Senators heard testimony in support of Senate Bill 2907 and Senate Joint Resolution 78, measures that would allow the Legislature (and, following voter approval, exempt by constitutional amendment) to remove business personal property taxation on defined categories of perishable inventory and certain refrigerated medications.

Why it matters: Supporters said taxing perishable inventory and short‑shelf‑life pharmaceuticals increases costs for retailers, pharmacies and consumers and discourages business investment. Joyce Beebe of Rice University’s Baker Institute said removing the inventory tax on food and medicine would lower prices, reduce compliance costs, and improve competitiveness.

What witnesses said: Dr. Ashley (listed as Doctor. Ashley Garling in the transcript), identified as assistant director at the Center for Health Communications and testifying for the Texas Pharmacy Association, said pharmacies are taxed on perishable medications “whether we sell them or not,” naming insulin, vaccines and other drugs with short useful lives. "Please support our bill," she told senators. Glenn Hammer, president and CEO of the Texas Association of Business, said taxing rapidly depreciating goods burdens both small and large businesses and has an inflationary effect.

Fiscal note and scope: Committee discussion noted a fiscal estimate in the tens of millions over the biennium (committee testimony cited an illustrative fiscal impact of about $55 million in the first years and $136 million by a later biennium). Proponents argued the exemption would be targeted and that savings would likely be passed to consumers because margins on perishable goods are thin.

Procedure: Public testimony closed with the committee leaving both SB 2907 and SJR 78 pending subject to call by the chair.