HB 3586
AN ACT relating to the authority of a taxing unit to enter into an
89th Regular Session
Jan 14, 2025 - Jun 2, 2025 • Session ended
Awaiting Committee Assignment
Bill filed, pending referral to House committee
Committee
Not yet assigned
Fiscal Note
Not available
What This Bill Does
Prohibits taxing units from offering tax abatements for solar power facilities with a generation or storage capacity of 10 megawatts or more. The legislation effectively prevents local governments from providing property tax exemptions or reductions for large solar energy projects. This means solar power facilities meeting the specified capacity threshold will be required to pay full property taxes, potentially impacting the economic feasibility of future solar energy developments in Texas.
Subject Areas
Bill Text
relating to the authority of a taxing unit to enter into an agreement under the Property Redevelopment and Tax Abatement Act to exempt from ad valorem taxation a portion of the value of property on which a solar power facility is located or is planned to be BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter A, Chapter 312, Tax Code, is amended by adding Section 312.0022 to read as follows: Sec. 312.0022. PROHIBITION ON ABATEMENT OF TAXES ON CERTAIN SOLAR POWER FACILITY PROPERTY. (a) In this section, "solar power facility" means a facility designed and used primarily for the purpose of collecting, generating, or storing solar energy. (b) This section applies only to a solar power facility that has or will have a generation or storage capacity of 10 megawatts or (c) The governing body of a taxing unit may not enter into an agreement under this chapter to exempt from taxation a portion of the value of real property on which a solar power facility is located or is planned to be located during the term of the agreement, or of tangible personal property that is located or is planned to be located on the real property during that term. SECTION 2. The change in law made by this Act applies only to an agreement entered into under Chapter 312, Tax Code, on or after the effective date of this Act. SECTION 3. This Act takes effect September 1, 2025.
Bill History
Bill filed: AN ACT relating to the authority of a taxing unit to enter into an
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