Mississippi House Bill HB1801

Mississippi 2023 Regular Session

• Introduced: 3/14/23
• Refer: 3/14/23
• Failed: 4/1/23

Caption

George County; authorize tax on hotels/motels and restaurants to fund a sports facility and recreation capital improvement projects.

Impact

The passage of HB1801 is expected to have a positive impact on local funding capabilities for sports and recreational projects, promoting both community engagement and tourism. The ability for the county to generate revenue through these taxes may provide necessary financial resources that could enhance local facilities, thereby potentially increasing economic activity and encouraging more visitors to George County. The revenue from the taxes will be separately accounted for, ensuring that funds are exclusively used for the designated purposes.

Summary

House Bill 1801 authorizes the Board of Supervisors of George County, Mississippi, to levy a tax on hotels and motels not exceeding three percent on gross sales from room rentals, and a one percent tax on the gross receipts of restaurants. The funds collected from these taxes are designated for the purpose of funding a sports facility and various recreational capital improvement projects within the county. The legislation is aimed at generating local revenue to support community amenities and enhance recreational services available to residents and visitors alike.

Contention

One notable point of contention regarding this bill is the requirement that an election must be held to determine whether the tax can be imposed. For the tax to be enacted, at least 60% of voting residents must approve it, which may present challenges in garnering sufficient support. Critics might argue that imposing new taxes could disproportionately affect local businesses, particularly smaller establishments that may struggle with additional tax burdens. Furthermore, the temporary nature of the act, set to expire on July 1, 2027, might raise concerns about the sustainability of funding for the proposed initiatives.