Amend HB 3111 by adding the following SECTION and renumbering subsequent SECTIONS accordingly:

SECTION ____.  Subsection (b), Section 431.102, Transportation Code, is amended to read as follows:

(b)  The property of a local government corporation and a transaction to acquire the property is exempt from taxation in the same manner as a corporation created under Chapter 394, Local Government Code, except that property of a local government corporation created by a municipal power agency that was created under Subchapter C, Chapter 163, Utilities Code, is not exempt from ad valorem taxation if the property is located outside of the boundaries of each of the municipalities that created the municipal power agency.