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A BILL TO BE ENTITLED
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AN ACT
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relating to the exemption from ad valorem taxation of pollution |
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control property. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 11.31, Tax Code, is amended by amending |
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Subsection (k)(16) and (m) and adding Subsections (m-1) and (m-2) |
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to read as follows: |
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(16) if the United States Environmental Protection |
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Agency continues to regulate [adopts a final rule or regulation
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regulating] carbon dioxide as a pollutant or if any other |
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applicable environmental rule so regulates carbon dioxide, |
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property that is used, constructed, acquired, or installed wholly |
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or partly to capture carbon dioxide from an anthropogenic source in |
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this state that is geologically sequestered in this state; |
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(m) Notwithstanding the other provisions of this section, |
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if the executive director of the Texas Commission on Environmental |
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Quality confirms that the facility, device, or method for the |
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control of air, water, or land pollution described in an |
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application for an exemption under this section is a facility, |
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device, or method included on the list adopted under Subsection(k), |
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the executive director [of the Texas Commission on Environmental
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Quality], not later than the 30th day after the date of receipt of |
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the information required by Subsections (c)(2) and(3) and without |
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regard to whether the information required by Subsection (c)(1) has |
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been submitted, shall determine that the facility, device, or |
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method described in the application is used wholly or partly as a |
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facility, device, or method for the control of air, water, or land |
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pollution and shall take the actions that are required by |
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Subsection (d) in the event such a determination is made. |
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(m-1) Notwithstanding Section 11.31(g-1), if the executive |
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director confirms that the property described in an application is |
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a facility, device, or method referenced in Subsection (k)(16) and |
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is part of an advanced clean energy project as defined by Section |
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382.003 (1-a), Health and Safety Code, the executive director shall |
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determine that it is used wholly as a facility, device, or method |
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for the control of air, water, or land pollution and shall take the |
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actions that are required by Subsection (d). |
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(m-2) If the executive director confirms under Subsection |
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(m) or determines under Subsection (d) that the facility, device, |
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or method described in the application is used wholly or partly as a |
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facility, device, or method for the control of air, water, or land |
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pollution, it shall not limit the authority of the chief appraiser |
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under Chapter 23 to: |
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(1) evaluate whether the facility, device or method |
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also facilitates an increase in the production of goods at the |
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facility at which the facility, device, or method is installed or |
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the sale of a marketable product at a profit in the ordinary course |
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of business of the facility; and |
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(2) take any resulting income into account if the |
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chief appraiser uses the income method of appraisal to determine |
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the market value of the facility. |
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SECTION 2. This Act is intended to clarify rather than |
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change existing law, except 11.31 (m-1), as added by this act, which |
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applies only to ad valorem taxes imposed for a tax year beginning on |
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or after January 1, 2016. |
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SECTION 3 (a) Except as provided by Subsection (b) of |
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this section, this Act takes effect immediately if it receives a |
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vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution; and if |
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this Act does not receive the vote necessary for immediate effect, |
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this Act takes effect September 1, 2015. |
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(b) Section 11.31(m-2), Tax Code, as added by this Act, |
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takes effect January 1, 2016. |