Texas 2025 - 89th Regular

Texas Senate Bill SB2474 Compare Versions

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

Old	New	Differences
1	1	89R16267 DRS-D
2	2	By: Menéndez S.B. No. 2474
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7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to a credit against the ad valorem taxes imposed on real
10	10	property used for a grocery store or healthy corner store located in
11	11	a food desert.
12	12	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	13	SECTION 1. Chapter 31, Tax Code, is amended by adding
14	14	Section 31.039 to read as follows:
15	15	Sec. 31.039. TAX CREDIT FOR GROCERY STORE OR HEALTHY CORNER
16	16	STORE LOCATED IN FOOD DESERT. (a) In this section:
17	17	(1) "Food desert" means a census tract, based on
18	18	information published by the United States Bureau of the Census for
19	19	the most recent decennial census, in which:
20	20	(A) the poverty rate is 20 percent or higher or
21	21	the median family income is at or below 80 percent of the area
22	22	median family income; and
23	23	(B) at least 500 people or at least 33 percent of
24	24	the census area's population reside more than:
25	25	(i) one mile from a grocery store, in the
26	26	case of a census tract other than a rural census tract; or
27	27	(ii) 10 miles from a grocery store, in the
28	28	case of a rural census tract.
29	29	(2) "Grocery store" means a store that has at least:
30	30	(A) 66 percent of the store's retail space
31	31	reserved for the sale of food products;
32	32	(B) 50 percent of the store's food retail space
33	33	reserved for the sale of non-prepared foods or foods intended for
34	34	home preparation and consumption; and
35	35	(C) 30 percent of the store's food retail space
36	36	reserved for the sale of perishable foods, including dairy
37	37	products, fresh produce, fresh meats, poultry, fish, and frozen
38	38	foods.
39	39	(3) "Healthy corner store" means a store that:
40	40	(A) has less than 2,000 square feet of retail
41	41	space;
42	42	(B) offers a wide variety of fresh produce for
43	43	sale; and
44	44	(C) allocates at least 20 percent of the store's
45	45	retail space to fresh produce and other perishable foods, including
46	46	dairy products.
47	47	(b) A person who owns real property is entitled to a credit
48	48	against the taxes imposed on the property by each taxing unit that
49	49	taxes the property if the property is:
50	50	(1) located in a food desert; and
51	51	(2) used to operate a grocery store or healthy corner
52	52	store.
53	53	(c) The amount of the credit to which a property owner is
54	54	entitled under this section against the taxes imposed on the
55	55	property by a taxing unit in a tax year is equal to the amount,
56	56	expressed in decimal form rounded to the nearest hundredth,
57	57	computed by multiplying the amount of taxes imposed on the property
58	58	by the taxing unit in the tax year by five percent.
59	59	(d) A property owner may receive a credit under this section
60	60	against the taxes imposed on the property by a taxing unit until the
61	61	first tax year after the tax year in which the United States Bureau
62	62	of the Census publishes information from a decennial census under
63	63	which the census tract in which the property is located is no longer
64	64	a food desert.
65	65	(e) To receive a credit under this section, a property owner
66	66	must file an application with the chief appraiser of the appraisal
67	67	district in which the property is located.
68	68	(f) The chief appraiser shall approve or deny an application
69	69	under this section for each taxing unit for which the appraisal
70	70	district appraises property. A determination of the chief
71	71	appraiser is subject to protest and appeal in the same manner as a
72	72	determination to approve or deny an exemption.
73	73	(g) The chief appraiser shall forward a copy of the
74	74	application to the assessor for each taxing unit that imposes taxes
75	75	on the property and certify to the assessor whether the chief
76	76	appraiser has approved or denied the application.
77	77	(h) A credit under this section, once allowed, need not be
78	78	claimed in subsequent years and applies to the property regardless
79	79	of any subsequent change in ownership of the property, provided
80	80	that the property otherwise continues to qualify for the credit.
81	81	(i) The comptroller shall adopt rules for the
82	82	administration of this section, including rules prescribing the
83	83	form of an application for the credit.
84	84	SECTION 2. This Act applies only to ad valorem taxes imposed
85	85	for a tax year beginning on or after the effective date of this Act.
86	86	SECTION 3. This Act takes effect January 1, 2026, but only
87	87	if the constitutional amendment proposed by the 89th Legislature,
88	88	Regular Session, 2025, to authorize the legislature to provide for
89	89	a credit against the ad valorem taxes imposed on real property used
90	90	for a grocery store or healthy corner store located in a food desert
91	91	is approved by the voters. If that amendment is not approved by the
92	92	voters, this Act has no effect.