SRC-MAX H.B. 758 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 758
By: West (Duncan)
Intergovernmental Relations
4-28-97
Engrossed


DIGEST 

Currently, Section 285.061(a), Health and Safety Code, allows hospital
districts authorized to impose ad valorem taxes to adopt, change, or
abolish a sales tax and use tax via an election.  These sales taxes are
ultimately limited to a percentage.  This bill changes the limitations on
sales and use taxes to provide that the tax is authorized to be imposed by
the hospital district in increments of one-eighth of one percent, within a
minimum of one percent and a maximum of two percent.   

PURPOSE

As proposed, H.B. 758 amends a provision regarding sales and use tax rates
of certain hospital districts. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 285.061(a), Health and Safety Code, to authorize
a hospital district to impose a sales and use tax in increments of
one-eighth of one percent, with a minimum tax of oneeighth of one percent
and a maximum tax of two percent, rather than to impose a sales and use
tax at a rate of one eighth percent, one fourth percent, one half percent,
one percent, one and one half percent, or two percent.   

SECTION 2. Emergency clause.
  Effective date:  upon passage.