Bill > HB3586

This bill modifies the Texas Tax Code to prohibit local taxing units from providing property tax abatements (temporary reductions or exemptions) for large solar power facilities. Specifically, the bill defines a solar power facility as a facility primarily designed for collecting, generating, or storing solar energy, and applies to facilities with a generation or storage capacity of 10 megawatts or more. Under this proposed legislation, local government bodies would be forbidden from entering into agreements that would exempt any portion of the property's value from taxation, whether for the real property where the solar facility is located or for tangible personal property associated with the facility. The bill's provisions would apply to any agreements entered into on or after its effective date of September 1, 2025, effectively blocking tax incentives for larger solar power projects. By preventing tax abatements, the bill could potentially make it less financially attractive for solar power developers to build large-scale facilities in Texas.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB3586