Amend HB 2510 (Senate committee printing) as follows:                        
	(1)  Add the following appropriately numbered SECTIONS and 
renumber subsequent SECTIONS accordingly:
	SECTION ____.  (a)  The purpose of Chapter 329, Tax Code, as 
added by this section, is to promote and provide for funding for 
commuter rail transit between municipalities located in the 
counties to which that chapter applies.
	(b)  Subtitle C, Title 3, Tax Code, is amended by adding 
Chapter 329 to read as follows:

CHAPTER 329.  SALES AND USE TAXES BY CERTAIN MUNICIPALITIES
	Sec. 329.001.  DEFINITION.  In this chapter, "transit sales 
and use tax" means a sales and use tax imposed for the support of 
transportation services authorized under the Transportation Code.
	Sec. 329.002.  APPLICABILITY.  This chapter applies only to 
a municipality located wholly or partly in:
		(1)  a district created under Article 6550c-3, Revised 
Statutes;     
		(2)  one or both of two contiguous counties, each of 
which has a population of one million or more; or
		(3)  a county contiguous to one of the counties 
described in Subdivision (2).
	Sec. 329.003.  TRANSIT SALES AND USE TAX NOT COUNTED IN  
COMBINED LOCAL TAX RATE.  Notwithstanding any other law, the rate of 
a transit sales and use tax imposed within the territory of a 
municipality to which this chapter applies may not be considered in 
determining the combined or overlapping rate of local sales and use 
taxes in the municipality for any purpose other than as provided in 
Section 329.004.
	Sec. 329.004.  LIMITATION FOR TRANSIT SALES AND USE TAXES.  
Notwithstanding any other law, the rate of all transit sales and use 
taxes imposed within the territory of a municipality to which this 
chapter applies may not exceed one percent at any location in the 
municipality.
	SECTION ____.  Sections 321.101(b) and (e), Tax Code, are 
amended to read as follows:
	(b)  A municipality that is not disqualified may, by a 
majority vote of the qualified voters of the municipality voting at 
an election held for that purpose, adopt an additional sales and use 
tax for the benefit of the municipality in accordance with this 
chapter.  A municipality, other than a municipality to which 
Chapter 329 applies, is disqualified from adopting the additional 
sales and use tax if the municipality:
		(1)  is included within the boundaries of a rapid 
transit authority created under Chapter 451, Transportation Code;
		(2)  is included within the boundaries of a regional 
transportation authority created under Chapter 452, Transportation 
Code, by a principal municipality having a population of less than 
800,000, unless the municipality has a population of 400,000 or 
more and is located in more than one county;
		(3)  is wholly or partly located in a county that 
contains territory within the boundaries of a regional 
transportation authority created under Chapter 452, Transportation 
Code, by a principal municipality having a population in excess of 
800,000, unless:

			(A)  the municipality is a contiguous 
municipality; or                   
			(B)  the municipality is not included within the 
boundaries of the authority and is located wholly or partly in a 
county in which fewer than 250 persons are residents of both the 
county and the authority according to the most recent federal 
census; or
			(C)  the municipality is not and on January 1, 
1993, was not included within the boundaries of the authority; or
		(4)  imposes a tax authorized by Chapter 453, 
Transportation Code.          
	(e)  An authority created under Chapter 451 or 452, 
Transportation Code, is prohibited from imposing the tax provided 
for by those chapters if within the boundaries of the authority 
there is a municipality, other than a municipality to which Chapter 
329 applies, that has adopted the additional sales and use tax 
provided for by this section.
	(2)  In SECTION 1 of the bill, in new Section 8, Article 
6550c-3, Revised Statutes, strike Subsection (f) (page 5, lines 
4-8), and reletter subsequent subsections accordingly.