Relating to an exemption from ad valorem taxation of the amount of the appraised value of real property located in certain counties that arises from the installation or construction on the property of border security infrastructure and related improvements and to the consideration of the price paid by certain governmental entities for a parcel of or easement in real property purchased for the purpose of installing or constructing such infrastructure when appraising other real property.
relating to an exemption from ad valorem taxation of the amount of
the appraised value of real property located in certain counties
that arises from the installation or construction on the property
of border security infrastructure and related improvements and to
the consideration of the price paid by certain governmental
entities for a parcel of or easement in real property purchased for
the purpose of installing or constructing such infrastructure when
appraising other real property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 11, Tax Code, is amended by
adding Section 11.38 to read as follows:
Sec. 11.38. BORDER SECURITY INFRASTRUCTURE. (a) This
section applies only to real property located in a county that
borders the United Mexican States.
(b) In this section:
(1) “Border security infrastructure” means a wall,
barrier, fence, road, trench, apparatus, or other improvement
designed or adapted to surveil or impede the movement of persons or
objects crossing the Texas-Mexico border.
(2) “Qualified border security infrastructure
agreement” means a written agreement entered into between a
property owner and this state or the United States to install or
construct border security infrastructure on the owner’s property.
The agreement may provide for the installation or construction of
additional improvements on the property that are not border
security infrastructure.
(c) A person is entitled to an exemption from taxation of
the amount of appraised value of real property owned by the person
that arises from the installation or construction on the property
of an improvement that is installed or constructed:
(1) under a qualified border security infrastructure
agreement; or
(2) on land subject to a recorded easement granted by
the property owner to this state or the United States that dedicates
the property for a purpose described by Subsection (b)(1).
SECTION 2. Section 11.43(c), Tax Code, is amended to read as
follows:
(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, 11.35, [or]
11.36, or 11.38, 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. Section 23.013, Tax Code, is amended by adding
Subsection (f) to read as follows:
(f) Notwithstanding Section 1.04(7)(C), in determining the
market value of real property, a chief appraiser may not consider
the price paid by this state or the United States to purchase a
parcel of or an easement in real property described by Section
11.38(a) if the purchase was for the purpose of installing or
constructing on the property border security infrastructure as
defined by Section 11.38(b)(1).
SECTION 4. The changes in law made by this Act apply only to
an ad valorem tax year that begins on or after the effective date of
this Act.
SECTION 5. It is the intent of the 89th Legislature, Regular
Session, 2025, that the amendments made by this Act to Section
11.43(c), Tax Code, be harmonized with another Act of the 89th
Legislature, Regular Session, 2025, relating to nonsubstantive
additions to and corrections in enacted codes.
SECTION 6. This Act takes effect January 1, 2026, but only
if the constitutional amendment proposed by the 89th Legislature,
Regular Session, 2025, to authorize the legislature to provide for
an exemption from ad valorem taxation of the amount of the market
value of real property located in a county that borders the United
Mexican States that arises from the installation or construction on
the property of border security infrastructure and related
improvements is approved by the voters. If that amendment is not
approved by the voters, this Act has no effect.
