TX Tax Code § 313.021 (2021)
2021 Texas Statutes|Tax Code|Title 3 - Local Taxation|Subtitle B - Special Property Tax Provisions|Chapter 313 - Texas Economic Development Act|Subchapter B. Limitation on Appraised Value of Certain Property Used to Create Jobs|Section 313.021. Definitions

Sec. 313.021.  DEFINITIONS.  In this subchapter:(1)  "Qualified investment" means:(A)  tangible personal property that is first placed in service in this state during the applicable qualifying time period that begins on or after January 1, 2002, without regard to whether the property is affixed to or incorporated into real property, and that is described as Section 1245 property by Section 1245(a), Internal Revenue Code of 1986;(B)  tangible personal property that is first placed in service in this state during the applicable qualifying time period that begins on or after January 1, 2002, without regard to whether the property is affixed to or incorporated into real property, and that is used in connection with the manufacturing, processing, or fabrication in a cleanroom environment of a semiconductor product, without regard to whether the property is actually located in the cleanroom environment, including:(i)  integrated systems, fixtures, and piping;(ii)  all property necessary or adapted to reduce contamination or to control airflow, temperature, humidity, chemical purity, or other environmental conditions or manufacturing tolerances; and(iii)  production equipment and machinery, moveable cleanroom partitions, and cleanroom lighting;(C)  tangible personal property that is first placed in service in this state during the applicable qualifying time period that begins on or after January 1, 2002, without regard to whether the property is affixed to or incorporated into real property, and that is used in connection with the operation of a nuclear electric power generation facility, including:(i)  property, including pressure vessels, pumps, turbines, generators, and condensers, used to produce nuclear electric power; and(ii)  property and systems necessary to control radioactive contamination;(D)  tangible personal property that is first placed in service in this state during the applicable qualifying time period that begins on or after January 1, 2002, without regard to whether the property is affixed to or incorporated into real property, and that is used in connection with operating an integrated gasification combined cycle electric generation facility, including:(i)  property used to produce electric power by means of a combined combustion turbine and steam turbine application using synthetic gas or another product produced by the gasification of coal or another carbon-based feedstock; or(ii)  property used in handling materials to be used as feedstock for gasification or used in the gasification process to produce synthetic gas or another carbon-based feedstock for use in the production of electric power in the manner described by Subparagraph (i);(E)  tangible personal property that is first placed in service in this state during the applicable qualifying time period that begins on or after January 1, 2010, without regard to whether the property is affixed to or incorporated into real property, and that is used in connection with operating an advanced clean energy project, as defined by Section 382.003, Health and Safety Code; or(F)  a building or a permanent, nonremovable component of a building that is built or constructed during the applicable qualifying time period that begins on or after January 1, 2002, and that houses tangible personal property described by Paragraph (A), (B), (C), (D), or (E).(2)  "Qualified property" means:(A)  land:(i)  that is located in an area designated as a reinvestment zone under Chapter 311 or 312 or as an enterprise zone under Chapter 2303, Government Code;(ii)  on which a person proposes to construct a new building or erect or affix a new improvement that does not exist before the date the person submits a complete application for a limitation on appraised value under this subchapter;(iii)  that is not subject to a tax abatement agreement entered into by a school district under Chapter 312; and(iv)  on which, in connection with the new building or new improvement described by Subparagraph (ii), the owner or lessee of, or the holder of another possessory interest in, the land proposes to:(a)  make a qualified investment in an amount equal to at least the minimum amount required by Section 313.023; and(b)  create at least 25 new qualifying jobs;(B)  the new building or other new improvement described by Paragraph (A)(ii); and(C)  tangible personal property:(i)  that is not subject to a tax abatement agreement entered into by a school district under Chapter 312;(ii)  for which a sales and use tax refund is not claimed under Section 151.3186; and(iii)  except for new equipment described in Section 151.318(q) or (q-1), that is first placed in service in the new building, in the newly expanded building, or in or on the new improvement described by Paragraph (A)(ii), or on the land on which that new building or new improvement is located, if the personal property is ancillary and necessary to the business conducted in that new building or in or on that new improvement.(3)  "Qualifying job" means a permanent full-time job that:(A)  requires at least 1,600 hours of work a year;(B)  is not transferred from one area in this state to another area in this state;(C)  is not created to replace a previous employee;(D)  is covered by a group health benefit plan for which the business offers to pay at least 80 percent of the premiums or other charges assessed for employee-only coverage under the plan, regardless of whether an employee may voluntarily waive the coverage; and(E)  pays at least 110 percent of  the county average weekly wage for manufacturing jobs in the county where the job is located.(F)  In determining whether a property owner has created the number of qualifying jobs required under this chapter, operations, services and other related jobs created in connection with the project, including those employed by third parties under contract, may satisfy the minimum qualifying jobs requirement for the project if the Texas Workforce Commission determines that the cumulative economic benefits to the state of these jobs is the same or greater than that associated with the minimum number of qualified jobs required to be created under this chapter.  The Texas Workforce Commission may adopt rules to implement this subsection.(4)  "Qualifying time period" means:(A)  the period that begins on the date that a person's application for a limitation on appraised value under this subchapter is approved by the governing body of the school district and ends on December 31 of the second tax year that begins after that date, except as provided by Paragraph (B) or (C) of this subdivision or Section 313.027(h);(B)  in connection with a nuclear electric power generation facility, the first seven tax years that begin on or after the third anniversary of the date the school district approves the property owner's application for a limitation on appraised value under this subchapter, unless a shorter time period is agreed to by the governing body of the school district and the property owner; or(C)  in connection with an advanced clean energy project, as defined by Section 382.003, Health and Safety Code, the first five tax years that begin on or after the third anniversary of the date the school district approves the property owner's application for a limitation on appraised value under this subchapter, unless a shorter time period is agreed to by the governing body of the school district and the property owner.(5)  "County average weekly wage for manufacturing jobs" means:(A)  the average weekly wage in a county for manufacturing jobs during the most recent four quarterly periods for which data is available at the time a person submits an application for a limitation on appraised value under this subchapter, as computed by the Texas Workforce Commission; or(B)  the average weekly wage for manufacturing jobs in the region designated for the regional planning commission, council of governments, or similar regional planning agency created under Chapter 391, Local Government Code, in which the county is located during the most recent four quarterly periods for which data is available at the time a person submits an application for a limitation on appraised value under this subchapter, as computed by the Texas Workforce Commission.|Added by Acts 2001, 77th Leg., ch. 1505, Sec. 1, eff. Jan. 1, 2002.  Amended by Acts 2003, 78th Leg., ch. 1310, Sec. 113, eff. June 20, 2003.Amended by: Acts 2007, 80th Leg., R.S., Ch. 1262 (H.B. 2994), Sec. 2, eff. June 15, 2007.Acts 2009, 81st Leg., R.S., Ch. 1109 (H.B. 469), Sec. 6, eff. September 1, 2009.Acts 2009, 81st Leg., R.S., Ch. 1186 (H.B. 3676), Sec. 2, eff. June 19, 2009.Acts 2013, 83rd Leg., R.S., Ch. 1272 (H.B. 1133), Sec. 2, eff. September 1, 2013.Acts 2013, 83rd Leg., R.S., Ch. 1304 (H.B. 3390), Sec. 3, eff. January 1, 2014.|