Relating to special event trust funds used to promote major athletic, motor sports racing, and other special events in this state.
Impact
One of the primary impacts of HB 398 is centered around how it revises financial obligations for municipalities and counties endorsing events. By allowing these local governments to remit hotel occupancy tax revenue and other local funds into the special event trust fund, it provides a mechanism through which they can support large-scale events financially. The bill establishes a system for calculating the necessary contributions and ensures that funds can be appropriated efficiently, potentially leading to a significant increase in event hosting capabilities for Texas communities.
Summary
House Bill 398 is a legislative proposal aimed at promoting major athletic and motor sports events in Texas through the establishment of special event trust funds. The bill mandates the creation of trust funds that are designated to support special events financially, with the goal of bolstering tourism and economic benefits in areas where such events are held. The funds will derive from both local and state tax revenues linked to the events and will be utilized for various expenses associated with organizing these events.
Contention
Despite its potential benefits, the bill has not been without contention. Concerns have been raised about the accountability and transparency in how the funds are managed and disbursed. Furthermore, the bill does not create a state guarantee for the obligations under event support contracts, which may lead to uncertainty regarding financial risks associated with hosting major events. Critics argue that without adequate oversight, there could be financial mismanagement or failure to deliver expected economic outcomes for localities involved.
Relating to the promotion of film and television production in this state, including the eligibility of film or television productions for funding under the major events reimbursement program, the creation of a film events trust fund and a film production tax rebate trust fund, the establishment of virtual film production institutes, and the designation of media production development zones.
Relating to the major events reimbursement program, including event funding eligibility, site selection organizations, and single event and single year classifications.
Relating to eligibility for membership on and the regulation of horse racing by the Texas Racing Commission and a prohibition on the conduct of greyhound or other dog racing as live events in this state; creating a criminal offense; authorizing a fee.
Relating to the regulation of sports wagering; requiring occupational permits; authorizing fees; imposing a tax; decriminalizing wagering on certain sports events; creating criminal offenses; providing administrative penalties.
Relating to a Pan American Games trust fund, an Olympic Games trust fund, a Major Events trust fund, a Motor Sports Racing trust fund, and an Events trust fund for sporting and non-sporting events, and to the abolishment of the special event trust fund.
Relating to state economic development measures, including administration of the Texas Enterprise Fund, creation of the Economic Incentive Oversight Board and the governor's university research initiative, abolishment of the Texas emerging technology fund, and renaming the Major Events trust fund to the Major Events Reimbursement Program.
Relating to the establishment and duties of an event oversight committee for an event eligible to receive funding through a major events trust fund; limiting payments from the fund to reimbursement for attracting unique events to Texas.
Relating to the nonsubstantive revision of the event reimbursement programs, including the Pan American Games trust fund, Olympic Games trust fund, Major Events reimbursement program fund, Motor Sports Racing trust fund, and Events trust fund; including conforming amendments.
Relating to the establishment and duties of an event oversight committee for an event eligible to receive funding through an events trust fund for certain municipalities and counties.