Relating to an exemption from ad valorem taxation of the amount of the appraised value of real property that arises from the installation or construction on the property of a generator that is primarily for the production and distribution of energy for on-site use.

HB 3390 creates a property tax exemption for the increased value of real estate resulting from installing qualifying on-site energy generators. It applies to property owners who install generators powered by natural gas, propane, diesel, or similar fuels, fully enclosed in soundproofing, and connected to a building's main electrical system for on-site energy use. The exemption removes the tax burden on the added property value from these installations, directly benefiting businesses or facilities that generate their own power. This policy change simplifies tax treatment for qualifying generators without altering broader property tax rules.