HJR196 - Proposing a constitutional amendment requiring the periodic review of state and local tax preferences and the expiration of certain tax preferences if not reauthorized by law.

  89R14868 SRA-D     By: Dutton H.J.R. No. 196       A JOINT RESOLUTION   proposing a constitutional amendment requiring the periodic review   of state and local tax preferences and the expiration of certain tax   preferences if not reauthorized by law.          BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Article VIII, Texas Constitution, is amended by   adding Section 27 to read as follows:           Sec. 27.  (a)  The legislature by general law shall:                 (1)     require the periodic review of state and local tax   preferences;                 (2)     define the term "tax preference" for the purposes   of this section; and                 (3)     prescribe the methods, timing, and administrative   procedures for implementing the requirements of this subsection.           (b)  Unless reauthorized by law:                 (1)     a tax preference that first takes effect on or   after September 1, 2026, expires six years after the date the law   enacting or most recently reauthorizing the tax preference takes   effect, except that the legislature may provide for an earlier   expiration date; and                 (2)     a tax preference that takes effect before   September 1, 2026, and that is reauthorized by law on or after that   date expires six years after the date the law most recently   reauthorizing the tax preference takes effect, except that the   legislature may provide for an earlier expiration date.          SECTION 2.  The following temporary provision is added to   the Texas Constitution:           TEMPORARY PROVISION. (a) This temporary provision applies   to the constitutional amendment proposed by the 89th Legislature,   Regular Session, 2025, requiring the legislature to provide for a   periodic review of state and local tax preferences and providing   for the expiration of certain tax preferences after six years, or at   another time prescribed by the legislature, unless reauthorized by   law.           (b)     Section 27, Article VIII, of this constitution, as added   by the amendment, takes effect January 1, 2026.           (c)  This temporary provision expires January 2, 2026.          SECTION 3.  This proposed constitutional amendment shall be   submitted to the voters at an election to be held November 4, 2025.   The ballot shall be printed to permit voting for or against the   proposition: "The constitutional amendment requiring the   legislature to provide for a periodic review of state and local tax   preferences and providing for the expiration of certain tax   preferences after six years, or at another time prescribed by the   legislature, unless reauthorized by law."