Incent Development Finance District Funding.

Added ratification language stating the bill was read three times and ratified on June 17, 2026.

Added signature lines for the President of the Senate, Speaker Pro Tempore of the House, and the Governor.

Removed draft committee headers, substitute dates, and edition markers indicating the bill was in progress.

The expiration period for property tax benefits was increased from five years to ten years, allowing developers to retain the tax incentive for a longer duration.

Changed the method for establishing an incentive district from a 'determination' to an approval 'by resolution' of the governing body.

Added a new requirement that counties cannot include land inside a municipality in an incentive district unless the municipality agrees via resolution.

Reduced the maximum duration of the property tax exclusion from ten years to five years.

Delayed the effective date of the tax changes from July 1, 2026, to July 1, 2027.

Changed the benefit from deferring tax payments to excluding 90% of the property's appraised value from taxation.

Replaced the definition of 'residence' with 'qualified development,' which includes land and unoccupied improvements held for sale.

Added a ten-year expiration limit for the tax exclusion benefit.

Removed the requirement for a certificate of occupancy to trigger the benefit, as the property is still held for sale.

Updated the effective date of the act from July 1, 2025, to July 1, 2026.

Established a new program called 'Inventory Property Tax Deferral' to encourage private developers to build homes in specific local government areas.

Created the definition of an 'Incentive District,' which is a specific area approved by local government where developers can apply for project financing.

Defined 'Qualified Improvements' as new residential constructions by builders that are unoccupied and intended for sale.

Allows owners to defer property taxes on the increased value of new homes, with the deferred amount becoming a lien on the property if the owner sells or stops using the home as a residence.

Set the effective date for the new tax rules to apply to taxable years beginning on or after July 1, 2025.

Mandates that local governments notify owners annually of accumulated deferred taxes and interest before September 1.

Increased the maximum percentage of a local government's total area that can be designated as an incentive district from 5% to 10%.