LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION March 23, 2015 TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3052 by Bonnen, Dennis (Relating to the allocation of state hotel occupancy tax revenue to certain barrier island coastal municipalities.), As Introduced Estimated Two-year Net Impact to General Revenue Related Funds for HB3052, As Introduced: a negative impact of ($157,000) through the biennium ending August 31, 2017.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
March 23, 2015
TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3052 by Bonnen, Dennis (Relating to the allocation of state hotel occupancy tax revenue to certain barrier island coastal municipalities.), As Introduced
TO: Honorable Dennis Bonnen, Chair, House Committee on Ways & Means
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB3052 by Bonnen, Dennis (Relating to the allocation of state hotel occupancy tax revenue to certain barrier island coastal municipalities.), As Introduced
Honorable Dennis Bonnen, Chair, House Committee on Ways & Means
Honorable Dennis Bonnen, Chair, House Committee on Ways & Means
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB3052 by Bonnen, Dennis (Relating to the allocation of state hotel occupancy tax revenue to certain barrier island coastal municipalities.), As Introduced
HB3052 by Bonnen, Dennis (Relating to the allocation of state hotel occupancy tax revenue to certain barrier island coastal municipalities.), As Introduced
Estimated Two-year Net Impact to General Revenue Related Funds for HB3052, As Introduced: a negative impact of ($157,000) through the biennium ending August 31, 2017.
Estimated Two-year Net Impact to General Revenue Related Funds for HB3052, As Introduced: a negative impact of ($157,000) through the biennium ending August 31, 2017.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2016 ($73,000) 2017 ($84,000) 2018 ($88,000) 2019 ($93,000) 2020 ($98,000)
2016 ($73,000)
2017 ($84,000)
2018 ($88,000)
2019 ($93,000)
2020 ($98,000)
All Funds, Five-Year Impact: Fiscal Year Probable Revenue Gain/(Loss) fromGeneral Revenue Fund1 Probable Revenue Gain/(Loss) fromCity of Quintana Probable Revenue Gain/(Loss) fromCity of Surfside Beach 2016 ($73,000) $1,000 $72,000 2017 ($84,000) $1,000 $83,000 2018 ($88,000) $1,000 $87,000 2019 ($93,000) $1,000 $92,000 2020 ($98,000) $1,000 $97,000
Fiscal Year Probable Revenue Gain/(Loss) fromGeneral Revenue Fund1 Probable Revenue Gain/(Loss) fromCity of Quintana Probable Revenue Gain/(Loss) fromCity of Surfside Beach 2016 ($73,000) $1,000 $72,000 2017 ($84,000) $1,000 $83,000 2018 ($88,000) $1,000 $87,000 2019 ($93,000) $1,000 $92,000 2020 ($98,000) $1,000 $97,000
2016 ($73,000) $1,000 $72,000
2017 ($84,000) $1,000 $83,000
2018 ($88,000) $1,000 $87,000
2019 ($93,000) $1,000 $92,000
2020 ($98,000) $1,000 $97,000
Fiscal Analysis
The bill would amend Section 156.2512 of the Tax Code, regarding the allocation of state hotel occupancy tax revenue to certain barrier island coastal municipalities, to change the definition of an eligible barrier island coastal municipality to include a municipality that has a population of less than 10,000 and is located in a county with a population of at least 300,000 that is adjacent to a county with a population of at least 3,000,000. The bill would take effect September 1, 2015.
Methodology
The bill would add the cities of Surfside Beach and Quintana to the list of eligible barrier island municipalities, joining Port Aransas and South Padre Island. Data on taxable hotel receipts for hotels located on barrier islands in Surfside Beach and Quintana was multiplied by 1 percent of the state hotel occupancy tax rate for each city to estimate the loss to the General Revenue Fund and the gains to the cities. The fiscal impacts were then adjusted for the bill's effective date, and extrapolated through 2020.
Local Government Impact
The fiscal impact to local government is illustrated in the above table.
Source Agencies: 304 Comptroller of Public Accounts
304 Comptroller of Public Accounts
LBB Staff: UP, KK, SD, AG
UP, KK, SD, AG