By: Bonnen of Brazoria (Senate Sponsor - Huffman) H.B. No. 2999          (In the Senate - Received from the House April 24, 2017;   May 1, 2017, read first time and referred to Committee on Finance;   May 12, 2017, reported adversely, with favorable Committee   Substitute by the following vote:  Yeas 10, Nays 0; May 12, 2017,   sent to printer.)Click here to see the committee vote     COMMITTEE SUBSTITUTE FOR H.B. No. 2999 By:  Huffman     A BILL TO BE ENTITLED   AN ACT     relating to the exemption from ad valorem taxation of property   owned by certain medical centers in certain counties.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 11.23(j-1), Tax Code, is amended to read   as follows:          (j-1)  Medical Center Development in Populous Counties. In a   county with a population of 3.3 million or more [described by   Section 201.1055(1), Transportation Code], 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 benevolent, charitable, and educational purposes   [in the Texas Non-Profit Corporation Act (Article 1396-1.01 et   seq., Vernon's Texas Civil Statutes)], and held for use in the   development or operation of a medical center area or areas in which   the nonprofit corporation has donated land for a state medical,   dental, or nursing school, [and] for other hospital, medical,   educational, research, or nonprofit uses and uses reasonably   related to those uses [thereto], for auxiliary uses to support   those benevolent, charitable, and educational functions, including   the invention, development, and dissemination of materials, tools,   technologies, processes, and similar means for translating and   applying medical and scientific research for practical   applications to advance public health, or for governmental or   public purposes, including the relief of traffic congestion, [and   not leased or otherwise used with a view to profit,] is exempt from   all ad valorem taxation [as though the property were, during that   time, owned and held by the state for health and educational   purposes]. In connection with the application or enforcement of a   deed restriction or a covenant related to the property, a use or   purpose described in this subsection shall also be considered to be   a hospital, medical, or educational use, or a use that is reasonably   related to a hospital, medical, or educational use.          SECTION 2.  Section 11.23(j-1), Tax Code, as amended by this   Act, 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 ad valorem taxation   under that subsection.          SECTION 3.  This Act applies only to ad valorem taxes imposed   for a tax year beginning on or after the effective date of this Act.          SECTION 4.  This Act takes effect January 1, 2018.     * * * * *