The Texas Legislature has passed Senate Bill 1245 relating to the Farm and Ranch Survey conducted by the Comptroller for the purpose of estimating productivity value of qualified open- spaced land as a part of the study of Texas school district taxable values.
Per TX House Representative Andrew Murr, “ This session, I authored multiple pieces of legislation aimed at address issues in the Ag appraisal process and worked closely with Senator Charles Perry on Senate Bill 1245. SB 1245 takes strong steps towards ensuring the accuracy and reliability of the Farm and Ranch Survey for both landowners and the chief appraisers so land used for agricultural purposes can be best appraised for tax purposes. Numerous problems still exist in the Ag appraisal and the broader property tax protest processes, and I am committed to keep improving those process for every Texas.”
Per the Bill, Sub chapter M, Chapter 403, Government Code, is amended by adding Section 403.3022. Under this section, the Comptroller shall conduct an annual Farm and Ranch survey for the purpose of estimating the productivity value of qualified open spaced lands.
The Comptroller shall also prepare and issue an Instructional guide that provides information to assist individuals in completed the Farm and Ranch survey. The guide must include:
(1) Definitions of words related to property appraisal in the Survey.
(2) Instructions and examples regarding how to answer the questions in the Survey.
(3) Answers to frequently asked questions, and
(4) Any other information the Comptroller determines is necessary to assist individuals in completing the Survey.
At lest once each year, the Comptroller shall conduct an on-line or in person informational session that is open to the public regarding how to complete the Survey. The Comptroller shall post a recording of the informational session on the Controller’s internet website.
At least once each year, the Comptroller shall solicit comments form the public and the Property Tax Administration Advisory Board for the purpose of:
(1) Determining the ease and understanding of the Survey, and
(2) Ensuring that the questions in the Survey are designed to generate reliable answers.
The Chief appraiser of each appraisal district shall distribute the Farm and Ranch Survey Instructional Guide to the members of the Agricultural Advisory Board for the appraisal district, and shall provide information to the Board regarding how to access the informational session. The chief appraiser my distribute the Instructional Guide electronically.
The Comptroller shall distribute the Farm and Ranch Survey Instruction Guide to individuals who receive the Farm and Ranch Survey from the Comptroller, and shall provide information to those individual regarding how to access the information session. This Act takes effect on September 1, 2021.
Editor’s note- A local citizen is helping lead the charge for uniform appraising of Ag property values throughout the State of Texas.
Currently, there is discrepancy between the information appraisers are given and the formulas they use to determine Ag values versus the information and formulas used by the Comptroller. There are multiple sets of data available which are being applied according to the procedure of the office or district. The Comptroller’s office also appears to have multiple data sets that may or may not match the districts.
Passing Senate Bill 1245 will help clarify methodologies, creating a more streamlined, straight forward approach to ag valuations for districts across the State of Texas. Had this individual (and others like him) not been diligent with appraisal review board protests throughout the State, the discrepancies and different formulations used, would not have been brought to the forefront.
Neither the Appraisal Districts or the Comptroller’s office hold any ill will or ill intent from what I have seen. No one is doing anything wrong, in this instance, there is no right or wrong. True and correct values are being applied using the data given, however not everyone is using the same data sources. In my opinion, the problem is truly a product of multiple data sets being applied in different ways because of the lack of uniform procedures throughout the State. SB 1245 passing will be the first step in ensuring ag values are appraised apples to apples. CWG