BILL ANALYSIS



H.J.R. 68
By: Haggerty
April 28, 1995
Committee Report (Unamended)


BACKGROUND

Section 2(b), Article VIII, Texas Constitution, which allows the
Legislature to grant ad valorem tax exemptions on property owned by
disabled veterans and their surviving spouses and children, was
added to the Texas statutes in 1972, and has not been amended
since.  However, inflation has risen steadily since 1972, thereby
eroding the exemptions for disabled veterans.

PURPOSE

This resolution calls for a constitutional amendment that would
raise the maximum allowable ad valorem tax exemptions of property
owned by disabled veterans or their surviving spouses or minor
children.

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Article VIII, Section 2 (Occupation Taxes;
           Equality and Uniformity; Exemptions from Taxation),
           Subsection (b), Texas Constitution, to allow the
           Legislature to raise the maximum allowable ad valorem
           tax exemptions on property of disabled veterans or their
           surviving spouses or minor children.


Category
Existing Amount
Proposed Amount


10-30% Disabled
$1,500
$5,000


31-50% Disabled
$2,000
$10,000  


51-70% Disabled,
and survivors of
persons killed on
active duty
$2,500
$15,000  


71%-Total
disability, or 10%+
disabled veterans
over 65, or
blindness, loss of
limb
$3,000
$15,000  


           Also, the exemption granted to a spouse and children of
           a member of the Armed Forces that dies while on active
           duty is changed to permissive (i.e. "will" changed to
           "may") to conform to the other exemptions.

SECTION 2. Election Date: November 7, 1995.






SUMMARY OF COMMITTEE ACTION

Public notice was posted in accordance with the rules, and a public
hearing was held on April 11, 1995.  Representative Haggerty
explained the bill.  Without objection, the bill was left pending
before the committee.

On April 25, 1995, the committee met in a public hearing, and the
chair laid out H.J.R. 68 on pending business.  By a record vote of
8 ayes, 0 nays, 0 present not voting and 3 absent, the committee
voted to report H.J.R. 68 to the House without amendment with the
recommendation that it do pass.