88R26130 CXP/CJC-D
By: Slawson, Buckley, Rogers H.B. No. 1443
Substitute the following for H.B. No. 1443:
By: Dean C.S.H.B. No. 1443
A BILL TO BE ENTITLED
AN ACT
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.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 320, Tax Code, is amended by adding
Section 320.002 to read as follows:
Sec. 320.002. PROPERTY INELIGIBLE FOR TAX INCENTIVES. (a)
In this section:
(1) "Military aviation facility" has the meaning
assigned by Section 312.0021.
(2) "Qualifying property" means a parcel of land that
is located wholly or partly in a reinvestment zone, a new building
constructed on the parcel of land, a new improvement erected or
affixed on the parcel of land, or tangible personal property placed
in service in the building or improvement or on the parcel of land.
(3) "Wind-powered energy device" has the meaning
assigned by Section 11.27.
(b) Notwithstanding any other law, an owner of qualifying
property may not receive an exemption from ad valorem taxation or a
limitation on appraised value for the qualifying property under an
agreement entered into under a law enacted as part of a program to
encourage economic development in an area designated as a
reinvestment zone if, on or after the date the agreement is entered
into, a wind-powered energy device is installed or constructed on
the qualifying property at a location that is within 25 nautical
miles of the boundaries of a military aviation facility located in
this state. The prohibition provided by this subsection applies
regardless of whether the wind-powered energy device is installed
or constructed at a location that is in the reinvestment zone.
SECTION 2. Section 39.002, Utilities Code, as amended by
Chapters 908 (H.B. 4492) and 950 (S.B. 1580), Acts of the 87th
Legislature, Regular Session, 2021, is reenacted and amended to
read as follows:
Sec. 39.002. APPLICABILITY. This chapter, other than
Sections 39.151, 39.1516, 39.155, 39.157(e), 39.159, 39.160,
39.203, 39.904, 39.9051, 39.9052, 39.9056, and 39.914(e), and
Subchapters M and N, does not apply to a municipally owned utility
or an electric cooperative. Sections 39.157(e), 39.203, and
39.904, however, apply only to a municipally owned utility or an
electric cooperative that is offering customer choice. If there is
a conflict between the specific provisions of this chapter and any
other provisions of this title, except for Chapters 40 and 41, the
provisions of this chapter control.
SECTION 3. Subchapter Z, Chapter 39, Utilities Code, is
amended by adding Section 39.9056 to read as follows:
Sec. 39.9056. OPERATION OF WIND-POWERED GENERATION
FACILITY NEAR JOINT-USE AIRPORT. (a) In this section, "joint-use
airport" means an airport:
(1) that is owned or operated by a United States Army
mobilization force generation installation;
(2) at which both military and civilian aircraft make
shared use of the airfield; and
(3) that provides air traffic control for all military
and civilian aircraft operating within 60 nautical miles of the
airport's boundaries.
(b) A power generation company or other person required by
commission rule to register with the commission before generating
electricity may not operate a wind-powered generation facility in
the ERCOT power region at a location that is within 65 nautical
miles of the boundaries of a joint-use airport located in this
state.
(c) An electric cooperative or municipally owned utility
may not operate a wind-powered generation facility in the ERCOT
power region at a location that is within 65 nautical miles of the
boundaries of a joint-use airport located in this state.
(d) The commission may impose an administrative penalty
under Section 15.023 on an electric cooperative or municipally
owned utility that violates Subsection (c).
SECTION 4. Section 320.002, Tax Code, as added by this Act,
applies only to ad valorem taxes imposed for a tax year beginning on
or after January 1, 2024.
SECTION 5. Section 39.9056, Utilities Code, as added by
this Act, applies only to a wind-powered generation facility
installed on or after the effective date of this Act. A wind-powered
generation facility installed before the effective date of this Act
is governed by the law as it existed immediately before that date,
and that law is continued in effect for that purpose.
SECTION 6. (a) To the extent of any conflict, Section 1 of
this Act prevails over another Act of the 88th Legislature, Regular
Session, 2023, regardless of the relative dates of enactment.
(b) It is the intent of the 88th Legislature, Regular
Session, 2023, that the amendments made by Sections 2 and 3 of this
Act be harmonized with another Act of the 88th Legislature, Regular
Session, 2023, relating to nonsubstantive additions to and
corrections in enacted codes.
SECTION 7. This Act takes effect September 1, 2023.