Texas Bills Filed For 2017

2017 Legislative Update; Page 1
Bills Filed for the 2017 Regular Session
of the 85th
Texas Legislature
March 30, 2017
By Robert Mott, Chris Jackson, Adam Walker & Debbie Wheeler
Perdue Brandon Fielder Collins & Mott, LLP
Perdue Brandon tracks legislation filed during the 85th Texas Legislature, Regular Session. Pre-filing of bills
began November 14, 2016. The last day of the session is May 29, 2017. Filing deadline was Friday, March 10.
Organized by subject matter, each bill includes a short summary, proposed effective date and current bill status.
All references to section numbers are to the Texas Property Tax Code, unless otherwise indicated. Some bills are
listed several times because they address multiple subjects. Check Perdue Brandon’s website at www.pbfcm.com
for updates. Updates from the last issue are highlighted in gray.
Table of Contents Page
Appraisal District (CAD) Administration 1
Appraisal ………………………………… 9
Renditions …………………………….….. 13
Exemptions ………………………………. 13
Special Valuation ………………………... 25
Appraisal Review Board (ARB) ………… 30
Appraisal District Litigation ……………. 37
Assessment & Truth-in-Taxation ………. 42
Tax Collections …………………………… 53
Delinquent Tax Litigation ………………. 56
County Tax Assessor-Collectors …….….. 60
School Finance …………………………... 61
Special & Miscellaneous ……………….... 66
Open Meetings, Chapter 551 ……………. 72
Open Records, Chapter 552 ………….…. 73
Other Codes and Statutes …………….…. 76
Appraisal District Administration
CAD BOARD MEMBERS MUST BE ELECTED
OFFICIALS OF LOCAL GOVERNMENTS;
ADVISORY BOARD CREATED AT
COMPTROLLER’S OFFICE; APPRAISAL
NOTICES SENT EARLIER
The Property Tax Reform and Relief Act of 2017
SB 2 Bettencourt; similar HB 934 Zerwas
Adds 5.01; amends 5.05, 5.102, 5.13, 6.03, 6.035,
6.15, 25.19; amends Government Code 403.302
CAD Board of Directors
The substitute bill retains the current law on members
of the appraisal district’s board of directors. The
substitute removes the change in the original filed bill
that a director be an elected county officer, member
of the governing body or an elected official of a local
government located in all or part of the CAD.
An individual who has been engaged in appraising
property for compensation for property tax matters or
representing property owners for property tax matters
may not serve on the CAD Board at any time during
the preceding three years. Current law is preceding
five years.
A CAD director may transmit to the chief appraiser
without comment a complaint by a property owner or
taxing unit about the appraisal of a specific property,
provided that the transmission is in writing, and will
not be considered an ex parte communication subject
to penalty.
State Administration
A minimum six-member Property Tax
Administration Advisory Board will be created to
improve the effectiveness and efficiency of the
property tax system, best practices and complaint
resolution. The Advisory Board will consist of
representatives of property owners, appraisal
districts, school districts and a person who has
knowledge or experience with ratio studies. The
Comptroller appoints the members. Any advice to the
Comptroller provided by a member of the Board must
be provided at a meeting called by the Comptroller.
Government Code Chapter 2110 does not apply to the
Advisory Board.

Notices of Appraised Value
Appraisal districts would send all notices of appraised
value by April 15, rather than April 1 or May 1. The
distinction between homestead notices and other
notices is eliminated. In counties of 120,000
population or more, the notices for commercial,
utility, industrial and multifamily properties must
include a notice that the owner may request a hearing
before a special panel for that category of property.
For more analysis of these bills, see also Appraisal,
Rendition, Exemption, Appraisal Review Board,
Appraisal District Litigation, Assessment and Truth in
Taxation sections.
Proposed Effective: 1/1/2018; however, a board
member who is not an elected official may complete
his or her term on the board of directors. SB 2 has
notices with required language relating to protests
before a special panel will become effective 1/1/2019.
HB 934 has the effective date for the notices as
9/1/2018.
Status: SB 2 substitute passed Senate 3/21/17, with
four floor amendments, and received in House
3/22/17. HB 934 referred to House Ways & Means
2/21/17.
CHIEF APPRAISER ELECTED BY COUNTY
VOTERS
HB 85 Keough
Amends 1.15, 5.041, 5.042, 6.035, 6.05, 6.41, 6.411,
22.28, 42.21; adds 6.0502; repeals 5.042(c) and
6.0501; amends Election Code 52.092; amends Local
Government Code 87.041; amends Occupations Code
1151.164
The bill provides that the chief appraiser be elected at
the general election for state and county officers by
county voters. The chief appraiser would serve a two-
year term beginning January 1 of odd-numbered
years. The chief appraiser must be a resident of the
county and have resided in the county for at least four
years preceding taking office. The requirement for a
person to hold certain designation(s), such as the
Registered Professional Appraiser (RPA), is
removed. The filing fee would be $1,250 for a county
with a population of 200,000 or more and $750 for a
county with a population less than 200,000. The
candidate’s name appears as an independent. The
newly-elected chief appraiser must complete the chief
appraiser training course required by the Texas
Department of Licensing and Regulation (TDLR).
The chief appraiser may be removed for
“incompetency” for failing to complete the required
training within one year of election. Prior to the bill’s
effective date, the CAD board appoints the chief
appraiser to serve until the elected person takes office
for the term that begins January 1, 2019. The CAD
board of directors may contract with another CAD to
perform the duties of the appraisal office but not with
a taxing unit. After the bill’s effective date, the
commissioners court fills a vacancy in this position.
Proposed Effective: 9/1/2017.
Status: Referred to House Ways & Means 2/13/17.
OPERATOR OF MINERAL LEASE MAY NOT BE
REQUIRED TO PROVIDE LISTING OF
OWNERSHIP OF INTERESTS IN LEASE
HB 119 Craddick; SB 676 Seliger
Amends 25.12
The bills state that chief appraisers are to determine
the ownership of mineral interests from duly filed and
recorded instruments of title. A chief appraiser may
not require the operator of a lease to provide
ownership information by listing the property in the
name of the operator if the information is not
provided.
Status: HB 119 referred to House Ways & Means
2/13/17. SB 676 referred to Senate Finance 2/15/17.
SPOUSES AND CHILDREN OF PEACE OFFICER
EXEMPT FROM DISCLOSING HOME ADDRESS
HB 457 Holland
Amends 25.025
The bill adds the spouse or surviving spouse and the
adult child of a peace officer to those who are exempt
from disclosure of their home address.
Proposed Effective: Immediately if passed by two-
thirds of both houses; otherwise, 9/1/2017.
Status: Substitute reported from House Ways &
Means 3/20/17 and recommended for
Local/Consent Calendar.
APPRAISAL DISTRICT DIRECTORS ELECTED
ALONG WITH MORE CHANGES
HB 495 Phelan; HB 2265 Munoz
Amends 5.12, 6.03, 6.051, 6.06, 6.061, 6.063, 6.15
Appraisal district directors are to be elected in each
commissioner’s precinct. If the county tax assessor-

collector collects taxes, he or she will remain a
director. If county tax assessor-collector does not, a
county-wide position is elected. Candidates must
reside in the appraisal district at least two years prior
to taking office. Elections will be during the general
election for state and county officers. The director
will serve two-year terms beginning on January 1 of
odd-numbered years.
Three-fourths of the taxing units consisting of the
county, school districts, cities and junior college
districts must approve the purchase of a building by
the appraisal district. This same group of entities also
exercises the veto of the CAD budget, changes the
fiscal year, changes the methods of financing or
changes the allocation of appraisal district costs. The
presiding officers of these same groups are also
entitled to reports of district audits.
Either a majority of all taxing units or a majority of
the group of school districts, cities, junior colleges
and the county may request an audit of the appraisal
district.
2/16/17. HB 2265 referred to House Ways &
Means 3/15/17.
CHILD PROTECTIVE CASEWORKER OR
INVESTIGATOR MAY REQUEST HOME
ADDRESS EXEMPT FROM DISCLOSURE
HB 39 Wu; similar HB 703 Wu
Amends 25.025
The bills add a current or former child protective
services caseworker or investigator for the
Department of Family and Protective Services to the
list that may request their home address be exempt
from disclosure. HB 39 also adds a department
contractor performing these functions on behalf of the
Department.
Proposed Effective: HB 703 immediately if passed by
two-thirds of both houses; otherwise, 9/1/2017. HB
39 effective 9/1/2017.
Status: HB 703 referred to House Human Services
2/20/17. HB 39 filed 3/10/17, referred to House
Human Services 3/15/17 and left pending 3/20/17.
CURRENT AND FORMER PROSECUTORS
REQUEST HOME ADDRESS CONFIDENTIAL
HB 1278 Dutton
Amends 25.025; amends Government Code 552.117,
552.1175
The bill adds a current or former district attorney,
criminal district attorney or a county or municipal
attorney whose jurisdiction includes any criminal law
or child protective service matters to the list that may
request their home address be exempt from
disclosure.
Status: Scheduled for hearing in House
Government Transparency & Operation 4/3/17.
FIREFIGHTERS AND EMS PERSONNEL ADDED
TO LIST WHO MAY REQUEST HOME
ADDRESS CONFIDENTIAL
HB 1919 Raymond
Amends 25.025 and amends other codes
The bill provides that the home address information
of a current or former firefighter or current or former
EMS personnel may be exempt from disclosure in the
appraisal records at the written request of the
homeowner.
Status: Referred to House Criminal
Jurisprudence 3/13/17.
COMPTROLLER PROHIBITED FROM POSTING
ON WEBSITE HOTEL OCCUPANCY TAX
INFORMATION BY HOTEL
HB 1924 Elkins
Adds 156.155
The bill adds that a state agency (Comptroller) may
not post on a public website information that
identifies the taxable receipts of an individual
business contained in a document required to be
provided to the agency. Information that is collected
or maintained by a state agency is public information
under Government Code Section 552.002 and provide
access in the manner provided by Chapter 552, Open
Records Act.
Status: Re-referred to House Government
Transportation & Operations 3/30/17.

CAD BUDGET REQUIRES VOTING TAXING
UNIT APPROVAL ACTION
HB 2868 Hefner
Amends 6.037, 6.06, 6.062
The bill changes the CAD budget process to require
that the CAD board of directors approve a proposed
budget before September 15 and submit to each taxing
unit entitled to vote on director appointments for final
approval. Not later than 30 days after the CAD board
submits the proposed budget to the voting units, the
governing body of each unit shall vote to approve or
disapprove the proposed budget. The budget does not
take effect unless a majority of the voting taxing units
approve by that date. If the budget is not approved by
that date, the CAD board shall adopt a new proposed
budget to submit to each voting unit within 30 days.
The public notice of the proposed budget includes
language about this new approval process.
Proposed Effective: 9/1/2017; if proposed budget
hearing is held before this date, the former law
continues.
ARB REQUIREMENTS AND PROTEST
PROCEDURES CHANGES; OFFICE OF LOCAL
PROPERTY TAX OMBUDSMAN CREATED
HB 3168 Geren
Designates Secs. 5.03 through 5.16 as Subchapter A
and adds Subchapter B to Ch. 5, adds 6.425; amends
5.041, 6.41, 6.412, 6.42, 25.19, 25.25(d), 41.03,
41.11, 41.44, 41.45, 41.66, 41.71, 41A.01, 41A.03,
41A.06, 42.01, 42.21, 42.29
ARB EDUCATION
This bill requires the Comptroller to consult with
property owners, tax agents and chief appraisers in
drafting the ARB Manual and adds requirements
regarding content of ARB education. Further, it
requires the ARB to comply with procedural
requirements in the ARB Manual.
OFFICE OF LOCAL PROPERTY TAX
OMBUDSMAN
This bill creates the Office of Local Property Tax
Ombudsman (LPTO) in the Comptroller’s office. The
LPTO’s duty is to hear complaints involving alleged
violations of procedural requirements regarding
activities of an appraisal district, ARB, chief appraiser
or an ARB member. The bill sets forth the LPTO’s
qualifications, duties and procedural requirements.
ARB SELECTION AND OPERATION
The bill changes the minimum population threshold
whereby the administrative district judge is required
to appoint ARB members from 120,000 to 75,000. It
changes the population requirement from 100,000 to
120,000 regarding the eligibility to serve on an ARB
found in Section 6.412 and disallows service if the
person has served all or part of three previous terms;
requires the ARB rather than the appraisal district
board to select the ARB chair and secretary; requires
the Comptroller to determine and pay ARB members
a per diem, from funds assessed to the CAD;
establishes a special ARB panel, with specific
qualifications of those on the panel, to hear five types
of complex appraisal protests.
APPRAISAL NOTICES
The date of mailing all appraisal notices changes to
April 1, or a soon thereafter as practicable. The chief
appraiser in a county of 120,000 or more includes on
the appraisal notice if the property is one of the five
types of complex properties eligible for review by the
special ARB panel.
PROTESTS AND CHALLENGES
The bill clarifies a property owner’s ability to file a
25.25(d) motion regarding unequal appraisal in
addition to excessive appraisal; removes a taxing
unit’s ability to challenge the level of appraisals of
any category of property in the CAD; changes the
protest deadline from May 1 to before June 1; requires
an ARB to provide for hearings on Saturdays and after
5 p.m. on weekdays and prohibits a first hearing on a
weekday after 7 p.m. or on Sundays.
BINDING ARBITRATION
The bill allows for a property owner to request
binding arbitration on a denial of a 25.25 motion and
extends the deadline to file from 45 to 60 days. For
the arbitration of non-residential homestead property
valued at more than $3,000,000 but less than
$5,000,000, the arbitration fee is $1,250.
APPRAISAL DISTRICT LITIGATION
The bill allows for the appeal of an ARB
determination on a procedural issue involving Section
25.25 of a Chapter 41 protest. The property owner

recovers attorney’s fees if the owner prevails on the
merits of appealing the procedural issue.
See also Appraisal Review Board and Appraisal
District Litigation.
Proposed Effective: 1/1/2018, with some sections
effective 9/1/2018.
FEDERAL OR STATE JUDGE’S HOME
ADDRESS AUTOMATICALLY EXEMPT FROM
DISCLOSURE
SB 42 Zaffirini; HB 1487 Smithee
Amends 25.025
These bills provide that the home address information
of a federal or state judge, or their spouses, is
automatically confidential and exempt from
disclosure in the appraisal records, beginning on the
date that the judge qualifies for office. The judge or
spouse no longer must request the exemption from
disclosure by form. SB 42 substitute requires the
Office of Court Administration to notify the appraisal
district of the judge’s qualification for the judge’s
office.
Status: SB 42 substitute reported from Senate
State Affairs 3/30/17 and placed on Senate Intent
Calendar 4/3/17. HB 1487 left pending in House
Judiciary & Civil Jurisprudence 3/14/17.
MORE INDIVIDUALS MAY REQUEST HOME
ADDRESS EXEMPT FROM DISCLOSURE
SB 256 Taylor; HB 2222 Hunter
Amends 25.025
These bills revise the procedures for keeping the
home address confidential and not open to public
disclosure for an individual, the individual’s child or
another person in the household who is a victim of
family violence, if the individual provides a copy of a
protective order, magistrate’s order for emergency
protection or other independent document that shows
they are a victim of family violence. The bills add two
other types of individuals that may request their home
address be kept confidential: a person who is a victim
of sexual abuse or victim of assault, stalking or
trafficking by providing these same type of
documents, or a participant in the address
confidentiality program by attorney general’s office.
Status: SB 256, with one floor amendment, passed
Senate 3/29/17 and received in House 3/30/17. HB
2222 referred to House Criminal Jurisprudence
3/21/17.
HOME ADDRESS OF CURRENT OR FORMER
EMPLOYEE OF STATE JUDGE EXEMPT FROM
DISCLOSURE
SB 510 Zaffirini; HB 2106 Smithee
Amends 25.025
SB 510 substitute provides that the home address
information of a current or former employee of a
federal judge or state judge may be exempt from
disclosure in the appraisal records at the written
request of the homeowner. SB 2106 only addresses a
state judge.
Status: SB 510 substitute placed on Senate Local
Calendar 4/3/17. HB 2106 referred to House Ways
& Means 3/13/17.
STATE ELECTED OFFICIAL OR MEMBER OF
LEGISLATURE REQUESTS HOME ADDRESS
CONFIDENTIAL
SB 659 Campbell
Amends 25.025; amends Government Code 552.117,
552.1175
The bill adds a statewide elected official or a member
of the Legislature to the list that may request their
home address be exempt from disclosure.
Status: Left pending in Senate Business &
Commerce 3/30/17.
CONVEYING PROCEEDS FROM CAD REAL
PROPERTY SALE CHANGED
SB 348 Watson
Amends 6.051
The bill provides that any proceeds from the
conveyance of real property owned by the CAD shall
be apportioned by an amendment to the annual CAD
budget.
Status: Referred to Senate Finance 1/30/17.

CHIEF APPRAISER ELECTED BY COUNTY
VOTERS
SB 447 Burton
Amends 1.15, 5.041, 5.042, 5.103, 6.035, 6.05, 6.052,
6.41, 6.411, 6.412, 6.42, 22.28, 41.66, 42.21; repeals
6.0501; amends Election Code 52.092; amends Local
Government Code 87.041; amends Occupations Code
1151.164
The bill provides that county voters elect the chief
appraiser to a two-year term beginning January 1 of
each odd-numbered year. The chief appraiser must be
a resident of the county for the two years preceding
taking office. The bill removes the requirements for
any special professional designations. The chief
appraiser may be removed for “incompetency,”
including failure of the chief appraiser to complete the
TDLR-required chief appraiser training within the
required time. The bill removes the provision that a
taxing unit’s tax office may serve as the appraisal
office. The chief appraiser appoints the ARB
members and selects the ARB chair and secretary.
The commissioners court shall fill a chief appraiser
vacancy.
Proposed Effective: 9/1/2017, with the first term of
office for chief appraiser beginning January 1, 2019
and the terms of existing ARB members expiring on
January 1, 2019 so that the newly-elected chief
appraiser appoints the next ARB.
PROPERTY TAXATION ABOLISHED IN 2022
HB 1050 Swanson
Repeals Tax Code, Title 1
The bill prohibits a state or local property tax,
effective January 1, 2022. Any tax liability accrued
before that date is not affected. The bill provides that
the Legislature has an obligation to ensure that local
government entities provide essential services in a
manner that is fair and fiscally responsible and should
encourage the use of the sales tax to fund services.
Proposed Effective: 9/1/2017, with Title 1, Tax Code,
repealed 1/1/2022.
SOME GROUPS MAY AND OTHERS MAY NOT
LAWFULLY TAKE AND USE DRONE IMAGES
SB 838, SB 839, SB 840 Zaffirini; HB 106 Martinez
Amends Government Code 423.002
These bills address when it is lawful to capture an
image using an unmanned aircraft in Texas. To the
group allowed such images, SB 838 adds a person
who is in compliance with Federal Aviation
Administration registrations or exemptions and the
images are reasonably related to a commercial
purpose (including navigation or public safety). The
bill, however, removes from the list a Texas licensed
real estate broker in connection with marketing, sale
or financing of real property; the owner or operator of
an oil, gas, water or other pipeline for inspecting,
maintaining or repairing pipelines and without the
intent to conduct surveillance; a registered
professional land surveyor in connection with
surveying; a professional engineer in connection with
engineering. SB 839 adds a journalist for reporting of
substantial public interest, potentially affects public
safety (such as weather) and occurs under
circumstances in which individuals whose images are
captured do not have a reasonable expectation of
privacy (mass gathering). SB 840 and HB 106 remove
from the list images of real property or a person on
real property that is within 25 miles of the U.S. border.
Status: HB 106 substitute reported from House
Homeland Security and Public Safety 3/28/17. SB
839 referred to Senate Business & Commerce
2/27/17. SB 838 not heard in Senate Business &
Commerce 3/28/17. SB 840 left pending in Senate
Veteran Affairs & Border Security 3/15/17.
CHIEF APPRAISER GIVEN AUTHORITY TO
CORRECT ERRONEOUS DENIAL OR
CANCELLATION OF EXEMPTION
SB 945 Bettencourt; HB 2227 Murphy
Amends 25.25
These bills expand the authority of the chief appraiser
to correct the appraisal roll after certification to
include correcting an erroneous denial or cancellation
of a homestead exemption for the disabled or elderly
or an exemption for a disabled veteran.

Status: SB 945 passed the Senate 3/28/17 and
received in House 3/28/17. HB 2227 referred to
House Ways & Means 3/20/17.
APPRAISAL DEADLINES CHANGED
SB 946 Bettencourt; HB 2228 Murphy
Amends 11.4391, 21.09, 22.23, 41.11, 41.44
These bills change several deadlines: the late deadline
for filing for the freeport goods is changed to not later
than June 1 (current law is before the ARB approves
the records); a request for allocation of value must be
filed before April 1 (current law is before May 1),
with the provision for extending the deadline can be
for 30 days (current is 45 days) and that the chief
appraiser may add an additional 30 days (current law
is 60 days); rendition statements for property
regulated by the Public Utility Commission, Railroad
Commission, Federal Surface Transportation Board
or Federal Energy Regulatory Commission must be
delivered to chief appraiser by April 30, and the chief
appraiser may extend by 15 days for good cause on
written request of the owner. The bills also address
some changes to protesting in Tax Code Section
41.44, making the deadline to do so later, May 15
rather than May 1 or 30-days after receipt of notice
for all property (not simply residence homesteads).
However, it also limits the extensions of time to file
protests currently in the Code (after deadline but
before ARB approves records and before June 1).
Status: SB 946 placed on Senate Intent Calendar
Means 3/20/17.
STATE AGENCY PROPOSED RULES
APPROVED BY LEGISLATURE
HB 2926, HJR 94 Roberts; HJR 84 Swanson; SJR
32 Taylor
Adds Government Code 2001.0321; adds Tex. Const.
Art. 2, Sec. 2
The bill and constitutional amendments require that a
state agency’s proposed rule, other than an emergency
rule, shall be referred to the standing committee as
bills are referred (for example, property tax rule to
House Ways & Means and Senate Finance). Proposed
rules also are filed at that time with the Secretary of
State for the Texas Register. Within 30 days, the
committee(s) shall consider and vote on the rule,
requiring unanimous vote of the committee’s full
membership. If not approved, the proposed rule is
suspended. The committee notifies the state agency
within three days and files the notice of suspension
with the Secretary of State to publish in the Texas
Register. If a rule is suspended, the committee chair
shall notify the Speaker or Lt. Governor, depending
on the committee. Within 35 days, the full
membership of the House or Senate shall vote to
approve or suspend the proposed rule. If the
Legislature is not in session, these actions will occur
during the first 10 to 30 days of the next regular
session.
Proposed Effective: 1/1/2018, if voters approve
constitutional amendment November 7, 2017.
Status: SJR 32 referred to Senate Business &
Commerce 2/13/17. HJR 84 and HJR 94 referred
to House State Affairs 3/20/17. HB 2926 referred
to House State Affairs 3/23/17.
TAX INFORMATION INCLUDED ON NOTICES
AND TAX BILLS TO CERTAIN PROPERTY
OWNERS
SB 1360 Watson
Adds 25.191 and amends 1.085, 25.19, 31.01
The bill addresses specific statements of tax
information be added to a property owner’s notice of
appraised value for property in certain school
districts. These notices are for property that is in a
school district that must equalize its wealth by
purchasing student credits from the state. The notices
include these statements: “Your local school district
property taxes are estimated on the tax rate for the
preceding year to be $___. Of those estimated taxes,
it is estimated that:
"$____ will be used by the school district to fund
maintenance and operations of the school district;
"$____ will be used by the school district to pay for
facilities; and
"$____ will be paid by the school district to the state.
"For the preceding year:
"$____ was used by the school district to fund
"$____ was used by the school district to pay for
facilities; and
"$____ was paid by the school district to the state.
"For the year preceding the preceding year:
"$____ was used by the school district to fund
"$____ was used by the school district to pay for
facilities; and

"$____ was paid by the school district to the state."
The bill states how the chief appraiser estimates the
taxes for these items. As an alternative to including
this statements on the notice of appraised value, the
CAD may do new Section 25.191, for which the
Comptroller adopts by rule the format and form. The
alternative Notice of Taxes Actually Imposed on
Property by Taxing Units provides these statements
on a notice sent after the taxing units have adopted
their current tax rates. The statements are modified for
adopted rates. Tax collectors also include these
statements on the owner’s tax bills for these properties
in these school districts. See also Tax Collections.
CAD MAY NOT USE PUBLIC FUNDS TO LOBBY
ON LEGISLATION
SB 1812 Taylor
Amends Government Code 305.026
The bill provides that a CAD may not use public
money to directly or indirectly influence or attempt to
influence the passage or defeat of legislation before
the Legislature. A CAD employee is not prevented
from providing information for a member of the
Legislature or appearing before a legislative
committee at the request of the committee or a
member of the Legislature.
Status: Referred to Senate State Affairs 3/23/17.
TEXAS CIVIL COMMITMENT OFFICE’S
EMPLOYEES MAY REQUEST HOME ADDRESS
CONFIDENTIAL
SB 1576 Perry; HB 4103 King
Amends 25.025; amends various other sections of
codes
The bills add a current or former employee of the
Texas Civil Commitment Office (or its predecessor in
function or division) to the list that may request their
home address be exempt from disclosure. These
employees deal with individuals who are sexually
violent predators.
Status: SB 1576 substitute voted from Senate
Criminal Justice 3/28/17.
HOMEOWNER MAY REQUEST HOME
ADDRESS BE HELD CONFIDENTIAL
HB 4001 Tinderholt
Amends 25.025
The bill provides that any homeowner may choose his
or her home address be exempt from disclosure by
filing the Comptroller form with the CAD.
thirds of both houses; otherwise, effective 9/1/2017.
Status: Filed.
INTEREST RATE CHANGED IN TAX CODE
SB 2198 Campbell
Adds 1.13 and 1.14 and amends 11.135, 11.181,
11.185, 11.201, 23.46, 23.55, 23.76, 23.86, 23.96,
23.9807, 26.09, 31.12, 33.01, 33.06, 33.065, 42.42,
The bill changes the interest rate used to accrued on
various provisions of the Tax Code, including special
valuation rollback taxes, omitted property, delinquent
taxes, tax refunds, tax deferrals and others. The
annual interest rate is the lesser of 12% or the sum of
2% and the prime rate published by the Federal
Reserve Board on the first business day of the
calendar year for which simple interest is calculated.
The Comptroller posts the interest rate on the
Comptroller’s website, beginning with the 2018
calendar year. The parties to a motion, effort or appeal
may agree to waive or reduce the interest that accrues
on a tax, penalty or refund that is subject to a 25.25
error correction; on a delinquent tax or a delinquent
tax lawsuit to collect; or for an appeal to district court.
The written agreement is required before the court
issues the order for the delinquent tax lawsuit or
pending appeal. A district court may waive or reduce
interest that has accrued as part of the final judgment
to the extent the interest is waived or reduced by
agreement. See also Appraisal District Litigation and
Delinquent Tax Collections.
REGULATING PROPERTY TAX
PROFESSIONALS TRANSFERRED FROM TDLR
TO COMPTROLLER
SB 2208 Hancock
Amends 5.04, 5.102; amends Occupations Code
Chapter 1151 and adds 1151.201, 11.51.203,
1151.207, 1151.208 and 1151.209 and repeals
1151.1015; amends Occupations Code 1152.103

The bill transfers the regulation of property tax
professionals from the Texas Department of
Licensing and Regulation (TDLR) to the Comptroller.
Currently registered with TDLR, the registrants
include appraisers, tax assessors and tax collectors.
The Comptroller mails to a person’s last known
address a renewal notice no later than 30 days before
a person’s registration expires. The Comptroller may
conduct inspections or investigations as necessary.
The Comptroller may place a registrant on probation
whose registration is suspended. The Comptroller will
set up hearings and administrative procedure for
registration denials and disciplinary actions using the
State Office of Administrative Hearings (SOAH). For
complaints filed against a registrant, the Comptroller
will notify the registrant and the local governmental
entity that employs the registrant. The Comptroller
shall issue cease and desist orders for violations,
impose an administrative penalty and seek injunctive
relief and civil penalty through the Attorney General
or the Comptroller. The Comptroller shall adopt rules
by March 1, 2018.
Status: Referred to Senate Business and
Commerce 3/29/17.
BILLS ON DOUBLE TAXATION FILED AFTER
THE MARCH 10 DEADLINE
SB 2241 Hinojosa; similar SB 2242 Hinojosa
Adds 21.056 and 31.112 and amends 31.12, 42.41;
adds Education Code 42.2532
The bills were filed March 13, after the filing
deadline, and address double taxation of properties by
like taxing units. The bills apply only to Nueces and
San Patricio Counties. SB 2241 states, as a result of
disputed, overlapping or erroneously applied
geographic boundaries of multiple like taxing units,
the tax amount due on the property is the average of
the tax amounts imposed by each of the like taxing
units. Taxes are deposited into an escrow account in
the district court of Refugio County. The district court
applies the escrow amount to the taxing unit on
resolution of the dispute or error. SB 2241 begins with
the 2018 tax year. SB 2242 provides that the property
owner may file suit with the Supreme Court
challenging the double taxation by like taxing units.
The Supreme Court shall rule within 90 days. Both
bills address a refund process and the Education
Commissioner adjusting the school district values for
the correction of the double taxation.
Status: Filed 3/13/17. Received by the Secretary of
State for filing after deadline.
Appraisal
APPRAISAL DISTRICTS MUST USE
COMPTROLLER’S APPRAISAL MANUALS
SB 2 Bettencourt; similar HB 934 Zerwas
Amends 5.05, 5.102, 5.13, 23.01
Appraisal districts must use the Comptroller’s
generated appraisal manuals in appraising property
for property taxation. Both MAP reviews and taxing
unit-requested audits of appraisal districts must
include the district’s compliance with these manuals
issued by the Comptroller. Generally accepted
appraisal methods and techniques will also include
those included in the Comptroller’s appraisal manual.
For more analysis of these bills, see also Appraisal
District Administration, Rendition, Exemption,
Appraisal Review Board, Appraisal District
Litigation, Assessment and Truth in Taxation sections.
Status: SB 2 substitute, with four floor
amendments, passed Senate 3/21/17 and received
in House 3/22/17. HB 934 referred to House Ways
& Means 2/21/17.
COMPARABLE PROPERTY DEFINED TO
ADDRESS DARK STORE APPRAISALS
HB 27 Springer
Amends 23.01
The bill clarifies that a property must have the highest
and best use as the subject property to be considered
as a comparable property. A use restriction on a
property that prohibits the continuation of the current
property use or prohibits competitive use by a
subsequent owner may not be considered in
determining the property’s highest and best use.
Determining market value must include consideration
of whether the highest and best use is the continuation
of the property’s current use.

Status: Left pending in House Ways & Means
3/15/17.
A 5% APPRAISAL CAP SET FOR REAL
PROPERTY
HB 44, HJR 17 Keough; HB 167, HJR 26 Bell
Amends 1.12, 23.23 and 42.26; amends Government
Code 403.302; amends Tex. Const. Art. 8, Sec. 1
These bills and constitutional amendment would
change the 10% appraisal cap for residence
homesteads to an appraisal cap for all real property
and would set the appraisal cap at 5% above the
preceding year. The appraisal cap would apply the
first year after the owner acquires the property and
would expire when the owner no longer owns the
property. In the case of residential homesteads, the
cap would expire when the spouse who inherits a
homestead property ceases to own the property. In the
case of non-homestead property subject to multiple
ownership, the cap expires when at least 50% of the
ownership transfers in a given year. The cap will first
be effective on the tax year beginning in 2018 (so the
applicable base year will be 2017). The state will
need to address value losses for school districts
through the state aid formula.
Status: HB 44, HJR 17 referred to House Ways &
Means 2/13/17. HB 167, HJR 26 referred to House
Ways & Means 2/14/17.
COMPTROLLER STUDIES IMPACT OF SALES
PRICE DISCLOSURE
HB 182 Bernal
The bill orders the Comptroller to initiate a study of
the impact of mandatory sales price disclosure and
report to the Legislature next session. The
Comptroller appoints and is advised by a committee
of local government representatives and the real
estate professionals. The committee is to study the
impact on distribution of the tax burden and school
finance.
A 5% CAP SET FOR RESIDENCES
HB 376, HJR 33 Metcalf; HB 586, HJR 43 Bohac
Amends 23.23; amends Tex. Const. Art. 8, Sec. 1
These bills and constitutional amendment lower the
10% cap on residence homesteads to 5% per year.
Status: HB 376, HJR 33 referred to House Ways
and Means 2/16/17. HB 586, HJR 43 referred to
House Ways & Means 2/20/17.
PROPERTY SET BY AGREEMENT OR APPEAL
LIMITED TO 5% INCREASE IN SUBSEQUENT
YEAR
HB 301, HJR 30 Larson
Amends 23.01; adds Tex. Const. Art. 8, Sec. k
The bill and constitutional amendment add that a
property whose value in the previous year was
determined by an agreement between the chief
appraiser and the property owner after a protest or
appeal cannot be increased more than 5% the next
year. Exceptions remain for those properties that lose
their open-space qualification or whose limitations
under Section 23.23 expire.
Status: Referred to House Ways and Means
2/15/17.
MANDATORY SALES PRICE DISCLOSURE
REQUIRED ON RECORDED INSTUMENTS
HB 379 Bernal
Adds Property Code 12.0013
The bill requires that an instrument filed in the county
clerk’s office conveying real property under a
contract for sale must disclose the property’s sales
price. If not disclosed, the property’s purchaser is
liable to the state for a civil penalty equal to 5% of the
property’s sales price. The Attorney General or the
county or district attorney may bring suit to recover
the penalty. The disclosure does not apply to an
instrument conveying only a mineral interest.
Status: Referred to House Business & Industry
2/23/17.

REAPPRAISAL FOR DISASTER AREA IS
AUTOMATIC
HB 513 Davis of Harris; SB 717 Taylor
Amends 23.02
SB 717 substitute and HB 513 substitute require the
CAD to automatically reappraise an area declared a
disaster area that the Federal Emergency
Management Agency (FEMA) estimates to have
sustained 5% or greater damage to market value as a
result of the disaster. A property owner may refuse to
have the owner’s property reappraised. The chief
appraiser completes the reappraisal by 45 days after
the governor declares the area a disaster area. If
FEMA does not complete the damage estimate before
that deadline, the chief appraiser shall complete the
reappraisal as soon as possible. The Comptroller may
adopt rules to implement and administer this
provision. Appraisal costs are apportioned to all
taxing units for which the properties are reappraised.
Status: HB 513 substitute voted from House Ways
and Means 3/29/17. SB 717 substitute passed
Senate 3/27/17 and received in House 3/28/17.
MANUFACTURED HOUSING REGULATIONS
CHANGED
HB 2019 King
Amends 23.127 and various sections of Occupations
Code Chapter 1201
The bill revises the regulation of manufactured
housing. For the inventory of retail manufactured
housing, the retailer files the statement of declaration
indicating those units considered to be retail
inventory. The chief appraiser imposes the retail
inventory tax only on the retail inventory and may not
include any personal property homes declared as
retail manufactured housing inventory. The
Statement of Ownership and Location is changed to
Statement of Ownership. The Texas Department of
Housing and Community Affairs sets up a website
with searchable and downloadable information on
manufactured housing ownership, liens, installation,
license holder records, shipment reports and
enforcement actions.
Status: Left pending in House Licensing and
Administrative Procedures 3/20/17.
DEFINITION OF REPLACEMENT STRUCTURE
VERSUS NEW IMPROVEMENT CHANGED
HB 2241 Lozano
Amends 11.26, 11.261, 23.23
The bill revises the definition of what constitutes a
replacement structure versus a new improvement for
the appraisal cap and for increasing the tax limitation
for a property owner when a homestead is damaged
by a casualty or by wind or water damage. The
replacement structure is considered to be a new
improvement if the square footage exceeds the
replaced structure. The bill removes language about
the exterior of the replacement structure is of higher
qualify and composition than the damaged one.
LOW-INCOME OR MODERATE HOUSING
APPRAISAL REFINED
HB 2532 Anderson; similar SB 1275 Taylor; HB
3752 Johnson
Amends 23.215; SB 1275 also amends 1.07
The bills revise the appraisal of nonexempt property
used for low-income or moderate housing to require
the chief appraiser to use the income approach to
value the property, based on the most recent annual
owner’s compliance report filed with the Texas
Department of Housing and Community Affairs
(TDHCA), to estimate the gross income and operating
expenses, to project future income and expenses and
to project future rent or income potential using the
maximum amount of permitted rent. The chief
appraiser uses this method regardless if the property
is no longer under active construction and occupancy
has stabilized. Operating expenses include standard
property maintenance, debt service, employee
compensation, government fees, lender expenses
insurance and other justifiable expenses for
maintenance and operation.
SB 1275 and HB 3752 require a certified letter from
the appraisal district to the property owner if the chief
appraiser determines that the property is no longer
eligible for this appraisal. The property will be subject
to a rollback tax for the three preceding years based
on the difference between the property’s sales price
and the special appraised value in each year. The
owner has a right to protest the determination to the
ARB. A tax lien attaches to the property. Taxes are

due and become delinquent if not paid before the next
February 1 that is at least 20 days after the date the
bill is delivered. SB 1275 provides that a property
owner may not protest the property’s special value,
which has been adjusted by the percentage change in
net income. This type of property is not considered a
comparable property for any other properties. The
change in net income is based on the organization’s
audit by an independent auditor or most recent
compliance report with TDHCA, which is delivered
to the chief appraiser no later than May 1.
Status: SB 1275 scheduled for hearing in Senate
Finance 4/3/17. HB 2532 referred to House Ways
& Means 3/23/17.
INTANGIBLE PERSONAL PROPERTY
DEFINITION REVISED
HB 3138 Gutierrez
Amends 1.04
The bill adds to definition of intangible personal
property to include the value of a brand name,
business service or business and income derived from
the operation of a business other than income from the
property’s use.
APPRAISAL STIPULATIONS PLACED ON
CERTAIN AFFORDABLE HOUSING PROPERTY
SOLD TO LOW OR MODERATE INCOME
INDIVIDUAL OR FAMILY
HB 3999 Isaac
Amends 23.21
The bill addresses the appraisal of real property
previously owned by a charitable organization
meeting Section 11.18 requirements and is sold to a
low-income to moderate-income individual or family.
If the property was sold pursuant to a shared or fixed
appreciation affordable housing program by the
organization that has a fixed period of time, the chief
appraiser may not take into account the appreciation
in value that the organization would be entitled if the
property were sold on January 1 of the tax year and
shall take into account the extent of any regulation,
resale restrictions or conditions to the property to
reduce the property’s value.
Status: Filed.
A HOMESTEAD VALUE CAP OF 5% SET
MAYBE
SB 172, SJR 19 Nichols
Amends 23.23, 42.26; adds Tex. Const. Art. 8, Sec. 1
(i-1) and (i-2)
The bill and constitutional amendment imposes a 5%
cap on residential homesteads, unless the
commissioners court authorizes an election to
determine a specified cap between 5% and 10%.
HOMESTEAD VALUE CAP BASED ON HOME’S
VALUE
SB 376, SJR 28 Creighton
Amends 23.23
The bill and constitutional amendment changes the
10% cap to 3% if the home’s appraised value is $1
million or less and 5% if the home’s value is more
than $1 million.
PROPERTY OWNER REQUESTS REAPPRAISAL
FOLLOWING DESTRUCTION BY CASUALTY
SB 972 Zaffirini
Adds 23.025
The substitute bill adds that a property owner of a
residence homestead owned and occupied by the
owner may request the chief appraiser to reappraise
the residence if a building on the property is
completely destroyed by a casualty. The written
request must be no later than 180 days after the
casualty date. The chief appraiser reappraises unless a
taxing unit has requested a reappraisal for other
properties for the same casualty. The chief appraiser
includes in the appraisal records the date of the
casualty, appraised value before and after and any
other information. The taxes on the property are
adjusted for the number of days before and after the
casualty. If the tax bill has already been mailed, the
tax collector sends a corrected tax bill. If the tax has
been paid, the tax collection shall refund the excess
amount. The Comptroller adopts guidelines,
including whether the property is completely

destroyed and for calculating the appropriate value of
any exemption and appraisal homestead cap on the
home during or after the tax year.
Status: Substitute reported from Senate Finance
3/20/17, passed Senate 3/22/17 and received in
House 3/23/17.
Renditions
RENDITION DEADLINES MOVED TO EARLIER
DATES
SB 2 Bettencourt
Amends 21.09, 22.23
Renditions would be due April 1, instead of April 15.
The automatic written-extension rendition deadline
also would be earlier, a date not later than May 1,
rather than May 15. SB 2 substitute adds that rendition
statements and property reports for property regulated
by the Public Utility Commission, Railroad
Commission, Federal Surface Transportation Board
or Federal Energy Regulatory Commission must be to
the chief appraiser no later than April 30. The chief
appraiser may extend the April 30 filing deadline for
15 days for good cause on written request of the
property owner.
SB 2 substitute also changes the dates for filing the
request for allocation of value for property that travels
between states. The allocation application is changed
to April 1, rather than May 1, and the deadline may be
extended 30 days, not 45 days, after the date of
receiving the 25.19 notice of appraised value. The
chief appraiser for good cause shall extend the
deadline for 30, not 60, days.
For more analysis of SB 2, see also Appraisal District
Administration, Appraisal, Exemption, Appraisal
Review Board, Appraisal District Litigation,
Assessment and Truth in Taxation Sections.
amendments, passed Senate 3/21/17, and received
in House 3/22/17.
Exemptions
INCOME-PRODUCING PERSONAL PROPERTY
EXEMPTION CAP INCREASED TO $2,500
SB 2 Bettencourt; SB 730 Bettencourt; HB 1330
Kuempel
Amends 11.145; SB 2 substitute amends 11.4391
These bills exempt income-producing tangible
personal property with a taxable value of less than
$2,500. Current law sets the value at less than $500.
SB 2 substitute, however, removes the change to this
exemption amount.
SB 2 substitute also changes the deadline for the
freeport exemption application to not later than June
1. Current law is before the date the ARB approves
the appraisal records.
For more analysis of SB 2, see also Appraisal District
Administration, Appraisal, Exemption, Appraisal
Review Board, Appraisal District Litigation,
Assessment and Truth in Taxation Sections.
amendments, passed Senate 3/21/17, and received
in House 3/22/17. SB 730 passed Senate 3/27/17
and received in House 3/28/17. HB 1330 referred
to House Ways & Means 2/27/17.
A 10-YEAR EXEMPTION GRANTED FOR NEW
BUSINESSES IN SMALL COUNTIES
HB 102; HJR 18 Guillen
Adds 11.36; amends 11.42, 26.1125; adds Tex. Const.
Art. 8, Sec. 1-s
The bill and constitutional amendment provides for a
local-option exemption from property taxes for new
businesses located in a county with a population of
250,000 or less. A new business for purposes of this
bill is one that begins business in this state on or after
January 1, 2018; is not substantially similar in
ownership or operation to any business in this state in
the preceding five years; is engaged in certain
manufacturing (categories 2011-3999 of the 1987
Standard Industrial Classification Manual) or certain
forms of research determined by Section 41 of the
Internal Revenue Code; and creates at least one full-
time, permanent job. The Comptroller administers the
determination of an eligible new business. A taxing

unit may revoke its local-option exemption at any
time, but revocation will not affect those that have
already qualified for exemption. The exemption may
be applied for within one year after the business
initially qualified for the exemption. The bill also
includes state tax exemptions.
& Means 2/13/17.
PARTIAL EXEMPTION APPLIED TO DISABLED
VETERAN’S HOMESTEAD
HB 150, HJR 21 Bell; SB 240, SJR 23 Creighton
Amends 11.132, amends Tex. Const. Art. 8, Sec.
1(b)(1)
These bills and constitutional amendment amend the
partial homestead exemption for disabled veterans to
include housing donated to a disabled veteran for less
than 50% of the estimate of market value by the
charitable organization that donates the housing.
Presently, this exemption is available only to those
homes donated at no cost to the veteran.
Status: SB 240 referred to Senate Veteran Affairs
& Border Security 1/30/17. HB 150, HJR 21
referred to House Ways & Means 2/13/17.
MINERAL INTEREST EXEMPTION INCREASES
TO VALUE OF LESS THAN $2,000
HB 302 Goldman
Amends 11.146
The bill increases the value of mineral interests
exempt from taxation to those accounts whose value
is less than $2,000. The present exemption cap is less
than $500.
Status: Referred to House Ways and Means
2/15/17.
PROPERTY EXEMPTED IF LEASED TO
CERTAIN CHARTER SCHOOLS
HB 382, HJR 34 Murphy; SB 1030, SJR 42 Taylor
Adds 11.211; amends Tex. Const. Art. 8, Sec. 2
These bills and constitutional amendment exempts
property leased to a charter school if the property
owner’s reduced taxes are passed along to the tenant
charter school. The leasehold does not become
taxable pursuant to Section 25.07.
Status: HB 382, HJR 34 left pending House Ways
and Means 3/22/17. SB 1030, SJR 42 referred to
Senate Finance 3/6/17 and 3/7/17.
RETAIL INVENTORY EXEMPT FROM SCHOOL
TAXES
HB 425, HJR 35 Button
Adds 11.35; amends Tex. Const. Art. 8, Sec. 1(d)
The bill and constitutional amendment exempts retail
inventory from taxation by school districts. The
constitutional amendment authorizes the Legislature
to exempt retail inventory.
Status: Referred to House Ways & Means 2/20/17
and 3/9/17.
LATE APPLICATION DEADLINE EXTENDED
FOR HOMESTEAD AND DISABLED
VETERAN’S EXEMPTIONS
HB 626 Workham
Amends 11.431, 11.429
The bill extends the deadline for the late application
for a homestead exemption to two years after the
delinquency date for the home taxes. Current law
requires filing the application no later than one year
after the delinquency date. The chief appraiser
notifies each taxing unit’s collector within 30 days
after the date the application is approved. The
collector is required to issue any refund not later than
60 days after the chief appraiser notifies the collector.
For the disabled veteran’s exemption, the application
deadline is extended to no later than five years (from
one year) after the delinquency date.
SCHOOL TAXES ON TANGIBLE PERSONAL
PROPERTY PHASED OUT BY 2027
HB 734, HJR 48 Workman
Adds 11.35; adds Education Code 42.2512; adds Tex.
Const. Art. 8, Sec. 1-q
The bill and constitutional amendment exempts
tangible personal property that consists of inventory

from taxation by school districts. The exemption
begins as a 10% exemption in tax year 2018, and the
exemption increases by 10% each tax year for a 100%
exemption by tax year 2027. The school district
receives additional state aid for the tax revenue lost
for the exemption.
PHYSICAN HOMESTEAD OFFERED
EXEMPTION BY COUNTY
HB 820, HJR 50 Shaheen; SB 1543, SJR 52 West
Amends 11.13; adds Tex. Const. Art. 8, Sec. 1-b(n)
The bills and constitutional amendment provide that
the county may offer a homestead exemption to a
physician residing in the county who provides health
care services to qualifying county residents that are
indigent or on Medicaid for which the physician does
not receive reimbursement for those services from
any source. The exemption is based on a percentage
of the home’s value, not to exceed 50%. The county
may express the percentage of the physician’s total
practice that is for qualifying county residents. The
county commissioners provide the appraisal district
with the exemption information, and the chief
appraiser may require the physician to provide
additional information.
& Means 2/21/17. SB 1543, SJR 52 scheduled for
hearing in Senate Finance 4/3/17.
LOCAL TAXING UNIT MAY EXEMPT
MINERAL INTERESTS OWNED BY NONPROFIT
ORGANIZATION
HB 845, HJR 51 Lozano
Adds 11.186; amends 11.43; amends Government
Code 403.302; adds Tex. Const. Art. 8, Sec. 1-r
The bill and constitutional amendment allow a taxing
unit to grant an exemption to mineral interests owned
by a nonprofit organization that is organized
exclusively to generate income from ownership, lease
and management of real property, including
buildings, land and interests; exclusively organized
for religious and charitable purposes; engages in
housing, counseling, training, spiritual aid and related
services for children and family in need; does not
charge a fee for services; and does not accept or
receive money from a governmental entity. The
exemption applies in the tax year that the taxing unit’s
governing body adopts before April 15 or the next
year if adopted on or after that date. The nonprofit
organization applies for the exemption at the appraisal
district; annual application is not required. The
Comptroller adjusts for this in Property Value Study.
OWNER OF GROUP HOME OR INTERMEDIATE
CARE FACILITY RECEIVES EXEMPTION
BASED ON 12-MONTHS OF OPERATING COSTS
HB 850, HJR 52 Turner
Adds 11.35; adds Tex. Const. Art. 8, Sec. 1-p
The bill and constitutional amendment provide the
owner of a group home or an intermediate care facility
to a property tax exemption equal to the amount of the
costs incurred by the owner in maintaining, operating
and improving the property during the preceding 12-
month period. A group home is one that is primarily
for individuals with intellectual disabilities. An
intermediate care facility has individuals with
development, physical or intellectual disabilities if at
least 95% of the residents are on medical assistance
under Human Resources Code Chapter 32. The
Comptroller-adopted exemption application includes
an affidavit stating the costs and any relevant
information or documentation.
Status: Substitute HB 850 and HJR 52 left pending
in House Ways & Means 3/22/17.
UNIVERSITY RESEARCH TECHNOLOGY
CORPORATION GRANTED EXEMPTION
HB 906, HJR 54 Elkins
Adds 11.232; amends 11.42, 26.113; amends
Education Code Chapter 157; amends Tax Code
Chapter 151 and 171adds Tex. Const. Art. 8, Sec. 1-t
The bill and constitutional amendment provide for the
exemption of real and tangible personal property
owned by or leased to a university research
technology corporation. This special-purpose
corporation is owned wholly or partly by a university
or by a nonprofit medical center development
corporation with members that are universities. The

exemption also applies to the leasehold interest in real
and tangible personal property leased from the
corporation. The bill provides for prorating the taxes
upon acquiring a property by the corporation.
Status: Referred to Government Transparency &
Operation 3/9/17 and HJR 54 on 3/20/17.
CHIEF APPRAISER LIMITED ON
REAPPLICATION BY TOTALLY DISABLED
VETERAN
HB 1101 Pickett
Amends 11.43
The bill prevents the chief appraiser from requesting
a new homestead exemption application to confirm
current qualifications from a totally disabled veteran
who has a permanent total disability determined by
the Veterans Administration.
Status: Reported favorably from House Ways &
Means 3/27/17 and recommended for House Local
& Consent Calendar.
TANGIBLE PERSONAL PROPERTY EXEMPT IF
FOOD PRODUCTS HELD FOR SALE
Adds 11.35; adds Tex. Const. Art. 8, Sec. 1-p
The bill and constitutional amendment would exempt
tangible personal property consisting of food products
that are exempt from the sales and use tax to also
receive a property tax exemption if the owner holds
the property for sale at retail.
TAXING UNITS DECIDES TO EXEMPT
RAINWATER HARVESTING EQUIPMENT
HB 1334 Isaac
Adds 11.325
The bill provides a local-option exemption that a
taxing unit’s governing body may adopt to exempt a
portion of a property’s appraised value that is
attributable to installation of a rainwater harvesting
system. At this time, no HJR has been filed for a
constitutional amendment for this exemption.
TOTAL EXEMPTION GRANTED TO
HOMESTEAD OF VERY ELDERLY AND
SURVIVING SPOUSE
HB 1473, HJR 64 Bohac; similar HB 1772, HJR 71
Swanson; similar HB 2081, HJR 76 Phelan
Amends 11.13, 11.42, 11.43, 26.10, 26.112, 33.01;
adds Education Code 41.0012 and amends 42.2518,
42.252, 42.302, 44.004, 46.003, 46.032, 46.071;
amends Government Code 403.302; adds Tex. Const.
Art. 8, Sec. 1-b(n)
HB 1473 provides for the total exemption from
property taxes of the homestead of an elderly
homeowner who is 80 years or older and has received
homestead exemptions on the homestead for at least
the preceding 10 years. The surviving spouse
continues to receive the total exemption if the
deceased spouse died qualified for the exemption in
the year of death, the surviving spouse was 55 years
of age or older at spouse’s death and the property was
also the residence homestead of the surviving spouse
and remains the homestead. The total exemption is
effective on January 1 of the year qualified. The
homeowner may apply up to one year late after
qualification. If the exemption terminates during the
year because the homeowner claims another
homestead, the taxes are prorated for the time the
homestead did not qualify. The Comptroller adjusts
the school district’s taxable wealth for state funds for
this exemption. The school notice for proposed
budget and tax rate includes a statement that a person
80 years of age or older or surviving spouse is exempt
from taxes.
With many of the same provisions as HB 1473, HB
1772 provides for a total exemption of the homestead
taxes for a homeowner 75 years of age or older, but
with no requirement on years of ownership. It also has
all the other requirements, including for the surviving
spouse 55 years of age or older, for state aid to school
districts and for the school notice for proposed budget
and tax rate (with 75 years of age).
With many of the same provisions as HB 1473 and
HB 1772, HB 2081 provides for a local-option total
exemption of the school homestead taxes for a
homeowner disabled or who is 70 years of age or
older, but with no requirement on years of ownership.
The school board would adopt the exemption before

July 1. It also has all the other requirements, including
for the surviving spouse 55 years of age or older, for
state aid to school districts and for the school notice
for proposed budget and tax rate (with 70 years of
age).
Status: HB 1473, HJR 64 left pending in House
Ways & Means 3/22/17. HB 1772 referred to
House Ways & Means 3/14/17 and HJR 71 on
3/20/17. HB 2081, HJR 76 referred to House Ways
& Means 3/16/17.
LOW-INCOME HOUSING EXEMPTION
EXTENDED FOR 10 YEARS FROM
ACQUISITION
HB 1513 Isaac
Amends 11.181
The bill extends the property tax exemption for a
charitable organization providing low-income
housing for 10 years from the anniversary date the
transferring organization acquired the property.
Current law is for five years.
SCHOOL DISTRICT EXEMPTS LOW AND
MODERATE-INCOME HOUSING PROJECTS
NEAR A PUBLIC SCHOOL
HB 1548, HJR 66 Dutton
Adds 11.1828 and amends 11.436, 26.111; adds Tex.
Const. Art. 8, Section 1-v
The bill and constitutional amendment grants a person
an exemption from school property taxes of improved
or unimproved real property within a one-mile radius
of a school campus if the property is built and used for
low or moderate-income housing. In an urban area,
the property must be 25 or more new single-family
dwellings sold or leased to families or a new
multifamily housing project of 150 or more rental
units. In a rural area, the property must be 10 or more
single-family dwellings sold or leased or a
multifamily housing project of 60 or more rental
units. The dwellings/units in either area must be for
families earning nor more than 60 percent of the
area’s median income. The exemption is for three
years. If any part of the property is sold, leased or
rented to a person that does not meet the eligibility
requirements, a penalty is imposed for each year that
the property was exempt, plus 7% interest from date
taxes are due. The person who received the exemption
and the purchaser are jointly and severally liable for
the penalty and interest. A tax lien attaches to the
property. The chief appraiser notes the penalty in the
appraisal records and delivers notice to both parties.
The constitutional amendment gives the Legislature
the authority to allow a property tax exemption by one
or more political subdivisions of a property near a
public school that is owned by a person for building
low-income or moderate-income housing.
Status: Referred to House Ways & Means 3/9/17
and HJR 66 on 3/20/17.
PURPLE HEART RECIPIENT AND SURVIVING
SPOUSE ENTITLED TO TOTAL HOMESTEAD
EXEMPTION
HB 1591, HJR 67 Bohac
Adds 11.134 and amends 11.42, 11.43, 11.431, 26.10,
26.1125; amends Government Code 403.302; amends
Local Government Code 140.011; amends Tex.
Const. Art. 8, Section 1-b
The bill and constitutional amendment provide for a
total homestead exemption from property taxes for a
Purple Heart recipient and to the surviving spouse.
The surviving spouse is entitled to the total exemption
on the same property to which the Purple Heart
recipient’s exemption applied if the spouse has not
remarried since the death and the property was the
residence homestead of the surviving spouse at the
time of the recipient’s death and remains the residence
homestead. The surviving spouse may port the dollar
amount of exemption to another homestead. If the
Purple Heart recipient qualifies after January 1, the
exemption applies only for a portion of the tax year.
The homestead application is a one-time application
and may be filed up to one-year after the delinquency
date. The Comptroller adjusts the school property
values for this exemption. Local taxing units may
include the impact of this exemption in requesting
state financial assistance from the Comptroller.
Committee testimony was to have the State hold
harmless the taxing units impacted by more
exemptions for veterans, particularly if legislation
requires these local units to hold rollback elections to
raise the tax rate to recoup the lost taxes.

Status: HB 1591 left pending in House Ways &
Means 3/22/17. HJR 67 referred to House Ways
& Means 3/20/17.
SCHOOL HOMESTEAD EXEMPTION IS
GREATER OF $25,000 OR 13% OF HOME VALUE
HB 1679, HJR 69 Schofield
Amends 11.13, 11.26; amends Education Code
41.0011, 42.2518, 42.252, 42.302, 46.003, 46.032,
46.071; amends
The bill and constitutional amendment provides that
the school homestead exemption is $25,000 or 13% of
the market value of the homestead, whichever is
greater. Homeowners with a school tax limitation and
a homestead with a 2018 market value of more than
$192,308 shall have their limitations reduced by
subtracting $25,000 from 13% of the 2018 market
value and multiplying by the 2018 school tax rate.
State funding to school districts is adjusted for the
exemption change.
DISABLED VETERAN’S EXEMPTION
CHANGED FROM DOLLAR AMOUNT TO
PERCENTAGE EXEMPTION OF PROPERTY’S
VALUE
HB 1696, HJR 70 Blanco
Amends 11.22, 11.26; amends Tex. Const. Article 8,
Section 2(b)
The bill and constitutional amendment change the
dollar amounts of exemptions for a disabled veteran
and the veteran’s surviving spouse and children to
percentages of the property’s value: disability rating
of 10 to less than 30% is an exemption of 7.91% of
the property’s value; disability rating of 30 to less than
50% is exemption of 11.86% of value; disability
rating of 50 to less than 70% is 15.82% of value; and
disability rating of 70% or more is 18.98% of value.
3/9/17 and HJR 70 on 3/20/17.
TIME THAT DELINQUENT TAX PROPERTY IS
HELD BETWEEN JUDGMENT AND SALE IS
EXEMPT FROM TAXES
HB 1833, no filed HJR Dutton
Adds 11.281 and amends 11.43, 33.52, 34.01, 34.05
The bill and constitutional amendment (not filed as of
this date) provides for exempting real property held
during the period between issuance of a judgement
foreclosing a tax lien on the property and the sale of
the property at a tax sale or the payment of the taxes
before the sale. If the owner pays the amount of the
judgment before the sale or redeems the property, a
penalty is imposed equal to the taxes that would have
been imposed during the exempt period, plus interest
at 7% from the date on which taxes would have
become due. A tax lien attaches to secure payment of
the penalty and interest. For the property to be
exempt, a person must file an exemption application.
No post-judgement taxes, penalties and interest may
be enforced. A sale by the taxing unit holding the
property discharges and extinguishes all liens
foreclosed by the judgement. See also Delinquent
Tax Collections.
CONTIGOUS TRACT OF LAND BY PLACE OF
RELIGIOUS WORSHIP IS NOT ENTITLED UP TO
SIX-YEAR EXEMPTION
HB 2133 Anderson
Amends 11.20
The bill remove the current land that a tract of land
contiguous to an actual place of religious worship
receives an exemption for up to six years.
SCHOOL HOMESTEAD EXEMPTIONS
INCREASED FOR ONE YEAR, USING MONEY
FROM ECONOMIC STABLIZATION FUND
HB 2268, HJR 75 Raymond
Amends 11.13, 11.26; adds Education Code 41.0011
and amends 42.2518, 42.252, 42.302, 46.003, 46.032,
46.071; amends Tex. Const. Art. 3, Sec. 49-g and Art.
8, Sec. 1-b
The bill and constitutional amendment increases the
current school homestead exemption to $71,000 from

$25,000 for the 2018 taxes only. The over-65 or
disabled homeowners are increased to $46,000 from
$10,000, and those homeowners with limitations are
adjusted for the $46,000 times the 2018 tax rate. The
state adjusts the taxable wealth of school districts as
if the exemption existed for the 2017 tax year, and
adjustments are made in state funding for the
additional exemption. The constitutional amendment
also appropriates $3.05 billion of the economic
stabilization fund to the foundation school program to
finance the temporary increase in the school
homestead exemptions.
Proposed Effective: 1/1/2018, if constitutional
amendment to appropriate money from the economic
stabilization fund is passed by Texas voters
November 7, 2017.
3/15/17 and HJR 75 on 3/20/17.
MORE LOCAL GOVERNMENTS AFFECTED BY
DISABLED VETERANS EXEMPTIONS MAY
APPLY FOR STATE AID
HB 2356 Cosper; similar HB 3524 Sheffield
Amends Local Government Code 140.011; amends
Transportation Code 201.996
HB 2356 revises which local governments may apply
for state aid for being disproportionately affected by
disabled veterans’ exemptions and the resulting
revenue loss. Added to the local governments are the
cities in a county in which a U.S. military installation
is wholly or partly located and not just those that are
adjacent to it and to a county that is adjacent to a
county with a military base. HB 3524 adds that the
formula for allocating state funds for congestion
mitigation and air quality improvement projects
prioritize those regions with a military installation and
have granted tax relief to disabled veterans
disproportionately.
3/16/17.
NAVIGATION DISTRICT PROPERTY EXEMPT
FROM TAXES
HB 2591 Herrero, SB 1133 Hinojosa
Adds Water Code 60.005
These bills provide that navigation district property is
public property used for essential public and
governmental purposes and exempt from all taxes and
special assessments by the state or a political
subdivision.
Status: SB 1133 referred to Senate Transportation
3/7/17. HB 2951 referred to House Ways & Means
3/27/17.
VEHICLE LEASED TO STATE, PUBLIC ENTITY
OR CHARITY EXEMPT FROM PROPERTY TAX
HB 2714 Bohac
Amends 11.252
The bill adds to the leased motor vehicle exemption
for a use other than production of income to include a
motor vehicle leased to the state, a political
subdivision of the state or a 501(c)(3) charitable
organization. The Comptroller’s form shall require a
lessee to provide the name, address and federal tax ID
number.
DISABLED VETERAN’S EXEMPTION AMOUNT
INCREASED
HB 2877, HJR 92 Sanford
Amends 11.22; amends Tex. Const. Art. 8, Sec. 2(b)
and repeals Sec. 2(d)
The bill and constitutional amendment increase the
amounts for the disabled veteran’s exemption based
on disability rating as follows: $10,000 for disability
rating between 10% but less than 30%; $15,000 for
30% but less than 50%; $20,000 for 50% but less than
70%; or $24,000 for at least 70%. A disabled veteran
who is 65 with at least 10% disability, or is totally
blind or has lost use of one or more limbs gets
$24,000. The veteran’s surviving spouse exemption
and eligible children increases to $10,000.
amendment is passed by Texas voters November 7,
2017.
Status: HJR 92 referred to House Ways & Means
Means 3/29/17.
U. S. VETERAN RECEIVES ADDITIONAL $5,000
HOMESTEAD EXEMPTION
HB 2887, HJR 93 Thierry
Amends 11.13; amends Government Code 403.302;
amends Tex. Const. Art. 8, Section 1-b

The bill and constitutional amendment add an
additional homestead exemption of $5,000 for a
veteran of the U.S. armed services who served in the
armed services for at least three years. The
Comptroller adjusts the Property Value Study for this
new exemption for school funding.
2017.
Means 3/29/17.
COUNTY COMMISSIONERS COURT MAY
EXEMPT RETAIL INVENTORY FOR LIMITED
TIME
Adds 11.37; adds Tex. Const. Art. 8, Sec. 1-u
The bill and constitutional amendment add that the
county commissioners court may adopt an exemption
for county taxes for a person’s inventory held for sale
at retail. The exemption applies to the current tax year
if the official action was adopted before April 15 or to
the following tax year if adopted on or after April 15.
The exemption continues for only the four tax years
following that tax year. It does not apply to real
property, a car dealer’s inventory, a boat dealer’s
inventory, a heavy equipment dealer’s inventory or a
dealer’s manufactured housing inventory.
2017.
3/20/17 and HB 2973 referred to House Ways &
Means 3/22/17.
NON-PROFIT MEDICAL CENTER PROPERTY IS
EXEMPT IN HARRIS COUNTY
HB 2999 Bonnen; SB 1809 Huffman
Amends 11.23
The bills add that in a county with a population of 3.3
million or more (Harris County), all real and personal
property owned by a nonprofit corporation organized
exclusively for benevolent, charitable and educational
purposes is exempt. The property uses add research
and auxiliary uses to support the organization, such as
invention, development and dissemination of
materials, tools, technologies, etc.
Status: HB 2999 left pending in House Ways &
Means 3/29/17. SB 1809 referred to Senate
Finance 3/23/17.
DISABLED VETERAN AND SURVIVING
SPOUSE GRANTED ADDITIONAL
PERCENTAGE HOMESTEAD EXEMPTION
HB 3002, HJR 97 Miller
Adds 11.134, 11.42, 11.43, 11.431, 26.1127, 31.031;
adds Tex. Const. Art. 8, Sec. 1-b(o)
The bill and constitutional amendment add a new
homestead exemption for a disabled veteran with a
disability rating of at least 80% but less than 100%.
The veteran receives the same percentage exemption
as the disabled veteran’s disability rating. The
surviving spouse receives that same percentage
homestead exemption if the spouse has not remarried
and the spouse resided in that home and continues to
reside in that home. The surviving spouse may
transfer the dollar amount of the exemption from that
home to a subsequent homestead if the surviving
spouse remains unmarried. The chief appraiser
provides a written certificate for the surviving spouse
to use to claim the exemption on the subsequent
homestead. The exemption applies on January 1 as if
the home qualified for the entire year.
Proposed Effective: 1/1/2018, if amendment is passed
by Texas voters November 7, 2017.
Means 3/27/17.
USE REQUIREMENT DEFINED FOR TANGIBLE
PERSONAL PROPERTY MOVING IN AND OUT
OF TEXAS
HB 3103 Darby
Amends 11.01
The bill addresses tangible personal property used in
Texas and outside of Texas to determine its situs for
taxation. The property is considered to be used
continually in Texas, whether regularly or irregularly,
if the property is used in Texas three or more times on
regular routes or for three or more completed
assignments occurring in close succession throughout
the year. A series of events in close succession are if
they occur in sequence within a short period of
intervals from the beginning to the end of the year.

CHIEF APPRAISER LIMITED IN REQUESTING
IDENTIFICATION FOR HOMESTEAD
EXEMPTION; TAX COLLECTOR SENDS
REFUND TO ADDRESS STATED BY OWNER
HB 3446 Yvonne Davis
Amends 11.43, 25.027, 26.15, 31.12
The bill provides that the chief appraiser may not
require an applicant for a homestead exemption to
provide any other identification, except current law on
driver’s license or state ID, to determine homestead
address, unless the chief appraiser possesses
reasonable evidence that the address is not the
applicant’s homestead. A chief appraiser may not
require both spouses of a married couple to sign the
residence homestead exemption application. A chief
appraiser may not require proof of marriage. The chief
appraiser may not deny or cancel an exemption for an
expired state ID or because the individual has a
temporary license or limited term license. The bill
changes Section 25.027, which provides that the CAD
may not post on its website a property owner’s age or
information that the owner is 65 years of age or older,
to state that this age information does not apply to a
non-searchable appraisal or tax roll dataset available
for download only. For a refund on a residence
homestead, the owner may request that the tax
collector send the refund to a particular address. If no
written request is made, the tax collector sends the
refund to the owner’s most recent mailing address in
the records of the tax collector. See also Tax
Collections.
Status: Filed.
SURVIVING SPOUSE OF TOTALLY DISABLED
VETERAN RECEIVES TOTAL HOMESTEAD
EXEMPTION
HB 3498, HJR 105 White
Amends 11.131; amends Tex. Const. Art. 8, Sec. 1-b
The bill removes the current requirement that the
residence homestead of the totally disabled veteran
was also the same homestead of the surviving spouse
on the date that the veteran died. The only
requirement is that the surviving spouse has not
remarried since the death of the disabled veteran.
3/20/17.
TAX LIMITATION APPLIES TO HOMESTEAD
RENDERED UNINHABITABLE BY NATURAL
DISASTER
HB 3584, HJR 108 Neave
Adds 11.262 and amends 23.19, 26.012; amends
Education Code 44.004; amends Government Code
403.302;
The bill and constitutional amendment add a tax
limitation on homesteads damaged in disaster area
declared by the governor following a natural disaster
and rendered uninhabitable or unusable. A taxing unit
may not increase during the limitation that takes effect
on January 1 of the first tax year following the disaster
and expires on January 1 of the earlier of first tax year
following fifth year after the disaster or the first tax
year that the homeowner or surviving spouse no
longer claims the limitation. The homeowner submits
a limitation application to the chief appraiser no later
than the first anniversary of the date the home was
rendered uninhabitable or unusable. The limitation is
the taxes imposed on the homestead in the tax year it
was rendered uninhabitable or unusable. The chief
appraiser certifies the taxable value loss for a school
district to the Comptroller. Current total value in
Truth-in-Taxation calculation excludes the total value
of homesteads that qualify for the tax limitation. The
school district notice of proposed budget and tax rate
includes a statement on the limitation.
Status: HJR 108 re-referred to House Ways &
Means 3/30/17. HB 3584 referred to House Ways
& Means 3/30/17.
INCOME APPROACH USED AND EXEMPTION
CHANGES MADE TO COMMUNITY LAND
TRUSTS
HB 3447 Rodriquez; SB 1931 West
Amends 11.182, 11.1827, 11.436, 23.21; amends
Local Government Code 373B.003
The bills revise the exemption qualifications for a
community land trust to remove the requirement to
meet the strict Tax Code Section 11.18 provisions for
exclusively used. The community land trust is

organized as a nonprofit corporation, a limited
partnership with a nonprofit corporation controlling
100% of the general partner interest or a limited
liability company with the nonprofit as the only
member. Once the governing body of a taxing unit
grants the exemption, the property continues to
receive the exemption until the governing body
rescinds by official action. In appraising for low-
income housing, the chief appraiser is directed to use
the income approach, taking into account the
limitation in computing actual rental income and
projecting future rental income and using the same
capitalization rate used to appraise other rent-
restricted properties. If the sale of a housing unit is
subject to an eligible land use restriction, the chief
appraiser may not appraise the housing unit in a tax
year that exceeds the price for which the housing unit
may be sold under the restriction for that tax year.
Eligible land use restriction is an agreement recorded
in the real property records, has a term of at least 40
years, restricts sales price that may be less than market
value and restricts sale of unit to a family meeting
income-eligibility standards.
Status: SB 1931 referred to Senate
Intergovernmental Relations 3/27/17.
PEACE OFFICER IN HIGH CRIME AREA
GRANTED TOTAL HOMESTEAD EXEMPTION
HB 3908, HJR 115 D Bonnen
Adds 11.137; adds Tex. Const. Art. 9, Sec. 1-b(u)
The bill and constitutional amendment provide for a
total homestead exemption for a peace officer,
employed by Texas or by a political subdivision of
Texas, if the officer’s homestead is in a qualified high
crime area. Qualified crime area is a census tract in
the most recent decennial census that is one of the 100
census tracts in Texas with the highest per capita rate
of arrests made for offenses under Penal Code Title 5.
The Texas Department of Public Safety (DPS)
performs an analysis of crime statistics for the
preceding tax year to identify the 100 census tracts.
DPS publishes the list in the Texas Register. The
exemption would begin January 1, 2019.
Means 3/29/17.
LOWER-INCOME HOMEOWNER GRANTED
TAX LIMITATION IF HOME IS IN HOMESTEAD
PRESERVATION DISTRICT
HB 3920, HJR 116 Thierry
Adds 11.263 and amends 23.19, 26.012; amends
Education Code 44.004; amends Government Code
403.302; adds Tex. Const. Art. 8, Sec. 1-b(s)
The bill and constitutional amendment grant a tax
limitation to a lower-income person whose homestead
is in a homestead preservation district, as defined by
Local Government Code Section 373A.002. A lower-
income homeowner has a household income not
greater than 60% of the area’s annual median family
income, adjusted for household size, for the metro
statistical area in which the homestead is located. The
governing body of a taxing unit by official action
adopts a limitation on the total annual taxes imposed
on a lower-income homeowner in a preservation
district. If adopted, the taxing unit may not increase
the total annual taxes on the homestead the greater of
(1) the taxes in the first tax year in which the
limitation was in effect and the lower-income
homeowner received the residence homestead
exemption or (2) the taxes plus taxes on any new
improvements to the homestead, other than normal
repairs or government requirements. An improvement
that is a replacement structure for one rendered
uninhabitable or unusable is not considered a new
improvement. If the tax limitation is erroneously
allowed, the positive difference in any tax is imposed
for each year and back taxes are due. The surviving
spouse of a qualified individual receives the tax
limitation if the homestead was and remains the
surviving spouse’s home. If a school district grants
the limitation, the chief appraiser determines the value
loss and certifies it to the Comptroller. The
Comptroller adjusts the Property Value Study for the
value loss. The TNT values do not include the total
value of the homesteads with a tax limitation for this
provision. The school notice of proposed budget and
tax rate includes a statement about this limitation.
3/20/17.

LEGISLATURE AUTHORIZED TO EXEMPT
PRECIOUS METALS FROM TAXATION
HJR 113 Capriglione
Adds Tex. Const. Art. 8 Sec. 1-p
The constitutional amendment would authorize the
Legislature to exempt bullion, special and precious
metals held by the Texas Bullion Depository from
taxation. Precious metals include gold, silver,
platinum, palladium and rhodium.
Proposed Effective: If voters approve constitutional
amendment November 7, 2017.
3/20/17.
FIRST RESPONDER’S SURVIVING SPOUSE
HOMESTEAD EXEMPTED
SB 15 Huffines, SJR 1 Campbell; HB 570, HJR 86
Button; HB 2524, HJR 88 Fallon
Adds 11.134; amends 11.42, 11.43, 11.431, 26.10,
26.112; amends Government Code 403.302; adds
Tex. Const. Art. 8, Sec. 1-b(o) and (p)
These bills and constitutional provisions provide a
100% homestead exemption to the surviving spouse
of a first responder killed while on duty. The
exemption is transferrable in its dollar amount to a
new homestead. The exemption is effective if the
surviving spouse is an eligible survivor for purposes
of Government Code Chapter 615, as determined by
the Employees Retirement System, and has not
remarried since the death of the first responder. The
exemption applies regardless of the date of the first
responder’s death if the surviving spouse meets the
qualifications. A one-time application is required. The
application must be made within one year of
qualification to be timely for the first year. The
exemption applies for the whole first year but is
prorated off if property ceases to qualify. The
Comptroller adjusts the property values for school
districts for state aid adjustments to compensate
schools for the loss.
Status: SB 15, SJR 1 passed Senate, with one floor
amendment, and received in House 3/14/17. HB
570 referred to House Ways & Means 2/20/17.
HJR 86 referred to House Ways & Means 3/9/17.
HJR 88 referred to House Ways & Means 3/20/17
and HB 2524 3/23/17.
FIRST RESPONDER RECEIVES ADDITIONAL
HOMESTEAD EXEMPTION
HB 3264, HJR 102 Anderson
Adds 11.136 and amends 11.13, 11.42, 11.43, 11.431,
26.10, 26.1125; amends Government Code 403.302;
adds Tex. Const. Art. 8, Sec. 1-b(q), (r), (s) and (t)
The bill and constitutional amendment provides for an
additional $10,000 homestead exemption by a taxing
unit to a first responder, if the residence homestead is
located in the political subdivision that employs the
first responder. If the first responder is employed by
the state, the exemption is granted regardless of the
location of the residence homestead. A disabled first
responder who sustained the injury during official
duties and the injury is a total disability resulting in
permanent incapacity that has been for more than 12
months has the total homestead value exempted. The
surviving spouse of the disabled first responder
continues the total exemption if the surviving spouse
has not remarried and surviving spouse lived in that
home and remains in that home. If the disabled first
responder is unmarried, any surviving children are
entitled to the exemption of the same property if one
or more are younger than 18 years of age and
unmarried and live in the home and continue living in
the home. A one-time application is required. The
application must be made within one year of
qualification to be timely for the first year. The
exemption applies for whole first year but is prorated
off if property ceases to qualify. The Comptroller
adjusts the property values for school districts for
state aid adjustments to compensate schools for the
loss.
Means 3/28/17.
DISABLED VETERAN HOMESTEAD
EXEMPTION HAS LATE APPLICATION
SB 97 Hall
Amends 11.431; adds 11.4311
The bill authorizes the acceptance of the application
of a disabled veteran’s homestead exemption within
one year after the date the Veteran’s Administration
approves the veteran for 100% disability.

LOCAL EXEMPTION BY CERTAIN TAXING
UNITS GRANTED IN DOLLAR AMOUNT, WITH
REDUCING OR REPEALING PERCENTAGE
HOMESTEAD EXEMPTION AND ADJUSTING
IN TRUTH-IN-TAXATION RATES
SB 418, SJR 29 Watson
Amends 11.13, 25.23, 26.012; amends Tex. Const.
Art. 8, Sec. 1-b
The bill and constitutional amendment provide that a
municipality or county that adopted a percentage
homestead exemption in 2014 may repeal that
exemption if it adopts a dollar amount of homestead
exemption of at least $5,000 by December 31, 2019.
The exemption is adopted before July 1. If the
average homestead appraised value in the unit
exceeds $25,000, based on the appraisal records, then
the governing body may authorize a larger dollar
amount not to exceed an amount equal to 20% of the
average homestead’s value in the year that the
exemption is adopted. A homeowner who received
the percentage homestead exemption is entitled to
continue to receive that percentage exemption if it is
higher than the dollar amount exemption. This choice
ends when the home’s ownership changes or there is
a change in the trustor or beneficiary of the trust if the
homestead is in a qualifying trust. The amount of the
dollar exemptions is excluded from the current total
value in the truth-in-taxation calculations.
CHARITY THAT DOES TAX RETURNS EXEMPT
FROM PROPERTY TAXES
SB 1345 Watson
Amends 11.18
The bill exempts a charitable organization’s property
used to provide tax return preparation and other
financial services without the beneficiaries’ ability to
pay.
Status: Scheduled for hearing in Senate Finance
4/3/17.
TAX LIEN ON ERRONEOUS EXEMPTION
ADDED TO APPRAISAL ROLL IS NOT
ENFORCED AGAINST NEW OWNER
SB 1745, SJR 55 Hinojosa
Amends 11.43; amends Tex. Const. Art. 8, Sec. 15
The bill and constitutional amendment provide that if
the chief appraiser adds property or appraised value
that was erroneously exempted in a prior year to the
appraisal roll, a tax lien may not be enforced against
the property for payment of taxes, penalties or interest
as a result of adding the property if at any time after
January 1 of that year the property was sold in an
arm’s length transaction to a person who was not
related to the seller within the first degree by blood or
marriage. See also Delinquent Tax Litigation.
Proposed Effective: 9/1/2017. Not contingent on
voter approval of constitutional amendment
November 7, 2017.
Status: SJR 55 referred to Senate Finance 3/21/17
and SB 1745 3/23/17.
COUNTY FAIRS ASSOCIATION EXEMPTION
CHANGED TO REFER TO TEXAS RACING ACT
SB 1969 Kolkhorst
Amends 11.23 and various sections of Occupations
Code Title 13
The bill changes the cite for the county fairs
association exemption from Article 179e, Vernon’s
Texas Civil Statutes to Subtitle A-1, Title 13,
Occupations Code, Texas Racing Act.
Status: Referred to Senate Committee on
Administration 3/27/17.
PROCEDURES CHANGED FOR THE
POLLUTION CONTROL EXEMPTION
SB 2028 Rodriquez; HB 4219 Perez
Amends 11.31 and 11.43
The bill requires the Texas Commission on
Environmental Quality (TCEQ) to adopt by rule a list
of property that is used wholly as a facility, device or
method for controlling pollution. The TCEQ
executive director can use previously determined
property to compile the list. TCEQ reviews the list
every five years. The fact that a property is on the list
and TCEQ determined previously it was pollution
control property does not preclude the chief appraiser
from cancelling the exemption if the chief appraiser
determines the property is no longer installed or no
longer used. An exemption expires at the end of five
years. To continue to receive the exemption, the
person must file a new permit application or

exemption request with TCEQ executive director and
a new application with the chief appraiser by
September 1 in the year the exemption expires.
Exemptions granted before 1998 tax year expire the
end of 2018 tax year unless the person uses the
renewal process. Exemptions granted before 2003 but
not before 1998 expire at the end of 2019 tax year.
Exemptions granted before 2009 but not before 2003
expire at the end of the 2020 tax year. Exemptions
granted before 2011 but not before 2009 expire at the
end of the 2021 tax year. Exemptions granted before
2018 but not before 2011 expires at the end of the
2022 tax year. The exception for these expirations is
that the property is on the TCEQ list of properties. The
pollution control exemption returns to being an
annual application process.
FREEPORT PROPERTY EXEMPTION
EXTENDED TO FULL YEAR AND OTHER
CHANGES
SB 2043 Bettencourt
Amends 11.251
The bill extends the current exemption for freeport
property from 175 days to 365 days to be transported
out of Texas. No SJR was filed for the constitutional
amendment.
Proposed Effective: 1/1/2018, if approve the
constitutional amendment. No SJR filed to call for
amendment at election November 7, 2017.
Special Valuation
UNCOMMON AGRICULTURAL USES ADDED
FOR OPEN-SPACE LAND APPRAISAL ON
SMALL LAND TRACTS
HB 231 Rodriguez; similar SB 700 Zaffirini
Adds 23.5215; amends 23.51
These bills add guidelines for uncommon agricultural
uses, particularly for small-scale producers on land
under 10 acres. In consultation with the Texas A&M
AgriLife Extension Service, appraisal districts and
producers, the Comptroller shall develop these
guidelines and may consider financial investment,
degree of active management and percentage of land
tract used for ag uses. The chief appraiser shall
distinguish between the degree of intensity required
for various agricultural methods, including organic,
sustainable, pastured poultry, rotational grazing and
other uncommon methods. Producing fruits and
vegetables is added to the definition of agricultural
use. Land under 10 acres that qualified under these
guidelines may not subsequently qualify for wildlife
management use.
Proposed Effective: 9/1/2017, and applies to appraisal
of land for 2019 tax year and after.
Status: SB 700 referred to Senate Finance 2/15/17.
HB 231 referred to House Agriculture & Livestock
2/21/17.
OPEN SPACE AG ROLLBACK SHORTENED TO
TWO YEARS
HB 320 Canales
Amends 23.55
The bill changes the length of the rollback of taxes for
changing land from agricultural use from the
preceding five years to the preceding two years.
Status: Scheduled for hearing in House
Agriculture and Livestock 3/22/17 but not heard.
WILDLIFE MANAGEMENT VALUE IS AT
NATIVE PASTURE CATEGORY, WITH NO
REQUIREMENT FOR PRIOR YEAR OPEN-
SPACE LAND QUALIFICATION
HB 643 Phillips
Amends 23.51, 23.52
The bill changes the definition of wildlife
management to remove the requirement that the land
was qualified open-space land or qualified timber
land at the time it was changed to wildlife
management. The wildlife management value is
based on the native pasture category value.
OPEN-SPACE AG ROLLBACK TAX REPEALED
HB 801 Murphy; HB 1880 Hefner
Repeals 23.55; amends 1.07, 23.20, 23.52, 23.551,
23.58, 31.01, 41.41, 41.44; amends Agriculture Code
60.022; amends Property Code 21.0421

Texas Bills Filed For 2017

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Texas Bills Filed For 2017