By Hartnett                                           H.J.R. No. 31
       74R965 SMH-D
                                  A JOINT RESOLUTION
    1-1  proposing a constitutional amendment authorizing the exemption from
    1-2  ad valorem taxation of income-producing personal property having a
    1-3  value insufficient to recover the tax administrative costs.
    1-4        BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Article VIII, Section 1, of the Texas
    1-6  Constitution is amended by amending Subsection (d) and adding
    1-7  Subsection (g) to read as follows:
    1-8        (d)  The Legislature by general law shall exempt from ad
    1-9  valorem taxation household goods not held or used for the
   1-10  production of income and personal effects not held or used for the
   1-11  production of income.  The Legislature by general law may exempt
   1-12  from ad valorem taxation:
   1-13              (1)  all or part of the personal property homestead of
   1-14  a family or single adult, "personal property homestead" meaning
   1-15  that personal property exempt by law from forced sale for debt; and
   1-16              (2)  subject to Subsections <Subsection> (e) and (g)
   1-17  of this section, all other tangible personal property, except
   1-18  structures which are personal property and are used or occupied as
   1-19  residential dwellings and except property held or used for the
   1-20  production of income.
   1-21        (g)  The Legislature may exempt from ad valorem taxation
   1-22  tangible personal property that is held or used for the production
   1-23  of income and has a taxable value of less than the minimum amount
   1-24  sufficient to recover the costs of the administration of the taxes
    2-1  on the property, as determined by or under the general law granting
    2-2  the exemption.
    2-3        SECTION 2.  This proposed constitutional amendment shall be
    2-4  submitted to the voters at an election to be held November 5, 1996.
    2-5  The ballot shall be printed to provide for voting for or against
    2-6  the proposition:  "The constitutional amendment authorizing the
    2-7  legislature to exempt from ad valorem taxation personal property
    2-8  that has a value insufficient to recover the administrative costs
    2-9  of collecting the taxes."