. ~,~~ COMMISSIONERS' COURT AGENDA REQUEST PLEASE FURNISH ONE ORIGINAL AND TEN COPIES OF THIS REQUEST AND DOCUMENTS TO BE REVIEWED BY THE COURT. MADE BY: Jim Keefe MEETING DATE: April 14, 2008 Office: SUBJECT: (Please Be Specific) TIME PREFERRED: 10 AM Consider, discuss and take appropriate actions to approve exempting Kerrville Elks Lodge # 2081, 1907 Junction Hwy., Kerrville, Tx 78028 from Real Property and Business Personal Property Taxes. EXECUTIVE SESSION REQUESTED: (PLEASE STATE REASON): NAME OF PERSON ADDRESSING COURT: '"ESTIMATED LENGTH OF PRESENTATION: IF PERSONNEL MATTER -NAME OF EMPLOYEE Jim Keefe 10 minutes Time for submitting this request for Court to assure that the matter is posted in accordance with Title 5, Chapter 551 and 552, Government Code, is as follows: Meeting schedule for Mondays: 5:00 P.M. previous Tuesday THIS REQUEST RECEIVED BY: THIS REQUEST RECENED ON: All Agenda Requests will be screened by the County Judge's Office to determine if adequate information has been prepared for the Court's formal consideration and action at time of Court Meetings. Your cooperation will be appreciated and contribute towards your request being addressed at the earliest opportunity. See Agenda Request Rules Adopted by Commissioners' Court, Court Order No. 25722. ~~. ~ c~1 F ic1 S LI S A N I TEXAS COMPTROLLER df PUBLIC ACCOUNTS Q ~ B ~ ' P.O. Bqx X352$ AUSTIN. TX 767 1 1-35 26 February 29, 2008 Jim Keefe, Chairman Kerrville Elks Ladge # 2081 P.O. Box 2043 Kerrville, Texas 78029 Dear Mr. Keefe, As you may know, the Texas Legislature allowed local taxing jurisdictions to give:pe~rt3~taa l~l~€tp qualifying charitable arganizatians, as defined in Chapter I 1.18, Property Tax Code. After reviewing your application, we have determined that your organization is primarily engaged in charitable activities, based on your classification as a 501{c) organization with the Internal Revenue Service. Accordingly, I am pleased to issue this property tax determination letter. You will apply locally, with your county appraisal district, for property tax exemption. Include a copy of this determination letter with your application. Be aware that an organization maybe qualified, but receive no benefit from the exemption because either it owns no property, or the appraisal district determines that the property is not used exclusively for qualifying charitable activities. Not all taxing jurisdictions offer this property tax exemption. The actual amount of your tax relief is dependent upon local taxing authorities and your county appraisal district. A new determination letter, and reapplication for the exemption, is required following the end of the fifth year of exemption. If you have any questions about your exemption, email us at tax.help@cpa.state.tx.us, or call toll free (800} 531-5441 and ask for the exempt organizations section. Sincerel Lo er, Tax Policy Division Form 50.3Q1 (2-02) WWW.WINDOW.STATE.7K.U8 512-483-4000 • TOLL FREE: 1-8(}0'53[-5441 • aAx: 5l 2-463-4965 t ~/ S U S ~ N TEXAS COMPTF2OLLER 0~ PUBLIC ACCOUNTS (' 0 ]~ B ~ P,O. Hox 13528 • /LUSTiN, TX 7871 I-3528 February 29, 2008 Jim Keefe, Chairman Kerrville Elks Lodge # 2081 P.O. Box 2043 Kerrville, Texas 78029 Dear Mr. Keefe, I am pleased to inform you that your organization's successful application for property tax relief also~xempts your group from the Texas sales and use #axLet me assure you that this letter does not change any prior exemption your group may have received. Enclosed is a Texas Sales and Use Tax Exemption Certification form. When your group purchases taxable items, you may give a completed exemption certificate to the seller in Lieu of paying sales tax. The form does not need a taxpayer identification number to be valid. (The tax exemption does not apply if the purchase is for the personal benefit of an individual, or not related to your organization's exempt purpose.) You may make as many copies of the exemption certificate as you need. You can also download a copy from the Internet at http://window.state.tx.us/taxinfo/taxforms/Ol-forms.html or call Tax Assistance toll-free at (800) 252-5555. If your organization sells any taxable items or services, please contact Tax Assistance at the above number to find out if you need a sales tax permit. Additionally, if your organization is incorporated, the organization is not required to file Texas franchise tax reports. This letter does not change the effective date of any previously granted franchise tax exemption. If you have any questions about your exemption or if you receive any franchise tax notices, please email us at tax.help@cpa.state.tx.us, or call toll-free (800) 531-5441 and ask for the exempt organizations section. Sincerel , . Lo er, Tax Policy Division Form 01-916 (2-02) WiNW.WtNDQW.STATE.TX.IJS ~ 512'453-4000 • TOG.t_ FREE: 1'8O0'S31.5441 • FAX: 512.463-465 requirements of ~ectogl0] 11.182. (f) All information submitted to the department or the chief appraiser under this secton_(0] is subject to required disclosure, is excepted from required disclosure, or is confidential in accordance with Chapter 552, Government Code, or other law. Acts 2003, 78th Leg., ch. 1156, § 3, eff. Jan. 1, 2009. § 11.183. ASSOCIATION PROVIDING ASSISTANCE Tp AMBULATORY HEALTH CARE CENTERS. (a) An association is entitled to an exemption from taxation of the property it owns and uses exclusively for the purposes for which the association is organized if the association: (1) is exempt from federal income taxation under Secton_,0]_ 501(a), Internal Revenue Code of 1986, as an organization described by S_ect_on_j0] 501(c)(3) of that code; (2) complies with the criteria for a charitable organization under Sect~ns_[_~] 11.18(e) and (f); (3) except as provided by Subsection (b_[0]), engages exclusively in providing assistance to ambulatory health care centers that provide medical care to individuals without regard to the individuals' ability to pay, including providing policy analysis, disseminating information, conducting continuing education, providing research, collecting and analyzing data, or providing technical assistance to the health care centers; (4) is funded wholly or partly, or assists ambulatory health care centers that are funded wholly or partly, by a grant under Sec_ton_j0]_ 330, Public Health Service Act (42 U.S.C. S_ect~_nj_0] 254b), and its subsequent amendments; and (5) does not perform abortions or provide abortion referrals or provide assistance to ambulatory health care centers that perform abortions or provide abortion referrals. (bj0,j) Use of the property by a person other than the association does not affect the eligibility of the property for an exemption authorized by this secton_[Q] if the use is incidental to use by the association and limited to activities that benefit: (1) the ambulatory health care centers to which the association provides assistance; or (2) the individuals to whom the health care centers provide medical care. (c) Performance of noncharitable functions by the association does not affect the eligibility of the property for an exemption authorized by this secton_[_Q] if those other functions are incidental to the association's charitable functions. Added by Acts 1999, 76th Leg., ch. 675, § 1, eff. Jan. 1, 2000. --' § 11,_189[0]_. ORGANIZATIONS ENGAGED PRIMARILY IN PERFORMING CHARITABLE FUNCTIONS. (a) In this section[O]: (1) "Local charitable organization" means an organization that: (A) is a chapter, subsidiary, or branch of a statewide charitable organization; and (BL0]) with respect to its activities in this state, is engaged primarily in performing functions listed in Secton.[J] 11.18(d). (2) "Qualified charitable organization" means a statewide charitable organization or a local charitable organization. (3) "Statewide charitable organization" means a statewide organization that, with respect to its activities in this state, is engaged primarily in performing functions listed in Secton_[0] 11.18(d). `._-_-;b10]) An exemption under this sec_tor_[0] may not be granted unless the exemption is adopted either: (1) by the governing body of the taxing unit; or (2) by a favorable vote of a majority of the qualified voters of the taxing unit at an election called by the governing body of a taxing unit, and the governing body shall call the election on the petition of at least 20 percent of the number of qualified voters who voted in the preceding election of the taxing unit. c If approved under Subsection (bj0]), a qualified charitable organization is entitled to an exemption from taxation of: (1) the buildings and other real property and the tangible personal property that: ~r (A) are owned by the organization; and (Bj_0]) except as permitted by Subsection (d), are used exclusively by the organization and other organizations eligible for an exemption from taxation under this sECt~njQ] or (~Y 1 Sectonj_~] 11.18; and (2) the real property owned by the organization consisting of: (A) an incomplete improvement that: ~~ (i) is under active construction or other physical preparation; and (ii) is designed and intended to be used exclusively by the organization and other organizations eligible for an exemption from taxation under this section[0] or SectignjQ] 11.18; and (B(_Q]) the land on which the incomplete improvement is located that will be reasonably necessary for the use of the improvement by the organization and other organizations eligible for an exemption from taxation under this s_ection_j0] or Secti~njQ] 11.18. (d) Use of exempt property by persons who are not charitable organizations eligible for an exemption from taxation under this sec*_og[_0_j or Section[_~1 11.18 does not result in the loss of an exemption authorized by this sectionj_0_] if the use is incidental to use by those charitable organizations and limited to activities that benefit the charitable organization that owns or uses the property. (e) Before an organization may submit an application for an exemption under this sectonjOJ_, the organization must apply to the comptroller for a determination of whether the organization is engaged primarily in performing functions listed in $gctcn(~] 11.18(d) and is eligible for an exemption under this sect,._onjCj. In making the determination, the comptroller shall consider: (1) whether the organization is recognized by the Internal Revenue Service as a tax-exempt organization under SectggjQ] 501 of the Internal Revenue Code of 1986; (2) whether the organization holds a letter of exemption issued by the comptroller certifying that the organization is entitled to issue an exemption certificate under S_ect~njQ] 151.310; (3) whether the charter or bylaws of the organization require charitable work or public service; (4) the amount of monetary support contributed or in-kind charitable or public service performed by the organization in proportion to: (A) the organization's operating expenses; (R_[.Q.) the amount of dues received by the organization; and (C) the taxes imposed on the organization's '~ property during the preceding year if the property was taxed in that year or, if the property was exempt from taxation in that year, the taxes that would have been imposed on the property if it had not been exempt from taxation; and {5) any other factor the comptroller considers relevant. (f) Not later than the 30th day after the date the organization submits an application under Subsection (e), the comptroller may request that the organization provide additional information the comptroller determines necessary. Not later than the 90th day after the date the application is submitted or, if applicable, the date the additional information is provided, the comptroller shall issue a letter to the organization stating the comptroller's determination. (g) The comptroller may: (1) adopt rules to implement this sectionj0]; (2) prescribe the form of an application for a determination letter under this sectign[Qj; and (3) charge an organization a fee not to exceed the administrative costs of processing a request, making a determination, and issuing a determination letter under this se_cton[0]. (h) An organization applying for an exemption under this sect,gn[C.] shall submit with the application a copy of the determination letter issued by the comptroller under Subsection (f). The chief appraiser shall accept the copy of the letter as conclusive evidence as to whether the organization engages primarily in performing charitable functions and is eligible for an exemption under this sectgn_j0). -" (i) A property may not be exempted under Subsection (c)(2) for more than three years. (j) For purposes of Subsection (c)(2), an incomplete improvement is under physical preparation if the charitable organization has: (1) engaged in architectural or engineering work, soil testing, land clearing activities, or site improvement work necessary for the construction of the improvement; or ~i (2) conducted an environmental or land use study relating to the construction of the improvement. (k) An exemption under this secror._[Q; expires at the end of the fifth tax year after the year in which the exemption is granted. ~~ To continue to receive an exemption under this section [0] after that year, the organization must obtain a new determination letter and reapply for the exemption. Added by Acts 2001, 77th Leg., ch. 1040, ~ 1, eff. Sept. 1, 2001. Amended by Acts 2003, 78th Leg., ch. 288, ~ 1.02, eff. June 18, 2003; Acts 2003, 78th Leg., ch. 288, ~ 2.02, eff. Jan. 1, 2006. ~ 11.185. COLONIA MODEL SUBDIVISION PROGRAM. (a) An organization is entitled to an exemption from taxation of unimproved real property it owns if the organization: (1) meets the requirements of a charitable organization provided by Sect_ons[0] 11.18(e) and (f); (2) purchased the property or is developing the property with proceeds of a loan made by the Texas Department of Housing and Community Affairs under the colonia model subdivision program under Subchapter GG, Chapter 2306, Government Code; and (3) owns the property for the purpose of developing a model colonia subdivision. (b_[0]) Property may not be exempted under Subsection (a) after the fifth anniversary of the date the organization acquires the property. (c) An organization entitled to an exemption under Subsection (a) is also entitled to an exemption from taxation of any building or tangible personal property the organization owns and uses in the administration of its acquisition, building, repair, or sale of property. To qualify for an exemption under this subsection, property must be used exclusively by the charitable organization, except that another individual or organization may use the property for activities incidental to the charitable organization's use that benefit the beneficiaries of the charitable organization. (d) For the purposes of Subsection (e), the chief appraiser shall determine the market value of property exempted under Subsection (a) and shall record the market value in the appraisal records. (e) If the organization that owns improved or unimproved real property that has been exempted under Subsection (a) sells the property to a person other than a person described by ~ectclr_[Oj 2306.786(bt_~])(1), Government Code, a penalty is imposed on the property equal to the amount of the taxes that would have been imposed on the property in each tax year that the property was exempted from taxation under Subsection (a), plus interest at an annual rate of 12 percent computed from the dates on which the taxes would have become due. Added by Acts 2001, 77th Leg., ch. 1367, ~ 2.14, eff. Sept. 1, 2002. Renumbered from Tax Code ~ 11_._1$4[0.1 by Acts 2003, 78th Leg., ch. 1275, ~ 2(121), eff. Sept. 1, 2003. ~ 11.19. YOUTH SPIRITUAL, MENTAL, AND PHYSICAL DEVELOPMENT ASSOCIATIONS. (a) An association that qualifies as a youth development association as provided by Subsection (d) is entitled to an exemption from taxation of: (1) the tangible property that: (A) i.s owned by the association; (E3L0]) except as permitted by Subsection (L?[Q]), is used exclusively by qualified youth development associations; and (C) is reasonably necessary for the operation of the association; and (2} the real property owned by the youth development association consisting of: (A) an incomplete improvement that: (i) is under active construction or other physical preparation; and (ii) is designed and intended to be used exclusively by qualified youth development associations when complete; and (B.[C11) the land on which the incomplete improvement is located that will be reasonably necessary for the use of the improvement by qualified youth development associations. (b[__0]) Use of exempt tangible property by persons who are not youth development associations qualified as provided by Subsection (d) of this sec_tonjOj does not result in the loss of an exemption under this sectionL0.1 if the use is incidental to use by qualified associations and benefits the individuals the associations serve. (c) An association that qualifies as a youth development association as provided by Subsection (d) of this sectgn[Oj is entitled to an exemption from taxation of those endowment funds the association owns that are used exclusively for the support of the association and are invested exclusively in bonds, mortgages, or l ~> - - KERR COUNTY 2007 TAX STATEMENT Make Checks Payable To: . o?a~-o12~~-o3F~~~oc Diane Bolin -Tax Assessor/Collector o0oo3~u:; Kerr County, 700 Main St., Ste 124 - :c: Is°, Kerrville, TX 78028 ' ' _ , ~ _ .: ti , ~ ~ - - ~ _ 792-2243 www.co.kerr.tx.us ADDRESS CORRECTION REQUESTED i ~jG i JUN^..ON ti[d,, :9U7 Jt!NC"=OPi HWy .~. --' P1 ""`~*"AUTO"r:i-DIG:m ':?GZB ;.991 (~u~~~u~~~~nn~~~~~r~uu~i~~~un~n~n~~n~n~n~~r~n~r~ KERRVILLE ELKS LODGE #2081 PO BOX 2043 KERRVILLE, TX 78029-2043 oo;sz~~ '~E;~ ,.`,Gd t~ARTIP:EZ, SUK ._ , ,CkES i .65 19G~7 JUNC'ION HWY 1907 JUNCTION HWY KERRVILLE ELKS LODGE #2081 PO BoX 2043 KERRVILLE, TX 780298029 .g/3/S ~ z ~v~ ~ -->~~ - o g /~/S~ ~Z 2630.84 OCT 2007 - 2630.84 NOV 2007 - 2630.84 DEC 2007 - 2630.84 JAN 2008 - 2630.84 E'i;B 200i~ 7= 184. i4' 28i4 . y8 MAR 2008 9} 236.77 2867.61 APR 2008 11'3 289.40 2920.24 MAY 2008 13{ 342.01 2972.85 JUN 2008 15~ 394.61 3025.45 JUL 2008 18~/15~ _ 939.21 3570.05 12% I 12% ~ erty taxes in Texas are assessed as of January 1st each year and cover a period of one year from that date. tax statutes make no provision for proration, therefore, a change of address during the year would have no affect on the tax liability established on January 1st of the calendar year. Those tax statutes also make no provision for proration incase the property is disposed of during the calendar year. ALL ESTATE TAX STATEMENTS If you no longer own this property, please return the statement to our office with the name and address of the new owner, if,possible. NOTICE Taxes that remain unpaid after January 31st shall accrue penalty and interest charged at the maximum rates permitted under the laws of the tale of Texas. SPLIT PAYMENT OPTION allows taxes to be paid in two equal installments. The first payment is due prior to December 1, and t~econd prior to July 1, without penalty and interest. You may ~av vour taxes by credit card online at www.co.kerr.tx.us. Follow the Tax Assessor-Collector link. f ! fIIIIIIIIIIII~IIII ;;;:::~k~;;<:>:::<:::»:<:.....•:.p.:::;.'e :.. <: !<:>:<:>:><::>:~A3~;;1')l~:>::>»::::ii:` I VIII IIII ~II~IIII~~IIII IIIIIIIIIIII~IIIIIIII~IIII~II III~IIIIIII) ::_>:#?A113::IN;:;;;:,;::::~'FR~R3~'~y..`~#..~#~1~."::~:'3'>> ..:::.:.::.............................. . KERR COUNTY 2007 TAX STATEMENT g4lake Checks Payable To: Diane Bolin -Tax Assessor/Collector Kerr County, 700 Main St., Ste 124 Kerrville, TX 78028 792-2243 www.co.kerr.tx.us ADD ESS CORRECTION REQUESTED ., ....xAUT.)" ,- t~-l': `rsiL.E _491 .,, :: i' 1 ...... .: ..~ ~~111~~11'1~~11111~1~~1~1111~1~~~1111~11~11~~11'II~II~~l~ll~t~ KERRVILLE ELKS LODGE #2081 PO BOX 2043 KERRVILLE, TX 78029-2043 .~ ~:~,r;_ ~oor,r uaod~ 7C`TION HWY 1907 JUNCTION KERRVILLE ELKS LODE PO BOX 2043 KERRVILLE, TX 76029E ~>> 1 ~~~~ 0(~0o3;'fl3 P1I%;'.6 •. P~FSONRL E~RUPri:.T: .'~'1E: • ~• , KERRViLL6 EL..? _, L h , i90- JUN!1"IInN Hitit _3t"` _" ~^T:U r!Vd':~ ,~, ~ - ~:s:::i :::....: ........... i;i;i;ii:;:; iii::::::` .:::.... ...... !:::..::.:.. . L 150.99, ~ ~ ~ _ erty taxes in Texas are assessed as of January 1st each year and cover a period of one year from that date. tax statutes make no provision for proration, therefore, a change of address during the year would have no affect on the tax liability established on January 1st of the calendar year. Those tax statutes also make no provision for proration in case the property is disposed of during the Galen ar year. ALL ESTATE TAX STATEMENTS If you no longer own this property, please return the statement to our office with the name and address of the new owner, if posse e. NOTICE Taxes that remain unpaid after January 31st shall accrue penalty and interest charged at the maximum rates permitted under the laws of the to e of Texas. SPLIT PAYMENT OPTION allows taxes to be paid in two equal installments. The first payment is due prior to December 1, and t~second prior to July 1, without penalty and interest. .,,,,..,,~„ .,ate vrn~r razes by credit card online at www.co.kerr.tx.us. Follow the Tax Assessor-Collector link. Phone:83.0-257-2217 KERRVILLE I.S.D. STATEMENTraUMBER Fax: 330-257-2248 ::>:<':ry:.:::; :..:: ........:;.:;;.,..;.;,....:.~..~....~.!.....:.....:....:..:.:.......;:.: 3$572 ~~~ ~>~. :A:~ PROPERTY 1D NUM$ER`' 1.5574 NAME &:ADDRESS PROPERTY DESCRtPT~plV ~ PROPERTY GEOGRAPHICALID per ID: 11726 Pct: 100.000$ ABS A0247 MARTINEZ, SUR 124 ,ACRES 0247-0124-036000 i2VILLE ELKS LODGE #2081 1.65 BOX 2043 1907 JUNCTION HWY KERRVILLE, TX 78029-2043 Acreage: 1.6500 Type: R _ANDMARKET VALU IMPROVEMEN.T~MARKET-NACU '~~ January 31, 2008 -Payrnen~ Amount- 2nd March 31, 2008 3rd May 31, 2008 4th Jul 31, 2008 Phone: 83~-257-2217 KERRVI LLE I.S.D. STA7~MENT NUMBER Fax: 830-257-2248 :_;....:.:;;:.,.....::::~;~~~~~::~~~~ .:.:..:.:.:::,.,:..:..:: ...:.:.:~.:.:-:::,; 38571 ~~~ ~~~ PROPERTY:iD Nt71ylBER .:::::.:... ......:..::::.:::>>.::::::..:::.::.......:..:.......:.:.....~. 11726 ,i~TY (}ESC~tIP'C10N :PROPERTY G~OGRAPFfICAL ID zer ID: 11726 Pct: 100.0008 PERSONAL PROPERTY FFGE P11726 12VILLE ELKS LODGE #2081 BOX 2043 1907 JUNCTION HWY , KERRVILLE, TX ?8029-2043 Acreage: 0.0000 T P <~ Please note that this taxing unit does not otter early payment discounts. Property taxes m Texas are assessed as of January ts[ each year and cover a period of one year from that date. Tax statutes make no provisions for proration: therefore, a change of adtlress during the year would have no effect on the lax liabikty established on January 1st of the calendar year. Ako, if you owned personal property described on the tax statement on January tst then you are perwnally liable for the taxes. IF VOU ARE 65 YEARS OF AGE OR OLDER OR ARE DISABLED AND THE PROPERTY DESCRIBED IN THIS DOCUMENT IS YOUR RESIDENCE HOMESTEAD. YOU SHOULD CONTACT THE APPRAISAL DISTRICT REGARDING ANY ENTITLEMENT YOU MAY HAVE TO A POSTPONEMENT IN THE PAYMENT OF THESE TAXES. Penalt Sr. Intere t if atd after Ja 31 2007 (f Paitd m Mantti., ;;: Februa 2008 `P8ri iZate 7°h Tax Due 191.05 MafCh 2008 9°~i 194.62 A ri12008 11 °,6 19 s . 2 0 Ma 2008 13°,b 201.76 June 2008 15°h 205.33 Taxpayers who were 65 years of age or older, or disabled on Januan~ 1, 2007 and have filed an appLCafion for exemption may pay the taxes on then HOMESTEAD in four equal rnstallmentS Contact your Ta>: Office for more information. Putt: 1st Due_ BY January 31, 2008 Payment Atnotuit_ 2nd March 31, 2008 3rd May 31, 2008 9th July 31, 2008 1~ i~- The BPO ELKS, founded in 1868 in New York City, NY; is celebrating 140 years of service to our country and local communities. Kerrville Lodge 2081 was chartered in 1958. We are celebrating our 50th anniversary June 20, 2008. We are made up of approximately 200 members, with our offices at 1907 Junction Highway. We receive NO financial support from any government agency, but rely on our member's contributions and local merchants merchandise donations, for door prizes, to support our fundraisers. One of our slogans is: ELKS CARE - ELKS SHARE! The Elks are the second largest provider of college scholarships in the country, second only to the United States government. Due to the huge number of wounded and maimed veterans returning from WW 1, the Elks built a 700 bed hospital in Boston, Mass and donated it to the US government. This was the beginning of the Veterans Administration Health Care system, as we know it today. Our motto is: So long as there are Veterans, the Benevolent & Protective Order of Elks shall never forget them". Last year our Lodge donated over $5,000.00 in items to Veterans at the Kerrville VAMC. Kerrville Lodge #2081 is part of the Texas Elks State Association (TESA). Our major project is our summer camp program located in Ottine, Texas. The camp is presently open for seven weeks each summer. It serves physically & mentally handicapped children up to the age of 15 years, for a period of one week per child. The cost for one child, for one week, is approximately $700.00. Because of Elk's charitable donations, there is ABSOLUTELY NO CHARGE to the families of these children. In the Elk year of 2007-2008 our Lodge donated over $15,000.00 to this worthy program. Local applications are gladly accepted through our Lodge. Elks annually give more than EIGHT MILLION DOLLARS in scholarship assistance to worthy high school students. This year our Lodge members donated over $4,000.00 to the Elks National Foundation, which is the major provider of college scholarships. Local applications are submitted through our Lodge. At the present time, a student from Comfort HS is in the running for afour-year, $60,000.00 scholarship. In addition, for the last several years, our Lodge has been granting two, $1,000.00 scholarships. This year we also awarded two $500.00 savings bonds to the winners of our essay contest titled: "Why I'm Proud To Be An American". The winners are from Kerrville and placed 1St and 2°d in the State. We also donated 31 "Christmas Food Baskets" to local organizations and individual families in need, at a cost of approximately $1750.00. These are just some of the little known facts about Kerrville Elks Lodge # 2081. You have been given a copy of a letter from the State Comptroller's office naming us a "qualifying charitable organization", as defined in Chapter 11.18, Property Tax Code. (Pg 2, info exhibit) Under Chapter 11.184 (b) Property Tax Code, a property tax exemption for a fraternal organization can only be granted in one of two ways. (i) by the governing body of the taxing unit, or (2) by a favorable vote of the majority at an election called on a petition. (Pg 4 info exhibit) At present, SB 1296 is pending in the State Legislature. This bill would DELETE this requirement that a local governing body or the voters of that jurisdiction adopt an exemption from Ad Valorem taxation for a fraternal organization. A quote from the Bill Analysis of SB 1296 reads in part: "Currently, most non-profit organizations qualify for an Ad Valorem tax exemption from city, county and school district taxes, for land and buildings that are used by the organization, either by statue or under the Texas Constitution. However, fraternal organizations are the only charitable organizations that only receive an exemption from ad valorem taxation if the exemption is adopted by either the governing body of the taxing unit, or by a majority vote of the taxing unit's qualified voters. Statutory change is necessary to extend that exemption to fraternal organizations in the same way it is available to all other charitable organizations." What does this mean? Well, we believe it means that, because it was poorly conceived and written, the law is flawed because it DISCRIMINATES against fraternal organizations. Was this intentional? We hope not. Can it be corrected? Yes. The State Legislature is moving, albeit slowly, to correct this situation. So we are asking the County Commissioners, now that this situation has been recognized, to take immediate action to correct this situation. By exempting Kerrville Elks Lodge # 2081 from ad valorem taxation, Kerr County will show the world they will not condone Discrimination, nor do they wish to receive any financial gains from the use of Discrimination. Also, this exemption would save all parties TIME & MONEY by eliminating the need to create a petition to call an election. HOWEVER, if a petition is our only alternative, we will pursue that method with all our energy and member resources. I thank you for your time, and if there are any questions I will attempt to have them answered. 80(R) SB 1296 -Introduced version -Bill Analysis BILL ANALYSIS Senate Research Center AUTHOR'S /SPONSOR'S STATEMENT OF INTENT Page 1 of 1 S.B. 1296 By: Wentworth Finance 3/27/2007 As Filed Currently, most non-profit organizations qualify for an ad valorem tax exemption from city, county, and school district taxesjfor land and buildings that are used by the organizatior§ either by statute or under the Texas Constitution. However, fraternal organizations are the only charitable organizations that only receive an exemption from ad valorem taxation if the exemption is adopted by either the governing body of the taxing unit or by a majority vote of the taxing unit's qualified voters. Statutory change is necessary to extend that exemption to fraternal organizations in the same way it is available to all other charitable organizations. As proposed, S.B. 1296 deletes the requirement that a local governing body or the voters of that jurisdiction adopt an exemption from ad valorem taxation for a fraternal organization. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 11.184(c), Tax Code, to delete existing text requiring a qualified charitable organization to receive approval under Subsection (b), relating to the prohibition on a tax exemption to a qualified charitable organization unless said exemption is adopted by the governing body of the taxing unit or by favorable vote of the majority of the taxing unit's voters, for tax exemptions for certain buildings and certain real and tangible personal property. SECTION 2. Repealer: Section 11.184(b) (regarding public or governmental disapproval of a tax exemption for a certain qualified charitable organization), Tax Code. SECTION 3. Makes application of this Act prospective. SECTION 4. Effective date: January 1, 2008. http://www.capitol.state.tx.usltiodocs180R/analysis/htmUSB0129bI.HTM 04/04/2008