HBA-RBT S.B. 435 76(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 435
By: Carona
Ways & Means
4/27/1999
Engrossed



BACKGROUND AND PURPOSE 

Currently, Texas law requires the governing body of a political subdivision
to decide by May 1 whether to exempt from ad valorem taxation a percentage
of a market value of a residence homestead. For many of the governing
bodies the result of the May 1 adoption requirement is that they make this
decision before their fiscal year budgeting process begins. Moving the date
for adopting an exemption to later in the year will allow governing bodies
to consider more complete information when deciding whether to adopt an
optional homestead exemption. This bill would move the date for adopting
this exemption to July 1.  S.B. 435 establishes the deadline for the
adoption of an optional exemption from ad valorem taxation on residence
homesteads.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 11.13(n), Tax Code, to entitle a person a certain
tax exemption regarding the value of the person's residence homestead, if
that exemption is adopted by the governing body of the taxing unit before
July 1, rather than May 1, in the manner provided by law for official
action by the body.  

SECTION 2. Amends Section 25.23(a), Tax Code, to require the chief
appraiser to prepare supplemental appraisal records listing certain
conditions, including property that qualifies for an exemption under
Section 11.13(n) that was adopted by the governing body of a taxing unit
after the date the appraisal records were submitted. Makes conforming and
nonsubstantive changes.  

SECTION 3.  Emergency clause.
  Effective date: upon passage.