By: Geren H.B. No. 2488
A BILL TO BE ENTITLED
AN ACT
relating to the burden of proof in a trial de novo appeal of the
appraised value of property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 42.23, Property Tax Code, is amended by
adding subsection (i) to read as follows:
Sec. 42.23. SCOPE OF REVIEW. (a) Review is by trial de
novo. The district court shall try all issues of fact and law raised
by the pleadings in the manner applicable to civil suits generally.
(b) The court may not admit in evidence the fact of prior
action by the appraisal review board or comptroller, except to the
extent necessary to establish its jurisdiction.
(c) Any party is entitled to trial by jury on demand.
(d) Each party to an appeal is considered a party seeking
affirmative relief for the purpose of discovery regarding expert
witnesses under the Texas Rules of Civil Procedure if, on or before
the 120th day after the date the appeal is filed, the property
owner:
(1) makes a written offer of settlement;
(2) requests alternative dispute resolution; and
(3) designates, in response to an appropriate written
discovery request, which cause of action under this chapter is the
basis for the appeal.
(e) For purposes of Subsection (d), a property owner may
designate a cause of action under Section 42.25 or 42.26 as the
basis for an appeal, but may not designate a cause of action under
both sections as the basis for the appeal. Discovery regarding a
cause of action that is not specifically designated by the property
owner under Subsection (d) shall be conducted as provided by the
Texas Rules of Civil Procedure. A court may not enter an order,
including a protective order under Rule 192.6 of the Texas Rules of
Civil Procedure, that conflicts with Subsection (d).
(f) For purposes of a no-evidence motion for summary
judgment filed by a party to an appeal under this chapter, the offer
of evidence, including an affidavit or testimony, by any person,
including the appraisal district, the property owner, or the
owner's agent, that was presented at the hearing on the protest
before the appraisal review board constitutes sufficient evidence
to deny the motion.
(g) For the sole purpose of admitting expert testimony to
determine the value of chemical processing property or utility
property in an appeal brought under this chapter and for no other
purpose under this title, including the rendition of property under
Chapter 22, the property is considered to be personal property.
(h) Evidence, argument, or other testimony offered at an
appraisal review board hearing by a property owner or agent is not
admissible in an appeal under this chapter unless:
(1) the evidence, argument, or other testimony is
offered to demonstrate that there is sufficient evidence to deny a
no-evidence motion for summary judgment filed by a party to the
appeal or is necessary for the determination of the merits of a
motion for summary judgment filed on another ground;
(2) the property owner or agent is designated as a
witness for purposes of trial and the testimony offered at the
appraisal review board hearing is offered for impeachment purposes;
or
(3) the evidence is the plaintiff's testimony at the
appraisal review board hearing as to the value of the property.
(i) In a trial de novo appeal brought under this Chapter
involving circumstances described in either Section 23.01(e) or
41.43(a-3) the burden of proof is on the chief appraiser and the
appraisal district to support an increase in the appraised value of
property as provided in sections 23.01(e) or 41.43(a-3), whichever
is applicable.
SECTION 2. Section 23.01(e), Property Tax Code, is amended
to read as follows:
(e) Notwithstanding any provision of this subchapter to the
contrary, if the appraised value of property in a tax year is
lowered under Subtitle F, the appraised value of the property as
finally determined under that subtitle is considered to be the
appraised value of the property for that tax year. In the next tax
year in which the property is appraised, the chief appraiser or
appraisal review board may not increase the appraised value of the
property unless the increase by the chief appraiser is reasonably
supported by clear and convincing evidence when all of the reliable
and probative evidence in the record is considered as a whole. If
the appraised value is finally determined in a protest under
Section 41.41(a)(2) or an appeal under Section 42.26, the chief
appraiser may satisfy the requirement to reasonably support by
clear and convincing evidence an increase in the appraised value of
the property in the next tax year in which the property is appraised
by presenting evidence showing that the inequality in the appraisal
of property has been corrected with regard to the properties that
were considered in determining the value of the subject property.
The burden of proof is on the chief appraiser to support an increase
in the appraised value of property under the circumstances
described by this subsection.
SECTION 3. 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 September 1, 2023.