Bill Text: TX HB2971 | 2021-2022 | 87th Legislature | Introduced
Bill Title: Relating to the repeal of the Texas Economic Development Act.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2021-03-18 - Referred to Ways & Means [HB2971 Detail]
Download: Texas-2021-HB2971-Introduced.html
87R11270 LHC-D | ||
By: Cason | H.B. No. 2971 |
|
||
|
||
relating to the repeal of the Texas Economic Development Act. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. The following provisions of the Tax Code are | ||
repealed: | ||
(1) Section 312.0025; and | ||
(2) Chapter 313. | ||
SECTION 2. The heading to Section 48.254, Education Code, | ||
is amended to read as follows: | ||
Sec. 48.254. ADDITIONAL STATE AID FOR AD VALOREM TAX | ||
CREDITS UNDER FORMER TEXAS ECONOMIC DEVELOPMENT ACT. | ||
SECTION 3. Section 48.2551(a), Education Code, is amended | ||
to read as follows: | ||
(a) In this section: | ||
(1) "DPV" has the meaning assigned by Section 48.256; | ||
(2) "E" is the expiration of the exclusion of | ||
appraised property value for the preceding tax year that is | ||
recognized as taxable property value for the current tax year, | ||
which is the sum of the following: | ||
(A) property value that is no longer subject to a | ||
limitation on appraised value under former Chapter 313, Tax Code; | ||
and | ||
(B) property value under Section 311.013(n), Tax | ||
Code, that is no longer excluded from the calculation of "DPV" from | ||
the preceding year because of refinancing or renewal after | ||
September 1, 2019; | ||
(3) "MCR" is the district's maximum compressed rate, | ||
which is the tax rate for the current tax year per $100 of valuation | ||
of taxable property at which the district must levy a maintenance | ||
and operations tax to receive the full amount of the tier one | ||
allotment to which the district is entitled under this chapter; | ||
(4) "PYDPV" is the district's value of "DPV" for the | ||
preceding tax year; and | ||
(5) "PYMCR" is the district's value of "MCR" for the | ||
preceding tax year. | ||
SECTION 4. Sections 48.256(d) and (e), Education Code, are | ||
amended to read as follows: | ||
(d) This subsection applies to a school district in which | ||
the board of trustees entered into a written agreement with a | ||
property owner under former Section 313.027, Tax Code, for the | ||
implementation of a limitation on appraised value under former | ||
Subchapter B or C, Chapter 313, Tax Code. For purposes of | ||
determining "DPV" under Subsection (a) for a school district to | ||
which this subsection applies, the commissioner shall exclude a | ||
portion of the market value of property not otherwise fully taxable | ||
by the district under Subchapter B or C, Chapter 313, Tax Code, | ||
before the repeal [ |
||
comptroller shall provide information to the agency necessary for | ||
this subsection. A revenue protection payment required as part of | ||
an agreement for a limitation on appraised value shall be based on | ||
the district's taxable value of property for the preceding tax | ||
year. | ||
(e) Subsection (d) does not apply to property that was the | ||
subject of an application under former Subchapter B or C, Chapter | ||
313, Tax Code, made after May 1, 2009, that the comptroller | ||
recommended should be disapproved. | ||
SECTION 5. Section 2303.507, Government Code, is amended to | ||
read as follows: | ||
Sec. 2303.507. TAX INCREMENT FINANCING AND ABATEMENT[ |
||
enterprise zone is also designation of the area as a reinvestment | ||
zone for: | ||
(1) tax increment financing under Chapter 311, Tax | ||
Code; and | ||
(2) tax abatement under Chapter 312, Tax Code[ |
||
[ |
||
SECTION 6. Section 23.03, Tax Code, is amended to read as | ||
follows: | ||
Sec. 23.03. COMPILATION OF LARGE PROPERTIES AND PROPERTIES | ||
SUBJECT TO LIMITATION ON APPRAISED VALUE. Each year the chief | ||
appraiser shall compile and send to the Texas [ |
||
Economic Development and Tourism Office a list of properties in the | ||
appraisal district that in that tax year: | ||
(1) have a market value of $100 million or more; or | ||
(2) are subject to a limitation on appraised value | ||
under former Chapter 313. | ||
SECTION 7. Section 26.012(6), Tax Code, is amended to read | ||
as follows: | ||
(6) "Current total value" means the total taxable | ||
value of property listed on the appraisal roll for the current year, | ||
including all appraisal roll supplements and corrections as of the | ||
date of the calculation, less the taxable value of property | ||
exempted for the current tax year for the first time under Section | ||
11.31 or 11.315, except that: | ||
(A) the current total value for a school district | ||
excludes: | ||
(i) the total value of homesteads that | ||
qualify for a tax limitation as provided by Section 11.26; and | ||
(ii) new property value of property that is | ||
subject to an agreement entered into under former Chapter 313; and | ||
(B) the current total value for a county, | ||
municipality, or junior college district excludes the total value | ||
of homesteads that qualify for a tax limitation provided by Section | ||
11.261. | ||
SECTION 8. Section 151.359(k), Tax Code, is amended to read | ||
as follows: | ||
(k) A data center is not eligible to receive an exemption | ||
under this section if the data center is subject to an agreement | ||
limiting the appraised value of the data center's property under | ||
former Subchapter B or C, Chapter 313. | ||
SECTION 9. Section 151.3595(j), Tax Code, is amended to | ||
read as follows: | ||
(j) A data center is not eligible to receive an exemption | ||
under this section if the data center is subject to an agreement | ||
limiting the appraised value of the data center's property under | ||
former Subchapter B or C, Chapter 313. | ||
SECTION 10. Section 171.602(f), Tax Code, is amended to | ||
read as follows: | ||
(f) The comptroller may not issue a credit under this | ||
section before the later of: | ||
(1) September 1, 2018; or | ||
(2) the expiration of an agreement under former | ||
Chapter 313 regarding the clean energy project for which the credit | ||
is issued. | ||
SECTION 11. Section 312.403(a), Tax Code, is amended to | ||
read as follows: | ||
(a) In this section, "nuclear electric power generation" | ||
means activities described in category 221113 of the 2017 North | ||
American Industry Classification System [ |
||
SECTION 12. Chapter 320, Tax Code, is amended by adding | ||
Section 320.002 to read as follows: | ||
Sec. 320.002. SAVING PROVISIONS AFTER REPEAL OF CHAPTER | ||
313. (a) An agreement limiting the appraised value of property | ||
approved under Subchapter B or C, Chapter 313, before the repeal of | ||
that subchapter continues in effect according to that subchapter as | ||
that subchapter existed immediately before its repeal, and that law | ||
is continued in effect for purposes of the agreement. | ||
(b) The repeal of Subchapter D, Chapter 313, does not affect | ||
a property owner's entitlement to a tax credit granted under that | ||
subchapter if the property owner qualified for the tax credit | ||
before the repeal of that subchapter. | ||
SECTION 13. This Act takes effect immediately if it | ||
receives a vote of two-thirds of all the members elected to each | ||
house, as provided by Section 39, Article III, Texas Constitution. | ||
If this Act does not receive the vote necessary for immediate | ||
effect, this Act takes effect September 1, 2021. |