SRC-ARR H.B. 3159 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 3159
76R10885 SMJ-FBy: Oliveira (Armbrister)
Finance
5/11/1999
Engrossed


DIGEST 

Currently, buses providing public transportation are partially exempt from
the federal diesel fuel tax and only school buses can file for state diesel
fuel tax refunds. Airlines and railroads are subsidized by federal funds
and are completely exempt from state diesel fuel tax. Bus operators are
currently facing increased costs, due to retrofitting required by the
Americans with Disabilities Act. H.B. 3159 amends the application of the
diesel fuel tax to diesel fuel used in certain passenger commercial motor
vehicles.  
 
PURPOSE

As proposed, H.B. 3159 amends the application of the diesel fuel tax to
diesel fuel used in certain passenger commercial motor vehicles.  

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 153.203, Tax Code, to provide that the tax
imposed by this section does not apply to diesel fuel sold by a permitted
supplier to a person, other than a political subdivision, who owns,
controls, operates, or manages a commercial motor vehicle as defined by
Section 548.001, Transportation Code, if certain action is taken.  

SECTION 2. Amends Section 153.222(a), Tax Code, to authorize a person who
has paid tax on diesel fuel used in a commercial vehicle as provided by
Section 153.203(10) to file a claim for a refund of taxes paid, less the
deduction allowed vendors and a filing fee.  

SECTION 3. Effective date: September 1, 1999.
           Makes application of this Act prospective.

SECTION 4. Emergency clause.