74R7395 SMH-F
          By Uher                                                H.B. No. 399
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the authorization of an exemption from ad valorem
    1-3  taxation of boats and other equipment used in the commercial taking
    1-4  of fish, shrimp, shellfish, and other marine life.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Subchapter B, Chapter 11, Tax Code, is amended by
    1-7  adding Section 11.162 to read as follows:
    1-8        Sec. 11.162.  COMMERCIAL FISHING EQUIPMENT.  (a)  The
    1-9  governing body of a taxing unit may exempt a person from taxation
   1-10  of each boat the person owns and uses primarily in the taking of
   1-11  fish, shrimp, shellfish, and other marine life for resale as food
   1-12  for human consumption.
   1-13        (b)  The exemption provided by this section also applies to
   1-14  the nets and other equipment primarily used in connection with the
   1-15  use of the boat for the exempt purposes provided by Subsection (a).
   1-16        (c)  In this section, "boat" means a vessel that does not
   1-17  exceed 100 feet in length.
   1-18        SECTION 2.  Section 11.43(c), Tax Code, is amended to read as
   1-19  follows:
   1-20        (c)  An exemption provided by Section 11.13, 11.162, 11.17,
   1-21  11.18, 11.19, 11.20, 11.21, 11.22, 11.29, 11.30, or 11.31 of this
   1-22  code, once allowed, need not be claimed in subsequent years, and
   1-23  except as otherwise provided by Subsection (e) of this section, the
   1-24  exemption applies to the property until it changes ownership or the
    2-1  person's qualification for the exemption changes.  However, the
    2-2  chief appraiser may require a person allowed one of the exemptions
    2-3  in a prior year to file a new application to confirm his current
    2-4  qualification for the exemption by delivering a written notice that
    2-5  a new application is required, accompanied by an appropriate
    2-6  application form, to the person previously allowed the exemption.
    2-7        SECTION 3.  This Act takes effect January 1, 1996, but only
    2-8  if the constitutional amendment proposed by the 74th Legislature,
    2-9  Regular Session, 1995, authorizing the governing body of a
   2-10  political subdivision to exempt from ad valorem taxation boats and
   2-11  other equipment used primarily in the commercial taking of fish,
   2-12  shrimp, shellfish, and other marine life is approved by the voters.
   2-13  If that proposed constitutional amendment is not approved by the
   2-14  voters, this Act has no effect.
   2-15        SECTION 4.  The importance of this legislation and the
   2-16  crowded condition of the calendars in both houses create an
   2-17  emergency and an imperative public necessity that the
   2-18  constitutional rule requiring bills to be read on three several
   2-19  days in each house be suspended, and this rule is hereby suspended.