87R14317 SMT-F
 
  By: Perez H.B. No. 4253
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the procedure for qualifying for the exemption from ad
  valorem taxation of pollution control property.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 11.31, Tax Code, is amended by adding
  Subsections (o), (p), and (q) to read as follows:
         (o)  The Texas Commission on Environmental Quality shall
  adopt by rule a list of property that is used wholly as a facility,
  device, or method for the control of air, water, or land pollution.
  In adopting the list, the commission shall consider whether
  property previously determined by the executive director to be used
  wholly for the control of air, water, or land pollution continues to
  be used wholly for that purpose based on changes in the use of the
  property or changes in environmental regulations.  The commission
  shall review the list at least once every five years.  Section
  11.43(c) applies to an exemption granted under this section for
  property included on a list adopted by the commission under this
  subsection.  The fact that property is included on a list adopted by
  the commission under this subsection and that the executive
  director determined in a prior year that the property was used
  wholly as a facility, device, or method for the control of air,
  water, or land pollution does not preclude the chief appraiser from
  canceling the exemption if the chief appraiser determines that the
  facility, device, or method is no longer installed at the property
  that is subject to the exemption or is no longer used wholly or
  partly for the purposes described by Subsection (b).
         (p)  An exemption under this section, other than an exemption
  for property included on a list adopted by the Texas Commission on
  Environmental Quality under Subsection (o), expires at the end of
  the fifth tax year after the year in which the executive director
  issues a letter under Subsection (d) stating the executive
  director's determination that the facility, device, or method is
  used wholly or partly to control pollution.  To continue to receive
  an exemption under this section after that year, the person seeking
  to renew the exemption must file a new permit application or permit
  exemption request with the executive director under Subsection (c)
  and file a new application for the exemption with the chief
  appraiser.  Notwithstanding Section 11.43(d), a permit application
  or permit exemption request under Subsection (c) of this section
  must be filed with the executive director and an application for an
  exemption must be filed with the chief appraiser not later than
  September 1 of the year in which the exemption expires.  In addition
  to submitting the information required by Subsection (c), the
  person must provide proof that the facility, device, or method is
  still installed at the property that is subject to the exemption and
  is still used wholly or partly for the purposes described by
  Subsection (b).  The exemption remains in effect until the
  executive director or the commission takes final action on the
  application.  An exemption renewed under this subsection expires at
  the end of the fifth tax year after the year in which the executive
  director issues a letter under Subsection (d) stating the executive
  director's determination that the facility, device, or method is
  used wholly or partly to control pollution.
         (q)  This subsection expires September 1, 2027.  
  Notwithstanding the provisions of Subsection (p) relating to the
  date on which an exemption under this section expires:
               (1)  an exemption granted under this section before the
  2002 tax year, other than an exemption for property included on a
  list adopted by the Texas Commission on Environmental Quality under
  Subsection (o), expires at the end of the 2022 tax year unless the
  person seeking to renew the exemption complies with Subsection (p)
  on or before September 1, 2022;
               (2)  an exemption granted under this section before the
  2007 tax year but not before the 2002 tax year, other than an
  exemption for property included on a list adopted by the Texas
  Commission on Environmental Quality under Subsection (o), expires
  at the end of the 2023 tax year unless the person seeking to renew
  the exemption complies with Subsection (p) on or before September
  1, 2023;
               (3)  an exemption granted under this section before the
  2013 tax year but not before the 2007 tax year, other than an
  exemption for property included on a list adopted by the Texas
  Commission on Environmental Quality under Subsection (o), expires
  at the end of the 2024 tax year unless the person seeking to renew
  the exemption complies with Subsection (p) on or before September
  1, 2024;
               (4)  an exemption granted under this section before the
  2015 tax year but not before the 2013 tax year, other than an
  exemption for property included on a list adopted by the Texas
  Commission on Environmental Quality under Subsection (o), expires
  at the end of the 2025 tax year unless the person seeking to renew
  the exemption complies with Subsection (p) on or before September
  1, 2025; and
               (5)  an exemption granted under this section before the
  2022 tax year but not before the 2015 tax year, other than an
  exemption for property included on a list adopted by the Texas
  Commission on Environmental Quality under Subsection (o), expires
  at the end of the 2026 tax year unless the person seeking to renew
  the exemption complies with Subsection (p) on or before September
  1, 2026.
         SECTION 2.  Sections 11.43(b) and (c), Tax Code, are amended
  to read as follows:
         (b)  Except as provided by Subsection (c) and by Sections
  11.184, 11.31, and 11.437, a person required to apply for an
  exemption must apply each year the person claims entitlement to the
  exemption.
         (c)  An exemption provided by Section 11.13, 11.131, 11.132,
  11.133, 11.134, 11.17, 11.18, 11.182, 11.1827, 11.183, 11.19,
  11.20, 11.21, 11.22, 11.23(a), (h), (j), (j-1), or (m), 11.231,
  11.254, 11.27, 11.271, 11.29, 11.30, [11.31,] 11.315, or 11.35,
  once allowed, need not be claimed in subsequent years, and except as
  otherwise provided by Subsection (e), the exemption applies to the
  property until it changes ownership or the person's qualification
  for the exemption changes. However, except as provided by
  Subsection (r), the chief appraiser may require a person allowed
  one of the exemptions in a prior year to file a new application to
  confirm the person's current qualification for the exemption by
  delivering a written notice that a new application is required,
  accompanied by an appropriate application form, to the person
  previously allowed the exemption. If the person previously allowed
  the exemption is 65 years of age or older, the chief appraiser may
  not cancel the exemption due to the person's failure to file the new
  application unless the chief appraiser complies with the
  requirements of Subsection (q), if applicable.
         SECTION 3.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2021.