By: Taylor of Collin, et al. S.B. No. 717
 
  (Davis of Harris)
 
   
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the reappraisal for ad valorem tax purposes of property
  damaged in a disaster.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 23.02, Tax Code, is amended to read as
  follows:
         Sec. 23.02.  REAPPRAISAL OF PROPERTY DAMAGED IN DISASTER
  AREA. (a)  The chief appraiser of an appraisal district that
  appraises property for [governing body of] a taxing unit that is
  located partly or entirely inside an area declared to be a disaster
  area by the governor shall reappraise [may authorize reappraisal
  of] all property that the Federal Emergency Management Agency or
  its successor agency estimates to have sustained five percent or
  greater damage as a result of [damaged in] the disaster at its
  market value immediately after the disaster.
         (a-1)  Notwithstanding Subsection (a), a property owner may
  refuse to have the owner's property reappraised under this section.
         (b)  The chief appraiser [If a taxing unit authorizes a
  reappraisal pursuant to this section, the appraisal office] shall
  complete the reappraisal not later than the 45th day after the date
  the governor declares the area to be a disaster area [as soon as
  practicable].
         (b-1)  Notwithstanding Subsection (b), if the Federal
  Emergency Management Agency or its successor agency does not
  complete the damage estimates described by Subsection (a) on or
  before the deadline for completing the reappraisal prescribed by
  Subsection (b), the chief appraiser shall complete the reappraisal
  as soon as practicable after the damage estimates are completed.
         (b-2)  The chief appraiser [appraisal office] shall include
  on the appraisal records, in addition to other information required
  or authorized by law:
               (1)  the date of the disaster; and
               (2)  the appraised value of the property after the
  disaster[; and
               [(3)     if the reappraisal is not authorized by all
  taxing units in which the property is located, an indication of the
  taxing units to which the reappraisal applies].
         (c)  A taxing unit for which property is reappraised [that
  authorizes a reappraisal] under this section must pay the appraisal
  district all the costs of making the reappraisal. If property in
  the same territory is reappraised for two or more taxing units
  [provide for the reappraisal in the same territory], each unit
  shall share the costs of the reappraisal in that territory in the
  proportion the total dollar amount of taxes each unit imposed in
  that territory in the preceding year bears to the total dollar
  amount of taxes all units [providing for reappraisal of that
  territory] imposed in that territory in the preceding year.
         (d)  If property damaged in a disaster is reappraised for a
  taxing unit as provided by this section, the governing body of the
  taxing unit shall provide for prorating the taxes on the property
  for the year in which the disaster occurred.  The [If the taxes are]
  prorated[,] taxes due on the property are determined as follows:
  the taxes on the property based on its value on January 1 of that
  year are multiplied by a fraction, the denominator of which is 365
  and the numerator of which is the number of days before the date the
  disaster occurred; the taxes on the property based on its
  reappraised value are multiplied by a fraction, the denominator of
  which is 365 and the numerator of which is the number of days,
  including the date the disaster occurred, remaining in the year;
  and the total of the two amounts is the amount of taxes on the
  property for the year.
         (e)  The comptroller may adopt rules to implement and
  administer this section.
         SECTION 2.  The change in law made by this Act applies only
  to the reappraisal of property located in an area that is declared
  to be a disaster area by the governor on or after the effective date
  of this Act. The reappraisal of property located in an area that
  was declared to be a disaster area by the governor before the
  effective date of this Act is governed by the law as it existed
  immediately before the effective date of this Act, and that law is
  continued in effect for that purpose.
         SECTION 3.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2017.