Constitutional Amendment B authorizes the creation of a property tax exemption for real property that the state or a local government entity leases from a private owner. The term "local government entity" is to be defined by statute. The Amendment does not allow for the exemption of tangible personal property that the state or a local government entity leases from a private owner.

Amendment B may result in a cost saving to the state or local government entities that lease real property from a private owner. Because of the exemption, the private owner of the real property would not be required to pay property tax on that real property, allowing the saving to be passed on to the state or local government entity.