Reappraisals could be ‘double-edged sword'

BROWNSVILLE - Reappraising property damaged by Hurricane Dolly could prove to be a "double-edged sword," Cameron County Judge Carlos Cascos said Thursday.

The state's Tax Code allows for the reappraisal of property damaged in a natural disaster area. However, while lowering appraisals might immediately help property owners, it could eventually lead to a higher property tax rate.

Section 23.02 of the Tax Code allows the governing bodies of taxing units in an area declared by the governor to be a natural disaster area to authorize the reappraisal of all property damaged in the disaster at its market value immediately after the disaster.

"We would have to make up the difference somehow, and it would be on the tax rate," Cascos said. "Are they really going to save that much?"

The Cameron Appraisal Review Board approved the new appraisal records on July 11, just 12 days before Hurricane Dolly struck Cameron County and neighboring counties.

On Tuesday, the City Commission unanimously voted to acknowledge Chief Appraiser Frutoso M. Gomez Jr.'s certification of the new tax roll. The tax roll forms the basis of the city's tax rate and projected tax revenues for the coming fiscal year of operations, starting Oct. 1.

"If a taxing unit authorizes a reappraisal pursuant to this section, the appraisal office shall complete the reappraisal as soon as practicable," the provision states.

If taxing entities opt for reappraisals, they would have to pay for the cost involved or could share in the cost. The reappraisal would be effective as of the date of the disaster. There are 40 taxing entities in Cameron County.

The county is in the midst of developing its operating budget and is looking at a $1 million shortfall without a tax increase. A reduction in tax revenues would only affect operations more, he said.

Cascos along with Mayor Pat M. Ahumada Jr., who is an appraiser, were not familiar with the provision in the code that allows for reappraisals, but both said they would look into it.

Gomez, away from the city, was not available for comment.