| TO: | Honorable Rene Oliveira, Chair, House Committee on Ways & Means |
| FROM: | John S. O'Brien, Director, Legislative Budget Board |
| IN RE: | HB589 by Naishtat (Relating to the exemption from ad valorem taxation of property used by a charitable organization operating certain radio stations.), As Introduced |
The bill would amend Chapter 11 of the Tax Code, relating to the exemption from ad valorem taxation of property used by a charitable organization operating certain radio stations.
The bill would add operating a radio station that broadcasts educational, cultural, or other public interest programming, including classical music, and that has received, or been selected to receive, a grant from the Corporation for Public Broadcasting within the previous five years for activities that qualify an organization as charitable for the exemption of certain property from property tax.
Most radio stations that could qualify under the proposed bill are owned by universities or communities, and are already exempt from property taxes. Further, the requirements for receiving a grant from the Corporation for Public Broadcasting are very strict, making it is unlikely that other non-public radio stations could qualify. There would be no significant cost to cities, counties, school districts, and the state.
The bill would be effective January 1, 2010, and would only apply to a tax year that begins on or after the effective date.
| Source Agencies: | 304 Comptroller of Public Accounts
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| LBB Staff: | JOB, MN, SD, SJS
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