Amend CSHB 438 by striking SECTIONS 2 and 3 of the bill and 
substituting the following:
	SECTION 2. This Act applies only to the appraisal of a 
residence homestead for ad valorem taxation for a tax year that 
begins on or after the effective date of this Act.
	SECTION 3. This Act takes effect January 1, 2008, but only if 
the constitutional amendment proposed by the 80th Legislature, 
Regular Session, 2007, authorizing the legislature to provide that 
the maximum appraised value of a residence homestead for ad valorem 
taxation is limited to the lesser of the most recent market value of 
the residence homestead as determined by the appraisal entity or 
110 percent, or a greater percentage, of the appraised value of the 
residence homestead for the preceding tax year is approved by the 
voters. If that amendment is not approved by the voters, this Act 
has no effect.