BILL ANALYSIS

H.B. 3487

By: Turner

Ways & Means

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Prior to January 1, 2022, public institutions of higher education and university systems were authorized to participate in the Texas Historic Preservation Tax Credit Program by H.B. 1003, 85th Regular Session. However, project costs were only eligible for the credit if they were incurred between June 14, 2017, and January 1, 2022. H.B. 3487 seeks to reauthorize the program and extend it to public institutions of higher education and university systems in the program.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 3487 amends the Tax Code, effective January 1, 2022, to establish that costs and expenses incurred by a public institution of higher education or university system are considered eligible costs and expenses for purposes of the tax credit for the certified rehabilitation of certified historic structures so long as the costs and expenses satisfy provisions, other than the depreciation and tax-exempt use provisions, of the federal Internal Revenue Code relating to rehabilitation credits. Effective January 1, 2031, the bill removes such institutions and systems from that provision. The bill applies only to costs and expenses incurred on or after the bill's effective date or after January 1, 2031, as applicable.

EFFECTIVE DATE

September 1, 2023.