HBA-NLM H.J.R. 21 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.J.R. 21
By: Wohlgemuth
State Affairs
3/30/1999
Introduced



BACKGROUND AND PURPOSE 

Currently, enhanced majority votes are not required for tax increases and
legislation relating to revenue raising.  There is concern that taxing
issues may not be adequately deliberated by elected officials, since a
two-thirds majority  is not required for the passage of tax increases.  As
proposed, H.J.R. 21  requires the submission to the voters of a
constitutional amendment prohibiting the legislature from enacting a bill
that increases the rate of a state tax, changes the tax liability, or
imposes a state tax on certain entities or items previously not taxed,
unless the bill is approved by an affirmative vote of at least two-thirds
of the members elected to each house.   

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Article VIII, Texas Constitution, by adding Section 25,
as follows: 

Sec. 25.  (a)  Prohibits the legislature from enacting a bill, unless the
bill is approved by an affirmative vote of at least two-thirds of the
members elected to each house, that: 

_imposes a state tax, 
_increases the rate of a state tax,
_extends the application of a state tax to a new class of persons,
property, transactions, or other items not previously taxed, or  
_changes a state tax in a manner that increases the tax liability of all
persons, property, transactions, or other items subject to the tax. 

(b)  Provides that this section does not apply to the repeal or amendment
of an exemption or other exception expressly provided by statute on
September 1, 1999. 

(c)  Provides that, for the purposes of this section, the term "state tax"
does not include certain taxes, fines, charges, or fees described by this
subsection. 

(d)  Applies this section to the enactment by bill of a general law covered
by Section 24(a) or (b) (Personal Income Tax; Dedication of Proceeds) of
this article. 

SECTION 2.  Requires this proposed  constitutional amendment to be
submitted to the voters at an election to be held November 2, 1999.  Sets
forth the required language for the ballot.