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Ord 66-2011 11/15/2011ORDINANCE NO. 66 -2011 Ordinance To Tax Tangible Personal Property In Transit, Which Would Otherwise Be Exempt Pursuant To Texas Tax Code § 11.253 WHEREAS, the 80th Texas Legislature in Regular Session enacted House Bill 621 to take effect on January 1, 2008, which added Texas Tax CODE § 11.253 to exempt from taxation certain tangible personal property held temporarily at a location in this state for assembling, storing, manufacturing, processing or fabricating purposes (goods -in- transit) which property has been subject to taxation in the past; WHEREAS, on September 18, 2007, the City Council approved an ordinance to continue to tax these goods; however, the Texas Legislature amended the Texas Tax Code to limit the exemption only to goods that are stored in a public warehouse owned by someone other than the owner of the goods; WHEREAS, although this change limits the effect of the exemption to the local tax base, it still allows industries to artificially lower their property tax obligations by moving goods into a public warehouse to obtain the tax exemption; WHEREAS, Texas Tax CODE § 11.253 allows the governing body of a taxing unit, after conducting a public hearing, to provide for the continued taxation of such goods -in- transit, and the City Council finds that a public hearing was held as required by Section 1 -n(d), Article VI 11, Texas Constitution; and WHEREAS, the City Council has conducted a public hearing and complied with all other legal pre- requisites to taxing goods -in- transit, as provided by Texas Tax Code § 11.253, and the City Council finds that it is in the best interests of the City to continue taxing such goods -in- transit. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS, THAT: Goods -in- transit, as defined by Texas Tax CODE § 11.253, shall remain subject to taxation by the City of Wichita Falls. PASSED AND APPROVED this the 15th day of November, 2011. MAYOR ATTEST: City Clerk