HBA-JRA H.J.R. 39 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.J.R. 39
By: Craddick
Ways & Means
3/18/1999
Introduced



BACKGROUND AND PURPOSE 

Currently, certain property is subject to ad valorem taxation in this
state.  As proposed, H.J.R. 39 requires the submission to the voters of a
constitutional amendment exempting all personal property in this state from
ad valorem taxation, with certain exceptions. 

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 Section 1, Article VIII, Texas Constitution, to exempt
all personal property in this state from ad valorem taxation, except for
personal property pledged for the payment of a debt before November 2,
1999.  Authorizes the ad valorem tax on such property to be collected if
cessation of the levy and collection of the tax would impair the obligation
of the contract by which the debt was created.  Provides that this
exception applies to personal property that was taxable under the law in
effect on January 1, 1999, but that became exempt on January 1, 2000, as a
result of the amendment of this section.  Deletes existing Subsections
(d)-(e) and (g).  Redesignates existing Subsections (f) and (h)-(i) to
Subsections (d) and (e)-(f), respectively.  Makes conforming changes. 

SECTION 2.  Amends Section 1-l, Article VIII, Texas Constitution, to make
conforming changes. 

SECTION 3.  Amends Section 5, Article VIII, Texas Constitution, to make a
conforming change. 

SECTION 4.  Amends Section 8, Article VIII, Texas Constitution, to make
conforming changes. 

SECTION 5.  Amends Article VIII, Texas Constitution, by adding a temporary
provision making this constitutional amendment effective January 1, 2000,
and establishing an expiration date of January 1, 2002, for this temporary
provision. 

SECTION 6.  Repealer:  Sections 1-i (Mobile Marine Drilling Equipment; Ad
Valorem Tax Relief), 1-j (Certain Tangible Personal Property Exempt from Ad
Valorem Taxation), 19 (Farm Products, Livestock, Poultry, and Family
Supplies; Exemption), and 19a (Implements of Husbandry; Exemption), Article
VIII, Texas Constitution. 

SECTION 7.  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 of the ballot.