Bill Text: TX HB2078 | 2011-2012 | 82nd Legislature | Engrossed

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Bill Title: Relating to the independence of appraisal review boards and the enforcement of appraisal review board orders; changing the elements of an offense.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2011-05-12 - Referred to Finance [HB2078 Detail]

Download: Texas-2011-HB2078-Engrossed.html

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By: Villarreal H.B. No. 2078

A BILL TO BE ENTITLED
AN ACT
relating to the independence of appraisal review boards and the
enforcement of appraisal review board orders; changing the elements
of an offense.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 5.041, Tax Code, is amended by amending
Subsections (c), (e-1), and (e-3) and adding Subsections (g) and
(h) to read as follows:
(c) The comptroller may contract with service providers to
assist with the duties imposed under Subsection (a), but the course
required may not be provided by an appraisal district, the chief
appraiser or another employee of an appraisal district, a member of
the board of directors of an appraisal district, a member of an
appraisal review board, or a taxing unit. The comptroller may
assess a fee to recover a portion of the costs incurred for the
training course, but the fee may not exceed $50 per person trained.
(e-1) In addition to the course established under
Subsection (a), the comptroller shall approve curricula and provide
materials for use in a continuing education course for members of an
appraisal review board. The curricula and materials must include
information regarding:
(1) the cost, income, and market data comparison
methods of appraising property;
(2) the appraisal of business personal property;
(3) the determination of capitalization rates for
property appraisal purposes;
(4) the duties of an appraisal review board;
(5) the requirements regarding the independence of an
appraisal review board from the board of directors and the chief
appraiser and other employees of the appraisal district;
(6) the prohibitions against ex parte communications
applicable to appraisal review board members;
(7) the Uniform Standards of Professional Appraisal
Practice;
(8) the duty of the appraisal district to substantiate
the district's determination of the value of property;
(9) the requirements regarding the equal and uniform
appraisal of property;
(10) the right of a property owner to protest the
appraisal of the property as provided by Chapter 41; and
(11) a detailed explanation of each of the actions
described by Sections 25.25, 41.41(a), 41.411, 41.412, 41.413,
41.42, and 41.43 so that members are fully aware of each of the
grounds on which a property appraisal can be appealed.
(e-3) The comptroller may contract with service providers
to assist with the duties imposed under Subsection (e-1), but the
course required by that subsection may not be provided by an
appraisal district, the chief appraiser or another employee of an
appraisal district, a member of the board of directors of an
appraisal district, a member of an appraisal review board, or a
taxing unit. The comptroller may assess a fee to recover a portion
of the costs incurred for the continuing education course, but the
fee may not exceed $50 for each person trained.
(g) Except as provided by Subsection (h) and Section
6.411(c-1), the following persons may not communicate with a member
of an appraisal review board about a course provided under this
section or any matter presented or discussed during the course:
(1) the chief appraiser of the appraisal district for
which the appraisal review board is established;
(2) another employee of the appraisal district for
which the appraisal review board is established;
(3) a member of the board of directors of the appraisal
district for which the appraisal review board is established;
(4) an officer or employee of a taxing unit that
participates in the appraisal district for which the appraisal
review board is established; and
(5) an attorney who represents or whose law firm
represents the appraisal district or a taxing unit that
participates in the appraisal district for which the appraisal
review board is established.
(h) An appraisal review board may retain an appraiser
certified by the Texas Appraiser Licensing and Certification Board
to instruct the members of the appraisal review board on valuation
methodology if the appraisal district provides for the instruction
in the district's budget.
SECTION 2. Sections 6.411(a), (b), and (c-1), Tax Code, are
amended to read as follows:
(a) A member of an appraisal review board commits an offense
if the member communicates with the chief appraiser or another
employee or a member of the board of directors of the [an] appraisal
district for which the appraisal review board is established in
violation of Section 41.66(f).
(b) A chief appraiser or another employee of an appraisal
district, a member of a board of directors of an appraisal district,
or a property tax consultant or attorney representing a party to a
proceeding before the appraisal review board commits an offense if
the person [chief appraiser or other employee] communicates with a
member of the appraisal review board established for the appraisal
district with the intent to influence a decision by the member in
the member's capacity as a member of the appraisal review board [in
a circumstance in which the appraisal review board member is
prohibited by Section 41.66(f) from communicating with the chief
appraiser or other employee].
(c-1) This section does not apply to communications
involving the chief appraiser or another employee or a member of the
board of directors of an appraisal district and a member of the
appraisal review board:
(1) that constitute social conversation;
(2) that are specifically limited to and involve
administrative, clerical, or logistical matters related to the
scheduling and operation of hearings, the processing of documents,
the issuance of orders, notices, and subpoenas, and the operation,
appointment, composition, or attendance at training of the
appraisal review board; or
(3) that are necessary and appropriate to enable the
board of directors of the appraisal district to determine whether
to appoint, reappoint, or remove a person as a member or the
chairman or secretary of the appraisal review board.
SECTION 3. Section 6.412(a), Tax Code, is amended to read as
follows:
(a) An individual is ineligible to serve on an appraisal
review board if the individual:
(1) is related within the second degree by
consanguinity or affinity, as determined under Chapter 573,
Government Code, to an individual who is engaged in the business of
appraising property for compensation for use in proceedings under
this title or of representing property owners for compensation in
proceedings under this title in the appraisal district for which
the appraisal review board is established; [or]
(2) owns property on which delinquent taxes have been
owed to a taxing unit for more than 60 days after the date the
individual knew or should have known of the delinquency unless:
(A) the delinquent taxes and any penalties and
interest are being paid under an installment payment agreement
under Section 33.02; or
(B) a suit to collect the delinquent taxes is
deferred or abated under Section 33.06 or 33.065; or
(3) is related within the third degree by
consanguinity or within the second degree by affinity, as
determined under Chapter 573, Government Code, to a member of the
appraisal district's board of directors.
SECTION 4. Section 6.43, Tax Code, is amended to read as
follows:
Sec. 6.43. PERSONNEL. (a) The appraisal review board may
employ legal counsel as provided by the district budget or use the
services of the county attorney [and may use the staff of the
appraisal office for clerical assistance].
(b) Except as provided by Subsection (c), an attorney may
not serve as legal counsel for the appraisal review board if the
attorney or a member of the attorney's law firm has during the year
before the date of the appraisal review board's hiring of the
attorney represented a property owner who owns property in the
appraisal district, a taxing unit that participates in the
appraisal district, or the appraisal district in a matter addressed
by Section 1.111 or 25.25 of this code, Subtitle E or F of this
title, or Subchapter Z, Chapter 2003, Government Code.
(c) The county attorney for the county in which the
appraisal district is established may provide legal services to the
appraisal review board notwithstanding that the county attorney or
an assistant to the county attorney represents or has represented
the appraisal district or a taxing unit that participates in the
appraisal district in any matter.
(d) An attorney who serves as legal counsel for an appraisal
review board may not act as an advocate in a hearing or proceeding
conducted by the board. The attorney may provide advice to the board
or a panel of the board during a hearing or proceeding and shall
disclose to the board all legal authority in the controlling
jurisdiction known to the attorney to be relevant to the matter and
not disclosed by the parties. The attorney shall disclose to the
board a material fact that may assist the board or panel in making
an informed decision regardless of whether the fact is adverse to
the position of a party.
(e) An appraisal district may specify in its budget whether
the appraisal review board may employ legal counsel or must use the
services of the county attorney. If the budget authorizes the board
to employ legal counsel, the budget must provide for reasonable
compensation to be paid to the attorney serving as legal counsel. An
appraisal district may not require the board to employ a specific
attorney as legal counsel.
(f) The appraisal office may provide clerical assistance to
the appraisal review board, including assisting the board with the
scheduling and arranging of hearings.
SECTION 5. Section 41.08, Tax Code, is amended to read as
follows:
Sec. 41.08. CORRECTION OF RECORDS ON ORDER OF BOARD. The
chief appraiser shall make the reappraisals or other corrections of
the appraisal records ordered by the appraisal review board as
provided by this subchapter. The chief appraiser may not change a
reappraisal or other correction ordered by the board. The chief
appraiser shall submit a copy of the corrected records to the board
for its approval as promptly as practicable.
SECTION 6. Section 42.21(b), Tax Code, is amended to read as
follows:
(b) A petition for review brought under Section 42.02 must
be brought against the owner of the property involved in the appeal.
A petition for review brought under Section 42.031 must be brought
against the appraisal district and against the owner of the
property involved in the appeal. A petition for review brought
under Subdivision (2) [or (3)] of Section 42.01 or under Section
42.03 must be brought against the comptroller. Any other petition
for review under this chapter must be brought against the appraisal
district. A petition for review may [is] not [required to] be
brought against the appraisal review board[, but may be brought
against the appraisal review board in addition to any other
required party, if appropriate]. An appraisal district may hire an
attorney that represents the district to represent the appraisal
review board established for the district to file an answer and
obtain a dismissal of a suit filed against the appraisal review
board in violation of this subsection.
SECTION 7. The changes in law made by this Act to Section
6.411, Tax Code, apply only to an offense committed on or after the
effective date of this Act. An offense committed before the
effective date of this Act is governed by the law in effect on the
date the offense was committed, and the former law is continued in
effect for that purpose. For purposes of this section, an offense
was committed before the effective date of this Act if any element
of the offense occurred before that date.
SECTION 8. This Act takes effect September 1, 2011.