Texas 2013 - 83rd Regular

Texas Senate Bill SB476 Compare Versions

The same version is selected twice. Please select two different versions to compare.

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	By: Hinojosa S.B. No. 476
2	2	(In the Senate - Filed February 11, 2013; February 13, 2013,
3	3	read first time and referred to Committee on Intergovernmental
4	4	Relations; March 25, 2013, reported adversely, with favorable
5	5	Committee Substitute by the following vote: Yeas 5, Nays 0;
6	6	March 25, 2013, sent to printer.)
7	7	COMMITTEE SUBSTITUTE FOR S.B. No. 476 By: Hinojosa
8	8
9	9
10	10	A BILL TO BE ENTITLED
11	11	AN ACT
12	12	relating to installment agreements for the payment of delinquent ad
13	13	valorem taxes.
14	14	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15	15	SECTION 1. Section 33.02, Tax Code, is amended by amending
16	16	Subsections (a) and (b) and adding Subsection (b-1) to read as
17	17	follows:
18	18	(a) The collector for a taxing unit may enter into an
19	19	agreement with a person delinquent in the payment of the tax for
20	20	payment of the tax, penalties, and interest in installments. The
21	21	collector for a taxing unit shall, on request by a person delinquent
22	22	in the payment of the tax on a residence homestead, enter into an
23	23	agreement with the person for payment of the tax, penalties, and
24	24	interest in installments if the person has not entered into an
25	25	installment agreement with the collector for the taxing unit under
26	26	this section in the preceding 24 months. An installment [The]
27	27	agreement under this section:
28	28	(1) must be in writing;
29	29	(2) must provide for payments to be made in equal
30	30	monthly installments;
31	31	(3) must extend for a period of at least 12 months; and
32	32	(4) may not extend for a period of more than 36 months.
33	33	(b) Except as provided by Subsection (b-1), interest
34	34	[Interest] and a penalty accrue as provided by Sections 33.01(a)
35	35	and (c) [Subsections (a) and (c) of Section 33.01] on the unpaid
36	36	balance during the period of the agreement.
37	37	(b-1) A penalty does not accrue as provided by Section
38	38	33.01(a) on the unpaid balance during the period of the agreement if
39	39	the property that is the subject of the agreement is a residence
40	40	homestead.
41	41	SECTION 2. Section 33.04, Tax Code, is amended to read as
42	42	follows:
43	43	Sec. 33.04. NOTICE OF DELINQUENCY. (a) At least once each
44	44	year the collector for a taxing unit shall deliver a notice of
45	45	delinquency to each person whose name appears on the current
46	46	delinquent tax roll. However, the notice need not be delivered if:
47	47	(1) a bill for the tax was not mailed under Section
48	48	31.01(f); or
49	49	(2) the collector does not know and by exercising
50	50	reasonable diligence cannot determine the delinquent taxpayer's
51	51	name and address.
52	52	(b) A notice of delinquency must contain the following
53	53	statement in capital letters: "IF THE PROPERTY DESCRIBED IN THIS
54	54	DOCUMENT IS YOUR RESIDENCE HOMESTEAD, YOU SHOULD CONTACT THE (NAME
55	55	OF TAXING UNIT) REGARDING A RIGHT YOU MAY HAVE TO ENTER INTO AN
56	56	INSTALLMENT AGREEMENT DIRECTLY WITH THE (NAME OF TAXING UNIT) FOR
57	57	THE PAYMENT OF THESE TAXES."
58	58	(c) The collector for a taxing unit must deliver a notice of
59	59	delinquency to a person who is in breach of an installment agreement
60	60	under Section 33.02 and to any other owner of an interest in the
61	61	property subject to the agreement whose name appears on the
62	62	delinquent tax roll before the collector may seize and sell the
63	63	property or file a suit to collect a delinquent tax subject to the
64	64	agreement.
65	65	SECTION 3. Chapter 51, Property Code, is amended by adding
66	66	Section 51.0011 to read as follows:
67	67	Sec. 51.0011. DEFAULT ARISING FROM DELINQUENT AD VALOREM
68	68	TAXES: INSTALLMENT AGREEMENTS. (a) Notwithstanding any
69	69	agreement to the contrary, a debtor is not in default under a deed
70	70	of trust or other contract lien on real property used as the
71	71	debtor's residence for the delinquent payment of ad valorem taxes
72	72	if:
73	73	(1) the debtor gave notice to the mortgage servicer of
74	74	the intent to enter into an installment agreement with the taxing
75	75	unit under Section 33.02, Tax Code, for the payment of the taxes at
76	76	least 10 days before the date the debtor entered into the agreement;
77	77	and
78	78	(2) the property is protected from seizure and sale
79	79	and a suit may not be filed to collect a delinquent tax on the
80	80	property as provided by Section 33.02(d), Tax Code.
81	81	(b) A mortgage servicer who receives a notice described by
82	82	Subsection (a)(1) may pay the taxes subject to the installment
83	83	agreement at any time.
84	84	(c) A mortgage servicer who receives a notice described by
85	85	Subsection (a)(1) and gives the debtor notice that the mortgage
86	86	servicer intends to accelerate the note securing the deed of trust
87	87	or other contract lien as a result of the delinquency of the taxes
88	88	that are subject to the installment agreement must rescind the
89	89	notice if the debtor enters into the agreement not later than the
90	90	30th day after the date the debtor delivers the notice.
91	91	SECTION 4. (a) The change in law made by this Act to
92	92	Section 33.02, Tax Code, applies only to an installment agreement
93	93	for the payment of delinquent ad valorem taxes entered into on or
94	94	after the effective date of this Act. An installment agreement for
95	95	the payment of delinquent ad valorem taxes entered into before the
96	96	effective date of this Act is governed by the law in effect on the
97	97	date the agreement was entered into, and the former law is continued
98	98	in effect for that purpose.
99	99	(b) The change in law made by this Act to Section 33.04, Tax
100	100	Code, applies only to a notice of delinquency delivered on or after
101	101	the effective date of this Act. A notice of delinquency delivered
102	102	before the effective date of this Act is governed by the law in
103	103	effect on the date the notice was delivered, and the former law is
104	104	continued in effect for that purpose.
105	105	SECTION 5. This Act takes effect September 1, 2013.
106	106	* * * * *