family size and as
established by the United States Department of Housing and Urban
Development; or
(B) the statewide area median family income, as
adjusted for family size and as established by the United States
Department of Housing and Urban Development; or
(2) selling single-family dwellings to individuals or
families whose median income is not more than the greater of:
(A) the area median family income for the
household's place of residence, as adjusted for family size and as
established by the United States Department of Housing and Urban
Development; or
(B) the statewide area median family income, as
adjusted for family size and as established by the United States
Department of Housing and Urban Development.
(q) If property qualifies for an exemption under this
section, the chief appraiser shall use the income method of
appraisal as described [provided] by Section 23.012 to determine
the appraised value of the property. The chief appraiser shall use
that method regardless of whether the chief appraiser considers
that method to be the most appropriate method of appraising the
property. In appraising the property, the chief appraiser shall:
(1) consider the restrictions provided by this section
on the income of the individuals or families to whom the dwelling
units of the housing project may be rented and the amount of rent
that may be charged for purposes of computing the actual rental
income from the property or projecting future rental income; and
(2) use the same capitalization rate that the chief
appraiser uses to appraise other rent-restricted properties.
SECTION 2. This Act applies only to ad valorem taxes imposed
for a tax year beginning on or after the effective date of this Act.
SECTION 3. This Act takes effect January 1, 2010.