Texas 2019 - 86th Regular

Texas House Bill HB1978 Compare Versions

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

Old	New	Differences
1	1	86R7331 LHC-D
2	2	By: Harris H.B. No. 1978
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the repeal of the additional ad valorem taxes imposed as
8	8	a result of certain changes in the use of agricultural or open-space
9	9	land.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 1.07(d), Tax Code, is amended to read as
12	12	follows:
13	13	(d) A notice required by Section 11.43(q), 11.45(d),
14	14	23.44(d), [23.46(c) or (f),] 23.54(e), 23.541(c), [23.55(e),]
15	15	23.551(a), 23.57(d), 23.76(e), 23.79(d), or 23.85(d) must be sent
16	16	by certified mail.
17	17	SECTION 2. Section 23.20(g), Tax Code, is amended to read as
18	18	follows:
19	19	(g) A waiver of a special appraisal of property under
20	20	Subchapter [C, D,] E, F, or G [of this chapter] does not constitute
21	21	a change of use of the property or diversion of the property to
22	22	another use for purposes of the imposition of additional taxes
23	23	under any of those subchapters.
24	24	SECTION 3. Subchapter C, Chapter 23, Tax Code, is amended by
25	25	adding Section 23.465 to read as follows:
26	26	Sec. 23.465. DETERMINATION OF CHANGE OF USE OF LAND. A
27	27	determination that the land has been diverted to a nonagricultural
28	28	use is made by the chief appraiser. For purposes of this section,
29	29	the chief appraiser may not consider any period during which land is
30	30	owned by the state in determining whether the land has been diverted
31	31	to a nonagricultural use. The chief appraiser shall deliver a
32	32	notice of the determination to the owner of the land as soon as
33	33	possible after making the determination and shall include in the
34	34	notice an explanation of the owner's right to protest the
35	35	determination.
36	36	SECTION 4. Section 23.52(e), Tax Code, is amended to read as
37	37	follows:
38	38	(e) The [For the purposes of Section 23.55 of this code,
39	39	the] chief appraiser [also] shall determine the market value of
40	40	qualified open-space land and shall record both the market value
41	41	and the appraised value in the appraisal records.
42	42	SECTION 5. Section 23.524(e), Tax Code, as added by Chapter
43	43	44 (S.B. 1459), Acts of the 85th Legislature, Regular Session,
44	44	2017, is amended to read as follows:
45	45	(e) Notwithstanding Subsection (b) or (c), the eligibility
46	46	of [For the purposes of this subchapter, a change of use of the]
47	47	land subject to this section for appraisal under this subchapter is
48	48	considered to have ended [occurred] on the day the period
49	49	prescribed by Subsection (c) begins if the owner has not fully
50	50	complied with the terms of the agreement described by Subsection
51	51	(b) on the date the agreement ends.
52	52	SECTION 6. Subchapter D, Chapter 23, Tax Code, is amended by
53	53	adding Section 23.545 to read as follows:
54	54	Sec. 23.545. DETERMINATION OF CHANGE OF USE OF LAND. A
55	55	determination that a change in use of the land has occurred is made
56	56	by the chief appraiser. The chief appraiser shall deliver a notice
57	57	of the determination to the owner of the land as soon as possible
58	58	after making the determination and shall include in the notice an
59	59	explanation of the owner's right to protest the determination.
60	60	SECTION 7. Sections 23.551(a) and (d), Tax Code, are
61	61	amended to read as follows:
62	62	(a) If land appraised as provided by this subchapter is
63	63	owned by an individual 65 years of age or older, before making a
64	64	determination that [a change in use of] the land is no longer
65	65	eligible for appraisal under this subchapter [has occurred], the
66	66	chief appraiser shall deliver a written notice to the owner stating
67	67	that the chief appraiser believes [a change in use of] the land may
68	68	no longer be eligible for appraisal under this subchapter [have
69	69	occurred].
70	70	(d) If the chief appraiser does not receive a response on or
71	71	before the 60th day after the date the notice is mailed, the chief
72	72	appraiser must make a reasonable effort to locate the owner and
73	73	determine whether the land remains eligible to be appraised as
74	74	provided by this subchapter before determining that [a change in
75	75	use of] the land is no longer eligible for appraisal under this
76	76	subchapter [has occurred].
77	77	SECTION 8. Sections 31.01(c) and (c-1), Tax Code, are
78	78	amended to read as follows:
79	79	(c) The tax bill or a separate statement accompanying the
80	80	tax bill shall:
81	81	(1) identify the property subject to the tax;
82	82	(2) state the appraised value, assessed value, and
83	83	taxable value of the property;
84	84	(3) if the property is land appraised as provided by
85	85	Subchapter [C, D,] E[,] or H, Chapter 23, state the market value and
86	86	the taxable value for purposes of deferred or additional taxation
87	87	as provided by Section [23.46, 23.55,] 23.76[,] or 23.9807, as
88	88	applicable;
89	89	(4) if the property is land appraised as provided by
90	90	Subchapter C or D, Chapter 23, state the market value of the land;
91	91	(5) state the assessment ratio for the unit;
92	92	(6) [(5)] state the type and amount of any partial
93	93	exemption applicable to the property, indicating whether it applies
94	94	to appraised or assessed value;
95	95	(7) [(6)] state the total tax rate for the unit;
96	96	(8) [(7)] state the amount of tax due, the due date,
97	97	and the delinquency date;
98	98	(9) [(8)] explain the payment option and discounts
99	99	provided by Sections 31.03 and 31.05, if available to the unit's
100	100	taxpayers, and state the date on which each of the discount periods
101	101	provided by Section 31.05 concludes, if the discounts are
102	102	available;
103	103	(10) [(9)] state the rates of penalty and interest
104	104	imposed for delinquent payment of the tax;
105	105	(11) [(10)] include the name and telephone number of
106	106	the assessor for the unit and, if different, of the collector for
107	107	the unit;
108	108	(12) [(11)] for real property, state for the current
109	109	tax year and each of the preceding five tax years:
110	110	(A) the appraised value and taxable value of the
111	111	property;
112	112	(B) the total tax rate for the unit;
113	113	(C) the amount of taxes imposed on the property
114	114	by the unit; and
115	115	(D) the difference, expressed as a percent
116	116	increase or decrease, as applicable, in the amount of taxes imposed
117	117	on the property by the unit compared to the amount imposed for the
118	118	preceding tax year; and
119	119	(13) [(12)] for real property, state the differences,
120	120	expressed as a percent increase or decrease, as applicable, in the
121	121	following for the current tax year as compared to the fifth tax year
122	122	before that tax year:
123	123	(A) the appraised value and taxable value of the
124	124	property;
125	125	(B) the total tax rate for the unit; and
126	126	(C) the amount of taxes imposed on the property
127	127	by the unit.
128	128	(c-1) If for any of the preceding six tax years any
129	129	information required by Subsection (c)(12) [(c)(11)] or (13) [(12)]
130	130	to be included in a tax bill or separate statement is unavailable,
131	131	the tax bill or statement must state that the information is not
132	132	available for that year.
133	133	SECTION 9. Section 60.022, Agriculture Code, is amended to
134	134	read as follows:
135	135	Sec. 60.022. CONTENTS OF PETITION. A petition filed under
136	136	Section 60.021 must:
137	137	(1) describe the boundaries of the proposed district
138	138	by metes and bounds or by lot and block number, if there is a
139	139	recorded map or plat and survey of the area;
140	140	(2) include a name for the proposed district, which
141	141	must include the term "Agricultural Development District";
142	142	(3) be signed by the landowners of any land to be
143	143	included within the proposed district and provide an acknowledgment
144	144	consistent with Section 121.001, Civil Practice and Remedies Code,
145	145	that the landowners desire the land to be included in the district;
146	146	(4) include the names of at least five persons who are
147	147	willing and qualified to serve as temporary directors of the
148	148	district;
149	149	(5) name each county in which any agricultural
150	150	facilities to be owned by the district are to be located;
151	151	(6) name each municipality in which any part of the
152	152	district is to be located;
153	153	(7) state the general nature of the proposed
154	154	development and the cost of the development as then estimated by the
155	155	petitioners;
156	156	(8) state the necessity and feasibility of the
157	157	proposed district and whether the district will serve the public
158	158	purpose of furthering agricultural interests;
159	159	(9) include a pledge that the district will make
160	160	payments in lieu of taxes to any school district and county in which
161	161	any real property to be owned by the district is located, in [as
162	162	follows:
163	163	[(A)] annual payments to each entity that are
164	164	equal to the amount of taxes imposed on the real property by the
165	165	entity in the year of the district's creation; and
166	166	[(B) a payment to each entity equal to the amount
167	167	that would be due under Section 23.55, Tax Code, on the district's
168	168	date of creation; and]
169	169	(10) include a pledge that, if the district employs
170	170	more than 50 persons, the district will make payments in lieu of
171	171	taxes to any school district, in addition to those made under
172	172	Subdivision (9), in an amount negotiated between the district and
173	173	the school district.
174	174	SECTION 10. Section 21.0421(e), Property Code, is amended
175	175	to read as follows:
176	176	(e) This section does not[:
177	177	[(1)] authorize groundwater rights appraised
178	178	separately from the real property under this section to be
179	179	appraised separately from real property for property tax appraisal
180	180	purposes[; or
181	181	[(2) subject real property condemned for the purpose
182	182	described by Subsection (a) to an additional tax as provided by
183	183	Section 23.46 or 23.55, Tax Code].
184	184	SECTION 11. The following provisions of the Tax Code are
185	185	repealed:
186	186	(1) Section 23.46;
187	187	(2) Sections 23.47(c) and (d);
188	188	(3) Section 23.55; and
189	189	(4) Sections 23.58(c) and (d).
190	190	SECTION 12. The repeal of Sections 23.46 and 23.55, Tax
191	191	Code, by this Act does not affect an additional tax imposed as a
192	192	result of a sale or diversion to a nonagricultural use of land
193	193	appraised under Subchapter C or a change of use of land appraised
194	194	under Subchapter D, Chapter 23, Tax Code, that occurred before the
195	195	effective date of this Act, and the former law is continued in
196	196	effect for purposes of that tax.
197	197	SECTION 13. This Act takes effect immediately if it
198	198	receives a vote of two-thirds of all the members elected to each
199	199	house, as provided by Section 39, Article III, Texas Constitution.
200	200	If this Act does not receive the vote necessary for immediate
201	201	effect, this Act takes effect September 1, 2019.