By: Cook of Colorado H.B. No. 3124
A BILL TO BE ENTITLED
AN ACT
relating to the ad valorem taxation of certain property owned by a
municipality.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 11.11, Tax Code, is amended by amending
Subsection (a) and adding Subsection (j) to read as follows:
(a) Except as provided by Subsections (b), [and] (c), and
(j) [of this section], property owned by this state or a political
subdivision of this state is exempt from taxation if the property is
used for public purposes.
(j) Real property owned by a municipality and otherwise
exempt under Subsection (a) is taxable by a taxing unit that elects
to tax the property if the property is located outside the corporate
limits of the municipality. To tax the property in a tax year, the
governing body of the taxing unit, not later than January 1 of that
tax year, must take official action electing to tax the property and
provide written notice of its action to the chief appraiser of the
appraisal district that appraises property for the taxing unit in
the territory in which the municipal property is located. An
election to tax the municipal property applies to all real property
owned by the municipality and located outside the corporate limits
of the municipality and continues in effect for each subsequent tax
year until the election to tax the property is revoked or rescinded
by the governing body of the taxing unit.
SECTION 2. This Act takes effect January 1, 2006, but only
if the constitutional amendment to authorize the ad valorem
taxation of real property that is owned by a city or town and is
located outside the corporate limits of the city or town is approved
by the voters. If that constitutional amendment is not approved by
the voters, this Act has no effect.