Focus Report, Volume 86, Number 3, August 2019 Page: 10
This periodical is part of the collection entitled: Texas State Publications and was provided to The Portal to Texas History by the UNT Libraries Government Documents Department.
Extracted Text
The following text was automatically extracted from the image on this page using optical character recognition software:
Page 10 House Research Organization
Critics say
Notes
Proposition 3 and its enabling legislation would
replace the current property reappraisal process after
a disaster with a mandatory property tax exemption,
possibly depriving local governments of necessary funds
and removing local discretion. When a city, county, or
special district experiences a disaster, it must continue
to provide essential services while recovering costs from
disaster response, such as damaged equipment and
employee overtime. By entitling property owners to a
tax exemption following a disaster, Proposition 3 could
prevent local governments from gaining adequate funds
to provide services and could be especially harmful to
governments with small budgets. If the Legislature would
like to replace the disaster reappraisal process with a
property tax exemption, it should allow rather than require
the exemption to give communities the ability to make
informed decisions based on their budgetary needs.
Other critics say
Proposition 3 would not go far enough to ensure
property tax relief for all taxpayers harmed by a disaster,
including disasters that occur after a tax rate is adopted.
Under the enabling legislation, HB 492, individuals would
not be entitled automatically to a property tax exemption
if the disaster was declared after the tax rate had already
been adopted. If the proposition were to pass and the
enabling legislation took effect, taxing units could, but
would not be required to, exempt property damaged by a
disaster after the date the rate was adopted.
Current law requires taxing units to adopt rates on
September 30 or 60 days after receiving the certified
appraisal roll, but the Atlantic hurricane season lasts from
June through November. Property damaged by storms
in October or November may not be entitled to relief
if the taxing unit decided not to adopt an exemption.
While this proposition is a step in the right direction, it
may not be a permanent solution. Rather than requiring
exemptions only for properties damaged by disasters that
occurred before the tax rate was set, all properties damaged
by a disaster should receive an automatic property tax
exemption, regardless of when the disaster occurred.Proposition 3's enabling legislation, HB 492 by Shine,
will take effect January 1, 2020, if voters approve the
proposed amendment. HB 492 would repeal the current
disaster reappraisal statute under Tax Code sec. 23.02 and
instead would exempt a person from taxation of a portion
of the appraised value of property damaged by a disaster.
The bill would specify the amount of the exemption based
on a damage assessment of the property, provide a timeline
for exemption claims, and allow property owners to appeal
damage assessments. If the governor declared a disaster
on or after the date the taxing unit adopted a tax rate, a
person would not be entitled to the exemption unless the
taxing unit decided to adopt such an exemption.Page 10
House Research Organization
Upcoming Pages
Here’s what’s next.
Search Inside
This issue can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Periodical.
Texas. Legislature. House of Representatives. Research Organization. Focus Report, Volume 86, Number 3, August 2019, periodical, August 27, 2019; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth1364417/m1/10/?q=%22~1~1%22~1: accessed July 16, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting UNT Libraries Government Documents Department.