SRC-MKV, JEC H.B. 2757 77(R)BILL ANALYSIS


Senate Research CenterH.B. 2757
By: Ritter (Bernsen)
Intergovernmental Relation
5/10/2001
Committee Report (Amended)


DIGEST AND PURPOSE 

Current law entitles land used to produce plant or animal products under
natural conditions to be designated for agricultural use for ad valorem tax
appraisal purposes. Large nurseries located in rural communities in Texas
have the potential to supply commercial plant outlets around the country
and to help stimulate development in the community. However, the land on
which these greenhouses are located is not eligible for an agricultural use
determination. H.B. 2757 entitles a person who owns land in certain
counties on which a greenhouse for growing florist items is located to an
agricultural use determination for ad valorem tax appraisal purposes.  

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 Chapter 23C, Tax Code, by adding Section 23.425, as
follows: 

Sec. 23.425.  ELIGIBILITY OF LAND USED FOR GROWING FLORIST ITEMS IN CERTAIN
COUNTIES.  (a) Provides that this section applies only to certain land. 

(b) Entitles a person who owns land described by Subsection (a) to have the
land designated for agricultural use under this subchapter if the land
otherwise qualifies for the designation under Section 23.42 and the person
who owns the land that is not using it in conjunction with or contiguous to
land being used to conduct retail sales of florist items.  Provides that
for purposes of Section 23.41, a greenhouse described by Subsection (a)(2)
is an appurtenance to the land. 

  (c) Defines "florist item" and "greenhouse."

SECTION 2.   Effective date: January 1, 2002.
  Makes application of this Act prospective.