By Heflin                                       H.J.R. No. 95

      75R6284 DAK-D                           

                                 A JOINT RESOLUTION

 1-1     proposing a constitutional amendment to abolish property taxes and

 1-2     limit the rate of the sales and use tax.

 1-3           BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Section 1, Article VIII, Texas Constitution, is

 1-5     amended by adding Subsections (i), (j), and (k) to read as follows:

 1-6           (i)  A political subdivision of this state may not impose an

 1-7     ad valorem tax on real or personal property in this state for any

 1-8     purpose for any tax year beginning on or after January 1, 1998.

 1-9           (j)  The state takes full responsibility for the guarantee of

1-10     the repayment of all bonds issued by a county, municipality, school

1-11     district, or other political subdivision and secured by the revenue

1-12     from the property taxes imposed by those entities before January 1,

1-13     1998.  The legislature shall pass laws for the implementation of

1-14     this subsection.

1-15           (k)  The state may not impose a sales and use tax for state

1-16     purposes on any property or service that exceeds a rate of nine

1-17     percent of the sales price or value of the property or service.

1-18     The maximum state and local sales and use tax rate is 11 percent of

1-19     the sales price or value of the property or service.

1-20           SECTION 2.  This proposed constitutional amendment shall be

1-21     submitted to the voters at an election to be held November  4,

1-22     1997.  The ballot shall be printed to permit voting for or against

1-23     the proposition:  "The constitutional amendment to abolish property

1-24     taxes and limit the rate of the  sales and use tax."