HB291 - Relating to the appraisal of real property for ad valorem tax purposes.

  89R4511 DRS-D     By: Bell of Montgomery H.B. No. 291       A BILL TO BE ENTITLED   AN ACT   relating to the appraisal of real property for ad valorem tax   purposes.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  The heading to Subchapter C, Chapter 22, Tax   Code, is amended to read as follows:   SUBCHAPTER C. [ OTHER ] REPORTS OF POLITICAL SUBDIVISION ACTIONS          SECTION 2.  Chapter 22, Tax Code, is amended by adding   Subchapter D to read as follows:   SUBCHAPTER D. REPORT OF SALES PRICE           Sec.   22.61.     SALES PRICE DISCLOSURE REPORT. (a)   Except as   provided by Subsection (b), not later than the 10th day after the   date the deed is recorded in the county real property records, the   purchaser or grantee of real property under a recorded deed   conveying an interest in the real property shall file a sales price   disclosure report with the chief appraiser of the appraisal   district established for the county in which the property is   located.           (b)     This section does not apply to a sale or other transfer   of real property if the sale or other transfer is made:                 (1)  pursuant to a court order;                 (2)  to or from a trustee in bankruptcy;                 (3)     pursuant to a power of sale under a deed of trust   or other encumbrance secured by the property;                 (4)  by a deed in lieu of foreclosure;                 (5)  by one co-owner to one or more other co-owners;                 (6)     to a spouse or to a person or persons in the first   degree of lineal consanguinity of one or more of the sellers or   grantors;                 (7)     of an interest less than a full fee simple   interest; or                 (8)     to an entity having the power to acquire the   property by eminent domain.           (c)     A sales price disclosure report must be signed by the   purchaser or grantee of the real property described in the report.           Sec.   22.62.     REPORT FORM. (a)   A sales price disclosure   report filed under this subchapter must read as follows, with the   appropriate information included in the blanks:   SALES PRICE DISCLOSURE REPORT           Section 22.61, Tax Code, requires a purchaser or grantee   under a deed to prepare this report, sign it, and file it with the   chief appraiser of the appraisal district established for the   county in which the property is located not later than the third day   after the date the deed is recorded. This report is not required to   be filed if the sale or transfer is made:   (1) under a court order;   (2) to or from a trustee in bankruptcy; (3) under a deed of trust or   other encumbrance secured by the property; (4) by a deed in lieu of   foreclosure; (5) between co-owners; or (6) between spouses or   between family members in the first degree of lineal consanguinity.   Knowingly making a false statement on this form is grounds for   prosecution of a Class A misdemeanor or a state jail felony under   Section 37.10, Penal Code. The chief appraiser may not use the   information in this form as the sole basis on which to increase the   market value of the property.           Seller's or grantor's name:  ___________________           Purchaser's or grantee's name:  ________________           Purchaser's or grantee's address:  _____________           Property description (as stated in deed):  _____           Sales price or other consideration paid for the property:     ________           The method used to finance the sales price or consideration   was:   □   none (cash sale) □   cash and third-party financing □   cash   and seller financing □   exchange of other property □   other,   describe:   ______________________________________________________           Describe any unusual or extraordinary terms of the sale or   transfer that affected the amount of the sales price or   consideration:   _____________________________           Describe any other facts or circumstances that affected the   amount of the sales price or consideration: ______________________           To the best of my knowledge, this statement is true and   accurate.           Purchaser's or grantee's signature:  _______________           Date:  ____________           Return this form to:  ______________________________.           (b)     The appraisal district shall include at the end of the   form instructions for the filing of the form by mail, hand delivery,   or, if permitted by the chief appraiser, e-mail or other electronic   means.           (c)     Each appraisal district shall prepare and make   available sales price disclosure report forms that conform to the   requirements of this section. Except for instructions for the   filing of the form, no additional information may be required to be   included in a sales price disclosure report form.           (d)     Each county clerk's or combined county and district   clerk's office shall provide at no charge a sales price disclosure   report form to each grantee or agent of a grantee who appears in   person and tenders a deed to real property for recording. The sales   price disclosure form must be the form that is prepared and made   available by the appraisal district established for the county in   which the property is located.           (e)     At the end of a calendar month in which a deed to real   property has been recorded in the deed records of the county, the   county clerk or the combined county and district clerk shall   provide the appraisal district established for the county with a   copy of the grantee index or a report or list of deeds to real   property filed for recording in that month.           Sec.   22.63.     FILING AND RECEIPT OF REPORT. (a)   A purchaser   or grantee may file a sales price disclosure report with a chief   appraiser by mail, hand delivery, or e-mail or other electronic   means.           (b)     On receipt of the completed sales price disclosure   report, the chief appraiser shall provide to the purchaser or   grantee a written acknowledgement that the report has been   received. If the acknowledgement of receipt is mailed, the chief   appraiser shall mail it to the purchaser or grantee at the address   provided in the report.           Sec.   22.64.     PREPARATION OF REPORT; IMMUNITY FROM LIABILITY.   (a)   A sales price disclosure report must be prepared by the   purchaser or grantee of the property described in the report or by a   title insurance company, lender, real estate agent, or attorney.           (b)     A title insurance company, lender, real estate agent, or   attorney who prepares a sales price disclosure report is not liable   to any person for preparing the report or for any unintentional   errors or omissions in the report.           (c)     The applicable title insurance company, lender, real   estate agent, or attorney shall provide a sales price disclosure   report form and filing instructions to each purchaser or grantee of   real property unless the insurance company, lender, real estate   agent, or attorney prepares the disclosure report or has confirmed   that another person described by Subsection (a), other than the   purchaser or grantee, will prepare and file the disclosure report.           Sec.   22.65.     ACTION TO COMPEL COMPLIANCE. The chief   appraiser may bring an action for an injunction to compel a person   to comply with the requirements of this subchapter. If the court   finds that this subchapter applies and that the person has failed to   fully comply with its requirements, the court:                 (1)  shall order the person to comply; and                 (2)     may assess costs and reasonable attorney's fees   against the person.          SECTION 3.  Section 23.013, Tax Code, is amended by adding   Subsection (f) to read as follows:           (f)     The chief appraiser may use information contained in a   sales price disclosure report filed under Subchapter D, Chapter 22,   in determining the market value of real property but may not   increase the market value of the real property described in the   report solely on the basis of the information contained in the   report.          SECTION 4.  Section 41.43, Tax Code, is amended by amending   Subsections (a) and (a-2) and adding Subsection (a-6) to read as   follows:          (a)  Except as provided by Subsections (a-1), (a-3), (a-6),   and (d), in a protest authorized by Section 41.41(a)(1) or (2), the   appraisal district has the burden of establishing the value of the   property by a preponderance of the evidence presented at the   hearing. If the appraisal district fails to meet that standard, the   protest shall be determined in favor of the property owner.          (a-2)  To be valid, an appraisal filed under Subsection (a-1)   or (a-6) must be attested to before an officer authorized to   administer oaths and include:                (1)  the name and business address of the certified   appraiser;                (2)  a description of the property that was the subject   of the appraisal;                (3)  a statement that the appraised or market value of   the property:                      (A)  was, as applicable, the appraised or market   value of the property as of January 1 of the current tax year; and                      (B)  was determined using a method of appraisal   authorized or required by Chapter 23; and                (4)  a statement that the appraisal was performed in   accordance with the Uniform Standards of Professional Appraisal   Practice.           (a-6)     Notwithstanding Subsection (a-1), if in the protest   relating to a parcel of residential real property the property   owner files with the appraisal review board and, not later than the   14th day before the date of the first day of the hearing, delivers   to the chief appraiser a copy of an appraisal of the property   performed not later than the 180th day before the date of the first   day of the hearing by an appraiser certified under Chapter 1103,   Occupations Code, that supports the appraised or market value of   the property asserted by the property owner, the appraisal review   board shall:                 (1)     determine the protest in favor of the property   owner; and                 (2)     issue an order changing the property's appraised   or market value in the appraisal records to the value determined by   the appraisal of the property filed by the property owner.          SECTION 5.  Section 37.10(c)(4), Penal Code, is amended to   read as follows:                (4)  An offense under this section is a Class B   misdemeanor if it is shown on the trial of the offense that the   governmental record is a written appraisal filed with an appraisal   review board under Section 41.43(a-1) or (a-6) , Tax Code, [Text truncated for display. 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