Binding Arbitration Stephanie Mata Information and Customer - PowerPoint PPT Presentation

Texas Comptroller of Public Accounts Binding Arbitration Stephanie Mata Information and Customer Services Supervisor 1

Texas Comptroller of Public Accounts Receive ARB Final Order File Request and Deposit with CAD CAD Completes Request and Sends to CPA CPA Accepts/Rejects/Asks for More Information Once Accepted – Settlement Period Arbitrator Assigned Hearing Scheduled and Held Award Issued Refund Processed 2

Texas Comptroller of Public Accounts History of Arbitration 2019 Legislative Changes Current and Future Rule Changes New Arbitration System Questions 3

Texas Comptroller of Public Accounts History of Arbitration 12,000 Number of Requests 10,697 10,761 10,000 8,000 6,000 4,358 4,000 2,154 1,079 1,255 1,528 1,598 1,489 2,000 994 839 647 404 89 - 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 4

Texas Comptroller of Public Accounts 2018 Arbitrations by Deposit Amount 6,873 613 2,971 240 288 $450 $500 $800 $1,050 $1,550 5

Texas Comptroller of Public Accounts Number of Counties 105 93 92 2016 2017 2018 6

Texas Comptroller of Public Accounts 2018 Agent Representation No Agent Agent 20% 80% 7

Texas Comptroller of Public Accounts 2018 Acceptance/Denials Accepted 82% Denied 18% 8

Texas Comptroller of Public Accounts 2018 Withdrawals Not Withdrawn 62% Withdrawn 38% 9

Texas Comptroller of Public Accounts 2018 Results Property Owner Win 53% CAD Win 47% 10

Texas Comptroller of Public Accounts 2019 Arbitration Law Changes - Immediate SB 1876 - HB 1802 Contiguous Same property 60 days to file owner Improved or Removes CAD unimproved certification Touching or Cure period for share a common application boundary defects Determined using CAD records or legal descriptions 11

Texas Comptroller of Public Accounts 2019 Arbitration Law Changes – Jan. 1 Arbitrator manual and training Contiguous (same as SB 1876) SB 2 Arbitrators attending ARB training Arbitrator ineligibility Arbitrator assignment process – property owner choice 12

Texas Comptroller of Public Accounts Arbitration Rule Changes - Now 9.4253 – Agent 9.4254 – Appraisal 9.4252 – Request for Representation in District Responsibility Arbitration Arbitration for Request 9.4264 – Payment of Arbitrator Fee, Refund of 9.4261 – Provision of 9.4255 – Comptroller Property Owner Arbitration Services Processing of Request Deposit, and Correction of Appraisal Roll 13

Texas Comptroller of Public Accounts 9.4252 – Request for Arbitration Filing date Contiguous definition Removes reference to wet ink signature 14

Texas Comptroller of Public Accounts AP-219 – Request for Binding Arbitration Form Updated to reflect statutory Allows one person to receive and rule changes the correspondence and another to receive the refund 15

Texas Comptroller of Public Accounts 9.4253 – Agent Representation in Arbitration Removes reference to wet ink signature Removes ability for property owner to cross through specific duties Allows an alternate agent to act without formal notification to CAD and arbitrator if with same company 16

Texas Comptroller of Public Accounts 50-791 Appointment of Agent(s) for Binding Arbitration 17

Texas Comptroller of Public Accounts 50-791 Appointment of Agent(s) for Binding Arbitration 18

Texas Comptroller of Public Accounts 9.4254 – Appraisal District Responsibility for Request Amends CAD rejection to only be for insufficient deposit Removes CAD certification Requires CAD to provide supporting documentation for unchecked items 19

Texas Comptroller of Public Accounts 9.4255 – Comptroller Processing of Request Adds cure period description Clarifies time period for timely withdrawal Removes reference to wet ink signature 20

Texas Comptroller of Public Accounts 9.4261 – Provision of Arbitration Services Filing date 21

Texas Comptroller of Public Accounts 9.4264 – Payment of Arbitrator Fee, Refund of Property Owner Deposit, and Correction of Appraisal Roll Clarifies time period for timely withdrawal 22

Texas Comptroller of Public Accounts Arbitration Rule Changes - Upcoming 9.4257 – Application 9.4256 – Comptroller for Inclusion in Appointment of Comptroller’s Registry Arbitrators of Arbitrators 9.4259 – Arbitrator 9.4262 – Removal of Eligibility for a Arbitrator from the Particular Registry of Arbitrators Appointment 23

Texas Comptroller of Public Accounts 9.4256 – Comptroller Appointment of Arbitrators Assignment of Arbitrators • Property owner may request in-county or out-of- county arbitrator on request form • If no arbitrators reside in the county, they have to be assigned an out-of-county arbitrator • Cannot designate a specific arbitrator 24

Texas Comptroller of Public Accounts 9.4257 – Application for Inclusion in Comptroller’s Registry of Arbitrators Arbitration manual New training • Training on manual • Emphasis on equal and uniform • ARB training for new applicants 25

Texas Comptroller of Public Accounts 9.4259 – Arbitrator Eligibility for a Particular Appointment Ineligibility from 5 years to 2 years 26

Texas Comptroller of Public Accounts 9.4262 – Removal of Arbitrator from the Registry of Arbitrators Failure to complete required training 27

Texas Comptroller of Public Accounts Tips for Agents If you are not sure about something, call us Fill everything out Double-check your deposit Provide a taxpayer ID number, SSN, or FEIN Do not forget your AOA If the owner is not an individual, section 2 of the AOA must be completed 28

Texas Comptroller of Public Accounts New system Credit Card/Bank Electronic Filing Draft Payments Case Electronic Management Communication and Reports 29

Texas Comptroller of Public Accounts Questions? 30

Texas Comptroller of Public Accounts For More Information Visit the Arbitration Website: comptroller.texas.gov/taxes/property-tax/arbitration/ Call Us: 800-252-9121 Email Us: ptad.cpa@cpa.texas.gov 31