Texas 2015 - 84th Regular

Texas House Bill HB3767 Compare Versions

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

Old	New	Differences
1	1	84R8994 CJC-F
2	2	By: Cook H.B. No. 3767
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to ad valorem tax protests and appeals on the ground of the
8	8	unequal appraisal of property.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 41.43, Tax Code, is amended by amending
11	11	Subsection (b) and adding Subsections (e) and (f) to read as
12	12	follows:
13	13	(b) A protest on the ground of unequal appraisal of property
14	14	shall be determined in favor of the protesting party unless the
15	15	appraisal district establishes that:
16	16	(1) the appraisal ratio of the property is equal to or
17	17	less than the median level of appraisal of a reasonable and
18	18	representative sample of other properties in the appraisal
19	19	district;
20	20	(2) the appraisal ratio of the property is equal to or
21	21	less than the median level of appraisal of a sample of properties in
22	22	the appraisal district consisting of a reasonable number of other
23	23	properties similarly situated to, or of the same general kind or
24	24	character as, the property subject to the protest; or
25	25	(3) the appraisal ratio [appraised value] of the
26	26	property is equal to or less than the median appraisal ratio
27	27	[appraised value] of a reasonable number of comparable properties
28	28	in the appraisal district appropriately adjusted.
29	29	(e) For purposes of Subsection (b)(3):
30	30	(1) a determination that property is comparable to
31	31	another property must be based on the similarity of the properties
32	32	with regard to the characteristics described by Section 23.013(d);
33	33	(2) adjustments to be applied to a comparable property
34	34	for purposes of determining the appraisal ratio of that property
35	35	must be developed and quantified in accordance with generally
36	36	accepted appraisal standards that are appropriate relative to the
37	37	method of appraisal used by the chief appraiser to determine the
38	38	value of the property; and
39	39	(3) calculation of the market value of the property
40	40	that is the subject of the protest or of a comparable property for
41	41	the purpose of determining the property's appraisal ratio must be
42	42	based on the appraised value of the property as shown in the
43	43	appraisal records submitted to the appraisal review board under
44	44	Section 25.22 or 25.23.
45	45	(f) The chief appraiser may disclose confidential
46	46	information for the purpose of meeting the appraisal district's
47	47	burden of proof under this section if the information does not
48	48	identify:
49	49	(1) a specific property; or
50	50	(2) a property owner.
51	51	SECTION 2. Section 42.26, Tax Code, is amended by amending
52	52	Subsections (a) and (b) and adding Subsections (e) and (f) to read
53	53	as follows:
54	54	(a) The district court shall grant relief on the ground that
55	55	a property is appraised unequally if:
56	56	(1) the appraisal ratio of the property exceeds by at
57	57	least 10 percent the median level of appraisal of a reasonable and
58	58	representative sample of other properties in the appraisal
59	59	district;
60	60	(2) the appraisal ratio of the property exceeds by at
61	61	least 10 percent the median level of appraisal of a sample of
62	62	properties in the appraisal district consisting of a reasonable
63	63	number of other properties similarly situated to, or of the same
64	64	general kind or character as, the property subject to the appeal; or
65	65	(3) the appraised value of the property exceeds by at
66	66	least 10 percent the median appraised value of a reasonable number
67	67	of comparable properties in the appraisal district appropriately
68	68	adjusted.
69	69	(b) If a property owner is entitled to relief under
70	70	Subsection (a)(1), the court shall order the property's appraised
71	71	value changed to the value as calculated on the basis of the median
72	72	level of appraisal according to Subsection (a)(1). If a property
73	73	owner is entitled to relief under Subsection (a)(2), the court
74	74	shall order the property's appraised value changed to the value
75	75	calculated on the basis of the median level of appraisal according
76	76	to Subsection (a)(2). If a property owner is entitled to relief
77	77	under Subsection (a)(3), the court shall order the property's
78	78	appraised value changed to the value calculated on the basis of the
79	79	median appraised value according to Subsection (a)(3). If a
80	80	property owner is entitled to relief under more than one
81	81	subdivision of Subsection (a), the court shall order the property's
82	82	appraised value changed to the value determined under the
83	83	subdivision under which the owner is entitled to relief that, in the
84	84	judgment of the court, reflects the most appropriate [results in
85	85	the lowest] appraised value. The court shall determine each
86	86	applicable median level of appraisal or median appraised value
87	87	according to law, and is not required to adopt the median level of
88	88	appraisal or median appraised value proposed by a party to the
89	89	appeal. [The court may not limit or deny relief to the property
90	90	owner entitled to relief under a subdivision of Subsection (a)
91	91	because the appraised value determined according to another
92	92	subdivision of Subsection (a) results in a higher appraised value.]
93	93	(e) For purposes of Subsection (a)(3):
94	94	(1) a determination that property is comparable to
95	95	another property must be based on the similarity of the properties
96	96	with regard to the characteristics described by Section 23.013(d);
97	97	(2) adjustments must be developed and quantified in
98	98	accordance with generally accepted appraisal standards that are
99	99	appropriate relative to the method of appraisal used by the chief
100	100	appraiser to determine the value of the property; and
101	101	(3) calculation of the median appraised value of
102	102	comparable properties must be based on the appraised value of each
103	103	comparable property as shown in the appraisal records certified by
104	104	the chief appraiser under Section 26.01.
105	105	(f) The chief appraiser may disclose confidential
106	106	information for the purpose of meeting the appraisal district's
107	107	burden of proof under this section if the information does not
108	108	identify:
109	109	(1) a specific property; or
110	110	(2) a property owner.
111	111	SECTION 3. Section 41.43, Tax Code, as amended by this Act,
112	112	applies only to a protest under Chapter 41, Tax Code, for which a
113	113	notice of protest is filed on or after the effective date of this
114	114	Act. A protest under Chapter 41, Tax Code, for which a notice of
115	115	protest was filed before the effective date of this Act is governed
116	116	by the law in effect on the date the notice of protest was filed, and
117	117	the former law is continued in effect for that purpose.
118	118	SECTION 4. Section 42.26, Tax Code, as amended by this Act,
119	119	applies only to an appeal under Chapter 42, Tax Code, for which a
120	120	petition for review is filed on or after the effective date of this
121	121	Act. An appeal under Chapter 42, Tax Code, for which a petition for
122	122	review was filed before the effective date of this Act is governed
123	123	by the law in effect on the date the petition for review was filed,
124	124	and the former law is continued in effect for that purpose.
125	125	SECTION 5. This Act takes effect January 1, 2016.