Texas 2015 - 84th Regular

Texas House Bill HB1742 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	84R21469 TJB-D
2	2	By: Márquez H.B. No. 1742
3	3	Substitute the following for H.B. No. 1742:
4	4	By: Turner of Tarrant C.S.H.B. No. 1742
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to certain convention center hotel projects.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Sections 351.001(2) and (7), Tax Code, are
12	12	amended to read as follows:
13	13	(2) "Convention center facilities" or "convention
14	14	center complex" means facilities that are primarily used to host
15	15	conventions and meetings. The term means civic centers, civic
16	16	center buildings, auditoriums, exhibition halls, and coliseums
17	17	that are owned by the municipality or other governmental entity or
18	18	that are managed in whole or part by the municipality. In a
19	19	municipality with a population of 1.5 million or more, "convention
20	20	center facilities" or "convention center complex" means civic
21	21	centers, civic center buildings, auditoriums, exhibition halls,
22	22	and coliseums that are owned by the municipality or other
23	23	governmental entity or that are managed in part by the
24	24	municipality, hotels owned by the municipality or a nonprofit
25	25	municipally sponsored local government corporation created under
26	26	Chapter 431, Transportation Code, within 1,000 feet of a convention
27	27	center owned by the municipality, or a historic hotel owned by the
28	28	municipality or a nonprofit municipally sponsored local government
29	29	corporation created under Chapter 431, Transportation Code, within
30	30	one mile of a convention center owned by the municipality. The
31	31	term includes parking areas or facilities that are for the parking
32	32	or storage of conveyances and that are located at or in the vicinity
33	33	of other convention center facilities. The term also includes a
34	34	hotel owned by or located on land that is owned by an eligible
35	35	central municipality or by a nonprofit corporation acting on behalf
36	36	of an eligible central municipality and that is located within
37	37	1,000 feet of a convention center facility owned by the
38	38	municipality. [The term also includes a hotel proposed to be
39	39	constructed, remodeled, or rehabilitated by a municipality or a
40	40	nonprofit municipally sponsored local government corporation
41	41	created under Chapter 431, Transportation Code, that is within
42	42	3,000 feet of the property line of a convention center owned by a
43	43	municipality having a population of more than 500,000 and that
44	44	borders the United Mexican States.]
45	45	(7) "Eligible central municipality" means:
46	46	(A) a municipality with a population of more than
47	47	140,000 but less than 1.5 million that is located in a county with a
48	48	population of one million or more and that has adopted a capital
49	49	improvement plan for the expansion of an existing convention center
50	50	facility; [or]
51	51	(B) a municipality with a population of 250,000
52	52	or more that:
53	53	(i) is located wholly or partly on a barrier
54	54	island that borders the Gulf of Mexico;
55	55	(ii) is located in a county with a
56	56	population of 300,000 or more; and
57	57	(iii) has adopted a capital improvement
58	58	plan to expand an existing convention center facility; or
59	59	(C) a municipality with a population of 640,000
60	60	or more that:
61	61	(i) is located on an international border;
62	62	and
63	63	(ii) has adopted a capital improvement plan
64	64	for the construction or expansion of a convention center facility.
65	65	SECTION 2. Section 351.102(a), Tax Code, is amended to read
66	66	as follows:
67	67	(a) Subject to the limitations provided by this subchapter,
68	68	a municipality may pledge the revenue derived from the tax imposed
69	69	under this chapter for the payment of bonds that are issued under
70	70	Section 1504.002(a), Government Code, for one or more of the
71	71	purposes provided by Section 351.101 or, in the case of a
72	72	municipality of 1,500,000 or more [or a municipality having a
73	73	population of more than 500,000 and that borders the United Mexican
74	74	States], for the payment of principal of or interest on bonds or
75	75	other obligations of a municipally sponsored local government
76	76	corporation created under Chapter 431, Transportation Code, that
77	77	were issued to pay the cost of the acquisition and construction of a
78	78	convention center hotel or the cost of acquisition, remodeling, or
79	79	rehabilitation of a historic hotel structure; provided, however,
80	80	such pledge may only be that portion of the tax collected at such
81	81	hotel.
82	82	SECTION 3. Section 351.1065, Tax Code, is amended by adding
83	83	Subsection (d) to read as follows:
84	84	(d) An eligible central municipality described by Section
85	85	351.001(7)(C) that uses revenue derived from the tax imposed under
86	86	this chapter or funds received under Section 351.102(c) for a hotel
87	87	project described by Section 351.102(b) may not reduce the
88	88	percentage of revenue from the tax imposed under this chapter and
89	89	allocated for a purpose described by Section 351.101(a)(3) to a
90	90	percentage that is less than the average percentage of that revenue
91	91	allocated by the municipality for that purpose during the 36-month
92	92	period preceding the date the municipality begins using the revenue
93	93	or funds for the hotel project.
94	94	SECTION 4. Section 151.429(h), Tax Code, is amended to read
95	95	as follows:
96	96	(h) [This subsection does not apply to a qualified hotel
97	97	project described by Section 2303.003(8)(B), Government Code.]
98	98	Notwithstanding the other provisions of this section, the owner of
99	99	a qualified hotel project shall receive a rebate, refund, or
100	100	payment of 100 percent of the sales and use taxes paid or collected
101	101	by the qualified hotel project or businesses located in the
102	102	qualified hotel project pursuant to this chapter and 100 percent of
103	103	the hotel occupancy taxes paid by persons for the use or possession
104	104	of or for the right to the use or possession of a room or space at
105	105	the qualified hotel project pursuant to the provisions of Chapter
106	106	156 during the first 10 years after such qualified hotel project is
107	107	open for initial occupancy. The comptroller shall deposit the
108	108	taxes in trust in a separate suspense account of the qualified hotel
109	109	project. A suspense account is outside the state treasury, and the
110	110	comptroller may make a rebate, refund, or payment authorized by
111	111	this section without the necessity of an appropriation. The
112	112	comptroller shall rebate, refund, or pay to each qualified hotel
113	113	project eligible taxable proceeds to which the project is entitled
114	114	under this section at least monthly.
115	115	SECTION 5. Section 2303.003(8), Government Code, is amended
116	116	to read as follows:
117	117	(8) "Qualified hotel project" means[:
118	118	[(A)] a hotel proposed to be constructed by a
119	119	municipality or a nonprofit municipally sponsored local government
120	120	corporation created under the Texas Transportation Corporation
121	121	Act, Chapter 431, Transportation Code, that is within 1,000 feet of
122	122	a convention center owned by a municipality having a population of
123	123	1,500,000 or more, including shops, parking facilities, and any
124	124	other facilities ancillary to the hotel[; and
125	125	[(B) a hotel proposed to be constructed,
126	126	remodeled, or rehabilitated by a municipality or a nonprofit
127	127	municipally sponsored local government corporation created under
128	128	the Texas Transportation Corporation Act, Chapter 431,
129	129	Transportation Code, that is within 3,000 feet of the property line
130	130	of a convention center owned by a municipality having a population
131	131	of more than 500,000 and that borders the United Mexican States].
132	132	SECTION 6. Section 2303.5055(b), Government Code, is
133	133	amended to read as follows:
134	134	(b) A municipality with a population of 1,500,000 or more
135	135	[or a municipality having a population of more than 500,000 and that
136	136	borders the United Mexican States] may agree to guarantee from
137	137	hotel occupancy taxes the bonds or other obligations of a
138	138	municipally sponsored local government corporation created under
139	139	the Texas Transportation Corporation Act, Chapter 431,
140	140	Transportation Code, that were issued or incurred to pay the cost of
141	141	construction, remodeling, or rehabilitation of a qualified hotel
142	142	project.
143	143	SECTION 7. This Act takes effect immediately if it receives
144	144	a vote of two-thirds of all the members elected to each house, as
145	145	provided by Section 39, Article III, Texas Constitution. If this
146	146	Act does not receive the vote necessary for immediate effect, this
147	147	Act takes effect September 1, 2015.