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Texas Proposition 9, Precious Metals in Depositories Exempt from Property Tax Amendment (2019)
Texas Proposition 9 | |
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Election date November 5, 2019 | |
Topic Taxes | |
Status![]() | |
Type Constitutional amendment | Origin State legislature |
Texas Proposition 9, the Precious Metals in Depositories Exempt from Property Tax Amendment, was on the ballot in Texas as a legislatively referred constitutional amendment on November 5, 2019. The measure was approved.
A "yes" vote supported this amendment to allow the legislature to exempt precious metals held in a precious metal depository from property taxation. |
A "no" vote opposed this amendment, thereby continuing to permit taxation of precious metals held in a precious metal depository as property. |
Election results
Texas Proposition 9 |
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Result | Votes | Percentage | ||
982,881 | 51.30% | |||
No | 932,885 | 48.70% |
Overview
What did Proposition 9 do?
Proposition 9 allowed the legislature to exempt precious metal held in precious metal depositories from property taxation.[1] Approval of Proposition 9 enacted House Bill 2859 (HB 2859), the legislation exempting precious metal held in precious metal depositories from property taxation. HB 2859 defined precious metals as a metal, "including gold, silver, platinum, palladium, and rhodium," that "bears a high value-to-weight ratio" and "customarily is formed into bullion or specie."[2]
A precious metals depository is a facility where people can store their precious metals. The facilities often charge a fee based on the value of the stored metals and provide security and insurance. HB 2859 considered depositories where precious metals can be stored without taxation to be those that (a) are "primarily engaged in the business of providing precious metal storage to the general public" and (b) maintain "sufficient insurance to cover precious metal deposited in the depository."[2]
Text of measure
Ballot title
The ballot title was as follows:[1]
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The constitutional amendment authorizing the legislature to exempt from ad valorem taxation precious metal held in a precious metal depository located in this state.[3] |
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Constitutional changes
- See also: Article 8, Texas Constitution
The measure added a Section 1-p to Article 8 of the Texas Constitution. The following text was added:[1]
Sec. 1-p. The legislature by general law may exempt from ad valorem taxation precious metal held in a precious metal depository located in this state. The legislature by general law may define "precious metal" and "precious metal depository" for purposes of this section.[3]
Readability score
- See also: Ballot measure readability scores, 2019
Using the Flesch-Kincaid Grade Level (FKGL and Flesch Reading Ease (FRE) formulas, Ballotpedia scored the readability of the ballot title and summary for this measure. Readability scores are designed to indicate the reading difficulty of text. The Flesch-Kincaid formulas account for the number of words, syllables, and sentences in a text; they do not account for the difficulty of the ideas in the text. The Texas State Legislature wrote the ballot language for this measure.
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Support
Rep. Giovanni Capriglione (R-98) and Sen. Pat Fallon (R-30) sponsored the constitutional amendment in the state legislature.[4]
Arguments
The League of Women Voters of Texas published arguments for and arguments against the ballot measure. The following is the argument in support:[5]
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Opposition
Opponents
- Progress Texas[6]
Arguments
The League of Women Voters of Texas published arguments for and arguments against the ballot measure. The following is the argument in opposition:[5]
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Campaign finance
Total campaign contributions: | |
Support: | $0.00 |
Opposition: | $0.00 |
There were no ballot measure committees registered in support of the measure or in opposition to the measure.[7]
Media editorials
- See also: 2019 ballot measure media endorsements
Support
- Austin American-Statesman: “YES to ensure precious metals stored at a bullion depository will be exempt from property taxes. No jurisdiction charges such taxes now; keeping it that way will prevent these investments from going out of state.”[8]
- Corpus Christi Caller-Times: “Before you decide, answer this for yourself: How is property-taxing the gold and silver you bought for investment purposes different from property-taxing your 401k?”[9]
- The Eagle: “Many other states do not tax precious metal purchases and the amendment would enhance the chances the Texas depository could join COMEX, the leading marketplace for precious metal exchanges.”[10]
- Houston Chronicle: “In one way, the amendment is superfluous, in that counties already don’t enforce property tax on precious metals. But by putting that exemption in law, it could boost the chance of the Texas depository joining COMEX, the leading marketplace for precious metals exchange. That’s a good thing and we urge voters to support this proposition.”[11]
- Longview News-Journal: “Most states now do not tax precious metals and even in Texas such metals are rarely taxed by counties. This would standardize treatment, which is proper.”[12]
- San Antonio Express-News: "It would level the playing field with out-of-state depositories and treat precious metals like cash."[13]
Opposition
- The Austin Chronicle: “You can put your own stash in the state's hands, and this measure would exempt it from property taxes! It's a pretty naked marketing ploy to get out-of-state goldbugs to deposit their hoards in Texas and a ridiculous thing to put to voters.”[14]
- The Dallas Morning News: “But there are three problems. First, there is not currently a property tax on gold. Second, Texans need no special incentive to invest in gold or other commodities outside of the free market. And third, while all ad valorem taxation changes require a constitutional amendment, our legislators need to [find] ways to govern precious metals without asking voters to change the constitution.”[15]
- Fort Worth Star-Telegram: “Proponents argue that taxes would put the depository at a competitive disadvantage, but no Texas government currently taxes them or seems poised to start. If regulation actually becomes necessary, lawmakers should handle it without altering the constitution.”[16]
- Waco Tribune-Herald: “We question the timing of this given that, as we noted with Proposition 4, conservative legislators contemplate overhauling property taxes. Additionally, this strikes us as a case of the state’s picking winners and losers in that it shows bias for precious metals over other investments and economic choices. Is there even a property tax on gold?”[17]
Overview of media editorials
The following table provides an overview of the positions that media editorial boards had taken on the Texas 2019 ballot measures:
Background
Existing optional exemption
As of 2019, local governments were permitted, but not required, to exempt tangible personal property that was not used to produce income from property taxation. Therefore, local governments were allowed to levy a property tax on precious metals held in depositories.[18]
Referred amendments on the ballot
- See also: List of Texas ballot measures
The following statistics are based on ballot measures between 1995 and 2018 in Texas:
- Ballots featured 159 constitutional amendments.
- An average of 13 measures appeared on odd-year statewide ballots.
- The number of ballot measures on odd-year statewide ballots ranged from 7 to 22.
- Voters approved 91 percent (145 of 159) and rejected 9 percent (14 of 159) of the constitutional amendments.
Legislatively-referred constitutional amendments, 1995-2018 | |||||||||
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Total number | Approved | Percent approved | Defeated | Percent defeated | Odd-year average | Odd-year median | Odd-year minimum | Odd-year maximum | |
159 | 145 | 91.2% | 14 | 8.8% | 13.1 | 12.5 | 7 | 22 |
In 2019, 216 constitutional amendments had been filed in the Texas State Legislature. Legislators were permitted to file constitutional amendments through March 8, 2019, unless permission was given to introduce an amendment after the deadline. Between 2009 and 2017, an average of 187 constitutional amendments were filed during regular legislative sessions. The state legislature approved an average of nine constitutional amendments during regular legislative sessions. Therefore, the average rate of certification during regular legislative sessions was 4.7 percent. In 2019, 10 of the 216 proposed constitutional amendments were certified for the ballot, meaning the rate of certification was 4.6 percent.
Path to the ballot
- See also: Amending the Texas Constitution
In Texas, a two-thirds vote is needed in each chamber of the Texas State Legislature to refer a constitutional amendment to the ballot for voter consideration.
The constitutional amendment was introduced into the state legislature as House Joint Resolution 95 (HJR 95) on March 1, 2019.[4]
On April 30, 2019, the Texas House of Representatives approved HJR 95, with 140 members supporting the amendment, five members opposing the amendment, and five members not voting. At least 100 votes were needed. On May 20, 2019, the Texas State Senate approved HJR 95, with 27 senators supporting the amendment and four senators opposing the amendment.[4]
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How to cast a vote
- See also: Voting in Texas
Poll times
In Texas, all polling places are open from 7:00 a.m. to 7:00 p.m. local time. Texas is divided between the Central and Mountain time zones. An individual who is in line at the time polls close must be allowed to vote.[19]
Registration Texas
- Check your voter registration status here.
To register to vote in Texas, an applicant must be a United States citizen, a resident of the county in which he or she is registering, and at least 17 years and 10 months old.[20]
The deadline to register to vote is 30 days before the election. Prospective voters can request a postage-paid voter registration form online or complete the form online and return it to the county voter registrar. Applications are also available at a variety of locations including the county voter registrar’s office, the secretary of state’s office, libraries, and high schools. Voter registration certificates are mailed to newly registered voters.[21]
Automatic registration
Texas does not practice automatic voter registration.[22]
Online registration
- See also: Online voter registration
Texas does not permit online voter registration.[22]
Same-day registration
Texas does not allow same-day voter registration.[22]
Residency requirements
Prospective voters must reside in the county in which they are registering to vote.[23]
Verification of citizenship
Texas does not require proof of citizenship for voter registration. An individual applying to register to vote must attest that they are a U.S. citizen under penalty of perjury.
State law requires election officials to conduct a check of registered voters' citizenship status. Section 18.068 of the Texas Election Code says the following:
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The secretary of state shall quarterly compare the information received under Section 16.001 of this code and Section 62.113, Government Code, to the statewide computerized voter registration list. If the secretary determines that a voter on the registration list is deceased or has been excused or disqualified from jury service because the voter is not a citizen, the secretary shall send notice of the determination to the voter registrar of the counties considered appropriate by the secretary.[3] |
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—Section 18.068, Texas Election Code[24] |
In January 2019, the Texas secretary of state’s office announced that it would be providing local election officials with a list of registered voters who obtained driver’s licenses or IDs with documentation such as work visas or green cards. Counties would then be able to require voters on the list to provide proof of citizenship within 30 days.[25] The review was halted by a federal judge in February 2019, and Secretary of State David Whitley rescinded the advisory in April.[26][27] A news release from Whitley’s office stated that “... going forward, the Texas Secretary of State's office will send to county voter registrars only the matching records of individuals who registered to vote before identifying themselves as non-U.S. citizens to DPS when applying for a driver's license or personal identification card. This will ensure that naturalized U.S. citizens who lawfully registered to vote are not impacted by this voter registration list maintenance process.”[28]
All 49 states with voter registration systems require applicants to declare that they are U.S. citizens in order to register to vote in state and federal elections, under penalty of perjury or other punishment.[29] Seven states — Alabama, Arizona, Georgia, Kansas, Louisiana, New Hampshire, and Wyoming — have laws requiring verification of citizenship at the time of voter registration, whether in effect or not. In three states — California, Maryland, and Vermont — at least one local jurisdiction allows noncitizens to vote in some local elections. Noncitizens registering to vote in those elections must complete a voter registration application provided by the local jurisdiction and are not eligible to register as state or federal voters.
Verifying your registration
The Texas Secretary of State’s office allows residents to check their voter registration status online by visiting this website.
Voter ID requirements
Texas requires voters to present photo identification while voting.[30]
The following list of accepted ID was current as of February 2023. Click here for the Texas Secretary of State's page on accepted ID to ensure you have the most current information.
- Texas driver’s license issued by the Texas Department of Public Safety (DPS)
- Texas Election Identification Certificate issued by DPS
- Texas Personal Identification Card issued by DPS
- Texas handgun license issued by DPS
- United States Military Identification Card containing the person’s photograph
- United States Citizenship Certificate containing the person’s photograph
- United States passport (book or card)
Identification provided by voters aged 18-69 may be expired for no more than four years before the election date. Voters aged 70 and older can use an expired ID card regardless of how long ago the ID expired.[30]
Voters who are unable to provide one of the ID options listed above can sign a Reasonable Impediment Declaration and provide one of the following supporting documents:[30]
- Copy or original of a government document that shows the voter’s name and an address, including the voter’s voter registration certificate
- Copy of or original current utility bill
- Copy of or original bank statement
- Copy of or original government check
- Copy of or original paycheck
- Copy of or original of (a) a certified domestic (from a U.S. state or territory) birth certificate or (b) a document confirming birth admissible in a court of law which establishes the voter’s identity (which may include a foreign birth document)
The following voters are exempt from showing photo ID:[30]
- Voters with a disability
- Voters with a disability "may apply with the county voter registrar for a permanent exemption to presenting an acceptable photo identification or following the Reasonable Impediment Declaration procedure in the county."
- Voters who have a religious objection to being photographed
Voters who do not have a photo ID can obtain a Texas Election Identification Certificate (EIC) at any Texas driver’s license office during regular business hours. Voters can also obtain an Election Identification Certificate from a mobile station. Locations are listed here.[30]
See also
External links
Footnotes
- ↑ 1.0 1.1 1.2 Texas State Legislature, "HJR 95," accessed May 1, 2019
- ↑ 2.0 2.1 Texas State Legislature, "HB 2859," accessed July 3, 2019
- ↑ 3.0 3.1 3.2 3.3 3.4 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source. Cite error: Invalid
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tag; name "quotedisclaimer" defined multiple times with different content - ↑ 4.0 4.1 4.2 Texas State Legislature, "HJR 95 Overview," accessed May 1, 2019
- ↑ 5.0 5.1 League of Women Voters of Texas, "Voters Guide 2019," accessed October 24, 2019
- ↑ Progress Texas, "2019 Texas Statewide Ballot Guide," October 4, 2019
- ↑ Texas Ethics Commission, "Campaign Finance Reports Search & Lists," accessed May 1, 2019
- ↑ Austin American-Statesman, “Statesman recommendations on Nov. 5 ballot propositions,” October 21, 2019
- ↑ Corpus Christi Caller-Times, “Why should you vote? Here are the reasons the Nov. 5 election is important to Texans,” October 8, 2019
- ↑ The Eagle, “Recommendations for 10 constitutional amendments,” October 21, 2019
- ↑ Houston Chronicle, “Our recommendations for voting on the 10 proposed constitutional amendments,” October 19, 2019
- ↑ Longview News-Journal, “Editorial: Vote 'yes' on all but one Texas constitutional amendment,” October 23, 2019
- ↑ San Antonio Express-News, "From the Editorial Board: A voters guide for Props 1 through 10," October 17, 2019
- ↑ The Austin Chronicle, “Chronicle Endorsements for the November 5 Election,” October 18, 2019
- ↑ The Dallas Morning News, “We recommend these 7 amendments to the Texas constitution,” October 18, 2019
- ↑ Fort Worth Star-Telegram, “We recommend voting this way on Texas income tax proposal, other state propositions,” October 21, 2019
- ↑ Waco Tribune-Herald, “Editorial: Our take on Proposition 5 and other proposed constitutional amendments,” October 22, 2019
- ↑ Texas State Legislature, "Texas Tax Code Ch. 11-14," accessed July 9, 2019
- ↑ VoteTexas.gov, "Who, What, Where, When, How," accessed February 27, 2023
- ↑ Texas Secretary of State, “Request for Voter Registration Applications,” accessed February 27, 2023
- ↑ Texas Secretary of State, “Voter Registration,” accessed February 27, 2023
- ↑ 22.0 22.1 22.2 NCSL, "State Profiles: Elections," accessed July 28, 2024
- ↑ Texas Secretary of State, "Request for Voter Registration Applications," accessed July 28, 2024
- ↑ Texas Constitution and Statutes, “Election Code,” accessed February 23, 2023
- ↑ The Texas Tribune, “Texas officials flag tens of thousands of voters for citizenship checks,” January 25, 2019
- ↑ The New York Times, “Federal Judge Halts ‘Ham-Handed’ Texas Voter Purge,” February 28, 2019
- ↑ The New York Times, “Texas Ends Review That Questioned Citizenship of Almost 100,000 Voters,” April 26, 2019
- ↑ Texas Secretary of State, “Secretary Whitley Announces Settlement In Litigation On Voter Registration List Maintenance Activity,” April 26, 2019
- ↑ Under federal law, the national mail voter registration application (a version of which is in use in all states with voter registration systems) requires applicants to indicate that they are U.S. citizens in order to complete an application to vote in state or federal elections, but does not require voters to provide documentary proof of citizenship. According to the U.S. Department of Justice, the application "may require only the minimum amount of information necessary to prevent duplicate voter registrations and permit State officials both to determine the eligibility of the applicant to vote and to administer the voting process."
- ↑ 30.0 30.1 30.2 30.3 30.4 Texas Secretary of State, "Required Identification for Voting in Person," accessed February 27, 2023 Cite error: Invalid
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