Bill Text: TX SB545 | 2015-2016 | 84th Legislature | Comm Sub
Bill Title: Relating to the exemption from ad valorem taxation of real property leased to and used by certain schools.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Engrossed - Dead) 2015-05-26 - Placed on General State Calendar [SB545 Detail]
Download: Texas-2015-SB545-Comm_Sub.html
By: Taylor of Galveston | S.B. No. 545 | |
(Murphy) | ||
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relating to the exemption from ad valorem taxation of real property | ||
leased to and used by certain schools. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subchapter B, Chapter 11, Tax Code, is amended by | ||
adding Section 11.211 to read as follows: | ||
Sec. 11.211. REAL PROPERTY LEASED TO CERTAIN SCHOOLS. A | ||
person is entitled to an exemption from taxation of the real | ||
property that the person owns and leases to an open-enrollment | ||
charter school authorized by Subchapter D, Chapter 12, Education | ||
Code, that is qualified as provided by Section 11.21(d) of this code | ||
if: | ||
(1) the real property is used exclusively by the | ||
school for educational functions; | ||
(2) the real property is reasonably necessary for the | ||
operation of the school; | ||
(3) the owner certifies by affidavit to the school | ||
that the rent for the lease of the real property will be reduced by | ||
an amount equal to the amount by which the taxes on the property are | ||
reduced as a result of the exemption; | ||
(4) the owner provides the school with a disclosure | ||
document stating the amount by which the taxes on the real property | ||
are reduced as a result of the exemption and the method the owner | ||
will implement to ensure that the rent charged for the lease of the | ||
property fully reflects that reduction; and | ||
(5) the rent charged for the lease of the real property | ||
reflects the reduction in the amount of taxes on the property | ||
resulting from the exemption through a monthly or annual credit | ||
against the rent. | ||
SECTION 2. This Act applies only to ad valorem taxes imposed | ||
for a tax year beginning on or after the effective date of this Act. | ||
SECTION 3. This Act takes effect January 1, 2016, but only | ||
if the constitutional amendment authorizing the legislature to | ||
exempt from ad valorem taxation real property leased to certain | ||
schools organized and operated primarily for the purpose of | ||
engaging in educational functions is approved by the voters. If | ||
that amendment is not approved by the voters, this Act has no | ||
effect. |