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 inf, the official text

H.B. No. 247

AN ACT

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.

______________________________
______________________________

President of the Senate
Speaker of the House

I certify that H.B. No. 247 was passed by the House on May 6,

2025, by the following vote: Yeas 134, Nays 13, 2 present, not

voting.

______________________________

Chief Clerk of the House

I certify that H.B. No. 247 was passed by the Senate on May

21, 2025, by the following vote: Yeas 23, Nays 8.

______________________________

Secretary of the Senate

APPROVED: _____________________

Date

_____________________

Governor