TITLE 34.PUBLIC FINANCE

Part 1. COMPTROLLER OF PUBLIC ACCOUNTS

Chapter 9. PROPERTY TAX ADMINISTRATION

Subchapter A. PRACTICE AND PROCEDURE

34 TAC §9.107

The Comptroller of Public Accounts adopts an amendment to §9.107, concerning appraised value limitation and tax credit for certain qualified property, without changes to the proposed text as published in the April 21, 2006, issue of the Texas Register (31 TexReg 3357).

The section is being amended in response to 79th Legislature, 2005, House Bill 2201, effective September 1, 2005, amending Tax Code, §313.024(b). The new law adds clean coal projects and gasification projects for coal and biomass mixtures as uses of property that are eligible for appraised value limitations.

Subsection (b) is amended to add to the definitions of qualified property eligible for appraised value limitations, to correct standard industrial code references, for clarification, and to omit a reference to Government Code, §481.151 in subparagraph (D), as the provision has expired.

Subsection (c), concerning adopted by reference Form 50-296, is being revised to comply with changes in law and to include other matters necessary to make a determination of a property's qualification for a value limitation.

Subsection (o) is being amended to clarify the requirements for submitting and reviewing applications for tax credits and for administering the tax credit program under Tax Code, Chapter 313.

Subsection (p) is being amended to correct the state agency where the chief appraiser must send an annual report of properties that are subject to an appraised value limitation. Other subsections are amended for clarity.

No comments were received regarding adoption of the amendment.

The amendment is adopted under and implements Tax Code, §§313.024(b), 313.104, and 313.105.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 23, 2006.

TRD-200602884

Martin Cherry

Chief Deputy General Counsel

Comptroller of Public Accounts

Effective date: June 12, 2006

Proposal publication date: April 21, 2006

For further information, please call: (512) 475-0387


Subchapter I. VALIDATION PROCEDURES

34 TAC §9.4037

The Comptroller of Public Accounts adopts an amendment to §9.4037, concerning use of electronic communications for transmittal of property tax information, to conform to Tax Code, §25.19(b-1), without changes to the proposed text as published in the April 21, 2006, issue of the Texas Register (31 TexReg 3362). The statute requires that the chief appraiser of each county appraisal district include in the notice of appraised value for real property, the difference, expressed as a percentage increase or decrease, in the appraised value of the property for the current year as compared to the fifth year before the current tax year.

The section is being amended in response to 79th Legislature, 2005, House Bill 1984, effective January 1, 2006. The law requires additional information to be included on notices of appraised value prepared by appraisal districts. Subsection (d)(1), the electronic XML document schema, is amended to include the percentage increase in value required to be included in the notices of appraised value.

No comments were received regarding adoption of the amendment.

The amendment is adopted under and implements Tax Code, §25.19(b-1) and §1.085(e).

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 23, 2006.

TRD-200602885

Martin Cherry

Chief Deputy General Counsel

Comptroller of Public Accounts

Effective date: June 12, 2006

Proposal publication date: April 21, 2006

For further information, please call: (512) 475-0387


Part 3. TEACHER RETIREMENT SYSTEM OF TEXAS

Chapter 41. HEALTH CARE AND INSURANCE PROGRAMS

Subchapter C. TEXAS SCHOOL EMPLOYEES GROUP HEALTH (TRS-ACTIVECARE)

34 TAC §§41.42 - 41.44, 41.53

The Board of Trustees (Board) of the Teacher Retirement System of Texas (TRS) adopts the repeal of the following rules concerning certain TRS pass-through funding programs that have been transferred or are unfunded: 34 TAC §41.42, relating to the payment of supplemental compensation; 34 TAC §41.43, relating to the payment of state assistance for meeting minimum effort; 34 TAC §41.44, relating to the payment of additional support for certain school districts paying Social Security taxes; and 34 TAC §41.53, relating to the waiting period for supplemental compensation. The repeals of §§41.42 - 41.44, and 41.53 are adopted without changes as published in the March 31, 2006 issue of the Texas Register (31 TexReg 2834).

Recent legislation (Senate Bill 1691 and Senate Bill 1863, 79th Texas Legislature, Regular Session) transfers the functions and duties relating to the compensation supplementation program from TRS to the Texas Education Agency (TEA), effective September 1, 2005. As of this date, TRS has completed all functions relating to the compensation supplementation program, including the final payment of fiscal year 2005 supplemental compensation. Accordingly, the Board adopts the repeal of related TRS rules §41.42, concerning the payment of supplemental compensation, and §41.53, concerning the waiting period for supplemental compensation.

The payment of state assistance for meeting minimum effort was established during the 77th Texas Legislature, Regular Session, by Texas Insurance Code Article 3.50-9, now recodified as Chapter 1581 of the Texas Insurance Code. Funding for this assistance was provided through fiscal year 2004, but no funding has since been provided by the Texas Legislature. Future funding for this assistance does not seem likely to occur. Accordingly, the Board adopts the repeal of related TRS rule §41.43, concerning the payment of state assistance for meeting minimum effort.

The payment of additional support for certain school districts paying Social Security taxes was also established during the 77th Texas Legislature, Regular Session, by Texas Insurance Code Article 3.50-9, recodified as Chapter 1581 of the Texas Insurance Code. Funding for this support was provided through fiscal year 2003, but no funding has since been provided by the Texas Legislature. Future funding for this support does not appear likely to occur. Accordingly, the Board adopts the repeal of related TRS rule §41.44, concerning the payment of additional support for certain school districts paying Social Security taxes.

TRS received no public comments on the proposed repeals of §§41.42 - 41.44, and 41.53.

Statutory Authority: The repeals are adopted under §825.102, Government Code, which authorizes the Board to adopt rules for the administration of TRS funds and for the transaction of Board business; in addition, the repeal of TRS §41.44 is adopted under §1581.703, Insurance Code, which authorizes TRS to adopt rules as necessary to implement Chapter 1581, Subchapter O, Insurance Code, relating to additional support for certain school districts paying Social Security taxes.

Cross-Reference to Statute: For the adopted repeals of §41.42 and §41.53--Act of May 27, 2005, 79th Legislature, Regular Session, Senate Bill 1691, §56, Chapter 1359, and Act of May 29, 2005, 79th Legislature, Regular Session, Senate Bill 1863, §18.07, Chapter 899, which transfer the functions and duties of TRS with respect to the compensation supplementation program established under Chapter 1580, Insurance Code, and other applicable law, and any appropriation relating to that program are transferred to TEA and providing that a reference in law to TRS with respect to the compensation supplementation program means TEA; for the adopted repeal of §41.43--Chapter 1581, Subchapter C, Insurance Code, relating to state assistance for meeting minimum effort; and for the adopted repeal of §41.44--Chapter 1581, Subchapter O, Insurance Code, relating to additional support for certain school districts paying Social Security taxes.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 24, 2006.

TRD-200602907

Ronnie G. Jung

Executive Director

Teacher Retirement System of Texas

Effective date: June 13, 2006

Proposal publication date: March 31, 2006

For further information, please call: (512) 542-6483