Eligibility to Serve as a CAD Board of Directors

To be eligible to serve as an elected member of the CAD board of directors, an individual must meet the following eligibility requirements:

• The general eligibility requirements for public office in Section 141.001 of the Texas Election Code, except that the residency requirement in Section 141.001(a)(5) is longer for CAD Board candidates than for most other offices. (Please see the next bullet point for residency requirements.).
• Requirements specific to CAD director candidates:
  • The individual must be a resident of the county when filing and also have resided in the county for at least two years immediately before the date the individual takes office (Sec. 6.0301, Tax Code). This is a longer residency requirement than the general rule outlined in Section 141.001 of the Election Code. Because the residence requirement in the Tax Code is more specific than the general residency requirement (meaning that it applies to one office, and not all offices), the longer requirement prevails. See Brown v. Patterson, 609 S.W.2d 287 (Tex. App.—Dallas 1980).
  • Someone who is otherwise eligible to serve on the board is not ineligible because of membership on the governing body of a taxing unit.
  • An employee of a taxing unit that participates in the district is not eligible to serve on the board unless the individual is also a member of the governing body or an elected official of a taxing unit that participates in the district. (Sec. 6.0301, Tax Code).

Ineligibility to Serve as a CAD Director

Broadly, there are four reasons that a candidate might be ineligible to run for CAD Board director: nepotism, late tax payments, term limits, and conflict of interest.

• Ineligibility Because of Nepotism: Under Tax Code Section 6.035(a)(1), individuals are ineligible to serve on a CAD board of directors and disqualified from employment as chief appraiser if they are related to someone who appraises property for compensation for use in proceedings under Title 1 of the Tax Code (which deals with property taxes) or who represents property owners for compensation in property-tax related proceedings in the appraisal district. To be ineligible under this provision, the candidate (or potential employee) must be related within the second degree by consanguinity (blood) or affinity (marriage), as defined by Chapter 573, Government Code.
  Serving as a board director while knowingly in violation of this provision is a Class B misdemeanor. (Sec. 6.035(b), Tax Code).
• Ineligibility Because of Late Tax Payments: Under Tax Code Section 6.035(a)(2), individuals are ineligible to serve on CAD boards and disqualified from employment as chief appraiser if they own property on which delinquent taxes have been owed to a taxing unit for more than 60 days after the individual knew or should have known of the delinquency.
  There are two exceptions to this rule. A person who would otherwise be ineligible because of late tax payments is still eligible if: (1) the delinquent taxes and any penalties and interest are being paid under an installment-payment agreement under Section 33.02 of the Tax Code; or (2) a suit to collect the delinquent taxes is deferred or abated under Sections 33.06 or 33.065 of the Tax Code.
• Ineligibility Because of Term Limits: Under Section 6.035(a-1)(1), individuals are ineligible to serve on a CAD board if they served as a member of the board of directors for all or part of five terms, unless: (1) the individual was the county assessor-collector when the individual served as a board member; or (2) the appraisal district is established in a county with a population of less than 120,000.
• Ineligibility Because of Potential Conflict of Interest: Under Section 6.035(a-1)(2) and (3), individuals are ineligible to serve on a CAD board if they: (1) appraised property for compensation for use in proceedings under Tax Code Title 1 during the preceding three years; or (2) represented property owners for compensation in proceedings under Title 1 in the appraisal district during the preceding three years; or (3) have been an employee of the appraisal district during the preceding three years.

Also, an individual is not eligible to be a candidate for, to be appointed to, or to serve on the CAD Board if the individual or a business entity in which the individual has a substantial interest is a party to a contract with:

• the appraisal district; or
• a taxing unit that participates in the appraisal district, if the contract relates to the performance of an activity governed by Title 1 of the Tax Code. (Sec. 6.036(a), Tax Code).

Duties

Statutory Responsibilities:

• establishing the appraisal district office;
• hiring a chief appraiser;
• adopting the appraisal district’s annual operating budget after filing notice and holding a public hearing;
• adopting a new budget if voting taxing units disapprove of the initial budget;
• determining whether to remove members of the appraisal review board if the board of directors of the appraisal district is the appointing authority and potential grounds for removal arise;
• notifying voting taxing units of any vacancy in an appointive position on the board and electing a replacement from submitted nominees;
• appointing a person to fill a vacancy in an elective position on the board;
• electing a chairman and a secretary of the board at the first meeting each year;
• holding board meetings at least quarterly;
• developing and implementing policies regarding reasonable access to the board;
• preparing information describing the board’s functions and complaint procedures and making that information available to the public and to participating taxing units;
• notifying parties to a complaint filed with the board of the status of the complaint, unless otherwise provided;
• in populous counties, appointing a taxpayer liaison officer and deputy taxpayer liaison officers;
• annually evaluating the performance of the taxpayer liaison officer and any deputy taxpayer liaison officers, including reviewing the timeliness of complaint resolution;
• referring matters investigated by a taxpayer liaison officer relating to the appraisal review board’s conduct to the local administrative district judge with a recommendation;
• developing a biennial written plan for the periodic reappraisal of all property in the appraisal district, filing notice and holding a public hearing on the plan, approving the plan, and distributing copies of the plan to participating taxing units and the comptroller;
• making agreements with newly formed taxing units on an estimated budget allocation for that taxing unit;
• having an annual financial audit prepared by an independent certified public accountant, delivering a copy of the audit to each voting taxing unit, and making the audit available for inspection at the appraisal district office;
• designating the appraisal district depository biennially;
• receiving resolutions from voting taxing units disapproving of board actions;
• adhering to local government code requirements for purchasing and entering into contracts:
• providing advice and consent to the chief appraiser concerning the appointment of an agricultural appraisal advisory board and determining the number of members of that advisory board;
• adhering to laws concerning the preservation, microfilming, destruction, or other disposition of records; and
• adopting and implementing a policy for the temporary replacement of a member of an appraisal review board who violates ex parte communication requirements.