H.B. No. 1623 amends the Government Code to establish eligibility criteria for foreign individuals or entities seeking a limitation on the taxable value of property for school district maintenance and operations ad valorem tax purposes under the Texas Jobs, Energy, Technology, and Innovation Act. The bill introduces new definitions, including "designated country," which refers to countries identified by the U.S. Director of National Intelligence as posing a national security risk. It also clarifies that an organization is considered under the control of an individual or another organization if the controlling party owns at least 50% of the voting ownership interest.

The bill specifies that individuals or entities from designated countries are ineligible to apply for tax benefits, including governmental entities, organizations headquartered in designated countries, and individuals who are citizens of such countries. Additionally, it allows the comptroller to request further information to evaluate applications and mandates that agreements include provisions to prevent ownership transfers to ineligible parties. The attorney general is granted authority to terminate agreements if violations occur, and the bill outlines reporting requirements for the comptroller regarding agreements involving ineligible parties. The changes will take effect on September 1, 2025, and apply only to agreements entered into after that date.