BILL ANALYSIS

S.B. 1294

By: Powell

Ways & Means

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Given projections of future population growth and the strain that growth will place on the state's water supply, there have been calls for the state to do more to incentivize rainwater harvesting. S.B. 1294 seeks to answer those calls and make it easier for Texans to have rainwater harvesting systems installed by exempting services used solely for rainwater harvesting from the sales and use tax.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

S.B. 1294 amends the Tax Code to clarify that the water recycling and reuse equipment or supplies exempted from the sales and use tax are equipment or supplies used solely for rainwater harvesting and to extend that exemption also to services used solely for rainwater harvesting.            

EFFECTIVE DATE

On the first day of the first month beginning on or after the earliest date on which this bill may take effect if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution, or, if the bill does not receive the necessary vote for effect before September 1, 2019, the bill takes effect September 1, 2019.