By: Ritter H.B. No. 4592
A BILL TO BE ENTITLED
AN ACT
relating to the exemption from ad valorem taxation of real property
leased to and used by certain schools.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 11, Tax Code, is amended by
adding Section 11.211 to read as follows:
Sec. 11.211. REAL PROPERTY LEASED TO CERTAIN SCHOOLS. A
person is entitled to an exemption from taxation of the real
property that the person owns and leases to a school that is
qualified as provided by Section 11.21(d) if:
(1) the real property is used exclusively by the
school for educational functions;
(2) the real property is reasonably necessary for the
operation of the school.
(3) the owner certifies by affidavit to the school
that the lease payments shall be reduced to the extent of the
exemption received.
(4) the owner discloses to the school the full amount
of the benefit derived from the exemption and the method for
ensuring that the school receives such benefit.
(5) the school receives the full benefit derived from
the exemption through either an annual or monthly credit to the
charter school's lease payments.
SECTION 2. This Act applies only to ad valorem taxes imposed
for a tax year beginning on or after the effective date of this Act.
SECTION 3. This Act takes effect January 1, 2010, but only
if the constitutional amendment authorizing the legislature to
exempt from ad valorem taxation real property leased to certain
schools organized and operated primarily for the purpose of
engaging in educational functions is approved by the voters. If
that amendment is not approved by the voters, this Act has no
effect.