1-1     By:  McCall (Senate Sponsor - Cain)                   H.B. No. 2821
 1-2           (In the Senate - Received from the House April 21, 1999;
 1-3     April 22, 1999, read first time and referred to Committee on
 1-4     Finance; May 6, 1999, reported favorably, as amended, by the
 1-5     following vote:  Yeas 9, Nays 0; May 6, 1999, sent to printer.)
 1-6     COMMITTEE AMENDMENT NO. 1                             By:  Moncrief
 1-7     H.B. 2821 is amended by adding Section 2 as follows:
 1-8           SECTION 2.  Subsections (a) and (e), Section 11.435, Tax
 1-9     Code, are amended to read as follows:
1-10           (a)  The chief appraiser shall accept and approve[or deny] an
1-11     application for an exemption under Sections 11.18(d)(2) or (5) of
1-12     this code after the filing deadline provided by Section 11.43 of
1-13     this code if the application is filed not later than December 31 of
1-14     the second year after the year in which the taxes for which the
1-15     exemption is claimed were imposed.
1-16           (e)  An application may not be filed under this section after
1-17     December 31,[1997]1999.
1-18     and renumbering subsequent sections as appropriate.
1-19                            A BILL TO BE ENTITLED
1-20                                   AN ACT
1-21     relating to property tax exemptions for charitable organizations.
1-22           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-23           SECTION 1.  Section 11.18(h), Tax Code, is amended to read as
1-24     follows:
1-25           (h)  Performance of noncharitable functions by a charitable
1-26     organization that owns or uses exempt property does not result in
1-27     loss of an exemption authorized by this section if those other
1-28     functions are incidental to the organization's charitable
1-29     functions.  The division of responsibilities between an
1-30     organization that qualifies as a charitable organization under
1-31     Subsection (c) and another organization will not disqualify the
1-32     organizations or any property owned or used by either organization
1-33     from receiving an exemption under this section if the collaboration
1-34     furthers the provision of one or more of the charitable functions
1-35     described in Subsection (d) and if the other organization:
1-36                 (1)  is exempt from federal income taxation under
1-37     Section 501(a), Internal Revenue Code of 1986, as an organization
1-38     described by Section 501(c)(3) of that code;
1-39                 (2)  meets the criteria for a charitable organization
1-40     under Subsections (e) and (f); and
1-41                 (3)  is under common control with the charitable
1-42     organization described in this subsection.
1-43           SECTION 2.  This Act takes effect September 1, 1999.
1-44           SECTION 3.  The importance of this legislation and the
1-45     crowded condition of the calendars in both houses create an
1-46     emergency and an imperative public necessity that the
1-47     constitutional rule requiring bills to be read on three several
1-48     days in each house be suspended, and this rule is hereby suspended.
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