HB 23

H.B. No. 23
  AN ACT
  relating to the exemption from ad valorem taxation of property
  owned by certain nonprofit corporations, located in a populous
  county, and used to promote agriculture, support youth, and provide
  educational support in the community.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 11.23, Tax Code, is amended by adding
  Subsection (n) to read as follows:
         (n)  Promotion of Agriculture, Support of Youth, and
  Provision of Educational Support in Populous Counties.  In a county
  with a population of 3.3 million or more, all real and personal
  property owned by a nonprofit corporation, as that term is defined
  by Section 22.001, Business Organizations Code, organized
  exclusively for charitable, educational, and scientific purposes,
  and held for use in promoting agriculture, supporting youth, and
  providing educational support in the community is exempt from all
  ad valorem taxation.  This subsection does not exempt from ad
  valorem taxation any interest in real or personal property,
  including a leasehold or other possessory interest, of a for-profit
  lessee of property for which a nonprofit corporation is entitled to
  an exemption from taxation under this subsection.
         SECTION 2.  This Act applies only to an ad valorem tax year
  that begins on or after the effective date of this Act.
         SECTION 3.  This Act takes effect January 1, 2026.
  ______________________________
  ______________________________
     President of the Senate
  Speaker of the House     
         I certify that H.B. No. 23 was passed by the House on August
  25, 2025, by the following vote:  Yeas 113, Nays 13, 1 present, not
  voting.
  ______________________________
  Chief Clerk of the House   
         I certify that H.B. No. 23 was passed by the Senate on August
  26, 2025, by the following vote:  Yeas 26, Nays 1.
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
            _____________________
                   Governor