Texas 2009 - 81st Regular

Texas Senate Bill SB1458 Compare Versions

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1	1	S.B. No. 1458
2	2
3	3
4	4	AN ACT
5	5	relating to the authority of certain taxing units to enter into an
6	6	ad valorem tax abatement agreement.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 312.006, Tax Code, as amended by
9	9	Chapters 1029 (H.B. 1449) and 1505 (H.B. 1200), Acts of the 77th
10	10	Legislature, Regular Session, 2001, is reenacted and amended to
11	11	read as follows:
12	12	Sec. 312.006. EXPIRATION DATE. If not continued in effect,
13	13	this chapter expires September 1, 2019 [2009].
14	14	SECTION 2. Subchapter A, Chapter 312, Tax Code, is amended
15	15	by adding Section 312.007 to read as follows:
16	16	Sec. 312.007. DEFERRAL OF COMMENCEMENT OF ABATEMENT PERIOD.
17	17	(a) In this section, "abatement period" means the period during
18	18	which all or a portion of the value of real property or tangible
19	19	personal property that is the subject of a tax abatement agreement
20	20	is exempt from taxation.
21	21	(b) Notwithstanding any other provision of this chapter,
22	22	the governing body of the taxing unit granting the abatement and the
23	23	owner of the property that is the subject of the agreement may agree
24	24	to defer the commencement of the abatement period until a date that
25	25	is subsequent to the date the agreement is entered into, except that
26	26	the duration of an abatement period may not exceed 10 years.
27	27	SECTION 3. Section 312.402, Tax Code, is amended by
28	28	amending Subsection (a) and adding Subsections (a-1), (a-2), and
29	29	(a-3) to read as follows:
30	30	(a) The commissioners court may execute a tax abatement
31	31	agreement with the owner of taxable real property located in a
32	32	reinvestment zone designated under this subchapter or with the
33	33	owner of tangible personal property located on real property in a
34	34	reinvestment zone to exempt from taxation all or a portion of the
35	35	value of the real property, all or a portion of the value of the
36	36	tangible personal property located on the real property, or all or a
37	37	portion of the value of both[. The court may execute a tax
38	38	abatement agreement with the owner of a leasehold interest in
39	39	tax-exempt real property or leasehold interests or improvements on
40	40	tax-exempt real property that is located in a reinvestment zone
41	41	designated under this subchapter to exempt a portion of the value of
42	42	tangible personal property or leasehold interests or improvements
43	43	on tax-exempt real property located on the real property. The
44	44	execution, duration, and other terms of an agreement made under
45	45	this section are governed by the provisions of Sections 312.204,
46	46	312.205, and 312.211 applicable to a municipality. Section
47	47	312.2041 applies to an agreement made by a county under this section
48	48	in the same manner as it applies to an agreement made by a
49	49	municipality under Section 312.204 or 312.211].
50	50	(a-1) The commissioners court may execute a tax abatement
51	51	agreement with the owner of a leasehold interest in tax-exempt real
52	52	property located in a reinvestment zone designated under this
53	53	subchapter to exempt all or a portion of the value of the leasehold
54	54	interest in the real property. The court may execute a tax
55	55	abatement agreement with the owner of tangible personal property or
56	56	an improvement located on tax-exempt real property that is located
57	57	in a designated reinvestment zone to exempt all or a portion of the
58	58	value of the tangible personal property or improvement located on
59	59	the real property.
60	60	(a-2) The execution, duration, and other terms of an
61	61	agreement entered into under this section are governed by the
62	62	provisions of Sections 312.204, 312.205, and 312.211 applicable to
63	63	a municipality. Section 312.2041 applies to an agreement entered
64	64	into under this section in the same manner as that section applies
65	65	to an agreement entered into under Section 312.204 or 312.211.
66	66	(a-3) The commissioners court may execute a tax abatement
67	67	agreement with a lessee of taxable real property located in a
68	68	reinvestment zone designated under this subchapter to exempt from
69	69	taxation all or a portion of the value of the fixtures,
70	70	improvements, or other real property owned by the lessee and
71	71	located on the property that is subject to the lease, all or a
72	72	portion of the value of tangible personal property owned by the
73	73	lessee and located on the real property that is the subject of the
74	74	lease, or all or a portion of the value of both the fixtures,
75	75	improvements, or other real property and the tangible personal
76	76	property described by this subsection.
77	77	SECTION 4. Section 312.007, Tax Code, as added by this Act,
78	78	is intended to clarify rather than change existing law.
79	79	SECTION 5. An ad valorem tax abatement agreement that was
80	80	executed before the effective date of this Act by the commissioners
81	81	court of a county and an owner of taxable real property or tangible
82	82	personal property or an owner of a leasehold interest in tax-exempt
83	83	real property, under Section 312.402, Tax Code, as that section
84	84	existed before the effective date of this Act, that provides for an
85	85	exemption from taxation of all or a portion of the value of real
86	86	property, tangible personal property, or both, or of all or a
87	87	portion of the value of a leasehold interest in tax-exempt real
88	88	property, that is not invalid for a reason other than an
89	89	inconsistency with Section 312.402, Tax Code, as that section
90	90	existed before the effective date of this Act, and that is
91	91	consistent with Section 312.402, Tax Code, as amended by this Act,
92	92	is ratified and validated as of the date the agreement was executed.
93	93	SECTION 6. This Act takes effect immediately if it receives
94	94	a vote of two-thirds of all the members elected to each house, as
95	95	provided by Section 39, Article III, Texas Constitution. If this
96	96	Act does not receive the vote necessary for immediate effect, this
97	97	Act takes effect September 1, 2009.
98	98	______________________________ ______________________________
99	99	President of the Senate Speaker of the House
100	100	I hereby certify that S.B. No. 1458 passed the Senate on
101	101	April 16, 2009, by the following vote: Yeas 31, Nays 0; and that
102	102	the Senate concurred in House amendment on May 30, 2009, by the
103	103	following vote: Yeas 31, Nays 0.
104	104	______________________________
105	105	Secretary of the Senate
106	106	I hereby certify that S.B. No. 1458 passed the House, with
107	107	amendment, on May 27, 2009, by the following vote: Yeas 148,
108	108	Nays 0, one present not voting.
109	109	______________________________
110	110	Chief Clerk of the House
111	111	Approved:
112	112	______________________________
113	113	Date
114	114	______________________________
115	115	Governor