Texas 2021 - 87th Regular

Texas House Bill HB1567 Compare Versions

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

Old	New	Differences
1	1	87R918 TJB-F
2	2	By: Middleton H.B. No. 1567
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the system for appraising property for ad valorem tax
8	8	purposes.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Sections 403.302(a) and (a-2), Government Code,
11	11	are amended to read as follows:
12	12	(a) Every two years, the [The] comptroller shall conduct a
13	13	study using comparable sales and generally accepted auditing and
14	14	sampling techniques to determine the total taxable value of all
15	15	property in each school district. The study shall determine the
16	16	taxable value of all property and of each category of property in
17	17	the district and the productivity value of all land that qualifies
18	18	for appraisal on the basis of its productive capacity and for which
19	19	the owner has applied for and received a productivity appraisal.
20	20	The comptroller shall make appropriate adjustments in the study to
21	21	account for actions taken under Chapter 49, Education Code.
22	22	(a-2) In a [If in any] year in which the comptroller does not
23	23	conduct a study for a school district, the taxable value of property
24	24	in the district is presumed to be:
25	25	(1) the [school] district's local value for that year
26	26	if the most recent study for the district resulted in a
27	27	determination by the comptroller that the district's local value
28	28	was:
29	29	(A) valid; or
30	30	(B) not valid and exceeded the comptroller's
31	31	value for the district; or
32	32	(2) the comptroller's value for the district from the
33	33	most recent study if the study resulted in a determination by the
34	34	comptroller that the district's local value was not valid and did
35	35	not exceed the comptroller's value [is considered to be valid].
36	36	SECTION 2. Section 5.10(a), Tax Code, is amended to read as
37	37	follows:
38	38	(a) Every [At least once every] two years, the comptroller
39	39	shall conduct a study in each appraisal district to determine the
40	40	degree of uniformity of and the median level of appraisals by the
41	41	appraisal district within each major category of property. The
42	42	comptroller shall publish a report of the findings of the study,
43	43	including in the report the median levels of appraisal for each
44	44	major category of property, the coefficient of dispersion around
45	45	the median level of appraisal for each major category of property,
46	46	and any other standard statistical measures that the comptroller
47	47	considers appropriate. In conducting the study, the comptroller
48	48	shall apply appropriate standard statistical analysis techniques
49	49	to data collected as part of the study of school district taxable
50	50	values required by Section 403.302, Government Code.
51	51	SECTION 3. Section 23.01, Tax Code, is amended by amending
52	52	Subsection (e) and adding Subsection (i) to read as follows:
53	53	(e) Notwithstanding any provision of this subchapter to the
54	54	contrary, if the appraised value of property in a tax year is
55	55	lowered under Subtitle F, the appraised value of the property as
56	56	finally determined under that subtitle is considered to be the
57	57	appraised value of the property for that tax year. In the next tax
58	58	year in which the property is appraised, the chief appraiser may not
59	59	increase the appraised value of the property unless the increase by
60	60	the chief appraiser is reasonably supported by clear and convincing
61	61	evidence when all of the reliable and probative evidence in the
62	62	record is considered as a whole. If the appraised value is finally
63	63	determined in a protest under Section 41.41(a)(2) or an appeal
64	64	under Section 42.26, the chief appraiser may satisfy the
65	65	requirement to reasonably support by clear and convincing evidence
66	66	an increase in the appraised value of the property in the next tax
67	67	year in which the property is appraised by presenting evidence
68	68	showing that the inequality in the appraisal of property has been
69	69	corrected with regard to the properties that were considered in
70	70	determining the value of the subject property. [The burden of
71	71	proof is on the chief appraiser to support an increase in the
72	72	appraised value of property under the circumstances described by
73	73	this subsection.]
74	74	(i) The chief appraiser has the burden of supporting an
75	75	increase in the appraised value of property from the preceding tax
76	76	year.
77	77	SECTION 4. Section 23.013(b), Tax Code, is amended to read
78	78	as follows:
79	79	(b) A sale is not considered to be a comparable sale unless
80	80	the sale occurred within 24 months of the date as of which the
81	81	market value of the subject property is to be determined[, except
82	82	that a sale that did not occur during that period may be considered
83	83	to be a comparable sale if enough comparable properties were not
84	84	sold during that period to constitute a representative sample].
85	85	SECTION 5. Section 25.18, Tax Code, is amended by amending
86	86	Subsection (b) and adding Subsections (b-1), (b-2), (b-3), and
87	87	(b-4) to read as follows:
88	88	(b) The plan shall provide for the following reappraisal
89	89	activities for all real and personal property in the district at
90	90	least once every three years, except as provided by Subsections
91	91	(b-1), (b-2), (b-3), and (b-4):
92	92	(1) identifying properties to be appraised through
93	93	physical inspection or by other reliable means of identification,
94	94	including deeds or other legal documentation, aerial photographs,
95	95	land-based photographs, surveys, maps, and property sketches;
96	96	(2) identifying and updating relevant characteristics
97	97	of each property in the appraisal records;
98	98	(3) defining market areas in the district;
99	99	(4) identifying property characteristics that affect
100	100	property value in each market area, including:
101	101	(A) the location and market area of property;
102	102	(B) physical attributes of property, such as
103	103	size, age, and condition;
104	104	(C) legal and economic attributes; and
105	105	(D) easements, covenants, leases, reservations,
106	106	contracts, declarations, special assessments, ordinances, or legal
107	107	restrictions;
108	108	(5) developing an appraisal model that reflects the
109	109	relationship among the property characteristics affecting value in
110	110	each market area and determines the contribution of individual
111	111	property characteristics;
112	112	(6) applying the conclusions reflected in the model to
113	113	the characteristics of the properties being appraised; and
114	114	(7) reviewing the appraisal results to determine
115	115	value.
116	116	(b-1) The plan shall provide for the reappraisal of all real
117	117	and personal property in the district not more often than once every
118	118	two years.
119	119	(b-2) Notwithstanding Subsection (b-1), at any time during
120	120	a tax year before the date the chief appraiser submits the completed
121	121	appraisal records to the appraisal review board under Section
122	122	25.22, an owner of real or personal property is entitled to a
123	123	reappraisal of the owner's property for that year on written
124	124	request delivered to the chief appraiser.
125	125	(b-3) Notwithstanding Subsection (b-1), the plan must allow
126	126	the chief appraiser, for a tax year in which real property is not
127	127	reappraised, to add to the market value of the property the amount
128	128	of any increase in the value of the property attributable to an
129	129	improvement to the property made during the preceding tax year.
130	130	(b-4) Subsection (b-1) does not apply to the appraisal of a
131	131	residence homestead in the tax year in which a limitation on
132	132	appraised value under Section 23.23(a) expires.
133	133	SECTION 6. Section 403.302(a-1), Government Code, is
134	134	repealed.
135	135	SECTION 7. The changes in law made by this Act to Sections
136	136	23.01, 23.013, and 25.18, Tax Code, apply only to the appraisal of
137	137	property for a tax year beginning on or after the effective date of
138	138	this Act.
139	139	SECTION 8. This Act takes effect immediately if it receives
140	140	a vote of two-thirds of all the members elected to each house, as
141	141	provided by Section 39, Article III, Texas Constitution. If this
142	142	Act does not receive the vote necessary for immediate effect, this
143	143	Act takes effect September 1, 2021.