By Hawley                                              H.B. No. 337
         77R478 MCK-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to cancelling or prohibiting the issuance of certain
 1-3     original or renewal alcoholic beverage permits or licenses for
 1-4     nonpayment of ad valorem taxes.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Section 11.38, Alcoholic Beverage Code, is
 1-7     amended by adding Subsections (e) and (f) to read as follows:
 1-8           (e)  The commission or administrator may cancel or deny a
 1-9     permit for the retail sale or service of alcoholic beverages,
1-10     including a permit held by the holder of a food and beverage
1-11     certificate, if it finds that the permit holder or applicant has
1-12     not paid delinquent ad valorem taxes due on that permitted premises
1-13     or due from a business operated on that premises to any taxing
1-14     authority in the county of the premises.  For purposes of this
1-15     subsection, a permit holder or applicant is presumed delinquent in
1-16     the payment of taxes due if the permit holder or applicant:
1-17                 (1)  is placed on a delinquent tax roll prepared under
1-18     Section 33.03, Tax Code;
1-19                 (2)  has received a notice of delinquency under Section
1-20     33.04, Tax Code; and
1-21                 (3)  has not made a payment required under Section
1-22     42.08, Tax Code.
1-23           (f)  In this section, "applicant" has the meaning assigned by
1-24     Section 11.45.
 2-1           SECTION 2.  Section 61.36, Alcoholic Beverage Code, is
 2-2     amended by adding Subsections (d) and (e) to read as follows:
 2-3           (d)  The commission or administrator may cancel or deny a
 2-4     license for the retail sale of alcoholic beverages, including a
 2-5     license held by the holder of a food and beverage certificate, if
 2-6     it finds that the license holder or applicant has not paid
 2-7     delinquent ad valorem taxes due on that licensed premises or due
 2-8     from a business operated on that premises to any taxing authority
 2-9     in the county of the premises.  For purposes of this subsection, a
2-10     license holder or applicant is presumed delinquent in the payment
2-11     of taxes due if the license holder or applicant:
2-12                 (1)  is placed on a delinquent tax roll prepared under
2-13     Section 33.03, Tax Code;
2-14                 (2)  has received a notice of delinquency under Section
2-15     33.04, Tax Code; and
2-16                 (3)  has not made a payment required under Section
2-17     42.08, Tax Code.
2-18           (e)  In this section, "applicant" has the meaning assigned by
2-19     Section 11.45.
2-20           SECTION 3.  This Act takes effect September 1, 2001.