| 1 | 1 | | H.B. No. 4661 |
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| 2 | 2 | | |
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| 3 | 3 | | |
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| 4 | 4 | | AN ACT |
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| 5 | 5 | | relating to the rate of the municipal hotel occupancy tax in certain |
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| 6 | 6 | | municipalities and to the use of certain revenue from the tax. |
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| 7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 8 | 8 | | SECTION 1. Subchapter A, Chapter 351, Tax Code, is amended |
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| 9 | 9 | | by adding Section 351.0035 to read as follows: |
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| 10 | 10 | | Sec. 351.0035. TAX RATE AND USE IN CERTAIN MUNICIPALITIES. |
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| 11 | 11 | | (a) The tax imposed by this chapter in a home-rule municipality |
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| 12 | 12 | | that was originally chartered in or after 1938, that is home to a |
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| 13 | 13 | | major state university, and that is located in a county bordered by |
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| 14 | 14 | | the Brazos and Navasota Rivers, may be imposed at any rate not to |
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| 15 | 15 | | exceed 7.75 percent of the price paid for a room in a hotel. |
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| 16 | 16 | | (b) The municipality shall allocate for the construction of |
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| 17 | 17 | | a convention center in the municipality all revenue received by the |
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| 18 | 18 | | municipality that is derived from the application of the tax at a |
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| 19 | 19 | | rate of more than seven percent of the price paid for a room in a |
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| 20 | 20 | | hotel. |
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| 21 | 21 | | (c) The municipality may not increase the rate of the tax to |
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| 22 | 22 | | a rate above seven percent before the date the municipality |
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| 23 | 23 | | executes a contract for the construction of the convention center. |
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| 24 | 24 | | (d) This section expires on the date the governing body of |
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| 25 | 25 | | the municipality certifies that all debt relating to the convention |
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| 26 | 26 | | center payable from the tax, including interest and any costs |
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| 27 | 27 | | relating to the debt, has been paid in full or a deposit has been |
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| 28 | 28 | | made and an escrow agreement in relation to the debt has been |
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| 29 | 29 | | executed. |
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| 30 | 30 | | SECTION 2. This Act takes effect immediately if it receives |
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| 31 | 31 | | a vote of two-thirds of all the members elected to each house, as |
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| 32 | 32 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 33 | 33 | | Act does not receive the vote necessary for immediate effect, this |
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| 34 | 34 | | Act takes effect September 1, 2009. |
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| 35 | 35 | | ______________________________ ______________________________ |
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| 36 | 36 | | President of the Senate Speaker of the House |
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| 37 | 37 | | I certify that H.B. No. 4661 was passed by the House on May 5, |
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| 38 | 38 | | 2009, by the following vote: Yeas 144, Nays 0, 1 present, not |
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| 39 | 39 | | voting. |
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| 40 | 40 | | ______________________________ |
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| 41 | 41 | | Chief Clerk of the House |
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| 42 | 42 | | I certify that H.B. No. 4661 was passed by the Senate on May |
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| 43 | 43 | | 21, 2009, by the following vote: Yeas 31, Nays 0. |
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| 44 | 44 | | ______________________________ |
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| 45 | 45 | | Secretary of the Senate |
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| 46 | 46 | | APPROVED: _____________________ |
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| 47 | 47 | | Date |
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| 48 | 48 | | _____________________ |
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| 49 | 49 | | Governor |
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