Texas 2017 - 85th Regular

Texas House Bill HB3230 Compare Versions

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

Old	New	Differences
1	1	85R9825 TJB-D
2	2	By: Phelan H.B. No. 3230
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of a property owner to contest the unequal
8	8	appraisal for ad valorem tax purposes of property that is subject to
9	9	an agreement to provide certain relief from ad valorem taxation.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 312.205(a), Tax Code, is amended to read
12	12	as follows:
13	13	(a) An agreement made under Section 312.204 or 312.211 must:
14	14	(1) list the kind, number, and location of all
15	15	proposed improvements of the property;
16	16	(2) provide access to and authorize inspection of the
17	17	property by municipal employees to ensure that the improvements or
18	18	repairs are made according to the specifications and conditions of
19	19	the agreement;
20	20	(3) limit the uses of the property consistent with the
21	21	general purpose of encouraging development or redevelopment of the
22	22	zone during the period that property tax exemptions are in effect;
23	23	(4) provide for recapturing property tax revenue lost
24	24	as a result of the agreement if the owner of the property fails to
25	25	make the improvements or repairs as provided by the agreement;
26	26	(5) contain each term agreed to by the owner of the
27	27	property;
28	28	(6) require the owner of the property to certify
29	29	annually to the governing body of each taxing unit that the owner is
30	30	in compliance with each applicable term of the agreement; [and]
31	31	(7) provide that the governing body of the
32	32	municipality may cancel or modify the agreement if the property
33	33	owner fails to comply with the agreement; and
34	34	(8) include either:
35	35	(A) a waiver by the property owner of the right to
36	36	protest before an appraisal review board and the right to contest in
37	37	any court the unequal appraisal of property subject to the
38	38	agreement for a tax year in which a portion of the property is
39	39	exempt from taxation under the agreement; or
40	40	(B) provisions for the recapture of all or a
41	41	portion of the property tax revenue lost as a result of the
42	42	agreement if the appraised value of the property subject to the
43	43	agreement does not attain a value specified in the agreement for a
44	44	year covered by the agreement and payment of a penalty or interest,
45	45	or both, on that recaptured property tax revenue.
46	46	SECTION 2. Section 313.027(f), Tax Code, is amended to read
47	47	as follows:
48	48	(f) In addition, the agreement:
49	49	(1) must incorporate each relevant provision of this
50	50	subchapter and, to the extent necessary, include provisions for the
51	51	protection of future school district revenues through the
52	52	adjustment of the minimum valuations, the payment of revenue
53	53	offsets, and other mechanisms agreed to by the property owner and
54	54	the school district;
55	55	(2) may provide that the property owner will protect
56	56	the school district in the event the district incurs extraordinary
57	57	education-related expenses related to the project that are not
58	58	directly funded in state aid formulas, including expenses for the
59	59	purchase of portable classrooms and the hiring of additional
60	60	personnel to accommodate a temporary increase in student enrollment
61	61	attributable to the project;
62	62	(3) must require the property owner to maintain a
63	63	viable presence in the school district for at least five years after
64	64	the date the limitation on appraised value of the owner's property
65	65	expires;
66	66	(4) must provide for the termination of the agreement,
67	67	the recapture of ad valorem tax revenue lost as a result of the
68	68	agreement if the owner of the property fails to comply with the
69	69	terms of the agreement, and payment of a penalty or interest, or
70	70	both, on that recaptured ad valorem tax revenue;
71	71	(5) may specify any conditions the occurrence of which
72	72	will require the district and the property owner to renegotiate all
73	73	or any part of the agreement;
74	74	(6) must specify the ad valorem tax years covered by
75	75	the agreement; [and]
76	76	(7) must be in a form approved by the comptroller; and
77	77	(8) must include either:
78	78	(A) a waiver by the property owner of the right to
79	79	protest before an appraisal review board and the right to contest in
80	80	any court the unequal appraisal of property subject to the
81	81	agreement for a tax year in which a portion of the property is
82	82	exempt from taxation under the agreement; or
83	83	(B) provisions for the recapture of all or a
84	84	portion of the property tax revenue lost as a result of the
85	85	agreement if the appraised value of the property subject to the
86	86	agreement does not attain a value specified in the agreement for a
87	87	year covered by the agreement and payment of a penalty or interest,
88	88	or both, on that recaptured property tax revenue.
89	89	SECTION 3. The changes in law made by this Act apply only to
90	90	an agreement entered into by a taxing unit under Chapter 312 or 313,
91	91	Tax Code, on or after the effective date of this Act.
92	92	SECTION 4. This Act takes effect September 1, 2017.