H.B. No. 2500
  relating to the appraisal for ad valorem tax purposes of solar
  energy property.
         SECTION 1.  Subchapter B, Chapter 23, Tax Code, is amended by
  adding Section 23.26 to read as follows:
         Sec. 23.26.  SOLAR ENERGY PROPERTY. (a) In this section,
  "solar energy property" means a "solar energy device" as defined by
  Section 11.27(c)(1) that is used for a commercial purpose,
  including a commercial storage device, power conditioning
  equipment, transfer equipment, and necessary parts for the device
  and equipment.
         (b)  This section applies only to solar energy property that
  is constructed or installed on or after January 1, 2014.
         (c)  The chief appraiser shall use the cost method of
  appraisal to determine the market value of solar energy property.
         (d)  To determine the market value of solar energy property
  using the cost method of appraisal, the chief appraiser shall:
               (1)  use cost data obtained from generally accepted
               (2)  make any appropriate adjustment for physical,
  functional, or economic obsolescence and any other justifiable
  factor; and
               (3)  calculate the depreciated value of the property by
  using a useful life that does not exceed 10 years.
         (e)  The chief appraiser may not in any tax year determine
  the depreciated value under Subsection (d)(3) to be less than 20
  percent of the value computed after making appropriate adjustments
  under Subsection (d)(2) to the value determined under 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, 2014.
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
         I certify that H.B. No. 2500 was passed by the House on May
  10, 2013, by the following vote:  Yeas 132, Nays 3, 2 present, not
  Chief Clerk of the House   
         I certify that H.B. No. 2500 was passed by the Senate on May
  21, 2013, by the following vote:  Yeas 28, Nays 3.
  Secretary of the Senate    
  APPROVED:  _____________________