87S20550 SMH-D
By: Allison H.B. No. 158
A BILL TO BE ENTITLED
AN ACT
relating to a study of the desirability, feasibility, and effects
of various measures to limit or reduce the burden of ad valorem
taxes on property owners.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. DEFINITION. In this Act, "commission" means the
Commission to Study Measures to Limit or Reduce Ad Valorem Taxes.
SECTION 2. COMPOSITION OF COMMISSION. The commission is
composed of nine members as follows:
(1) the comptroller of public accounts;
(2) two chief appraisers appointed by the comptroller
of public accounts, one of whom is employed by an appraisal district
established in an urban county and one of whom is employed by an
appraisal district established in a rural county;
(3) two members of the senate appointed by the
lieutenant governor;
(4) two members of the house of representatives
appointed by the speaker of the house of representatives; and
(5) two public members appointed by the governor.
SECTION 3. PRESIDING OFFICER. The comptroller of public
accounts is the presiding officer of the commission.
SECTION 4. MEETINGS. The commission shall meet at the call
of the presiding officer of the commission.
SECTION 5. STAFF. The staff of the office of the
comptroller of public accounts shall serve as the staff of the
commission.
SECTION 6. COMPENSATION; REIMBURSEMENT FOR EXPENSES. A
commission member is not entitled to receive compensation for
service on the commission but is entitled to reimbursement for
actual and necessary expenses, including travel expenses, incurred
by the member in performing commission duties.
SECTION 7. STUDY. (a) The commission shall conduct a study
of the desirability, feasibility, and effects of various measures
to limit or reduce the burden of ad valorem taxes on property
owners, including:
(1) limiting the appraised value of real property for
ad valorem tax purposes to the value when the owner acquired the
property and determining that value on the basis of the purchase
price of the property, if applicable;
(2) lowering the limitation in current law on annual
increases in the appraised value of residence homesteads or
expanding the applicability of the limitation to include a broader
class of real property, such as residential real property
generally;
(3) providing for additional exemptions from ad
valorem taxation of all or part of the appraised value of certain
classes of property, including homes purchased by first-time
homebuyers;
(4) limiting the total amount of ad valorem taxes that
a taxing unit may impose on property that an individual has owned
for a specified period; and
(5) increasing the state's share of the cost of funding
public education.
(b) In studying implementing the measures described by
Subsection (a) of this section, the commission shall consider:
(1) the fairness of doing so;
(2) the effects of doing so on the overall tax burden
and the distribution of the tax burden;
(3) the effects of doing so on the real estate market;
and
(4) the statutory, constitutional, and administrative
changes that would be necessary to do so.
SECTION 8. REPORT. Not later than December 1, 2022, the
commission shall issue a report of the results of the study,
including any legislative recommendations, to the governor,
lieutenant governor, and speaker of the house of representatives.
SECTION 9. ABOLITION AND EXPIRATION. The commission is
abolished and this Act expires September 1, 2023.
SECTION 10. EFFECTIVE DATE. This Act takes effect
immediately if it receives a vote of two-thirds of all the members
elected to each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
immediate effect, this Act takes effect on the 91st day after the
last day of the legislative session.