By: Lucio S.B. No. 1804
(In the Senate - Filed March 9, 2017; March 23, 2017, read
first time and referred to Committee on Natural Resources &
Economic Development; April 27, 2017, reported adversely, with
favorable Committee Substitute by the following vote: Yeas 8,
Nays 0, 2 present not voting; April 27, 2017, sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 1804 By: Zaffirini
A BILL TO BE ENTITLED
AN ACT
relating to the use of municipal hotel occupancy tax revenue by
certain municipalities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Section 351.1054, Tax Code, is
amended to read as follows:
Sec. 351.1054. ALLOCATION OF REVENUE: ELIGIBLE BARRIER
ISLAND COASTAL MUNICIPALITY [FOR ECOLOGICAL TOURISM AND SPACECRAFT
AND SPACEPORT ACTIVITIES BY CERTAIN MUNICIPALITIES].
SECTION 2. Sections 351.1054(b) and (c), Tax Code, are
amended to read as follows:
(b) Notwithstanding any other provision of this chapter, an
eligible barrier island coastal municipality may use revenue from
the municipal hotel occupancy tax for:
(1) promotional and event expenses for an ecological
tourism event, including an event for which the primary attraction
is traveling to an area of natural or ecological interest for the
purpose of observing and learning about wildlife and the area's
natural environment, if:
(A) a majority of the event's participants are
tourists; and
(B) the event substantially increases economic
activity at hotels and motels within or in the vicinity of the
municipality; [and]
(2) expenses directly related to:
(A) the acquisition of sites to observe
spacecraft and spaceport activities; and
(B) the construction, improvement, enlarging,
equipping, repairing, operation, and maintenance of facilities
utilized by hotel guests to observe and learn about spacecraft and
spaceport operations; and
(3) expenses directly related to the construction,
improvement, equipping, repairing, operation, and maintenance of
coastal sports facilities owned by the municipality, including boat
docks, boat ramps, and fishing piers used by hotel guests, if:
(A) the coastal sports facilities have been used
in the preceding calendar year a combined total of more than five
times for district, state, regional, or national sports tournaments
or events; and
(B) the majority of the events at the coastal
sports facilities are directly related to a sports tournament or
event in which the majority of participants are tourists who
substantially increase economic activity at hotels within or in the
vicinity of the municipality.
(c) A municipality may use for the purposes provided by
Subsections (b)(1), [and] (2), and (3) not more than the greater of:
(1) 15 percent of the hotel occupancy tax revenue
collected by the municipality; or
(2) the amount of tax received by the municipality at
the rate of one percent of the cost of a room.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2017.
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