Texas 2009 - 81st Regular

Texas House Bill HB1605 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	81R9706 JD-F
2	2	By: Swinford H.B. No. 1605
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of the commissioners court of a county to
8	8	enter into an ad valorem tax abatement agreement.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 312.402, Tax Code, is amended by
11	11	amending Subsection (a) and adding Subsections (a-1), (a-2), and
12	12	(a-3) to read as follows:
13	13	(a) The commissioners court may execute a tax abatement
14	14	agreement with the owner of taxable real property located in a
15	15	reinvestment zone designated under this subchapter or with the
16	16	owner of tangible personal property located on real property in a
17	17	reinvestment zone to exempt from taxation all or a portion of the
18	18	value of the real property, all or a portion of the value of the
19	19	tangible personal property located on the real property, or all or a
20	20	portion of the value of both. [The court may execute a tax
21	21	abatement agreement with the owner of a leasehold interest in
22	22	tax-exempt real property or leasehold interests or improvements on
23	23	tax-exempt real property that is located in a reinvestment zone
24	24	designated under this subchapter to exempt a portion of the value of
25	25	tangible personal property or leasehold interests or improvements
26	26	on tax-exempt real property located on the real property. The
27	27	execution, duration, and other terms of an agreement made under
28	28	this section are governed by the provisions of Sections 312.204,
29	29	312.205, and 312.211 applicable to a municipality. Section
30	30	312.2041 applies to an agreement made by a county under this section
31	31	in the same manner as it applies to an agreement made by a
32	32	municipality under Section 312.204 or 312.211.]
33	33	(a-1) The commissioners court may execute a tax abatement
34	34	agreement with a lessee of taxable real property located in a
35	35	reinvestment zone designated under this subchapter to exempt from
36	36	taxation all or a portion of the value of fixtures, improvements, or
37	37	other real property owned by the lessee and located on the property
38	38	that is the subject of the lease, all or a portion of the value of
39	39	tangible personal property owned by the lessee and located on the
40	40	real property that is the subject of the lease, or all or a portion
41	41	of the value of both.
42	42	(a-2) The commissioners court may execute a tax abatement
43	43	agreement with the owner of a leasehold interest in tax-exempt real
44	44	property located in a reinvestment zone designated under this
45	45	subchapter to exempt all or a portion of the value of the leasehold
46	46	interest in the real property. The court may execute a tax
47	47	abatement agreement with the owner of tangible personal property or
48	48	an improvement located on tax-exempt real property that is located
49	49	in a designated reinvestment zone to exempt all or a portion of the
50	50	value of the tangible personal property or improvement located on
51	51	the real property.
52	52	(a-3) The execution, duration, and other terms of an
53	53	agreement entered into under this section are governed by the
54	54	provisions of Sections 312.204, 312.205, and 312.211 applicable to
55	55	a municipality, except that although an agreement may not exceed 10
56	56	years in duration, the agreement may include a provision that
57	57	defers the effective date of the agreement, or the date that the
58	58	exemption takes effect, to a date agreed to by the commissioners
59	59	court and the owner or lessee of the property that is the subject of
60	60	the agreement. Section 312.2041 applies to an agreement entered
61	61	into under this section in the same manner as that section applies
62	62	to an agreement entered into under Section 312.204 or 312.211.
63	63	SECTION 2. An ad valorem tax abatement agreement that was
64	64	executed before the effective date of this Act by the commissioners
65	65	court of a county and an owner or lessee of taxable real property or
66	66	an owner of tangible personal property, under Section 312.402, Tax
67	67	Code, as that section existed before the effective date of this Act,
68	68	that provides for an exemption from taxation of all or a portion of
69	69	the value of real property, tangible personal property, or both,
70	70	that is not invalid for a reason other than an inconsistency with
71	71	Section 312.402, Tax Code, as that section existed before the
72	72	effective date of this Act, and that is consistent with Section
73	73	312.402, Tax Code, as amended by this Act, is ratified and validated
74	74	as of the date the agreement was executed.
75	75	SECTION 3. This Act takes effect immediately if it receives
76	76	a vote of two-thirds of all the members elected to each house, as
77	77	provided by Section 39, Article III, Texas Constitution. If this
78	78	Act does not receive the vote necessary for immediate effect, this
79	79	Act takes effect September 1, 2009.