SRC-JEC H.B. 2601 77(R) BILL ANALYSIS Senate Research Center H.B. 2601 77R10457 GJH-FBy: Coleman (Gallegos) Intergovernmental Relations 4/26/2001 Engrossed DIGEST AND PURPOSE Current law provides exemptions from certain taxes to parks, markets, fairgrounds, or other similar facilities which are owned by an incorporated city or town and used in connection with a city's or town's convention and entertainment activities. Although many arenas, stadiums, convention centers, visitor centers, and concert halls are public facilities, these facilities are not included in the tax exemptions. H.B. 2601 includes a convention center, visitor center, sports facility with permanent seating, concert hall, arena, or stadium that is owned by an incorporated city or town among the local appraisal tax exemptions. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 25.07(b), Tax Code, to prohibit a leasehold or other possessory interest in exempt property from being listed if the interest is in a part of a convention center, visitor center, sports facility with permanent seating, concert hall, arena, or stadium that is owned by an incorporated city or town if the leasehold or possessory interest serves a governmental, municipal, or public purpose or function when the facility is open to the public, regardless of whether a fee is charged for admission, except as provided by Section 11.11. SECTION 2. Effective date: January 1, 2001. Makes application of this Act prospective.