HBA-JEK, AMW H.B. 2601 77(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 2601
By: Coleman
Ways & Means
7/19/2001
Enrolled



BACKGROUND AND PURPOSE 

Prior to the 77th Legislature, state law provided exemptions from local
appraisal taxes to parks, markets, fairgrounds, or other similar facilities
for taxation of leaseholds or possessory interests in these public
facilities owned by an incorporated city or town which were used in
connection with a city's or town's convention and entertainment activities.
Although many arenas, stadiums, convention centers, visitor centers, and
concert halls were public facilities, these facilities were not included in
the tax exemptions. House Bill 2601 includes a convention center, visitor
center, sports facility with permanent seating, concert hall, arena, or
stadium that is owned by an incorporated city or town among the local
appraisal tax exemptions.    

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. 

ANALYSIS

House Bill 2601 amends the Tax Code to include a leasehold or other
possessory interest in a convention center, visitor center, sports facility
with permanent seating, concert hall, arena, or stadium that is owned by an
incorporated city or town as such leasehold or possessory interest serves a
governmental, municipal, or public purpose or function when the facility is
open to the public, regardless of whether a fee is charged for admission,
to the types of exempt property that are prohibited from being listed in
the name of the owner of the possessory interest. 

EFFECTIVE DATE

January 1, 2001.