| 5 | 3 | | |
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| 6 | 4 | | |
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| 7 | 5 | | A BILL TO BE ENTITLED |
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| 8 | 6 | | AN ACT |
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| 9 | 7 | | relating to the reappraisal for ad valorem tax purposes of property |
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| 10 | 8 | | damaged in a disaster. |
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| 11 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 10 | | SECTION 1. Section 23.02, Tax Code, is amended to read as |
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| 13 | 11 | | follows: |
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| 14 | 12 | | Sec. 23.02. REAPPRAISAL OF PROPERTY DAMAGED IN DISASTER |
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| 15 | 13 | | AREA. (a) The chief appraiser of an appraisal district that |
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| 16 | 14 | | appraises property for [governing body of] a taxing unit that is |
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| 17 | 15 | | located partly or entirely inside an area declared to be a disaster |
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| 18 | 16 | | area by the governor shall reappraise [may authorize reappraisal |
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| 19 | 17 | | of] all property that the Federal Emergency Management Agency or |
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| 20 | 18 | | its successor agency estimates to have sustained five percent or |
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| 21 | 19 | | greater damage as a result of [damaged in] the disaster at its |
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| 22 | 20 | | market value immediately after the disaster. |
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| 23 | 21 | | (a-1) Notwithstanding Subsection (a), a property owner may |
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| 24 | 22 | | refuse to have the owner's property reappraised under this section. |
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| 25 | 23 | | (b) The chief appraiser [If a taxing unit authorizes a |
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| 26 | 24 | | reappraisal pursuant to this section, the appraisal office] shall |
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| 27 | 25 | | complete the reappraisal not later than the 45th day after the date |
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| 28 | 26 | | the governor declares the area to be a disaster area [as soon as |
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| 29 | 27 | | practicable]. |
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| 30 | 28 | | (b-1) Notwithstanding Subsection (b), if the Federal |
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| 31 | 29 | | Emergency Management Agency or its successor agency does not |
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| 32 | 30 | | complete the damage estimates described by Subsection (a) on or |
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| 33 | 31 | | before the deadline for completing the reappraisal prescribed by |
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| 34 | 32 | | Subsection (b), the chief appraiser shall complete the reappraisal |
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| 35 | 33 | | as soon as practicable after the damage estimates are completed. |
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| 36 | 34 | | (b-2) The chief appraiser [appraisal office] shall include |
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| 37 | 35 | | on the appraisal records, in addition to other information required |
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| 38 | 36 | | or authorized by law: |
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| 39 | 37 | | (1) the date of the disaster; and |
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| 40 | 38 | | (2) the appraised value of the property after the |
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| 41 | 39 | | disaster[; and |
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| 42 | 40 | | [(3) if the reappraisal is not authorized by all |
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| 43 | 41 | | taxing units in which the property is located, an indication of the |
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| 44 | 42 | | taxing units to which the reappraisal applies]. |
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| 45 | 43 | | (c) A taxing unit for which property is reappraised [that |
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| 46 | 44 | | authorizes a reappraisal] under this section must pay the appraisal |
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| 47 | 45 | | district all the costs of making the reappraisal. If property in |
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| 48 | 46 | | the same territory is reappraised for two or more taxing units |
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| 49 | 47 | | [provide for the reappraisal in the same territory], each unit |
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| 50 | 48 | | shall share the costs of the reappraisal in that territory in the |
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| 51 | 49 | | proportion the total dollar amount of taxes each unit imposed in |
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| 52 | 50 | | that territory in the preceding year bears to the total dollar |
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| 53 | 51 | | amount of taxes all units [providing for reappraisal of that |
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| 54 | 52 | | territory] imposed in that territory in the preceding year. |
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| 55 | 53 | | (d) If property damaged in a disaster is reappraised for a |
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| 56 | 54 | | taxing unit as provided by this section, the governing body of the |
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| 57 | 55 | | taxing unit shall provide for prorating the taxes on the property |
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| 58 | 56 | | for the year in which the disaster occurred. The [If the taxes are] |
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| 59 | 57 | | prorated[,] taxes due on the property are determined as follows: |
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| 60 | 58 | | the taxes on the property based on its value on January 1 of that |
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| 61 | 59 | | year are multiplied by a fraction, the denominator of which is 365 |
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| 62 | 60 | | and the numerator of which is the number of days before the date the |
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| 63 | 61 | | disaster occurred; the taxes on the property based on its |
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| 64 | 62 | | reappraised value are multiplied by a fraction, the denominator of |
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| 65 | 63 | | which is 365 and the numerator of which is the number of days, |
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| 66 | 64 | | including the date the disaster occurred, remaining in the year; |
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| 67 | 65 | | and the total of the two amounts is the amount of taxes on the |
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| 68 | 66 | | property for the year. |
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| 69 | 67 | | (e) The comptroller may adopt rules to implement and |
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| 70 | 68 | | administer this section. |
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| 71 | 69 | | SECTION 2. The change in law made by this Act applies only |
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| 72 | 70 | | to the reappraisal of property located in an area that is declared |
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| 73 | 71 | | to be a disaster area by the governor on or after the effective date |
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| 74 | 72 | | of this Act. The reappraisal of property located in an area that |
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| 75 | 73 | | was declared to be a disaster area by the governor before the |
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| 76 | 74 | | effective date of this Act is governed by the law as it existed |
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| 77 | 75 | | immediately before the effective date of this Act, and that law is |
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| 78 | 76 | | continued in effect for that purpose. |
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| 79 | 77 | | SECTION 3. This Act takes effect immediately if it receives |
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| 80 | 78 | | a vote of two-thirds of all the members elected to each house, as |
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| 81 | 79 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 82 | 80 | | Act does not receive the vote necessary for immediate effect, this |
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| 83 | 81 | | Act takes effect September 1, 2017. |
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