Texas 2017 - 85th Regular

Texas Senate Bill SB600 Compare Versions

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

Old	New	Differences
1	1	85R6485 TJB-D
2	2	By: Burton S.B. No. 600
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the repeal of the Texas Economic Development Act.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. The following provisions of the Tax Code are
10	10	repealed:
11	11	(1) Section 312.0025; and
12	12	(2) Chapter 313.
13	13	SECTION 2. The heading to Section 42.2515, Education Code,
14	14	is amended to read as follows:
15	15	Sec. 42.2515. ADDITIONAL STATE AID FOR AD VALOREM TAX
16	16	CREDITS UNDER FORMER TEXAS ECONOMIC DEVELOPMENT ACT.
17	17	SECTION 3. Sections 403.302(d) and (m), Government Code,
18	18	are amended to read as follows:
19	19	(d) For the purposes of this section, "taxable value" means
20	20	the market value of all taxable property less:
21	21	(1) the total dollar amount of any residence homestead
22	22	exemptions lawfully granted under Section 11.13(b) or (c), Tax
23	23	Code, in the year that is the subject of the study for each school
24	24	district;
25	25	(2) one-half of the total dollar amount of any
26	26	residence homestead exemptions granted under Section 11.13(n), Tax
27	27	Code, in the year that is the subject of the study for each school
28	28	district;
29	29	(3) the total dollar amount of any exemptions granted
30	30	before May 31, 1993, within a reinvestment zone under agreements
31	31	authorized by Chapter 312, Tax Code;
32	32	(4) subject to Subsection (e), the total dollar amount
33	33	of any captured appraised value of property that:
34	34	(A) is within a reinvestment zone created on or
35	35	before May 31, 1999, or is proposed to be included within the
36	36	boundaries of a reinvestment zone as the boundaries of the zone and
37	37	the proposed portion of tax increment paid into the tax increment
38	38	fund by a school district are described in a written notification
39	39	provided by the municipality or the board of directors of the zone
40	40	to the governing bodies of the other taxing units in the manner
41	41	provided by former Section 311.003(e), Tax Code, before May 31,
42	42	1999, and within the boundaries of the zone as those boundaries
43	43	existed on September 1, 1999, including subsequent improvements to
44	44	the property regardless of when made;
45	45	(B) generates taxes paid into a tax increment
46	46	fund created under Chapter 311, Tax Code, under a reinvestment zone
47	47	financing plan approved under Section 311.011(d), Tax Code, on or
48	48	before September 1, 1999; and
49	49	(C) is eligible for tax increment financing under
50	50	Chapter 311, Tax Code;
51	51	(5) the total dollar amount of any captured appraised
52	52	value of property that:
53	53	(A) is within a reinvestment zone:
54	54	(i) created on or before December 31, 2008,
55	55	by a municipality with a population of less than 18,000; and
56	56	(ii) the project plan for which includes
57	57	the alteration, remodeling, repair, or reconstruction of a
58	58	structure that is included on the National Register of Historic
59	59	Places and requires that a portion of the tax increment of the zone
60	60	be used for the improvement or construction of related facilities
61	61	or for affordable housing;
62	62	(B) generates school district taxes that are paid
63	63	into a tax increment fund created under Chapter 311, Tax Code; and
64	64	(C) is eligible for tax increment financing under
65	65	Chapter 311, Tax Code;
66	66	(6) the total dollar amount of any exemptions granted
67	67	under Section 11.251 or 11.253, Tax Code;
68	68	(7) the difference between the comptroller's estimate
69	69	of the market value and the productivity value of land that
70	70	qualifies for appraisal on the basis of its productive capacity,
71	71	except that the productivity value estimated by the comptroller may
72	72	not exceed the fair market value of the land;
73	73	(8) the portion of the appraised value of residence
74	74	homesteads of individuals who receive a tax limitation under
75	75	Section 11.26, Tax Code, on which school district taxes are not
76	76	imposed in the year that is the subject of the study, calculated as
77	77	if the residence homesteads were appraised at the full value
78	78	required by law;
79	79	(9) a portion of the market value of property not
80	80	otherwise fully taxable by the district at market value because of:
81	81	(A) action required by statute or the
82	82	constitution of this state, other than Section 11.311, Tax Code,
83	83	that, if the tax rate adopted by the district is applied to it,
84	84	produces an amount equal to the difference between the tax that the
85	85	district would have imposed on the property if the property were
86	86	fully taxable at market value and the tax that the district is
87	87	actually authorized to impose on the property, if this subsection
88	88	does not otherwise require that portion to be deducted; or
89	89	(B) action taken by the district under Subchapter
90	90	B or C, Chapter 313, Tax Code, before the repeal [expiration] of
91	91	that [the] subchapter;
92	92	(10) the market value of all tangible personal
93	93	property, other than manufactured homes, owned by a family or
94	94	individual and not held or used for the production of income;
95	95	(11) the appraised value of property the collection of
96	96	delinquent taxes on which is deferred under Section 33.06, Tax
97	97	Code;
98	98	(12) the portion of the appraised value of property
99	99	the collection of delinquent taxes on which is deferred under
100	100	Section 33.065, Tax Code; and
101	101	(13) the amount by which the market value of a
102	102	residence homestead to which Section 23.23, Tax Code, applies
103	103	exceeds the appraised value of that property as calculated under
104	104	that section.
105	105	(m) Subsection (d)(9) does not apply to property that was
106	106	the subject of an application under former Subchapter B or C,
107	107	Chapter 313, Tax Code, made after May 1, 2009, that the comptroller
108	108	recommended should be disapproved.
109	109	SECTION 4. Section 2303.507, Government Code, is amended to
110	110	read as follows:
111	111	Sec. 2303.507. TAX INCREMENT FINANCING AND ABATEMENT[;
112	112	LIMITATIONS ON APPRAISED VALUE]. Designation of an area as an
113	113	enterprise zone is also designation of the area as a reinvestment
114	114	zone for:
115	115	(1) tax increment financing under Chapter 311, Tax
116	116	Code; and
117	117	(2) tax abatement under Chapter 312, Tax Code[; and
118	118	[(3) limitations on appraised value under Chapter 313,
119	119	Tax Code].
120	120	SECTION 5. Section 23.03, Tax Code, is amended to read as
121	121	follows:
122	122	Sec. 23.03. COMPILATION OF LARGE PROPERTIES AND PROPERTIES
123	123	SUBJECT TO LIMITATION ON APPRAISED VALUE. Each year the chief
124	124	appraiser shall compile and send to the Texas [Department of]
125	125	Economic Development and Tourism Office a list of properties in the
126	126	appraisal district that in that tax year:
127	127	(1) have a market value of $100 million or more; or
128	128	(2) are subject to a limitation on appraised value
129	129	under former Chapter 313.
130	130	SECTION 6. Section 26.012(6), Tax Code, is amended to read
131	131	as follows:
132	132	(6) "Current total value" means the total taxable
133	133	value of property listed on the appraisal roll for the current year,
134	134	including all appraisal roll supplements and corrections as of the
135	135	date of the calculation, less the taxable value of property
136	136	exempted for the current tax year for the first time under Section
137	137	11.31 or 11.315, except that:
138	138	(A) the current total value for a school district
139	139	excludes:
140	140	(i) the total value of homesteads that
141	141	qualify for a tax limitation as provided by Section 11.26; and
142	142	(ii) new property value of property that is
143	143	subject to an agreement entered into under former Chapter 313; and
144	144	(B) the current total value for a county,
145	145	municipality, or junior college district excludes the total value
146	146	of homesteads that qualify for a tax limitation provided by Section
147	147	11.261.
148	148	SECTION 7. Section 151.359(k), Tax Code, is amended to read
149	149	as follows:
150	150	(k) A data center is not eligible to receive an exemption
151	151	under this section if the data center is subject to an agreement
152	152	limiting the appraised value of the data center's property under
153	153	former Subchapter B or C, Chapter 313.
154	154	SECTION 8. Section 151.3595(j), Tax Code, is amended to
155	155	read as follows:
156	156	(j) A data center is not eligible to receive an exemption
157	157	under this section if the data center is subject to an agreement
158	158	limiting the appraised value of the data center's property under
159	159	former Subchapter B or C, Chapter 313.
160	160	SECTION 9. Section 171.602(f), Tax Code, is amended to read
161	161	as follows:
162	162	(f) The comptroller may not issue a credit under this
163	163	section before the later of:
164	164	(1) September 1, 2018; or
165	165	(2) the expiration of an agreement under former
166	166	Chapter 313 regarding the clean energy project for which the credit
167	167	is issued.
168	168	SECTION 10. Section 312.403(a), Tax Code, is amended to
169	169	read as follows:
170	170	(a) In this section, "nuclear electric power generation"
171	171	means activities described in category 221113 of the 2002 North
172	172	American Industry Classification System [has the meaning assigned
173	173	by Section 313.024(e)].
174	174	SECTION 11. Chapter 320, Tax Code, is amended by adding
175	175	Section 320.002 to read as follows:
176	176	Sec. 320.002. SAVING PROVISIONS AFTER REPEAL OF CHAPTER
177	177	313. (a) An agreement limiting the appraised value of property
178	178	approved under Subchapter B or C, Chapter 313, before the repeal of
179	179	that subchapter continues in effect according to that subchapter as
180	180	that subchapter existed immediately before its repeal, and that law
181	181	is continued in effect for purposes of the agreement.
182	182	(b) The repeal of Subchapter D, Chapter 313, does not affect
183	183	a property owner's entitlement to a tax credit granted under that
184	184	subchapter if the property owner qualified for the tax credit
185	185	before the repeal of that subchapter.
186	186	SECTION 12. This Act takes effect immediately if it
187	187	receives a vote of two-thirds of all the members elected to each
188	188	house, as provided by Section 39, Article III, Texas Constitution.
189	189	If this Act does not receive the vote necessary for immediate
190	190	effect, this Act takes effect September 1, 2017.