83R1034 CJC-D
By: West S.B. No. 106
A BILL TO BE ENTITLED
AN ACT
relating to a requirement that the Sunset Advisory Commission
conduct a study and make recommendations regarding certain tax
preferences that relate to ad valorem taxes and that are required or
authorized by the state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 325, Government Code, is amended by
adding Section 325.023 to read as follows:
Sec. 325.023. STUDY OF AD VALOREM TAX PREFERENCES. (a) The
commission shall study the abatements, exemptions, credits,
limitations on appraised value, special appraisal provisions, and
other tax preferences that relate to ad valorem taxes and that are
required or authorized by state statute or the state constitution.
(b) In the study, the commission must:
(1) determine the intended purpose of each preference
and evaluate whether the preference achieves that purpose;
(2) evaluate the effect of each preference on local
and state revenue; and
(3) evaluate the effect each preference has on:
(A) economic development;
(B) the number of high-wage jobs;
(C) industry retention; and
(D) the distribution of the tax burden by income
class and business or industry class in this state.
(c) The commission shall prepare a report of its findings
from the study. Not later than January 1, 2015, the commission
shall file the report with the lieutenant governor, the speaker of
the house of representatives, and the presiding officer of each
standing committee of the senate and house of representatives
having primary jurisdiction over matters affecting tax revenue.
The report must include:
(1) as to each tax preference examined, a
recommendation to:
(A) continue the preference;
(B) amend a provision relating to the preference;
or
(C) repeal the preference; and
(2) a complete explanation of each recommendation.
(d) If the report prepared by the commission under
Subsection (c) includes a recommendation that a tax preference be
repealed, the commission must also recommend whether the repeal
should be immediate or phased in over time.
(e) On the request of the commission, the comptroller shall
help the commission conduct the study.
(f) This section expires September 1, 2015.
SECTION 2. (a) The Sunset Advisory Commission shall pay the
costs incurred by the commission in conducting the study required
by Section 325.023, Government Code, as added by this Act, using
money appropriated to the commission that is available to be spent
for that purpose and shall reduce expenditures for other commission
activities to the extent necessary to pay the costs incurred by the
commission in conducting the study.
(b) The comptroller of public accounts shall pay the costs
associated with providing any help to the Sunset Advisory
Commission in conducting the study as provided by Section
325.023(e), Government Code, as added by this Act, using money
appropriated to the comptroller that is available to be spent for
that purpose and shall reduce expenditures for other comptroller
activities to the extent necessary to pay the costs associated with
providing any help to the commission in conducting the study.
SECTION 3. This Act takes effect September 1, 2013.