HBA-GUM H.B. 3052 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3052
By: King, Tracy
Ways & Means
4/7/1999
Introduced



BACKGROUND AND PURPOSE 

Current law requires a chief appraiser to consider the three standard
methods of appraisal (cost, income, and market data comparison) when
determining the market value of property.  After consideration, the chief
appraiser must use the method the chief appraiser considers most
appropriate, thus including in the statute the subjective opinion of the
chief appraiser.  Some believe that his statutory incorporation of the
subjective opinion of the appraiser may preclude a property owner from
protesting that the wrong appraisal method was used. 

Current law requires the chief appraiser to use comparable sales data when
using the market data comparison method "if possible."  The phrase "if
possible" is contradicting with use of the market data comparison method of
appraisal, which requires use of comparable sales data.  

H.B. 3052 requires a chief appraiser to use the most appropriate method of
appraisal when determining property value.  The bill also requires the
chief appraiser to use comparable sales data when using the market value
method of appraisal. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 23.0101, Tax Code, to require the chief
appraiser to use the most appropriate method, rather than the method the
chief appraiser considers most appropriate, in determining the market value
of property. 

SECTION 2.  Amends Section 23.013, Tax Code, as follows:

Section 23.013.  Market Data Comparison Method of Appraisal.  Deletes "if
possible," thus requiring the chief appraiser to use comparable sales data
when using the market data comparison method of appraisal to determine the
market value of real property. 

SECTION 3. Emergency clause.
  Effective date: upon passage.