BILL ANALYSIS H.J.R. 35 By: Uher (Patterson) Finance 05-22-95 Senate Committee Report (Unamended) BACKGROUND Currently, many of the smaller commercial fishing operations are family owned and operated, using only one boat that is typically less than 100 feet in length and is taxed as real and tangible personal property. With the inconsistent nature of commercial fishing, the taxes imposed on these boats and their related equipment can cause a burden on the operation of the families' small businesses. PURPOSE As proposed, H.J.R. 35 requires the submission to the voters of a constitutional amendment authorizing the governing body of a political subdivision to exempt from ad valorem taxation boats and other equipment used in the commercial taking of fish, shrimp, shellfish, and other marine life. 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 Article VIII, Texas Constitution, by adding Section 19b, as follows: Sec. 19b. Authorizes the governing body of a political subdivision to exempt from ad valorem taxation boats and other equipment used primarily in the commercial taking of fish, shrimp, shellfish, and other marine life. Authorizes the legislature to provide for the administration of the exemption authorized by this section and to provide additional qualifications and limitations for the exemption. SECTION 2. Requires this proposed constitutional amendment to be submitted to the voters at an election to be held November 7, 1995. Sets forth the required language of the ballot.