BILL ANALYSIS C.S.S.B. 1564 By: Lucio Finance 05-10-95 Committee Report (Substituted) BACKGROUND Port authorities and navigation districts, while not deemed taxable, are not specifically included among the list of entities exempted from taxation under Section 11.11 of the Tax Code, Because of this omission, confusion has existed as to whether port authorities and navigation districts are considered taxable. PURPOSE As proposed, C.S.S.B. 1564 provides that property owned by a navigation district or port authority is used for public purposes and exempt from taxation if it meets certain requirements. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 11.11, Tax Code, by adding Subsection (h), to provide that property owned by a navigation district or port authority and property owned by a municipality that operates a public port is used for public purposes and exempt from taxation if it is leased to a person or entity, however organized, for any of the purposes stated in Section 60.101, 61.151, 62.107, or 63.153, Water Code; or held by the navigation district or port authority or municipality for future expansion of its facilities or for leasing for any of the purposes described in Subdivision (1). SECTION 2. Emergency clause. Effective date: upon passage.