I have not heard about binding arbitration. Please explain it.

The property owner files a request for binding arbitration within 45 days after receiving official notice of the appraisal review board’s decision. The property owner completes a form, remits payment of a $500 deposit and lists a requested value. The appraisal district forwards the request for binding arbitration to the Comptroller. The Texas Comptroller facilitates selection of an arbitrator who holds a binding arbitration hearing. There is an exchange of evidence prior to the hearing. Both the property owner and the appraisal district have an option to present evidence at the hearing. The arbitrator will make a final decision regarding the assessed value for the year. If the value is less than the value set by the appraisal review board, the assessed value for property taxes will be reduced. The assessed value for property taxes will not be increased as a result of the binding arbitration hearing. The Comptroller retains $50 for facilitating the binding arbitration process. If the arbitrator selects a number closer to the property owner’s value, the appraisal district pays for the cost of the binding arbitration and the property owner receives a refund of $450 from the deposit. If the value selected by the arbitrator is closer to the appraisal district’s value, the property owner does not receive a refund of any portion of the deposit. If the value is less than the value set by the appraisal review board, the value is reduced.