By:  Eiland                                                       H.B. No. 3399



A BILL TO BE ENTITLED

AN ACT

relating to an increase in sales tax to fund Health and Human 
Services.     
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 151.051 (b), Tax Code, is amended to read 
as follows:    
	(b)  The sales tax rate is 7-1/4 [6-1/4] percent of the sales 
price of the taxable item sold.
	SECTION 2.  Section 151.801, Tax Code, is amended by 
amending subsection (a) and adding subsection (f).
	(a)  Except for the amounts allocated under Subsections (b) 
and (c) and (f), all proceeds from the collection of the taxes 
imposed by this chapter shall be deposited to the credit of the 
general revenue fund.
	(f)  The amount of the proceeds from the collection of the 
taxes imposed by this chapter above 6-1/4 percent may only be 
appropriated in equal amounts to the Department of Mental Health 
and Mental Retardation and the Department of Human Services to fund 
treatment and care of mental health and mental retardation and 
treatment and care for the elderly.
	SECTION 3.  This Act takes effect September 1, 2003.