BILL ANALYSIS


                                                        H.B. 1611
                                             By: Stiles (Sponsor)
                                                          Finance
                                                         05-05-95
                              Senate Committee Report (Unamended)
BACKGROUND

Current law does not exempt certain materials and supplies
purchased by a person providing stevedoring services for a ship or
vessel operating exclusively in foreign or interstate coastal
commerce.  

PURPOSE

As proposed, H.B. 1611 exempts materials and supplies loaded aboard
a ship or vessel and not removed before the departure of the ship
or vessel.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 151.329, Tax Code, to include, among the
items that are exempt from taxes imposed by this chapter, materials
and supplies purchased by a person providing stevedoring services
for a ship or vessel operating exclusively in foreign or interstate
coastal commerce if the materials and supplies are loaded aboard
the ship or vessel and are not removed before the departure of the
ship or vessel.

SECTION 2. (a)  Provides that this Act takes effect on the first
day of the first calendar quarter beginning on or after the date
that it may take effect under Article III, Section 39, of the Texas
Constitution.

     (b)  Makes application of this Act prospective.
     
SECTION 3. Emergency clause.
           Effective date:  90 days after adjournment.