HomeMy WebLinkAboutPR 14797: TAX EXEMPTIONS FOR CHARITABLE ORGANIZATIONS~emo~an um
Ci o Po~t Arthur, Texas
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Finance De artment
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To: Steve Fitzgibbons, City Manager
From: Rebecca Underhill, Director of Fi '~
Date: June 25, 2008
Subject: Proposed Resolution 14797
Section 11.184 of the Texas Property Tax Code was amended to provide exemption from property tax for
organi~ations that are certified "prirnarily charitable" by the Controller of Public Accounts. The Controller
has certified the Masonic Lodge, Lakeshore Lodge ~256 and the Fraternal Order of Eagles as primarily
charitable. These organizations have applied for exemption from the City of Port Arthur. When the
Council rants the exemption, it will apply to all certified charitable organizations for the 2008 tax year.
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Once the Council a roves the exem tion rovisions, it can a 1 to an or anization certif ed " rimaril
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charitable" by the Controller.
BUDGETARY EFFECT
The estimated cost of this exemption is $1,505 for these three organizations.
P. R. N0.14797
JJA: 06/25/08
RESOLUTION N0.
A RESOLUTION APPROVING TAX EXEMPTIONS F0~
CHARITABLE ORGANIZATI4NS AS ALLOWED UNDER
SECTION 11.184 PROPERTY TAX CODE
WHEREAS, legislation was enacted that allows taxing entities the option of granting an exemption
to or anizations that are engaged primarily in charitable aetivities; and
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WHEREAS, organizations that are engaged exclusively in charitable activities are currently exempt
under Section 11.18 of the Property Tax Code;
W~EREAS the Cit Council of the City of Port Arthur deems it to be in the best interest of the
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citizens of Port Ar#hur to rant such exem tions to organizations that are engaged primarily in charitable
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activities;
WHEREAS if the Cit rants this exem tion, the: delineation of whether qualified charitable
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or anizations are en a ed rirna~il in charitable activities is left to the State of Texas Comptroller;
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EREAS ~he Masonic Lod e the Lakeshore Lodge #256 and the Fraternal Order of Eagles have
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asked for the Council to approve this tax exemption;
WHEREAS The le islation rovides for exernption of up to five (5) years and for an organization
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~o continue to receive a~ exemption, the organization must obtain a new determination letter and reapply
for this exem tion, er Section 11.185 Tax Code V.T.C.A. ; and
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AS The Cit would refer to condition its approval that the exemption only be on an
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annual basis; and ~
n Au ust 6 2002 the Cit Council a roved Resolution 02-23 5 granting this
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exemption for 2002; and
WHEREAS on Jul 22 2003 the Cit Council approved Resolution 03-195 granting this
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exemption for 2003; and
EREAS on Jul 6 2004 the Cit Council approved Resolution 04-206 granting this exemption
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for 2004. ~
st 2 2005 the Cit Council a roved Resolution OS-232 granting this
WHEREAS, on Augu , , y pp
exemption for 2005.
6 the Cit Council a roved Resolution 06-220 granting this
VUHEREAS, on June 20, 200 , y pp
exemption for 2006.
Cit Council a roved Resolution 07-259 granting this
WHEREAS, on June 5, 2007, the y pp
exemption for 2007.
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NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PORT AR~HUR:
Section l. That the facts and opinions in the preamble are true and correct.
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Section 2. That the City Council grants exemptions to organizations that are primarily engaged
in charitable activities as delineated under Section 11, Y84 of the Property Tax Code.
Section 3. That the City Council will reconsider adoption of this exemption annually.
Section 4. That a co of the caption of this Resolution be spread upon the Minutes of the City
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Council, ~
READ ADOPTED AND APPROVED, this ~ day of July, 2008 AD, at a Regular Meeting
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of the Cit Council of the City of Port Arthur, Texas by the following vote:
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AYES: Mayor: _
Councilmembers:
NoES:
Mayor
ATTEST:
Terri Hanks, Acting City Secretary
APPROVED AS TO FORM:
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Mark Sokolow Cit At ney ;~ 1 /~~ ~ ,
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APPROVED FOR ADMINISTRATION:
Steve Fitzgibbons, City Manager
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Rebecca Underhill~, Finance Director ~ ~ ~ ~ ~ ~ ~ ~
Z:1FinancelResolutionslResolutionslCharitable Tax Exemption.doc.