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AN ACT
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relating to the Texas Economic Development Act. |
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�������BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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�������SECTION�1.��Section 313.007, Tax Code, is amended to read as |
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follows: |
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�������Sec.�313.007.��EXPIRATION.��Subchapters B, C, and D expire |
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December 31, 2014 [2011]. |
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�������SECTION�2.��Section 313.021, Tax Code, is amended to read as |
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follows: |
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�������Sec.�313.021.��DEFINITIONS. �In this subchapter: |
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�������������(1)��"Qualified investment" means: |
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�������������������(A)��tangible personal property that is first |
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placed in service in this state during the applicable qualifying |
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time period that begins on or after January 1, 2002, without regard |
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to whether the property is affixed to or incorporated into real |
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property, and that is described as Section 1245 property by Section |
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1245(a), Internal Revenue Code of 1986; |
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�������������������(B)��tangible personal property that is first |
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placed in service in this state during the applicable qualifying |
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time period that begins on or after January 1, 2002, without regard |
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to whether the property is affixed to or incorporated into real |
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property, and that is used in connection with the manufacturing, |
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processing, or fabrication in a cleanroom environment of a |
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semiconductor product, without regard to whether the property is |
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actually located in the cleanroom environment, including: |
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�������������������������(i)��integrated systems, fixtures, and |
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piping; |
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�������������������������(ii)��all property necessary or adapted to |
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reduce contamination or to control airflow, temperature, humidity, |
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chemical purity, or other environmental conditions or |
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manufacturing tolerances; and |
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�������������������������(iii)��production equipment and machinery, |
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moveable cleanroom partitions, and cleanroom lighting; |
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�������������������(C)��tangible personal property that is first |
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placed in service in this state during the applicable qualifying |
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time period that begins on or after January 1, 2002, without regard |
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to whether the property is affixed to or incorporated into real |
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property, and that is used in connection with the operation of a |
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nuclear electric power generation facility, including: |
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�������������������������(i)��property, including pressure vessels, |
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pumps, turbines, generators, and condensers, used to produce |
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nuclear electric power; and |
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�������������������������(ii)��property and systems necessary to |
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control radioactive contamination; |
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�������������������(D)��tangible personal property that is first |
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placed in service in this state during the applicable qualifying |
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time period that begins on or after January 1, 2002, without regard |
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to whether the property is affixed to or incorporated into real |
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property, and that is used in connection with operating an |
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integrated gasification combined cycle electric generation |
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facility, including: |
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�������������������������(i)��property used to produce electric power |
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by means of a combined combustion turbine and steam turbine |
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application using synthetic gas or another product produced by the |
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gasification of coal or another carbon-based feedstock; or |
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�������������������������(ii)��property used in handling materials to |
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be used as feedstock for gasification or used in the gasification |
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process to produce synthetic gas or another carbon-based feedstock |
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for use in the production of electric power in the manner described |
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by Subparagraph (i); [or] |
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�������������������(E)��tangible personal property that is first |
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placed in service in this state during the applicable qualifying |
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time period that begins on or after January 1, 2010, without regard |
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to whether the property is affixed to or incorporated into real |
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property, and that is used in connection with operating an advanced |
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clean energy project, as defined by Section 382.003, Health and |
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Safety Code; or |
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�������������������(F)��a building or a permanent, nonremovable |
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component of a building that is built or constructed during the |
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applicable qualifying time period that begins on or after January |
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1, 2002, and that houses tangible personal property described by |
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Paragraph (A), (B), (C), [or] (D), or (E). |
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�������������(2)��"Qualified property" means: |
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�������������������(A)��land: |
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�������������������������(i)��that is located in an area designated as |
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a reinvestment zone under Chapter 311 or 312 or as an enterprise |
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zone under Chapter 2303, Government Code; |
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�������������������������(ii)��on which a person proposes to |
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construct a new building or erect or affix a new improvement that |
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does not exist before the date the person [owner] applies for a |
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limitation on appraised value under this subchapter; |
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�������������������������(iii)��that is not subject to a tax abatement |
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agreement entered into by a school district under Chapter 312; and |
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�������������������������(iv)��on which, in connection with the new |
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building or new improvement described by Subparagraph (ii), the |
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owner or lessee of, or the holder of another possessory interest in, |
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the land proposes to: |
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�������������������������������(a)��make a qualified investment in an |
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amount equal to at least the minimum amount required by Section |
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313.023; and |
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�������������������������������(b)��create at least 25 new jobs; |
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�������������������(B)��the new building or other new improvement |
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described by Paragraph (A)(ii); and |
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�������������������(C)��tangible personal property that: |
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�������������������������(i)��is not subject to a tax abatement |
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agreement entered into by a school district under Chapter 312; and |
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�������������������������(ii)��except for new equipment described in |
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Section 151.318(q) or (q-1), is first placed in service in the new |
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building or in or on the new improvement described by Paragraph |
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(A)(ii), or on the land on which that new building or new |
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improvement is located, if the personal property is ancillary and |
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necessary to the business conducted in that new building or in or on |
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that new improvement. |
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�������������(3)��"Qualifying job" means a permanent full-time job |
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that: |
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�������������������(A)��requires at least 1,600 hours of work a year; |
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�������������������(B)��is not transferred from one area in this |
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state to another area in this state; |
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�������������������(C)��is not created to replace a previous |
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employee; |
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�������������������(D)��is covered by a group health benefit plan[,
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as defined by Section 481.151, Government Code,] for which the |
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business offers to pay at least 80 percent of the premiums or other |
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charges assessed for employee-only coverage under the plan, |
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regardless of whether an employee may voluntarily waive the |
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coverage; and |
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�������������������(E)��pays at least 110 percent of: |
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�������������������������(i)��the county average weekly wage for |
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manufacturing jobs in the county where the job is located; or |
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�������������������������(ii)��the county average weekly wage for all |
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jobs in the county where the job is located, if the property owner |
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creates more than 1,000 jobs in that county. |
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�������������(4)��"Qualifying time period" means: |
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�������������������(A)��the period that begins on the date that a |
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person's application for a limitation on appraised value under this |
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subchapter is approved by the governing body of the school district |
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and ends on December 31 of the second tax year that begins after |
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that date [first two tax years that begin on or after the date a
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person's application for a limitation on appraised value under this
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subchapter is approved], except as provided by Paragraph (B) or (C) |
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of this subdivision or Section 313.027(h); [or] |
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�������������������(B)��in connection with a nuclear electric power |
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generation facility, the first seven tax years that begin on or |
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after the third anniversary of the date the school district |
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approves the property owner's application for a limitation on |
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appraised value under this subchapter, unless a shorter time period |
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is agreed to by the governing body of the school district and the |
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property owner; or |
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�������������������(C)��in connection with an advanced clean energy |
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project, as defined by Section 382.003, Health and Safety Code, the |
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first five tax years that begin on or after the third anniversary of |
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the date the school district approves the property owner's |
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application for a limitation on appraised value under this |
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subchapter, unless a shorter time period is agreed to by the |
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governing body of the school district and the property owner. |
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�������������(5)��"County average weekly wage for manufacturing |
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jobs" means: |
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�������������������(A)��the average weekly wage in a county for |
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manufacturing jobs during the most recent four quarterly periods |
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for which data is available at the time a person submits an |
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application for a limitation on appraised value under this |
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subchapter, as computed by the Texas Workforce Commission; or |
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�������������������(B)��the average weekly wage for manufacturing |
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jobs in the region designated for the regional planning commission, |
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council of governments, or similar regional planning agency created |
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under Chapter 391, Local Government Code, in which the county is |
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located during the most recent four quarterly periods for which |
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data is available at the time a person submits an application for a |
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limitation on appraised value under this subchapter, as computed by |
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the Texas Workforce Commission. |
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�������SECTION�3.��Section 313.024(b), Tax Code, is amended to read |
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as follows: |
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�������(b)��To be eligible for a limitation on appraised value under |
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this subchapter, the entity must use the property in connection |
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with: |
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�������������(1)��manufacturing; |
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�������������(2)��research and development; |
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�������������(3)��a clean coal project, as defined by Section 5.001, |
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Water Code; |
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�������������(4)��an advanced clean energy project, as defined by |
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Section 382.003, Health and Safety Code; |
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�������������(5)��renewable energy electric generation; |
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�������������(6)��electric power generation using integrated |
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gasification combined cycle technology; [or] |
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�������������(7)��nuclear electric power generation; or |
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�������������(8)��a computer center primarily used in connection |
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with one or more activities described by Subdivisions (1) through |
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(7) conducted by the entity. |
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�������SECTION�4.��Section 313.024(e), Tax Code, is amended by |
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amending Subdivision (1) and adding Subdivisions (5) and (6) to |
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read as follows: |
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�������������(1)��"Manufacturing" means an establishment primarily |
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engaged in activities described in sectors 31-33 of the 2007 North |
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American Industry Classification System [and "research and
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development" have the meanings assigned by Section 171.751]. |
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�������������(5)��"Research and development" means an establishment |
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primarily engaged in activities described in category 541710 of the |
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2002 North American Industry Classification System. |
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�������������(6)��"Computer center" means an establishment |
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primarily engaged in providing electronic data processing and |
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information storage. |
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�������SECTION�5.��Section 313.025, Tax Code, is amended by |
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amending Subsections (a), (b), and (d) and adding Subsections |
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(a-1), (d-1), (h), and (i) to read as follows: |
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�������(a)��The owner or lessee of, or the holder of another |
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possessory interest in, any qualified property described by Section |
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313.021(2)(A), (B), or (C) may apply to the governing body of the |
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school district in which the property is located for a limitation on |
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the appraised value for school district maintenance and operations |
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ad valorem tax purposes of the person's qualified property. An |
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application must be made on the form prescribed by the comptroller |
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and include the information required by the comptroller, and it |
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must be accompanied by: |
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�������������(1)��the application fee established by the governing |
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body of the school district; |
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�������������(2)��information sufficient to show that the real and |
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personal property identified in the application as qualified |
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property meets the applicable criteria established by Section |
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313.021(2); and |
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�������������(3)��information relating to each applicable criterion |
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listed in Section 313.026. |
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�������(a-1)��Within seven days of the receipt of each document, the |
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school district shall submit to the comptroller a copy of the |
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application and the agreement between the applicant and the school |
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district. If an economic analysis of the proposed project is |
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submitted to the school district, the district shall submit a copy |
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of the analysis to the comptroller. In addition, the school |
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district shall submit to the comptroller any subsequent revision of |
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or amendment to any of those documents within seven days of its |
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receipt. The comptroller shall publish each document received from |
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the school district under this subsection on the comptroller's |
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Internet website. If the school district maintains a generally |
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accessible Internet website, the district shall provide on its |
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website a link to the location of those documents posted on the |
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comptroller's website in compliance with this subsection. This |
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subsection does not require the comptroller to post information |
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that is confidential under Section 313.028. |
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�������(b)��The governing body of a school district is not required |
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to consider an application for a limitation on appraised value that |
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is filed with the governing body under Subsection (a). �If the |
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governing body of the school district does elect to consider an |
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application, the governing body shall deliver three copies of the |
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application to the comptroller and request that the comptroller |
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provide an economic impact evaluation of the application to the |
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school district. �Except as provided by Subsection (b-1), the |
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comptroller shall conduct or contract with a third person to |
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conduct the evaluation, which shall be completed and provided to |
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the governing body of the school district as soon as practicable. � |
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The governing body shall provide to the comptroller or third person |
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any requested information. �A methodology to allow comparisons of |
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economic impact for different schedules of the addition of |
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qualified investment or qualified property may be developed as part |
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of the economic impact evaluation. �The governing body shall |
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provide a copy of the evaluation to the applicant on request. �The |
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comptroller may charge and collect a fee sufficient to cover the |
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costs of providing the economic impact evaluation. �The governing |
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body of a school district shall approve or disapprove an |
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application before the 151st [121st] day after the date the |
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application is filed, unless the economic impact evaluation has not |
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been received or an extension is agreed to by the governing body and |
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the applicant. |
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�������(d)��Before the 91st [61st] day after the date the |
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comptroller receives the copy of the application, the comptroller |
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shall submit a recommendation to the governing body of the school |
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district as to whether the application should be approved or |
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disapproved. |
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�������(d-1)��The governing body of a school district may approve an |
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application that the comptroller has recommended should be |
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disapproved only if: |
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�������������(1)��the governing body holds a public hearing the sole |
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purpose of which is to consider the application and the |
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comptroller's recommendation; and |
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�������������(2)��at a subsequent meeting of the governing body held |
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after the date of the public hearing, at least two-thirds of the |
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members of the governing body vote to approve the application. |
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�������(h)��After receiving a copy of the application, the |
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comptroller shall determine whether the property meets the |
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requirements of Section 313.024 for eligibility for a limitation on |
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appraised value under this subchapter. The comptroller shall |
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notify the governing body of the school district of the |
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comptroller's determination and provide the applicant an |
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opportunity for a hearing before the determination becomes final. |
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A hearing under this subsection is a contested case hearing and |
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shall be conducted by the State Office of Administrative Hearings |
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in the manner provided by Section 2003.101, Government Code. The |
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applicant has the burden of proof on each issue in the hearing. �The |
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applicant may seek judicial review of the comptroller's |
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determination in a Travis County district court under the |
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substantial evidence rule as provided by Subchapter G, Chapter |
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2001, Government Code. |
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�������(i)��If the comptroller's determination under Subsection (h) |
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that the property does not meet the requirements of Section 313.024 |
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for eligibility for a limitation on appraised value under this |
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subchapter becomes final, the comptroller is not required to |
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provide an economic impact evaluation of the application or to |
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submit a recommendation to the school district as to whether the |
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application should be approved or disapproved, and the governing |
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body of the school district may not grant the application. |
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�������SECTION�6.��Sections 313.026(a) and (b), Tax Code, are |
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amended to read as follows: |
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�������(a)��The economic impact evaluation of the application must |
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include the following: |
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�������������(1)��the recommendations of the comptroller; |
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�������������(2)��the name of the school district; |
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�������������(3)��the name of the applicant; |
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�������������(4)��the general nature of the applicant's investment; |
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�������������(5)�[(2)]��the relationship between the applicant's |
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industry and the types of qualifying jobs to be created by the |
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applicant to the long-term economic growth plans of this state as |
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described in the strategic plan for economic development submitted |
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by the Texas Strategic Economic Development Planning Commission |
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under Section 481.033, Government Code, as that section existed |
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before February 1, 1999; |
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�������������(6)�[(3)]��the relative level of the applicant's |
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investment per qualifying job to be created by the applicant; |
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�������������(7)��the number of qualifying jobs to be created by the |
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applicant; |
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�������������(8)�[(4)]��the wages, salaries, and benefits to be |
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offered by the applicant to qualifying job holders; |
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�������������(9)�[(5)]��the ability of the applicant to locate or |
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relocate in another state or another region of this state; |
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�������������(10)�[(6)]��the impact the project [added
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infrastructure] will have on this state and individual local units |
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of government [the region], including: |
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�������������������(A)��tax and other�revenue gains, direct or |
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indirect, that would be realized during the qualifying time period, |
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the limitation period, and a period of time after the limitation |
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period considered appropriate by the comptroller [by the school
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district]; and |
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�������������������(B)��[subsequent] economic effects of the |
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project, including the impact on jobs and income, during the |
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qualifying time period, the limitation period, and a period of time |
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after the limitation period considered appropriate by the |
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comptroller [on the local and regional tax bases]; |
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�������������(11)�[(7)]��the economic condition of the region of the |
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state at the time the person's application is being considered; |
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�������������(12)�[(8)]��the number of new facilities built or |
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expanded in the region during the two years preceding the date of |
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the application that were eligible to apply for a limitation on |
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appraised value under this subchapter; [and] |
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�������������(13)�[(9)]��the effect of the applicant's proposal, if |
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approved, on the number or size of the school district's |
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instructional facilities, as defined by Section 46.001, Education |
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Code; |
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�������������(14)��the projected market value of the qualified |
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property of the applicant as determined by the comptroller; |
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�������������(15)��the proposed limitation on appraised value for |
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the qualified property of the applicant; |
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�������������(16)��the projected dollar amount of the taxes that |
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would be imposed on the qualified property, for each year of the |
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agreement, if the property does not receive a limitation on |
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appraised value with assumptions of the projected appreciation or |
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depreciation of the investment and projected tax rates clearly |
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stated; |
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�������������(17)��the projected dollar amount of the taxes that |
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would be imposed on the qualified property, for each tax year of the |
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agreement, if the property receives a limitation on appraised value |
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with assumptions of the projected appreciation or depreciation of |
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the investment clearly stated; |
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�������������(18)��the projected effect on the Foundation School |
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Program of payments to the district for each year of the agreement; |
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�������������(19)��the projected future tax credits if the applicant |
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also applies for school tax credits under Section 313.103; and |
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�������������(20)��the total amount of taxes projected to be lost or |
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gained by the district over the life of the agreement computed by |
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subtracting the projected taxes stated in Subdivision (17) from the |
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projected taxes stated in Subdivision (16). |
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�������(b)��The comptroller's recommendations shall be based on the |
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criteria listed in Subsections (a)(5)-(20) [(a)(2)-(9)] and on any |
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other information available to the comptroller, including |
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information provided by the governing body of the school district |
�
|
under Section 313.025(b). |
�
|
�������SECTION�7.��Subchapter B, Chapter 313, Tax Code, is amended |
�
|
by adding Section 313.0265 to read as follows: |
�
|
�������Sec.�313.0265.��DISCLOSURE OF APPRAISED VALUE LIMITATION |
�
|
INFORMATION. (a) �The comptroller shall post on the comptroller's |
�
|
Internet website each document or item of information the |
�
|
comptroller designates as substantive before the 15th day after the |
�
|
date the document or item of information was received or created. |
�
|
Each document or item of information must continue to be posted |
�
|
until the appraised value limitation expires. |
�
|
�������(b)��The comptroller shall designate the following as |
�
|
substantive: |
�
|
�������������(1)��each application requesting a limitation on |
�
|
appraised value; |
�
|
�������������(2)��the economic impact evaluation made in connection |
�
|
with the application; and |
�
|
�������������(3)��each application requesting school tax credits |
�
|
under Section 313.103. |
�
|
�������(c)��If a school district maintains a generally accessible |
�
|
Internet website, the district shall maintain a link on its |
�
|
Internet website to the area of the comptroller's Internet website |
�
|
where information on each of the district's agreements to limit |
�
|
appraised value is maintained. |
�
|
�������SECTION�8.��Section 313.027, Tax Code, is amended by |
�
|
amending Subsection (f) and adding Subsections (h) and (i) to read |
�
|
as follows: |
�
|
�������(f)��In addition, the agreement: |
�
|
�������������(1)��must incorporate each relevant provision of this |
�
|
subchapter and, to the extent necessary, include provisions for the |
�
|
protection of future school district revenues through the |
�
|
adjustment of the minimum valuations, the payment of revenue |
�
|
offsets, and other mechanisms agreed to by the property owner and |
�
|
the school district; |
�
|
�������������(2)��may provide that the property owner will protect |
�
|
the school district in the event the district incurs extraordinary |
�
|
education-related expenses related to the project that are not |
�
|
directly funded in state aid formulas, including expenses for the |
�
|
purchase of portable classrooms and the hiring of additional |
�
|
personnel to accommodate a temporary increase in student enrollment |
�
|
attributable to the project; |
�
|
�������������(3)��must require the property owner to maintain a |
�
|
viable presence in the school district for at least three years |
�
|
after the date the limitation on appraised value of the owner's |
�
|
property expires; |
�
|
�������������(4)�[(3)]��must provide for the termination of the |
�
|
agreement, the recapture of ad valorem tax revenue lost as a result |
�
|
of the agreement if the owner of the property fails to comply with |
�
|
the terms of the agreement, and payment of a penalty or interest, or |
�
|
both, on that recaptured ad valorem tax revenue; |
�
|
�������������(5)�[(4)]��may specify any conditions the occurrence of |
�
|
which will require the district and the property owner to |
�
|
renegotiate all or any part of the agreement; and |
�
|
�������������(6)�[(5)]��must specify the ad valorem tax years |
�
|
covered by the agreement. |
�
|
�������(h)��The agreement between the governing body of the school |
�
|
district and the applicant may provide for a deferral of the date on |
�
|
which the qualifying time period for the project is to commence or, |
�
|
subsequent to the date the agreement is entered into, be amended to |
�
|
provide for such a deferral. This subsection may not be construed |
�
|
to permit a qualifying time period that has commenced to continue |
�
|
for more than the number of years applicable to the project under |
�
|
Section 313.021(4). |
�
|
�������(i)��A person and the school district may not enter into an |
�
|
agreement under which the person agrees to provide supplemental |
�
|
payments to a school district in an amount that exceeds an amount |
�
|
equal to $100 per student per year in average daily attendance, as |
�
|
defined by Section 42.005, Education Code, or for a period that |
�
|
exceeds the period beginning with the period described by Section |
�
|
313.021(4) and ending with the period described by Section |
�
|
313.104(2)(B) of this code. �This limit does not apply to amounts |
�
|
described by Subsection (f)(1) or (2) of this section. |
�
|
�������SECTION�9.��Subchapter B, Chapter 313, Tax Code, is amended |
�
|
by adding Section 313.0275 to read as follows: |
�
|
�������Sec.�313.0275.��RECAPTURE OF AD VALOREM TAX REVENUE LOST. � |
�
|
(a) �Notwithstanding any other provision of this chapter to the |
�
|
contrary, a person with whom a school district enters into an |
�
|
agreement under this subchapter must make the minimum amount of |
�
|
qualified investment during the qualifying time period and create |
�
|
the required number of qualifying jobs during each year of the |
�
|
agreement. |
�
|
�������(b)��If in any tax year a property owner fails to comply with |
�
|
Subsection (a), the property owner is liable to this state for a |
�
|
penalty equal to the amount computed by subtracting from the market |
�
|
value of the property for that tax year the value of the property as |
�
|
limited by the agreement and multiplying the difference by the |
�
|
maintenance and operations tax rate of the school district for that |
�
|
tax year. |
�
|
�������(c)��A penalty imposed under Subsection (b) becomes |
�
|
delinquent if not paid on or before February 1 of the following tax |
�
|
year. �Section 33.01 applies to the delinquent penalty in the manner |
�
|
that section applies to delinquent taxes. |
�
|
�������SECTION�10.��Section 313.028, Tax Code, is amended to read as |
�
|
follows: |
�
|
�������Sec.�313.028.��CERTAIN BUSINESS INFORMATION CONFIDENTIAL. � |
�
|
Information provided to a school district in connection with an |
�
|
application for a limitation on appraised value under this |
�
|
subchapter that describes the specific processes or business |
�
|
activities to be conducted or the specific tangible personal |
�
|
property to be located on real property covered by the application |
�
|
shall be segregated in the application from other information in |
�
|
the application and is confidential and not subject to public |
�
|
disclosure unless the governing body of the school district |
�
|
approves the application. Other information in the custody of a |
�
|
school district or the comptroller in connection with the |
�
|
application, including information related to the economic impact |
�
|
of a project or the essential elements of eligibility under this |
�
|
chapter, such as the nature and amount of the projected investment, |
�
|
employment, wages, and benefits, may not be considered confidential |
�
|
business information if the governing body of the school district |
�
|
agrees to consider the application.�Information in the custody |
�
|
of a school district or the comptroller if the governing body |
�
|
approves the application is not confidential under this section. |
�
|
�������SECTION�11.��Section 313.051(a), Tax Code, is amended to |
�
|
read as follows: |
�
|
�������(a)��This subchapter applies only to a school district that |
�
|
has territory in: |
�
|
�������������(1)��an area that qualified as a strategic investment |
�
|
area under Subchapter O, Chapter 171, immediately before that |
�
|
subchapter expired [, as defined by Section 171.721]; or |
�
|
�������������(2)��a county: |
�
|
�������������������(A)��that has a population of less than 50,000; |
�
|
and |
�
|
�������������������(B)��[that is not partially or wholly located in a
|
�
|
metropolitan statistical area; and
|
�
|
�������������������[(C)]��in which, from 1990 to 2000, according to |
�
|
the federal decennial census, the population: |
�
|
�������������������������(i)��remained the same; |
�
|
�������������������������(ii)��decreased; or |
�
|
�������������������������(iii)��increased, but at a rate of not more |
�
|
than three percent per annum. |
�
|
�������SECTION�12.��Sections 313.103 and 313.104, Tax Code, are |
�
|
amended to read as follows: |
�
|
�������Sec.�313.103.��APPLICATION. �(a) An application for a tax |
�
|
credit under this subchapter must be made to the governing body of |
�
|
the school district to which the ad valorem taxes were paid. The |
�
|
application must be: |
�
|
�������������(1)��made on the form prescribed for that purpose by the |
�
|
comptroller and verified by the applicant; and |
�
|
�������������(2)��accompanied by: |
�
|
�������������������(A)��a tax receipt from the collector of taxes for |
�
|
the school district showing full payment of school district ad |
�
|
valorem taxes on the qualified property for the applicable |
�
|
qualifying time period; and |
�
|
�������������������(B)��any other document or information that the |
�
|
comptroller or the governing body considers necessary for a |
�
|
determination of the applicant's eligibility for the credit or the |
�
|
amount of the credit[; and
|
�
|
�������������[(3)
�
�
filed before September 1 of the year immediately
|
�
|
following the applicable qualifying time period]. |
�
|
�������(b)��An application for a tax credit under this subchapter or |
�
|
any information provided by the school district to the Texas |
�
|
Education Agency under Section 42.2515, Education Code, is not |
�
|
confidential. |
�
|
�������Sec.�313.104.��ACTION ON APPLICATION; GRANT OF CREDIT. � |
�
|
Before granting�[the 90th day after the date] the application for a |
�
|
tax credit [is filed], the governing body of the school district |
�
|
shall: |
�
|
�������������(1)��determine the person's eligibility for a tax |
�
|
credit under this subchapter;��and |
�
|
�������������(2)��if the person's application is approved, by order |
�
|
or resolution direct the collector of taxes for the school |
�
|
district: |
�
|
�������������������(A)��in the second and subsequent six tax years |
�
|
that begin after the date the application is approved, to credit |
�
|
against the taxes imposed on the qualified property by the district |
�
|
in that year an amount equal to one-seventh of the total amount of |
�
|
tax credit to which the person is entitled under Section 313.102, |
�
|
except that the amount of a credit granted in any of those tax years |
�
|
may not exceed 50 percent of the total amount of ad valorem school |
�
|
taxes imposed on the qualified property by the school district in |
�
|
that tax year; and |
�
|
�������������������(B)��in the first three tax years that begin on or |
�
|
after the date the person's eligibility for the limitation under |
�
|
Subchapter B or C expires, to credit against the taxes imposed on |
�
|
the qualified property by the district an amount equal to the |
�
|
portion of the total amount of tax credit to which the person is |
�
|
entitled under Section 313.102 that was not credited against the |
�
|
person's taxes under Paragraph (A) in a tax year covered by |
�
|
Paragraph (A), except that the amount of a tax credit granted under |
�
|
this paragraph in any tax year may not exceed the total amount of ad |
�
|
valorem school taxes imposed on the qualified property by the |
�
|
school district in that tax year. |
�
|
�������SECTION�13.��Section 403.302, Government Code, is amended by |
�
|
amending Subsection (d) and adding Subsection (m) to read as |
�
|
follows: |
�
|
�������(d)��For the purposes of this section, "taxable value" means |
�
|
the market value of all taxable property less: |
�
|
�������������(1)��the total dollar amount of any residence homestead |
�
|
exemptions lawfully granted under Section 11.13(b) or (c), Tax |
�
|
Code, in the year that is the subject of the study for each school |
�
|
district; |
�
|
�������������(2)��one-half of the total dollar amount of any |
�
|
residence homestead exemptions granted under Section 11.13(n), Tax |
�
|
Code, in the year that is the subject of the study for each school |
�
|
district; |
�
|
�������������(3)��the total dollar amount of any exemptions granted |
�
|
before May 31, 1993, within a reinvestment zone under agreements |
�
|
authorized by Chapter 312, Tax Code; |
�
|
�������������(4)��subject to Subsection (e), the total dollar amount |
�
|
of any captured appraised value of property that: |
�
|
�������������������(A)��is within a reinvestment zone created on or |
�
|
before May 31, 1999, or is proposed to be included within the |
�
|
boundaries of a reinvestment zone as the boundaries of the zone and |
�
|
the proposed portion of tax increment paid into the tax increment |
�
|
fund by a school district are described in a written notification |
�
|
provided by the municipality or the board of directors of the zone |
�
|
to the governing bodies of the other taxing units in the manner |
�
|
provided by Section 311.003(e), Tax Code, before May 31, 1999, and |
�
|
within the boundaries of the zone as those boundaries existed on |
�
|
September 1, 1999, including subsequent improvements to the |
�
|
property regardless of when made; |
�
|
�������������������(B)��generates taxes paid into a tax increment |
�
|
fund created under Chapter 311, Tax Code, under a reinvestment zone |
�
|
financing plan approved under Section 311.011(d), Tax Code, on or |
�
|
before September 1, 1999; and |
�
|
�������������������(C)��is eligible for tax increment financing under |
�
|
Chapter 311, Tax Code; |
�
|
�������������(5)��for a school district for which a deduction from |
�
|
taxable value is made under Subdivision (4), an amount equal to the |
�
|
taxable value required to generate revenue when taxed at the school |
�
|
district's current tax rate in an amount that, when added to the |
�
|
taxes of the district paid into a tax increment fund as described by |
�
|
Subdivision (4)(B), is equal to the total amount of taxes the |
�
|
district would have paid into the tax increment fund if the district |
�
|
levied taxes at the rate the district levied in 2005; |
�
|
�������������(6)��the total dollar amount of any captured appraised |
�
|
value of property that: |
�
|
�������������������(A)��is within a reinvestment zone: |
�
|
�������������������������(i)��created on or before December 31, 2008, |
�
|
by a municipality with a population of less than 18,000; and |
�
|
�������������������������(ii)��the project plan for which includes |
�
|
the alteration, remodeling, repair, or reconstruction of a |
�
|
structure that is included on the National Register of Historic |
�
|
Places and requires that a portion of the tax increment of the zone |
�
|
be used for the improvement or construction of related facilities |
�
|
or for affordable housing; |
�
|
�������������������(B)��generates school district taxes that are paid |
�
|
into a tax increment fund created under Chapter 311, Tax Code; and |
�
|
�������������������(C)��is eligible for tax increment financing under |
�
|
Chapter 311, Tax Code; |
�
|
�������������(7)��the total dollar amount of any exemptions granted |
�
|
under Section 11.251 or 11.253, Tax Code; |
�
|
�������������(8)��the difference between the comptroller's estimate |
�
|
of the market value and the productivity value of land that |
�
|
qualifies for appraisal on the basis of its productive capacity, |
�
|
except that the productivity value estimated by the comptroller may |
�
|
not exceed the fair market value of the land; |
�
|
�������������(9)��the portion of the appraised value of residence |
�
|
homesteads of individuals who receive a tax limitation under |
�
|
Section 11.26, Tax Code, on which school district taxes are not |
�
|
imposed in the year that is the subject of the study, calculated as |
�
|
if the residence homesteads were appraised at the full value |
�
|
required by law; |
�
|
�������������(10)��a portion of the market value of property not |
�
|
otherwise fully taxable by the district at market value because of: |
�
|
�������������������(A)��action required by statute or the |
�
|
constitution of this state that, if the tax rate adopted by the |
�
|
district is applied to it, produces an amount equal to the |
�
|
difference between the tax that the district would have imposed on |
�
|
the property if the property were fully taxable at market value and |
�
|
the tax that the district is actually authorized to impose on the |
�
|
property, if this subsection does not otherwise require that |
�
|
portion to be deducted; or |
�
|
�������������������(B)��action taken by the district under Subchapter |
�
|
B or C, Chapter 313, Tax Code, before the expiration of the |
�
|
subchapter; |
�
|
�������������(11)��the market value of all tangible personal |
�
|
property, other than manufactured homes, owned by a family or |
�
|
individual and not held or used for the production of income; |
�
|
�������������(12)��the appraised value of property the collection of |
�
|
delinquent taxes on which is deferred under Section 33.06, Tax |
�
|
Code; |
�
|
�������������(13)��the portion of the appraised value of property |
�
|
the collection of delinquent taxes on which is deferred under |
�
|
Section 33.065, Tax Code; and |
�
|
�������������(14)��the amount by which the market value of a |
�
|
residence homestead to which Section 23.23, Tax Code, applies |
�
|
exceeds the appraised value of that property as calculated under |
�
|
that section. |
�
|
�������(m)��Subsection (d)(10) does not apply to property that was |
�
|
the subject of an application under Subchapter B or C, Chapter 313, |
�
|
Tax Code, made after May 1, 2009, that the comptroller recommended |
�
|
should be disapproved. |
�
|
�������SECTION�14.��Section 313.029, Tax Code, is repealed. |
�
|
�������SECTION�15.��Sections 313.021(1)(A), (2), and (5), |
�
|
313.024(e), and 313.025(a), Tax Code, as amended by this Act, are |
�
|
intended to clarify rather than change existing law. �The |
�
|
clarification made by Section 313.021(5), Tax Code, as amended by |
�
|
this Act, is necessary to allow the Texas Workforce Commission to |
�
|
implement that subdivision in conformance with the data collection |
�
|
requirements imposed by the federal government. |
�
|
�������SECTION�16.��The Legislative Budget Board shall conduct an |
�
|
effectiveness and efficiency review of the economic development |
�
|
program established under Chapter 313, Tax Code, and report the |
�
|
results of the review to the legislature not later than January 1, |
�
|
2011. |
�
|
�������SECTION�17.��(a) �Except as provided by Subsection (b) of |
�
|
this section: |
�
|
�������������(1)��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; and |
�
|
�������������(2)��if this Act does not receive the vote necessary for |
�
|
immediate effect, this Act takes effect September 1, 2009. |
�
|
�������(b)��Sections 313.025(a-1), (h), and (i) and 313.0265, Tax |
�
|
Code, as added by this Act, take effect January 1, 2010. |
� |
� |
� |
______________________________ |
______________________________ |
� |
���President of the Senate |
Speaker of the House����� |
� |
� |
�
|
�������I certify that H.B. No. 3676 was passed by the House on May |
�
|
15, 2009, by the following vote:��Yeas 143, Nays 0, 1 present, not |
�
|
voting; that the House refused to concur in Senate amendments to |
�
|
H.B. No. 3676 on May 29, 2009, and requested the appointment of a |
�
|
conference committee to consider the differences between the two |
�
|
houses; and that the House adopted the conference committee report |
�
|
on H.B. No. 3676 on May 31, 2009, by the following vote:��Yeas 146, |
�
|
Nays 0, 1 present, not voting. |
�
|
|
�
|
______________________________ |
�
|
Chief Clerk of the House��� |
� |
�
|
�������I certify that H.B. No. 3676 was passed by the Senate, with |
�
|
amendments, on May 27, 2009, by the following vote:��Yeas 25, Nays |
�
|
6; at the request of the House, the Senate appointed a conference |
�
|
committee to consider the differences between the two houses; and |
�
|
that the Senate adopted the conference committee report on H.B. No. |
�
|
3676 on May 31, 2009, by the following vote:��Yeas 26, Nays 5. |
�
|
|
�
|
______________________________ |
�
|
Secretary of the Senate��� |
�
|
APPROVED: __________________ |
�
|
����������������Date������� |
�
|
� |
�
|
�������� __________________ |
�
|
��������������Governor������� |