Proposing a constitutional amendment to authorize the legislature to exempt from ad valorem taxation a renewable energy device, structure, facility, or system installed or constructed on residential property, land designated for agricultural use, or open-space land devoted to farm or ranch purposes for the generation of energy for use in connection with the property.
Impact
If passed, this amendment would significantly alter how renewable energy installations are treated under Texas tax law. The exemption from ad valorem taxation would reduce the financial burden on property owners who invest in renewable energy systems like solar panels or wind turbines. By incentivizing the use of such systems, HJR72 could lead to increased energy independence and environmental sustainability in the state, aligning with broader national trends toward renewable energy adoption.
Summary
HJR72 proposes a constitutional amendment that would allow the Texas legislature to exempt certain renewable energy devices from ad valorem taxation. Specifically, it targets devices, structures, facilities, or systems installed or constructed on residential properties, lands designated for agricultural use, or open-space lands devoted to farm or ranch purposes. The aim is to promote the generation of renewable energy for use in connection with these properties, thereby encouraging the adoption of green energy solutions among Texans.
Contention
One notable point of contention surrounding HJR72 is the potential impact on state and local revenue. Critics may argue that while promoting renewable energy is beneficial, the tax exemption could limit the funds available for public services traditionally supported by property taxes. This concern would especially resonate in communities that depend on steady tax revenues for schools, infrastructure, and essential services. Therefore, the discussion will likely involve balancing the long-term benefits of renewable energy against the immediate fiscal implications.
Enabled by
Relating to an exemption from ad valorem taxation of a renewable energy device, structure, facility, or system installed or constructed on residential property, land designated for agricultural use, or open-space land devoted to farm or ranch purposes for the generation of energy for use in connection with the property.
Proposing a constitutional amendment to authorize the legislature to limit the maximum appraised value for ad valorem tax purposes in a tax year of land designated for agricultural use or open-space land devoted to farm, ranch, or wildlife management purposes to a specified percentage of the appraised value of the land for the preceding tax year.
Proposing a constitutional amendment to authorize the legislature to exempt from ad valorem taxation property used to control pollution, regardless of whether the property is used to meet or exceed rules or regulations adopted for that purpose.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation real property used to operate a child-care facility.
Proposing a constitutional amendment authorizing the legislature to exempt from ad valorem taxation real property used to operate a child-care facility.
Proposing a constitutional amendment to authorize the legislature to define certain terms for purposes of the exemption from ad valorem taxation of farm products in the hands of a producer and to authorize the commissioners court of a county to exempt from ad valorem taxation by each political subdivision that taxes the property the portion of the assessed value of a person's property that is attributable to the installation in or on the property of a rainwater harvesting or graywater system.
Proposing a constitutional amendment to authorize the legislature to exempt from ad valorem taxation the portion of the assessed value of a person's property that is attributable to the installation or construction in or on the property of border security infrastructure.
Proposing a constitutional amendment to authorize the legislature to provide for an exemption from ad valorem taxation of the amount of the market value of real property that arises from the installation in the property of certain energy efficiency-related improvements.
Relating to the exemption from ad valorem taxation of certain assets used for agricultural production and to the authority of a county commissioners court to adopt an exemption from ad valorem taxation by each taxing unit that taxes the property of the portion of the appraised value of a person's property that is attributable to the installation in or on the property of certain water conservation systems.
Relating to the operation of certain wind-powered devices near certain aviation facilities and the receipt of certain ad valorem tax incentives for property on which such devices are constructed or installed; authorizing an administrative penalty.