HBA-RBT H.B. 3034 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3034
By: Oliveira
Ways & Means
4/8/1999
Introduced



BACKGROUND AND PURPOSE 

Currently, local governments do not have sufficient flexibility to
negotiate tax abatements for property located in more than one taxing
entity.  H.B. 3034 provides the flexibility by allowing the negotiation of
tax abatement agreements that have differing terms from those agreed to by
the other taxing entity. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 312.004(a), Tax Code, to authorizes the
commissioners court of a county that enters into a tax abatement agreement
for the county to enter into a tax abatement agreement applicable to the
same property on behalf of a taxing unit other than the county.  Provides
that the tax abatement agreement entered into on behalf of the other taxing
unit is not required to contain the same terms as the tax abatement
agreement entered into on behalf of the county.  Makes conforming and
nonsubstantive changes. 

SECTION 2.  Amends Section 312.206(a), Tax Code, to provide that Section
312.205 (Specific Terms of Tax Abatement Agreement) applies to an agreement
made by a taxing unit under this section in the same manner as it applies
to an agreement made by a municipality under Section 312.204 (Municipal Tax
Abatement Agreement) or 312.211 (Agreement by Municipality Relating to
Property Subject to Voluntary Cleanup Agreement).  Makes conforming and
nonsubstantive changes. 

SECTION 3.  Makes application of this Act to a tax abatement agreement
prospective. 
           Makes application of this Act to the imposition of ad valorem
taxes prospective  
            to January 1, 2000.

SECTION 4.  Effective date: September 1, 1999.

SECTION 5.  Emergency clause.