SRC-TNM H.B. 1310 75(R)    BILL ANALYSIS


Senate Research Center   H.B. 1310
By: Chisum (Bivins)
Intergovernmental Relations
5-12-97
Engrossed


DIGEST 

Currently, a local referendum establishing an economic development sales
tax can contain a time limit for the duration of the tax.  Pampa is the
only city in Texas that has passed such a time limit. However, current law
does not provide for the local voters to reimpose or extend an economic
development tax once it expires.  H.B. 1310 would allow local voters to
reimpose or extend an economic development tax. 

PURPOSE

As proposed, H.B. 1310 outlines provisions regarding the extension or
reimposition of the sales and use tax by certain industrial development
corporations. 

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 4A(n), Article 5190.6, V.T.C.S., to prohibit a
municipality that has imposed a tax under this section from extending the
period of the tax's imposition or reimposing the tax unless the extension
or reimposition is authorized by a majority of the qualified voters of the
municipality voting in an election called and held for that purpose,
rather than after its expiration date. 

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