SRC-SEW C.S.H.B. 1285 77(R)BILL ANALYSIS


Senate Research CenterC.S.H.B. 1285
77R15015 DAK-FBy: Brimer (Moncrief)
Intergovernmental Relations
5/4/2001
Committee Report (Substituted)


DIGEST AND PURPOSE 

Under current law, the comptroller of public accounts (comptroller) can
only provide sales tax information on businesses that remit payments of
$100,000 or more to certain cities based on population. Cities are in need
of sales tax information in the aggregate for a defined area to establish
benchmarks to evaluate the effectiveness of certain economic development
incentives as well as to apportion revenue under interlocal revenue sharing
agreements. Such information may be useful to a municipality when
establishing its budget or making other considerations. C.S.H.B. 1285
authorizes municipalities to request from the comptroller sales tax
information for each person doing business in a defined area. The
information can only be provided by the comptroller as an aggregate total
for all persons doing business in the defined area without disclosing
individual tax payments.  

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 321.3022, Tax Code, as follows:
 
Sec. 321.3022. Requires the comptroller on request to provide to a
municipality that has adopted a tax under this chapter certain information.
Requires the comptroller to provide the information under this section as
an aggregate total for all persons doing business in the defined area
without disclosing individual tax payments.  Requires the comptroller,
under certain conditions, to refuse to provide the information to the
municipality unless certain requirements are met.  Provides that
information received by a municipality under this section is confidential,
is not open to public inspection, and may only be used for the purpose of
economic forecasting for the purpose described under this section.
Authorizes information received by a municipality under this section to be
used by the municipality to assist in determining revenue sharing under a
revenue sharing agreement or other similar agreement.  Makes conforming and
nonsubstantive changes. 
 
SECTION 2.  Effective date: upon passage or September 1, 2001.

SUMMARY OF COMMITTEE CHANGES

Amends Engrossed H.B. 1285 as follows:

SECTION 1.  Provides that information received by a municipality under this
section is confidential, is not open to public inspection, and may only be
used for the purpose of economic forecasting for the purpose described
under this section.