FOR IMMEDIATE RELEASE:

Jury Verdict: Groundbreaking Victory for Barvin in First Post-Texas Disposal Property Tax Trial

FORT WORTH, TEXAS – February 19, 2025 – PPG Tax and McDonald Law Firm have secured a landmark jury verdict for Barvin, owner of the Soap Factory Apartments in San Antonio, Texas. This case marks the first commercial property tax jury trial in Texas following the Texas Supreme Court’s Texas Disposal decision, a ruling that has fundamentally reshaped how property tax appeals are defended by appraisal districts.

The Texas Disposal ruling affirmed that both taxpayers and appraisal districts have the right to discovery of market value data (including sale prices) in equal and uniform appeals—the central issue in this case. While many in the industry feared Texas Disposal would strengthen appraisal districts, this case proves otherwise. The PPG/McDonald team not only completely neutralized the property’s purchase price, which was admitted into evidence, they also successfully used Texas Disposal to expose BCAD’s flawed methodologies and force critical admissions under oath.

BCAD’s Admission Under Oath Raises Serious Questions

For the first time ever in a Texas property tax trial, Kevin Katsuda, Litigation Coordinator for the Bexar Appraisal District (BCAD), was called by the property owner as a witness. Under examination, Katsuda was forced to admit:

• BCAD does not conduct equal and uniform assessments before issuing appraised value notices.
• BCAD only performs an equal and uniform analysis if a property owner disputes their valuation.
• BCAD’s failure to conduct this analysis is a matter of policy, not oversight.

This policy, which is not unique to BCAD, effectively shifts the burden onto taxpayers, forcing them to challenge valuations to learn if they’re equitable rather than receiving fair assessments upfront.

This testimony exposes a fundamental lack of accountability and potential serious legal and ethical concerns within appraisal district processes—raising urgent questions about fairness, transparency, and the burden placed on property owners.

Jury Rejects BCAD’s Inflated Valuation

The jury dismissed BCAD’s flawed valuation approach, agreeing with PPG that the market value of Soap Factory was not relevant to the determination of its equal and uniform value. The jury gave far more weight to PPG’s expert appraiser, Steve Lewis of CBRE Houston, cutting BCAD’s proposed 45.3% valuation increase down to just 2.8% and setting the value of the property at only 77.4% of its transaction price—a powerful precedent reinforcing the need for appraisal districts to conduct fair and uniform assessments.

“This verdict is a game-changer for property owners across Texas,” said Jonathan Gilstrap, Principal and Founder of PPG Tax. “It sends a clear message: market value of a subject property is irrelevant to its equal and uniform value. All property owners have the right to a fair, transparent, and equitable assessment, period—and when appraisal districts fail to meet that standard, we will fight for our clients and win.”

Unmatched Litigation & Property Tax Strategy

The case was led by Dan McDonald and Haillee Bowles of McDonald Law Firm, who executed a highly effective trial strategy that dismantled BCAD’s valuation approach. Their expert appraiser, Steve Lewis of CBRE Houston, delivered a rock-solid equal and uniform analysis, while PPG’s subject-matter experience and cross-examination guidance proved pivotal in securing this jury verdict.

“Texas Disposal is not the disaster it appeared to every other tax mitigation professional in Texas. Rather, in the hands of the PPG/McDonald Law Firm team, it can be used as a cudgel to force accountability and expose appraisal district overreach,” said Dan McDonald, Founding Partner of McDonald Law Firm.