Texas House Bill HB4174 Enrolled / Bill

                    H.B. No. 4174


 AN ACT
 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.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 ARTICLE 1. NONSUBSTANTIVE REVISION OF THE EVENT REIMBURSEMENT
 PROGRAMS
 SECTION 1.01.  Title 4, Government Code, is amended by
 adding Subtitle E-1 to read as follows:
 SUBTITLE E-1. EVENT REIMBURSEMENT PROGRAMS
 CHAPTER 475. GENERAL PROVISIONS
 CHAPTER 476. PAN AMERICAN GAMES TRUST FUND
 CHAPTER 477. OLYMPIC GAMES TRUST FUND
 CHAPTER 478. MAJOR EVENTS REIMBURSEMENT PROGRAM
 CHAPTER 479. MOTOR SPORTS RACING TRUST FUND
 CHAPTER 480. EVENTS TRUST FUND
 CHAPTER 475. GENERAL PROVISIONS
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 475.0001.  DEFINITIONS
 Sec. 475.0002.  PURPOSES OF SUBTITLE
 Sec. 475.0003.  LEGISLATIVE FINDINGS
 Sec. 475.0004.  RULES
 SUBCHAPTER B. ACTIONS OF OFFICE AND STATE AGENCIES IN RELATION TO
 GAMES
 Sec. 475.0051.  APPLICABILITY OF SUBCHAPTER
 Sec. 475.0052.  REQUEST FOR OFFICE TO ENTER INTO GAMES
 SUPPORT CONTRACT
 Sec. 475.0053.  TIME FOR DETERMINATION
 Sec. 475.0054.  PREREQUISITE FOR EXECUTION OF GAMES
 SUPPORT CONTRACT
 Sec. 475.0055.  JOINDER UNDERTAKING TERMS
 Sec. 475.0056.  JOINDER AGREEMENT TERMS
 Sec. 475.0057.  ADDITIONAL TERMS OF GAMES SUPPORT
 CONTRACT
 Sec. 475.0058.  REPAYMENT AGREEMENT REQUIRED
 Sec. 475.0059.  STATE AS ADDITIONAL INSURED
 Sec. 475.0060.  SUPPORT BY CERTAIN STATE AGENCIES
 SUBCHAPTER C. LOCAL ORGANIZING COMMITTEES
 Sec. 475.0101.  APPLICABILITY OF OPEN MEETINGS AND OPEN
 RECORDS LAWS
 Sec. 475.0102.  TAX EXEMPTIONS FOR CERTAIN COMMITTEES
 Sec. 475.0103.  ETHICS REQUIREMENTS RELATING TO CERTAIN
 COMMITTEES; FINANCIAL DISCLOSURES
 SUBCHAPTER D.  LOCAL GOVERNMENT CORPORATION IN CERTAIN POPULOUS
 COUNTIES AS ENDORSING MUNICIPALITY OR COUNTY
 Sec. 475.0151.  APPLICABILITY
 Sec. 475.0152.  AUTHORITY TO ACT AS ENDORSING
 MUNICIPALITY OR COUNTY
 Sec. 475.0153.  DEPOSIT OF MUNICIPAL OR COUNTY TAX REVENUE
 TO TRUST FUND
 Sec. 475.0154.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS
 SUBCHAPTER E. CRIMINAL PENALTIES
 Sec. 475.0201.  OFFENSE OF BRIBERY
 CHAPTER 475. GENERAL PROVISIONS
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 475.0001.  DEFINITIONS. In this subtitle:
 (1)  "Endorsing county" means an endorsing county for
 purposes of Chapter 477, 478, 479, or 480.
 (2)  "Endorsing municipality" means an endorsing
 municipality for purposes of Chapter 476, 477, 478, 479, or 480.
 (3)  "Event" means a game or an event as defined by
 Chapter 478, 479, or 480.
 (4)  "Games" means any of the following and includes
 the events and activities related to the following:
 (A)  the College Football Playoff games;
 (B)  the Major League Baseball All-Star Game;
 (C)  the National Basketball Association All-Star
 Game;
 (D)  the National Collegiate Athletic Association
 Final Four;
 (E)  the National Hockey League All-Star Game;
 (F)  the Olympic Games;
 (G)  the Pan American Games;
 (H)  the Super Bowl;
 (I)  the World Cup Soccer Games; or
 (J)  the World Games.
 (5)  "Games support contract" means a joinder
 undertaking, a joinder agreement, or a similar contract executed by
 the office and containing terms permitted or required by this
 subtitle.
 (6)  "Joinder agreement" means an agreement:
 (A)  entered into by the office on behalf of this
 state and a site selection organization setting out representations
 and assurances by this state in connection with the selection of a
 site in this state for a game or event; or
 (B)  entered into by a local organizing committee,
 an endorsing municipality, or an endorsing county, or more than one
 local organizing committee, endorsing municipality, or endorsing
 county acting collectively, and a site selection organization
 setting out representations and assurances by each local organizing
 committee, endorsing municipality, or endorsing county in
 connection with the selection of a site in this state for a game or
 event.
 (7)  "Joinder undertaking" means an agreement:
 (A)  entered into by the office on behalf of this
 state and a site selection organization that this state will
 execute a joinder agreement if the site selection organization
 selects a site in this state for a game or event; or
 (B)  entered into by a local organizing committee,
 an endorsing municipality, or an endorsing county, or more than one
 local organizing committee, endorsing municipality, or endorsing
 county acting collectively, and a site selection organization that
 each local organizing committee, endorsing municipality, or
 endorsing county will execute a joinder agreement if the site
 selection organization selects a site in this state for a game or
 event.
 (8)  "Local organizing committee" means a nonprofit
 corporation or the corporation's successor in interest that:
 (A)  is authorized by an endorsing municipality,
 endorsing county, or more than one endorsing municipality or county
 acting collectively to pursue an application and bid on the
 applicant's behalf to a site selection organization for selection
 as the site of a game or event; or
 (B)  with authorization from an endorsing
 municipality, endorsing county, or more than one endorsing
 municipality or county acting collectively, executes an agreement
 with a site selection organization regarding a bid to host a game or
 event.
 (9)  "Office" means the Texas Economic Development and
 Tourism Office within the office of the governor.
 (10)  "Site selection organization" means a site
 selection organization as defined by Chapters 477, 478, and 480.
 (V.A.C.S. Art. 5190.14, Secs. 1(1), (1-a), (2), (2-a), (3) as
 amended Acts 78th Leg., R.S., Ch. 814, (4), (5), (6), (7), (8).)
 Sec. 475.0002.  PURPOSES OF SUBTITLE. The purposes of this
 subtitle are to:
 (1)  provide assurances required by a site selection
 organization sponsoring a game or event; and
 (2)  provide financing for the costs of:
 (A)  applying or bidding for selection as the site
 of a game or event in this state;
 (B)  making preparations necessary and desirable
 for conducting a game or event in this state, including costs of the
 construction or renovation of facilities to the extent authorized
 by this subtitle; and
 (C)  conducting a game or event in this state.
 (V.A.C.S. Art. 5190.14, Sec. 2.)
 Sec. 475.0003.  LEGISLATIVE FINDINGS. Conducting one or
 more games or events in this state will:
 (1)  provide invaluable public visibility throughout
 the nation or world for this state and the communities where the
 games or events are held;
 (2)  encourage and provide major economic benefits to
 the communities where the games or events are held and to the entire
 state; and
 (3)  provide opportunities for local and Texas
 businesses to create jobs that pay a living wage. (V.A.C.S. Art.
 5190.14, Sec. 3.)
 Sec. 475.0004.  RULES.  The office of the governor shall
 adopt rules consistent with this subtitle to ensure efficient
 administration of the trust funds established under this subtitle,
 including rules related to application and receipt requirements.
 (V.A.C.S. Art. 5190.14, Sec. 3A.)
 SUBCHAPTER B. ACTIONS OF OFFICE AND STATE AGENCIES IN RELATION TO
 GAMES
 Sec. 475.0051.  APPLICABILITY OF SUBCHAPTER. This
 subchapter does not apply to or otherwise affect an event support
 contract under Chapter 478, 479, or 480 to which the office is not a
 party.   (V.A.C.S. Art. 5190.14, Sec. 7(a) (part).)
 Sec. 475.0052.  REQUEST FOR OFFICE TO ENTER INTO GAMES
 SUPPORT CONTRACT. (a) The office shall review a request from a
 local organizing committee, endorsing municipality, or endorsing
 county that the office, on behalf of this state, enter into a games
 support contract required by a site selection organization in
 connection with the committee's, municipality's, or county's bid to
 host any of the games.
 (b)  A request under Subsection (a) must be accompanied by:
 (1)  a general description and summary of the games for
 which the local organizing committee, endorsing municipality, or
 endorsing county is seeking a site selection;
 (2)  a preliminary and general description of the
 proposal the local organizing committee, endorsing municipality,
 or endorsing county intends to submit to a site selection
 organization;
 (3)  the estimated cost of preparing and submitting the
 intended proposal;
 (4)  the local organizing committee's, endorsing
 municipality's, or endorsing county's intended method of obtaining
 the money needed for preparing the proposal;
 (5)  a description by type and approximate amount of
 the site selection application costs that the local organizing
 committee, endorsing municipality, or endorsing county intends to
 pay; and
 (6)  any other information reasonably requested by the
 office to assist the office in reviewing the request. (V.A.C.S.
 Art. 5190.14, Secs. 7(a) (part), (b).)
 Sec. 475.0053.  TIME FOR DETERMINATION. The office shall
 approve or deny a request under Section 475.0052 not later than the
 30th day after the date the local organizing committee, endorsing
 municipality, or endorsing county submits the request. (V.A.C.S.
 Art. 5190.14, Sec. 7(c).)
 Sec. 475.0054.  PREREQUISITE FOR EXECUTION OF GAMES SUPPORT
 CONTRACT. The office may agree to execute a games support contract
 only if:
 (1)  the office determines that:
 (A)  this state's assurances and obligations
 under the contract are reasonable; and
 (B)  any financial commitment of this state will
 be satisfied exclusively by recourse to the Pan American Games
 trust fund or the Olympic Games trust fund, as applicable; and
 (2)  the endorsing municipality or endorsing county has
 executed an agreement with a site selection organization that
 contains substantially similar terms. (V.A.C.S. Art. 5190.14, Sec.
 7(f).)
 Sec. 475.0055.  JOINDER UNDERTAKING TERMS. The office may
 agree in a joinder undertaking entered into with a site selection
 organization that the office will:
 (1)  execute a joinder agreement if the site selection
 organization selects a site in this state for the games; and
 (2)  refrain from taking any action after execution of
 the joinder undertaking that would impair the office's ability to
 execute the joinder agreement. (V.A.C.S. Art. 5190.14, Sec. 7(d).)
 Sec. 475.0056.  JOINDER AGREEMENT TERMS. The office may
 agree in a joinder agreement that this state will:
 (1)  provide or cause to be provided all of the
 governmental funding, facilities, and other resources specified in
 the local organizing committee's, endorsing municipality's, or
 endorsing county's bid to host the games;
 (2)  be bound by the terms of, cause the local
 organizing committee, endorsing municipality, or endorsing county
 to perform, and guarantee performance of the committee's,
 municipality's, or county's obligations under contracts relating to
 selecting a site in this state for the games; and
 (3)  be jointly and severally liable with the local
 organizing committee, endorsing municipality, or endorsing county
 for:
 (A)  an obligation of the committee,
 municipality, or county to a site selection organization, including
 an obligation indemnifying the organization against a claim of and
 liability to a third party arising out of or relating to the games;
 and
 (B)  any financial deficit relating to the games.
 (V.A.C.S. Art. 5190.14, Sec. 7(e).)
 Sec. 475.0057.  ADDITIONAL TERMS OF GAMES SUPPORT CONTRACT.
 A games support contract may contain any additional provision the
 office requires to carry out the purposes of this subtitle.
 (V.A.C.S. Art. 5190.14, Sec. 7(h).)
 Sec. 475.0058.  REPAYMENT AGREEMENT REQUIRED. (a) Before
 executing a games support contract, the office must execute an
 agreement with the local organizing committee, endorsing
 municipality, or endorsing county requiring the committee,
 municipality, or county to repay this state any money spent by the
 office under this subtitle if a site selection organization selects
 a site for the games in this state in accordance with an application
 by the committee, municipality, or county.
 (b)  The local organizing committee, endorsing municipality,
 or endorsing county will make a repayment under Subsection (a) from
 any surplus of the committee's, municipality's, or county's money
 remaining after:
 (1)  presentation of the games; and
 (2)  payment of the expenses and obligations incurred
 by the committee, municipality, or county. (V.A.C.S. Art. 5190.14,
 Sec. 7(g).)
 Sec. 475.0059.  STATE AS ADDITIONAL INSURED. The office may
 require a local organizing committee, endorsing municipality, or
 endorsing county to list this state as an additional insured on any
 insurance policy purchased by the committee, municipality, or
 county that a site selection organization requires to be in effect
 in connection with the games. (V.A.C.S. Art. 5190.14, Sec. 7(i).)
 Sec. 475.0060.  SUPPORT BY CERTAIN STATE AGENCIES. The
 Texas Department of Transportation, the Department of Public Safety
 of the State of Texas, and the Texas Department of Housing and
 Community Affairs may:
 (1)  assist a local organizing committee, endorsing
 municipality, or endorsing county in developing applications and
 planning for the games; and
 (2)  enter into a contract or agreement or give
 assurances related to the presentation of the games. (V.A.C.S. Art.
 5190.14, Sec. 7(j).)
 SUBCHAPTER C. LOCAL ORGANIZING COMMITTEES
 Sec. 475.0101.  APPLICABILITY OF OPEN MEETINGS AND OPEN
 RECORDS LAWS.  (a) A local organizing committee and the committee's
 governing body are subject to Chapters 551 and 552. For purposes of
 those chapters, the governing body of a local organizing committee
 is considered a governmental body as defined by those chapters. For
 purposes of Chapter 552, the records and information of a local
 organizing committee are considered public records and public
 information.
 (b)  A final bid that a local organizing committee submits to
 a site selection organization, or a draft of that bid, is excepted
 from required public disclosure under Chapter 552 until the
 organization selects the site for the games.
 (c)  Chapter 551 does not apply to a meeting of a
 subcommittee of a local organizing committee's governing body if:
 (1)  the subcommittee consists of not more than five
 members;
 (2)  the meeting is not held in a public building;
 (3)  the subcommittee makes a recording of the meeting
 proceedings in compliance with Section 551.103, and the committee
 preserves the recording until the second anniversary of the date
 the recording is made;
 (4)  the subcommittee does not discuss or decide any
 financial matters during the meeting; and
 (5)  any decision the subcommittee makes will not take
 effect without the governing body reviewing and officially adopting
 the decision at a meeting held in compliance with Chapter 551.
 (d)  A recording made under Subsection (c) is subject to
 required public disclosure in the manner prescribed by Chapter 552
 for a public record. (V.A.C.S. Art. 5190.14, Sec. 8.)
 Sec. 475.0102.  TAX EXEMPTIONS FOR CERTAIN COMMITTEES. A
 local organizing committee that is exempt from paying federal
 income tax under Section 501(c), Internal Revenue Code of 1986, is
 exempt from:
 (1)  the sales, excise, and use taxes imposed under
 Chapter 151, Tax Code;
 (2)  taxes on the sale, rental, and use of a motor
 vehicle imposed under Chapter 152, Tax Code;
 (3)  the hotel occupancy tax imposed under Chapter 156,
 Tax Code; and
 (4)  the franchise tax imposed under Chapter 171, Tax
 Code. (V.A.C.S. Art. 5190.14, Sec. 9(a).)
 Sec. 475.0103.  ETHICS REQUIREMENTS RELATING TO CERTAIN
 COMMITTEES; FINANCIAL DISCLOSURES. (a) A local organizing
 committee that submits a request under Section 475.0052 must:
 (1)  affirm as a part of that request that the committee
 is in full compliance with the ethical guidelines provided by all
 contracts entered into and rules adopted by the site selection
 organization, including the organization's requirements regarding
 disclosure of any financial interest a director, officer, or
 senior-level employee of the committee has in any proposed
 transaction with the committee;
 (2)  not later than the 15th day of the first month
 following each calendar quarter, file with the secretary of the
 endorsing municipality for which the committee submits a request:
 (A)  a certification that the committee continues
 to comply with the ethical guidelines described by Subdivision (1);
 and
 (B)  a report of contributions to and expenditures
 by the committee, in the manner described by Subsection (b); and
 (3)  file with the secretary of the endorsing
 municipality on April 15 of each year a copy of each financial
 statement a committee or a member of a committee is required to
 submit to the United States Olympic Committee during the preceding
 calendar year.
 (b)  A report under Subsection (a)(2)(B) must include:
 (1)  for each contribution made to the local organizing
 committee:
 (A)  the contributor's full name and address;
 (B)  the date of the contribution;
 (C)  whether the contribution is cash, made by
 check, or in-kind; and
 (D)  the amount or market value of the
 contribution; and
 (2)  for each expenditure made by the local organizing
 committee:
 (A)  the full name and address of the person who
 receives payment of the expenditure;
 (B)  the date of the expenditure;
 (C)  the amount of the expenditure; and
 (D)  the purpose of the expenditure.
 (c)  The endorsing municipality for which a local organizing
 committee submits a request under Section 475.0052 must have a
 comprehensive ethics code establishing standards of conduct,
 disclosure requirements, and enforcement mechanisms relating to
 municipal officials and employees before the office considers the
 request.  (V.A.C.S. Art. 5190.14, Sec. 10.)
 SUBCHAPTER D.  LOCAL GOVERNMENT CORPORATION IN CERTAIN POPULOUS
 COUNTIES AS ENDORSING MUNICIPALITY OR COUNTY
 Sec. 475.0151.  APPLICABILITY. This subchapter applies only
 to a local government corporation that:
 (1)  is authorized to collect a municipal hotel
 occupancy tax; and
 (2)  is located in a county with a population of 3.3
 million or more. (V.A.C.S. Art. 5190.14, Sec. 12(a).)
 Sec. 475.0152.  AUTHORITY TO ACT AS ENDORSING MUNICIPALITY
 OR COUNTY. (a)  A local government corporation may act as an
 endorsing municipality or endorsing county under this subtitle.
 (b)  Subject to Section 475.0153, a local government
 corporation acting as an endorsing municipality or endorsing county
 under this subtitle has all the powers of an endorsing municipality
 or endorsing county under this subtitle, and any action an
 endorsing municipality or endorsing county is required to take by
 ordinance or order under this subtitle may be taken by order or
 resolution of the corporation. (V.A.C.S. Art. 5190.14,
 Secs. 12(b), (e).)
 Sec. 475.0153.  DEPOSIT OF MUNICIPAL OR COUNTY TAX REVENUE
 TO TRUST FUND.  (a)  A local government corporation acting as an
 endorsing municipality or endorsing county under this subtitle
 shall remit for deposit into the trust fund established for the
 games or event the amounts determined by the office under this
 subtitle.
 (b)  The office shall determine the incremental increase in
 tax receipts attributable to the games or event and related
 activities under this subtitle based on the amount of taxes imposed
 by each municipality or county that comprises the corporation and
 not on the amount of taxes imposed by the corporation. (V.A.C.S.
 Art. 5190.14, Sec. 12(c).)
 Sec. 475.0154.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS. A local government corporation acting as an endorsing
 municipality or endorsing county under this subtitle may guarantee
 the corporation's obligations under a games support contract or
 event support contract by pledging surcharges from user fees,
 including parking or ticket fees, charged in connection with the
 games or event and related activities. (V.A.C.S. Art. 5190.14,
 Sec. 12(d).)
 SUBCHAPTER E. CRIMINAL PENALTIES
 Sec. 475.0201.  OFFENSE OF BRIBERY. (a)  In this section,
 "benefit" has the meaning assigned by Section 36.01, Penal Code.
 (b)  A person commits an offense if the person intentionally
 or knowingly offers, confers, or agrees to confer on another
 person, or solicits, accepts, or agrees to accept from another
 person, any benefit as consideration for the recipient's decision,
 opinion, recommendation, vote, or other exercise of discretion as a
 member or employee of a local organizing committee or site
 selection organization.
 (c)  It is a defense to prosecution under Subsection (b) that
 the benefit conferred is a meal or entertainment reported under
 Section 475.0103(a)(2)(B).
 (d)  It is not a defense to prosecution under Subsection (b)
 that a person whom the actor sought to influence was not qualified
 to act as the actor intended the person to act.
 (e)  It is not a defense to prosecution under Subsection (b)
 that the benefit is not offered or conferred or that the benefit is
 not solicited or accepted until after:
 (1)  the decision, opinion, recommendation, vote, or
 other exercise of discretion has occurred; or
 (2)  the person whom the actor sought to influence is no
 longer a member of the local organizing committee or a site
 selection organization.
 (f)  An offense under this section is a felony of the second degree. (V.A.C.S. Art. 5190.14, Sec. 11.)
 CHAPTER 476. PAN AMERICAN GAMES TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 476.0001.  DEFINITIONS
 Sec. 476.0002.  ELIGIBILITY AS ENDORSING MUNICIPALITY
 SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES
 Sec. 476.0051.  DETERMINATION OF INCREMENTAL INCREASE
 IN CERTAIN TAX RECEIPTS
 Sec. 476.0052.  TIME FOR DETERMINATION
 Sec. 476.0053.  DESIGNATION OF MARKET AREA
 Sec. 476.0054.  ESTIMATE OF TAX REVENUE CREDITED TO
 TRUST FUND
 SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND
 LIMITATION
 Sec. 476.0101.  PAN AMERICAN GAMES TRUST FUND
 Sec. 476.0102.  DEPOSIT OF MUNICIPAL TAX REVENUE
 Sec. 476.0103.  STATE TAX REVENUE
 Sec. 476.0104.  LIMITATION ON TRANSFERS AND DEPOSITS TO
 TRUST FUND
 SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND
 Sec. 476.0151.  DISBURSEMENT WITHOUT APPROPRIATION
 Sec. 476.0152.  DISBURSEMENT FROM TRUST FUND
 Sec. 476.0153.  ALLOWABLE EXPENSES
 Sec. 476.0154.  TRANSFER AND REMITTANCE OF REMAINING
 TRUST FUND MONEY
 SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES
 Sec. 476.0201.  REQUIRED INFORMATION
 Sec. 476.0202.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS
 SUBCHAPTER F.  LIMITATIONS ON JOINT LIABILITY
 Sec. 476.0251.  LIMITATION AMOUNTS
 CHAPTER 476. PAN AMERICAN GAMES TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 476.0001.  DEFINITIONS. In this chapter:
 (1)  "Endorsing municipality" means a municipality
 that authorizes a bid by a local organizing committee for selection
 of the municipality as the site of the games.
 (2)  "Games" means the Pan American Games.
 (3)  "Site selection organization" means:
 (A)  the Pan American Sports Organization; or
 (B)  the United States Olympic Committee.
 (4)  "Trust fund" means the Pan American Games trust
 fund established by this chapter. (V.A.C.S. Art. 5190.14, Secs.
 4(a)(1) as amended Acts 78th Leg., R.S., Ch. 814, (2), (3) (part);
 New.)
 Sec. 476.0002.  ELIGIBILITY AS ENDORSING MUNICIPALITY. Only
 a municipality with a population of 850,000 or more is eligible as
 an endorsing municipality under this chapter. (V.A.C.S. Art.
 5190.14, Sec. 4(a)(3) (part).)
 SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES
 Sec. 476.0051.  DETERMINATION OF INCREMENTAL INCREASE IN
 CERTAIN TAX RECEIPTS. (a) After a site selection organization
 selects a site for the games in this state in accordance with an
 application by a local organizing committee acting on behalf of an
 endorsing municipality, the office shall determine for each
 subsequent calendar quarter the incremental increases in the
 following tax receipts that the office determines are directly
 attributable to the preparation for and presentation of the games
 and related events:
 (1)  the receipts to this state from the taxes imposed
 under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5,
 Alcoholic Beverage Code, in the market areas designated under
 Section 476.0053;
 (2)  the receipts collected by this state for the
 endorsing municipality from the sales and use tax imposed by the
 municipality under Section 321.101(a), Tax Code; and
 (3)  the receipts collected by the endorsing
 municipality from the municipality's hotel occupancy tax imposed
 under Chapter 351, Tax Code.
 (b)  The office shall make the determination required by
 Subsection (a) in accordance with procedures the office develops.
 (V.A.C.S. Art. 5190.14, Sec. 4(b) (part).)
 Sec. 476.0052.  TIME FOR DETERMINATION. The office shall
 determine the incremental increase in tax receipts under Section
 476.0051 after the first occurrence of a measurable economic impact
 in this state resulting from the preparation for the games, as
 determined by the office, but not later than one year before the
 scheduled opening event of the games. (V.A.C.S. Art. 5190.14, Sec.
 4(b) (part).)
 Sec. 476.0053.  DESIGNATION OF MARKET AREA. (a) For
 purposes of Section 476.0051(a)(1), the office shall designate as a
 market area for the games each area in which the office determines
 there is a reasonable likelihood of measurable economic impact
 directly attributable to the preparation for and presentation of
 the games and related events. The office shall include areas likely
 to provide venues, accommodations, and services in connection with
 the games based on the proposal the local organizing committee
 provides under Section 475.0052.
 (b)  The office shall determine the geographic boundaries of
 each market area.
 (c)  The endorsing municipality selected as the site for the
 games must be included in a market area for the games. (V.A.C.S.
 Art. 5190.14, Sec. 4(c).)
 Sec. 476.0054.  ESTIMATE OF TAX REVENUE CREDITED TO TRUST
 FUND. (a) Not later than September 1 of the year that is eight
 years before the year the games would be held in this state, the
 office shall provide an estimate of the total amount of municipal
 and state tax revenue that would be transferred or deposited to the
 trust fund before January 1 of the year following the year the games
 would be held if the games were held in this state at a site selected
 in accordance with an application by a local organizing committee.
 (b)  The office shall provide the estimate on request to a
 local organizing committee.
 (c)  A local organizing committee may submit the office's
 estimate to a site selection organization. (V.A.C.S. Art. 5190.14,
 Sec. 4(i).)
 SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND
 LIMITATION
 Sec. 476.0101.  PAN AMERICAN GAMES TRUST FUND. The Pan
 American Games trust fund is established outside the state
 treasury. The trust fund is held in trust by the comptroller for
 administration of this subtitle. (V.A.C.S. Art. 5190.14, Sec. 4(f)
 (part).)
 Sec. 476.0102.  DEPOSIT OF MUNICIPAL TAX REVENUE. (a)
 Subject to Section 476.0104, the endorsing municipality shall
 deposit to the trust fund the amount of the municipality's hotel
 occupancy tax revenue determined under Section 476.0051(a)(3). The
 endorsing municipality shall deposit the hotel occupancy tax
 revenue to the trust fund at least quarterly.
 (b)  To guarantee the joint obligations of this state and the
 endorsing municipality under a games support contract and this
 subtitle, the comptroller, at the direction of the office, shall
 retain the amount of municipal sales and use tax revenue determined
 under Section 476.0051(a)(2) from the amounts otherwise required to
 be sent to the municipality under Section 321.502, Tax Code, and,
 subject to Section 476.0104, deposit the retained tax revenue to
 the trust fund.
 (c)  The comptroller shall begin retaining the municipal
 sales and use tax revenue with the first distribution of that tax
 revenue that occurs after the date the office makes the
 determination under Section 476.0051(a)(2).
 (d)  The comptroller shall discontinue retaining the
 municipal sales and use tax revenue on the earlier of:
 (1)  the end of the third calendar month following the
 month in which the closing event of the games occurs; or
 (2)  the date the amount of municipal sales and use tax
 revenue and municipal hotel occupancy tax revenue in the trust fund
 equals 14 percent of the maximum amount of municipal and state tax
 revenue that may be transferred or deposited to the trust fund under
 Section 476.0104. (V.A.C.S. Art. 5190.14, Secs. 4(d), (f) (part).)
 Sec. 476.0103.  STATE TAX REVENUE. (a) At the time the
 endorsing municipality deposits to the trust fund its hotel
 occupancy tax revenue under Section 476.0102(a), the comptroller,
 at the direction of the office, shall transfer to the trust fund a
 portion of the state tax revenue determined under Section
 476.0051(a)(1) in an amount equal to 6.25 multiplied by the amount
 of that municipal hotel occupancy tax revenue.
 (b)  At the time the comptroller deposits to the trust fund
 the municipal sales and use tax revenue under Section 476.0102(b),
 the comptroller, at the direction of the office, shall transfer to
 the trust fund a portion of the state tax revenue determined under
 Section 476.0051(a)(1) in an amount equal to 6.25 multiplied by the
 amount of that municipal sales and use tax revenue.
 (c)  The comptroller shall discontinue transferring to the
 trust fund any state tax revenue determined under Section
 476.0051(a)(1) on the earlier of:
 (1)  the end of the third calendar month following the
 month in which the closing event of the games occurs; or
 (2)  the date the amount of state revenue in the trust
 fund equals 86 percent of the maximum amount of municipal and state
 tax revenue that may be transferred or deposited to the trust fund
 under Section 476.0104. (V.A.C.S. Art. 5190.14, Sec. 4(f) (part).)
 Sec. 476.0104.  LIMITATION ON TRANSFERS AND DEPOSITS TO
 TRUST FUND. The total amount of municipal and state tax revenue
 transferred or deposited to the trust fund may not exceed $20
 million. (V.A.C.S. Art. 5190.14, Sec. 4(m) (part).)
 SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND
 Sec. 476.0151.  DISBURSEMENT WITHOUT APPROPRIATION. Money
 in the trust fund may be spent by the office without appropriation
 only as provided by this subtitle. (V.A.C.S. Art. 5190.14, Sec.
 4(f) (part).)
 Sec. 476.0152.  DISBURSEMENT FROM TRUST FUND. (a) The
 office may make a disbursement from the trust fund only if the
 office certifies that the disbursement is for a purpose for which
 this state and the endorsing municipality are jointly obligated
 under a games support contract or another agreement providing
 assurances from the office or the municipality to a site selection
 organization.
 (b)  On a certification described by Subsection (a), the
 office shall satisfy the obligation:
 (1)  first, from municipal revenue deposited to the
 trust fund and any interest earned on that municipal revenue; and
 (2)  if the municipal revenue is insufficient to
 satisfy the entire deficit, from state revenue transferred to the
 trust fund and any interest earned on that state revenue in an
 amount sufficient to satisfy the portion of the deficit not covered
 by the municipal revenue.  (V.A.C.S. Art. 5190.14, Secs. 4(g)
 (part), (j), (k).)
 Sec. 476.0153.  ALLOWABLE EXPENSES. The office may use
 money in the trust fund only to fulfill joint obligations of this
 state and the endorsing municipality to a site selection
 organization under a games support contract or another agreement
 providing assurances from the office or municipality to a site
 selection organization.  (V.A.C.S. Art. 5190.14, Sec. 4(g).)
 Sec. 476.0154.  TRANSFER AND REMITTANCE OF REMAINING TRUST
 FUND MONEY. (a) On January 1 of the second year following the year
 in which the games are held in this state, the comptroller, at the
 direction of the office, shall transfer to the general revenue fund
 the amount of state revenue remaining in the trust fund plus any
 interest earned on that state revenue.
 (b)  The comptroller shall remit to the endorsing
 municipality any money remaining in the trust fund after the
 required amount is transferred under Subsection (a). (V.A.C.S.
 Art. 5190.14, Sec. 4(l).)
 SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES
 Sec. 476.0201.  REQUIRED INFORMATION. (a) A local
 organizing committee shall provide information required by the
 office to fulfill the office's duties under this subtitle,
 including:
 (1)  annual audited statements of any committee
 financial records required by a site selection organization; and
 (2)  data obtained by the committee relating to:
 (A)  attendance at the games; and
 (B)  the economic impact of the games.
 (b)  A local organizing committee must provide any annual
 audited financial statement required by the office not later than
 the end of the fourth month after the last day of the period covered
 by the financial statement.  (V.A.C.S. Art. 5190.14, Sec. 4(h).)
 Sec. 476.0202.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS. An endorsing municipality may guarantee its
 obligations under a games support contract and this subtitle by
 pledging, in addition to municipal sales and use tax revenue
 retained under Section 476.0102(b), surcharges from user fees
 charged in connection with presentation of the games, including
 parking or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 4(e).)
 SUBCHAPTER F.  LIMITATIONS ON JOINT LIABILITY
 Sec. 476.0251.  LIMITATION AMOUNTS. The joint liability of
 this state and the endorsing municipality under a joinder agreement
 and any other games support contracts entered into under this
 subtitle may not exceed the lesser of:
 (1)  $20 million; or
 (2)  the total amount of revenue transferred or
 deposited to the trust fund and interest earned on the trust fund. (V.A.C.S. Art. 5190.14, Sec. 4(m) (part).)
 CHAPTER 477. OLYMPIC GAMES TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 477.0001.  DEFINITIONS
 Sec. 477.0002.  ELIGIBILITY AS ENDORSING MUNICIPALITY
 SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES
 Sec. 477.0051.  DETERMINATION OF INCREMENTAL INCREASE
 IN CERTAIN TAX RECEIPTS
 Sec. 477.0052.  TIME FOR DETERMINATION
 Sec. 477.0053.  DESIGNATION OF MARKET AREA
 Sec. 477.0054.  ESTIMATE OF TAX REVENUE CREDITED TO
 TRUST FUND
 SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND
 LIMITATION
 Sec. 477.0101.  OLYMPIC GAMES TRUST FUND
 Sec. 477.0102.  DEPOSIT OF MUNICIPAL AND COUNTY TAX
 REVENUE
 Sec. 477.0103.  STATE TAX REVENUE
 Sec. 477.0104.  LIMITATION ON TRANSFERS AND DEPOSITS TO
 TRUST FUND
 SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND
 Sec. 477.0151.  DISBURSEMENT WITHOUT APPROPRIATION
 Sec. 477.0152.  DISBURSEMENT FROM TRUST FUND
 Sec. 477.0153.  ALLOWABLE EXPENSES
 Sec. 477.0154.  PROHIBITED DISBURSEMENT
 Sec. 477.0155.  TRANSFER AND REMITTANCE OF REMAINING
 TRUST FUND MONEY
 SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES
 Sec. 477.0201.  REQUIRED INFORMATION
 Sec. 477.0202.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS
 Sec. 477.0203.  MUNICIPAL OR COUNTY ELECTION
 SUBCHAPTER F. LIMITATIONS ON JOINT LIABILITY
 Sec. 477.0251.  LIMITATION AMOUNTS
 CHAPTER 477. OLYMPIC GAMES TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 477.0001.  DEFINITIONS. In this chapter:
 (1)  "Endorsing county" means a county that:
 (A)  contains all or part of a municipality
 described by Section 477.0002; or
 (B)  is adjacent to a county described by
 Paragraph (A).
 (2)  "Endorsing municipality" means a municipality
 that authorizes a bid by a local organizing committee for selection
 of the municipality as the site of the games.
 (3)  "Games" means the Olympic Games.
 (4)  "Site selection organization" means:
 (A)  the International Olympic Committee; or
 (B)  the United States Olympic Committee.
 (5)  "Trust fund" means the Olympic Games trust fund
 established by this chapter.  (V.A.C.S. Art. 5190.14, Secs. 4(a)(3)
 (part), 5(a)(1), (2), (3) (part), (4); New.)
 Sec. 477.0002.  ELIGIBILITY AS ENDORSING MUNICIPALITY. Only
 a municipality with a population of 850,000 or more is eligible as
 an endorsing municipality under this chapter. (V.A.C.S. Art.
 5190.14, Secs. 4(a)(3) (part), 5(a)(3) (part).)
 SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES
 Sec. 477.0051.  DETERMINATION OF INCREMENTAL INCREASE IN
 CERTAIN TAX RECEIPTS. (a) After a site selection organization
 selects a site for the games in this state in accordance with an
 application by a local organizing committee, the office shall
 determine for each subsequent calendar quarter the incremental
 increases in the following tax receipts that the office determines
 are directly attributable to the preparation for and presentation
 of the games and related events:
 (1)  the receipts to this state from the taxes imposed
 under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5,
 Alcoholic Beverage Code, in the market areas designated under
 Section 477.0053;
 (2)  the receipts collected by this state for each
 endorsing municipality from the sales and use tax imposed by the
 municipality under Section 321.101(a), Tax Code, and the mixed
 beverage tax revenue to be received by the municipality under
 Section 183.051(b), Tax Code;
 (3)  the receipts collected by this state for each
 endorsing county from the sales and use tax imposed by the county
 under Section 323.101(a), Tax Code, and the mixed beverage tax
 revenue received by the county under Section 183.051(b), Tax Code;
 (4)  the receipts collected by each endorsing
 municipality from the hotel occupancy tax imposed under Chapter
 351, Tax Code; and
 (5)  the receipts collected by each endorsing county
 from the hotel occupancy tax imposed under Chapter 352, Tax Code.
 (b)  The office shall make the determination required by
 Subsection (a) in accordance with procedures the office develops.
 (V.A.C.S. Art. 5190.14, Sec. 5(b) (part).)
 Sec. 477.0052.  TIME FOR DETERMINATION. The office shall
 determine the incremental increase in tax receipts under Section
 477.0051 after the first occurrence of a measurable economic impact
 in this state resulting from the preparation for the games, as
 determined by the office, but not later than one year before the
 scheduled opening event of the games.  (V.A.C.S. Art. 5190.14, Sec.
 5(b) (part).)
 Sec. 477.0053.  DESIGNATION OF MARKET AREA. (a) For
 purposes of Section 477.0051(a)(1), the office shall designate as a
 market area for the games each area in which the office determines
 there is a reasonable likelihood of measurable economic impact
 directly attributable to the preparation for and presentation of
 the games and related events. The office shall include areas likely
 to provide venues, accommodations, and services in connection with
 the games based on the proposal the local organizing committee
 provides under Section 475.0052.
 (b)  The office shall determine the geographic boundaries of
 each market area.
 (c)  Each endorsing municipality or endorsing county
 selected as the site for the games must be included in a market area
 for the games. (V.A.C.S. Art. 5190.14, Sec. 5(c).)
 Sec. 477.0054.  ESTIMATE OF TAX REVENUE CREDITED TO TRUST
 FUND. (a) Before August 31 of the year that is 12 years before the
 year the games would be held in this state, or as soon as
 practicable after that date, the office shall provide an estimate
 of the total amount of municipal, county, and state tax revenue that
 would be transferred or deposited to the trust fund if the games
 were held in this state at a site selected in accordance with an
 application by a local organizing committee.
 (b)  The office shall provide the estimate on request to a
 local organizing committee.
 (c)  A local organizing committee may submit the office's
 estimate to a site selection organization.  (V.A.C.S. Art. 5190.14,
 Sec. 5(i).)
 SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND
 LIMITATION
 Sec. 477.0101.  OLYMPIC GAMES TRUST FUND. The Olympic Games
 trust fund is established outside the treasury. The trust fund is
 held in trust by the comptroller for the administration of this
 subtitle.  (V.A.C.S. Art. 5190.14, Sec. 5(f) (part).)
 Sec. 477.0102.  DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE.
 (a) Subject to Section 477.0104, each endorsing municipality or
 endorsing county shall remit to the comptroller and the
 comptroller, at the direction of the office, quarterly shall
 deposit to the trust fund the amount of the municipality's or
 county's hotel occupancy tax revenue determined under Section
 477.0051(a)(4) or (5), as applicable.
 (b)  To guarantee the joint obligations of this state and an
 endorsing municipality or endorsing county under a games support
 contract and this subtitle, subject to Section 477.0203, the
 comptroller, at the direction of the office, shall retain the
 amount of sales and use tax revenue and mixed beverage tax revenue
 determined under Section 477.0051(a)(2) or (3) from the amounts
 otherwise required to be sent to the municipality under Section
 183.051(b) or 321.502, Tax Code, or to the county under Section
 183.051(b) or 323.502, Tax Code. Subject to Sections 477.0104 and
 477.0203, the comptroller, at the direction of the office, shall
 deposit the retained tax revenue to the trust fund for the same
 calendar quarter as under Subsection (a).
 (c)  The comptroller shall begin retaining municipal and
 county sales and use tax revenue and mixed beverage tax revenue with
 the first distribution of that tax revenue that occurs after the
 date the office makes the determination under Section
 477.0051(a)(2) or (3).
 (d)  The comptroller shall discontinue retaining municipal
 and county sales and use tax revenue and mixed beverage tax revenue
 on the earlier of:
 (1)  the end of the third calendar month following the
 month in which the closing event of the games occurs; or
 (2)  the date the amount of municipal and county sales
 and use tax revenue and mixed beverage tax revenue in the trust fund
 equals 14 percent of the maximum amount of municipal, county, and
 state tax revenue that may be transferred or deposited to the trust
 fund under Section 477.0104. (V.A.C.S. Art. 5190.14, Secs. 5(d),
 (f) (part).)
 Sec. 477.0103.  STATE TAX REVENUE. (a) At the time the
 comptroller deposits to the trust fund the municipal and county tax
 revenue under Section 477.0102(b), the comptroller shall transfer
 to the trust fund the state tax revenue determined under Section
 477.0051(a)(1) for the quarter.
 (b)  The comptroller shall discontinue transferring the
 amount of state tax revenue determined under Section 477.0051(a)(1)
 on the earlier of:
 (1)  the end of the third calendar month following the
 month in which the closing event of the games occurs; or
 (2)  the date the amount of state revenue in the trust
 fund equals 86 percent of the maximum amount of municipal, county,
 and state tax revenue that may be transferred or deposited to the
 trust fund under Section 477.0104. (V.A.C.S. Art. 5190.14, Sec.
 5(f) (part).)
 Sec. 477.0104.  LIMITATION ON TRANSFERS AND DEPOSITS TO
 TRUST FUND. The total amount of municipal, county, and state tax
 revenue transferred or deposited to the trust fund may not exceed
 $100 million. (V.A.C.S. Art. 5190.14, Sec. 5(m) (part).)
 SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND
 Sec. 477.0151.  DISBURSEMENT WITHOUT APPROPRIATION. Money
 in the trust fund may be spent by the office without appropriation
 only as provided by this subtitle. (V.A.C.S. Art. 5190.14, Sec.
 5(f) (part).)
 Sec. 477.0152.  DISBURSEMENT FROM TRUST FUND. (a) The
 office may make a disbursement from the trust fund only if the
 office certifies that the disbursement is for a purpose for which
 this state and each endorsing municipality and endorsing county are
 jointly obligated under a games support contract or another
 agreement providing assurances from the office or an endorsing
 municipality or endorsing county to a site selection organization.
 (b)  On a certification described by Subsection (a), the
 office shall satisfy the obligation proportionately from the state
 and municipal or county revenue in the trust fund. (V.A.C.S. Art.
 5190.14, Secs. 5(j) (part), (k).)
 Sec. 477.0153.  ALLOWABLE EXPENSES. The office may use
 money in the trust fund only to fulfill joint obligations of this
 state and each endorsing municipality and endorsing county to a
 site selection organization under a games support contract or
 another agreement providing assurances from the office or the
 municipality or county to a site selection organization. (V.A.C.S.
 Art. 5190.14, Sec. 5(g).)
 Sec. 477.0154.  PROHIBITED DISBURSEMENT. The office may not
 make a disbursement from the trust fund that the office determines
 would be used to solicit the relocation of a professional sports
 franchise located in this state. (V.A.C.S. Art. 5190.14, Sec. 5(j)
 (part).)
 Sec. 477.0155.  TRANSFER AND REMITTANCE OF REMAINING TRUST
 FUND MONEY. (a) Two years after the closing event of the games, the
 office shall transfer to the general revenue fund the amount of
 state revenue remaining in the trust fund plus any interest earned
 on that state revenue.
 (b)  The office shall remit to each endorsing entity in
 proportion to the amount contributed by the entity any money
 remaining in the trust fund after the required amount is
 transferred under Subsection (a). (V.A.C.S. Art. 5190.14, Sec.
 5(l).)
 SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES
 Sec. 477.0201.  REQUIRED INFORMATION. (a) A local
 organizing committee shall provide information required by the
 office to fulfill the office's duties under this subtitle,
 including:
 (1)  annual audited statements of any committee
 financial records required by a site selection organization; and
 (2)  data obtained by the committee relating to:
 (A)  attendance at the games; and
 (B)  the economic impact of the games.
 (b)  A local organizing committee must provide any annual
 audited financial statement required by the office not later than
 the end of the fourth month after the last day of the period covered
 by the financial statement. (V.A.C.S. Art. 5190.14, Sec. 5(h).)
 Sec. 477.0202.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS.  An endorsing municipality or endorsing county may
 guarantee its obligations under a games support contract and this
 subtitle by pledging, in addition to sales and use tax revenue,
 mixed beverage tax revenue, and hotel occupancy tax revenue
 retained under Section 477.0102, surcharges from user fees charged
 in connection with the presentation of the games, including parking
 or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 5(e).)
 Sec. 477.0203.  MUNICIPAL OR COUNTY ELECTION. (a) An
 endorsing municipality or endorsing county must hold an election in
 the municipality or county to determine whether the municipality or
 county may contribute a portion of its sales and use taxes to the
 trust fund under this chapter. The election must be held on a
 uniform election date before the date a site selection organization
 requires the endorsing municipality or endorsing county and the
 state to enter into a joinder undertaking relating to the
 applicable games.
 (b)  If an endorsing municipality or endorsing county is
 required to hold an election under this section and the
 contribution of a portion of the municipality's or county's sales
 and use taxes to the trust fund under this chapter is not approved
 by a majority of the voters voting in the election:
 (1)  the comptroller may not establish the trust fund
 under this chapter, may not retain the municipality's or county's
 tax revenue under Section 477.0102 from amounts otherwise required
 to be sent to that municipality or county, and may not transfer any
 state tax revenue into the trust fund;
 (2)  the office is not required to determine the
 incremental increase in municipal, county, or state tax revenue
 under Section 477.0051; and
 (3)  the office may not enter into a games support
 contract relating to the games for which the municipality or county
 has authorized a bid on its behalf.
 (c)  Notwithstanding any other provisions of this subtitle,
 an endorsing municipality or endorsing county is not required to
 hold an election to contribute its mixed beverage tax revenue or its
 hotel occupancy tax revenue to the trust fund under this chapter.
 (V.A.C.S. Art. 5190.14, Sec. 6.)
 SUBCHAPTER F. LIMITATIONS ON JOINT LIABILITY
 Sec. 477.0251.  LIMITATION AMOUNTS. The joint liability of
 this state and an endorsing municipality or endorsing county under
 a joinder agreement and any other games support contracts entered
 into under this subtitle may not exceed the lesser of:
 (1)  $100 million; or
 (2)  the total amount of revenue transferred or
 deposited to the trust fund and interest earned on the trust fund. (V.A.C.S. Art. 5190.14, Sec. 5(m) (part).)
 CHAPTER 478. MAJOR EVENTS REIMBURSEMENT PROGRAM
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 478.0001.  DEFINITIONS
 Sec. 478.0002.  RULES
 Sec. 478.0003.  CONSTRUCTION OF CHAPTER
 SUBCHAPTER B. ELIGIBILITY
 Sec. 478.0051.  EVENTS ELIGIBLE FOR FUNDING
 Sec. 478.0052.  SINGLE EVENT CLASSIFICATION FOR
 ELIGIBILITY PURPOSES
 Sec. 478.0053.  EXEMPTION FROM CERTAIN ELIGIBILITY
 REQUIREMENT FOR CERTAIN LARGE VENUES
 SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS
 Sec. 478.0101.  PREREQUISITES FOR OFFICE ACTION
 Sec. 478.0102.  DETERMINATION OF INCREMENTAL INCREASE
 IN CERTAIN TAX RECEIPTS
 Sec. 478.0103.  TIME FOR DETERMINATION REQUEST
 Sec. 478.0104.  TIME FOR DETERMINATION
 Sec. 478.0105.  DESIGNATION OF MARKET AREA
 Sec. 478.0106.  ESTIMATE OF TAX REVENUE CREDITED TO
 FUND
 Sec. 478.0107.  ECONOMIC IMPACT STUDY
 Sec. 478.0108.  DISTRIBUTION AND PUBLICATION OF PLAN TO
 PREVENT TRAFFICKING OF PERSONS IN
 CONNECTION WITH EVENT
 SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS
 Sec. 478.0151.  MAJOR EVENTS REIMBURSEMENT PROGRAM FUND
 Sec. 478.0152.  DEPOSIT OF MUNICIPAL AND COUNTY TAX
 REVENUE
 Sec. 478.0153.  OTHER LOCAL MONEY
 Sec. 478.0154.  SURCHARGES AND USER FEES
 Sec. 478.0155.  STATE TAX REVENUE
 SUBCHAPTER E. DISBURSEMENTS FROM FUND
 Sec. 478.0201.  DISBURSEMENT WITHOUT APPROPRIATION
 Sec. 478.0202.  DISBURSEMENT FROM FUND
 Sec. 478.0203.  REDUCTION OF DISBURSEMENT AMOUNT
 Sec. 478.0204.  ALLOWABLE EXPENSES
 Sec. 478.0205.  LIMITATION ON CERTAIN DISBURSEMENTS
 Sec. 478.0206.  PROHIBITED DISBURSEMENT
 Sec. 478.0207.  REMITTANCE OF REMAINING FUND MONEY
 SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS
 Sec. 478.0251.  REQUIRED INFORMATION
 Sec. 478.0252.  ISSUANCE OF NOTES
 Sec. 478.0253.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS
 CHAPTER 478. MAJOR EVENTS REIMBURSEMENT PROGRAM
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 478.0001.  DEFINITIONS. In this chapter:
 (1)  "Endorsing county" means:
 (A)  a county that contains a site selected by a
 site selection organization for an event; or
 (B)  a county that:
 (i)  does not contain a site selected by a
 site selection organization for an event;
 (ii)  is included in the market area for the
 event as designated by the office; and
 (iii)  is a party to an event support
 contract.
 (2)  "Endorsing municipality" means:
 (A)  a municipality that contains a site selected
 by a site selection organization for an event; or
 (B)  a municipality that:
 (i)  does not contain a site selected by a
 site selection organization for an event;
 (ii)  is included in the market area for the
 event as designated by the office; and
 (iii)  is a party to an event support
 contract.
 (3)  "Event" means any of the following and includes
 any activity related to or associated with the following:
 (A)  the Academy of Country Music Awards;
 (B)  the Amateur Athletic Union Junior Olympic
 Games;
 (C)  the Breeders' Cup World Championships;
 (D)  a game of the College Football Playoff or its
 successor;
 (E)  an Elite Rodeo Association World
 Championship;
 (F)  a Formula One automobile race;
 (G)  the largest event held each year at a sports
 entertainment venue in this state with a permanent seating
 capacity, including grandstand and premium seating, of at least
 125,000;
 (H)  the Major League Baseball All-Star Game;
 (I)  the Major League Soccer All-Star Game or the
 Major League Soccer Cup;
 (J)  a mixed martial arts championship;
 (K)  the Moto Grand Prix of the United States;
 (L)  the National Association for Stock Car Auto
 Racing (NASCAR):
 (i)  All-Star Race; or
 (ii)  season-ending Championship Race;
 (M)  the National Basketball Association All-Star
 Game;
 (N)  a National Collegiate Athletic Association
 Final Four tournament game;
 (O)  the National Collegiate Athletic Association
 men's or women's lacrosse championships;
 (P)  a national collegiate championship of an
 amateur sport sanctioned by the national governing body of the
 sport that is recognized by the United States Olympic Committee;
 (Q)  the National Cutting Horse Association
 Triple Crown;
 (R)  the National Hockey League All-Star Game;
 (S)  a national political convention of the
 Republican National Committee or the Democratic National
 Committee;
 (T)  an Olympic activity, including a Junior or
 Senior activity, training program, or feeder program sanctioned by
 the United States Olympic Committee's Community Olympic
 Development Program;
 (U)  a presidential general election debate;
 (V)  the Professional Rodeo Cowboys Association
 National Finals Rodeo;
 (W)  a Super Bowl;
 (X)  the United States Open Championship;
 (Y)  a World Cup soccer game or the World Cup
 soccer tournament;
 (Z)  the World Games; or
 (AA)  the X Games.
 (4)  "Event support contract" means a joinder
 undertaking, joinder agreement, or similar contract executed by a
 site selection organization and a local organizing committee, an
 endorsing municipality, or an endorsing county.
 (5)  "Fund" means the major events reimbursement
 program fund.
 (6)  "Program" means the major events reimbursement
 program.
 (7)  "Site selection organization" means:
 (A)  the Academy of Country Music;
 (B)  the Amateur Athletic Union;
 (C)  the College Football Playoff Administration,
 LLC, or its successor;
 (D)  the Commission on Presidential Debates;
 (E)  the Democratic National Committee;
 (F)  Dorna Sports;
 (G)  the Elite Rodeo Association;
 (H)  ESPN or an affiliate;
 (I)  the Federation Internationale de Football
 Association (FIFA);
 (J)  the International World Games Association;
 (K)  Major League Baseball;
 (L)  Major League Soccer;
 (M)  the National Association for Stock Car Auto
 Racing (NASCAR);
 (N)  the National Basketball Association;
 (O)  the National Collegiate Athletic
 Association;
 (P)  the National Cutting Horse Association;
 (Q)  the National Football League;
 (R)  the National Hockey League;
 (S)  the Professional Rodeo Cowboys Association;
 (T)  the Republican National Committee;
 (U)  the Ultimate Fighting Championship;
 (V)  the United States Golf Association;
 (W)  the United States Olympic Committee; or
 (X)  the national governing body of a sport that
 is recognized by:
 (i)  the Federation Internationale de
 l'Automobile;
 (ii)  Formula One Management Limited;
 (iii)  the National Thoroughbred Racing
 Association; or
 (iv)  the United States Olympic Committee.
 (V.A.C.S. Art. 5190.14, Sec. 5A(a); New.)
 Sec. 478.0002.  RULES. The office may adopt rules necessary
 to implement this chapter. (V.A.C.S. Art. 5190.14, Sec. 5A(v).)
 Sec. 478.0003.  CONSTRUCTION OF CHAPTER. This chapter may
 not be construed as creating or requiring a state guarantee of an
 obligation imposed on an endorsing municipality, an endorsing
 county, or this state under an event support contract or another
 agreement relating to hosting an event in this state. (V.A.C.S.
 Art. 5190.14, Sec. 5A(o).)
 SUBCHAPTER B. ELIGIBILITY
 Sec. 478.0051.  EVENTS ELIGIBLE FOR FUNDING. (a) Only an
 event listed in Section 478.0001(3) is eligible for funding under
 this chapter.
 (b)  A listed event may receive funding through the program
 only if:
 (1)  a site selection organization, after considering
 through a highly competitive selection process one or more sites
 not in this state, selects a site in this state for the event to be
 held:
 (A)  one time; or
 (B)  if the event is scheduled under an event
 contract or event support contract to be held each year for a period
 of years, one time in each year;
 (2)  a site selection organization selects a site in
 this state as:
 (A)  the sole site for the event; or
 (B)  the sole site for the event in a region
 composed of this state and one or more adjoining states;
 (3)  the event is held not more than one time in any
 year;
 (4)  the incremental increase in tax receipts
 determined under Section 478.0102 is at least $1 million; and
 (5)  not later than the 30th day before the first day of
 the event, a site selection organization submits a plan to prevent
 the trafficking of persons in connection with the event to:
 (A)  the office of the attorney general; and
 (B)  the chief of the Texas Division of Emergency
 Management. (V.A.C.S. Art. 5190.14, Sec. 5A(a-1) (part).)
 Sec. 478.0052.  SINGLE EVENT CLASSIFICATION FOR ELIGIBILITY
 PURPOSES. For purposes of Section 478.0051, each presidential
 general election debate in a series of presidential debates before
 a general election is considered a separate, single event.
 (V.A.C.S. Art. 5190.14, Sec. 5A(a-3).)
 Sec. 478.0053.  EXEMPTION FROM CERTAIN ELIGIBILITY
 REQUIREMENT FOR CERTAIN LARGE VENUES. Section 478.0051(b)(1) does
 not apply to an event described by Section 478.0001(3)(G). If an
 endorsing municipality or endorsing county requests the office to
 make a determination under Section 478.0102 for an event described
 by Section 478.0001(3)(G), the remaining provisions of this chapter
 apply to that event as if the event satisfied the eligibility
 requirements under Section 478.0051(b)(1). (V.A.C.S. Art.
 5190.14, Sec. 5A(a-2).)
 SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS
 Sec. 478.0101.  PREREQUISITES FOR OFFICE ACTION. The office
 may not undertake any duty imposed by this chapter unless:
 (1)  the municipality or county in which an event will
 be located submits a request;
 (2)  the event meets the requirements for funding under
 Section 478.0051 and all other funding requirements under this
 chapter; and
 (3)  the request is accompanied by documentation from a
 site selection organization selecting the site for the event.
 (V.A.C.S. Art. 5190.14, Sec. 5A(p).)
 Sec. 478.0102.  DETERMINATION OF INCREMENTAL INCREASE IN
 CERTAIN TAX RECEIPTS. (a) After a site selection organization
 selects a site for an event in this state in accordance with an
 application by a local organizing committee, endorsing
 municipality, or endorsing county and on request of a local
 organizing committee, endorsing municipality, or endorsing county,
 the office shall determine the incremental increases in the
 following tax receipts that the office determines are directly
 attributable to the preparation for and presentation of the event
 for a one-year period that begins two months before the date on
 which the event will begin:
 (1)  the receipts to this state from taxes imposed
 under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5,
 Alcoholic Beverage Code, in the market areas designated under
 Section 478.0105;
 (2)  the receipts collected by this state for each
 endorsing municipality in the market area from the sales and use tax
 imposed by each endorsing municipality under Section 321.101(a),
 Tax Code, and the mixed beverage tax revenue to be received by each
 endorsing municipality under Section 183.051(b), Tax Code;
 (3)  the receipts collected by this state for each
 endorsing county in the market area from the sales and use tax
 imposed by each endorsing county under Section 323.101(a), Tax
 Code, and the mixed beverage tax revenue to be received by each
 endorsing county under Section 183.051(b), Tax Code;
 (4)  the receipts collected by each endorsing
 municipality in the market area from the hotel occupancy tax
 imposed under Chapter 351, Tax Code; and
 (5)  the receipts collected by each endorsing county in
 the market area from the hotel occupancy tax imposed under Chapter
 352, Tax Code.
 (b)  The office shall make the determination required by
 Subsection (a) in accordance with procedures the office develops
 and shall base that determination on information submitted by a
 local organizing committee, endorsing municipality, or endorsing
 county.
 (c)  For an event scheduled to be held each year for a period
 of years under an event contract or event support contract, the
 office shall calculate the incremental increase in the tax receipts
 specified by Subsection (a) as if the event did not occur in the
 prior year for purposes of Section 478.0051(b)(4).  (V.A.C.S. Art.
 5190.14, Secs. 5A(a-1) (part), (b), (b-1) (part).)
 Sec. 478.0103.  TIME FOR DETERMINATION REQUEST. A request
 for a determination of the incremental increase in tax receipts
 under Section 478.0102 must be submitted to the office not earlier
 than one year and not later than the 45th day before the beginning
 date of the event.  (V.A.C.S. Art. 5190.14, Sec. 5A(b-1) (part).)
 Sec. 478.0104.  TIME FOR DETERMINATION. The office shall
 determine the incremental increase in tax receipts under Section
 478.0102 not later than the 30th day after the date the office
 receives the request for that determination and related
 information. (V.A.C.S. Art. 5190.14, Sec. 5A(b-1) (part).)
 Sec. 478.0105.  DESIGNATION OF MARKET AREA. (a) For
 purposes of Section 478.0102(a)(1), the office shall designate as a
 market area for an event each area in which the office determines
 there is a reasonable likelihood of measurable economic impact
 directly attributable to the preparation for and presentation of
 the event.  The office shall include areas likely to provide venues,
 accommodations, and services in connection with the event based on
 the proposal the local organizing committee provides to the office.
 (b)  The office shall determine the geographic boundaries of
 each market area.
 (c)  An endorsing municipality or endorsing county selected
 as the site for an event must be included in a market area for the
 event. (V.A.C.S. Art. 5190.14, Sec. 5A(c).)
 Sec. 478.0106.  ESTIMATE OF TAX REVENUE CREDITED TO FUND.
 (a)  Not later than the 30th day after the date a local organizing
 committee, endorsing municipality, or endorsing county submits a
 request for a determination of the incremental increase in tax
 receipts under Section 478.0102, the office shall provide an
 estimate of the total amount of tax revenue that would be deposited
 to the fund under this chapter in connection with that event if the
 event were held in this state at a site selected in accordance with
 an application by a local organizing committee, endorsing
 municipality, or endorsing county.
 (b)  A local organizing committee, endorsing municipality,
 or endorsing county may submit the office's estimate to a site
 selection organization. (V.A.C.S. Art. 5190.14, Sec. 5A(j).)
 Sec. 478.0107.  ECONOMIC IMPACT STUDY. (a)  Not later than
 the 10th month after the last day of an event eligible for
 disbursements from the fund, using existing resources, the office
 shall complete a study in the market area of the event on the
 measurable economic impact directly attributable to the
 preparation for and presentation of the event.
 (b)  The office shall post on the office's Internet website:
 (1)  the results of the study conducted under
 Subsection (a), including any source documentation or other
 information on which the office relied for the study;
 (2)  the incremental increase in tax receipts for the
 event determined under Section 478.0102 and any source
 documentation or information described by Section 478.0251 on which
 the office relied to determine that increase;
 (3)  the documentation described by Section
 478.0101(3); and
 (4)  documentation verifying that:
 (A)  a request submitted under Section 478.0101 is
 complete and certified as complete by the office;
 (B)  the office considered the information
 submitted by a local organizing committee, endorsing municipality,
 or endorsing county to determine the incremental increase in tax
 receipts under Section 478.0102 as required by Section 478.0102(b);
 and
 (C)  each deadline established under this chapter
 was met. (V.A.C.S. Art. 5190.14, Sec. 5A(w).)
 Sec. 478.0108.  DISTRIBUTION AND PUBLICATION OF PLAN TO
 PREVENT TRAFFICKING OF PERSONS IN CONNECTION WITH EVENT. The
 office of the attorney general may:
 (1)  distribute the plan required by Section
 478.0051(b)(5) to appropriate law enforcement agencies and the
 office of the governor; and
 (2)  publish the plan on the Internet website of the
 office of the attorney general. (V.A.C.S. Art. 5190.14, Sec.
 5A(a-4).)
 SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS
 Sec. 478.0151.  MAJOR EVENTS REIMBURSEMENT PROGRAM FUND.
 The major events reimbursement program fund is established outside
 the state treasury and is held in trust by the comptroller for
 administration of this subtitle. (V.A.C.S. Art. 5190.14, Sec. 5A(d)
 (part).)
 Sec. 478.0152.  DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE.
 (a) Each endorsing municipality or endorsing county participating
 in the program shall remit to the comptroller and the comptroller
 shall deposit into a trust fund created by the comptroller, at the
 direction of the office, and designated as the major events
 reimbursement program fund the amount of the municipality's or
 county's hotel occupancy tax revenue determined under Section
 478.0102(a)(4) or (5), less any amount of the revenue that the
 municipality or county determines is necessary to meet the
 obligations of the municipality or county.
 (b)  The comptroller, at the direction of the office, shall
 retain the amount of sales and use tax revenue and mixed beverage
 tax revenue determined under Section 478.0102(a)(2) or (3) from the
 amounts otherwise required to be sent to the municipality under
 Sections 321.502 and 183.051(b), Tax Code, or to the county under
 Sections 323.502 and 183.051(b), Tax Code, less any amount of the
 revenue that the municipality or county determines is necessary to
 meet the obligations of the municipality or county, and shall
 deposit the retained tax revenue to the fund.
 (c)  The comptroller shall begin retaining and depositing
 the municipal and county tax revenue:
 (1)  with the first distribution of that tax revenue
 that occurs after the first day of the one-year period described by
 Section 478.0102(a); or
 (2)  at a time the office otherwise determines to be
 practicable.
 (d)  The comptroller shall discontinue retaining the
 municipal and county tax revenue when the amount of the applicable
 tax revenue determined under Section 478.0102(a)(2) or (3) has been
 retained. (V.A.C.S. Art. 5190.14, Sec. 5A(d) (part).)
 Sec. 478.0153.  OTHER LOCAL MONEY. (a) In lieu of the
 municipal and county tax revenues remitted or retained under
 Section 478.0152, an endorsing municipality or endorsing county may
 remit to the office for deposit to the fund other local money in an
 amount equal to the total amount of municipal and county tax revenue
 determined under Sections 478.0102(a)(2)-(5).
 (b)  An endorsing municipality or endorsing county must
 remit the other local money not later than the 90th day after the
 last day of an event eligible for funding under the program.
 (c)  For purposes of Section 478.0155, the amount deposited
 under this section is considered remitted local revenue. (V.A.C.S.
 Art. 5190.14, Sec. 5A(d-1).)
 Sec. 478.0154.  SURCHARGES AND USER FEES. An endorsing
 municipality or endorsing county may collect and remit to the
 office surcharges and user fees attributable to an event for
 deposit to the fund.  (V.A.C.S. Art. 5190.14, Sec. 5A(e) (part).)
 Sec. 478.0155.  STATE TAX REVENUE. (a) The comptroller, at
 the direction of the office, shall transfer to the fund a portion of
 the state tax revenue in an amount equal to the prevailing state
 sales tax rate multiplied by the amount of the local revenue
 retained or remitted under this chapter, including:
 (1)  local sales and use tax revenue;
 (2)  mixed beverage tax revenue;
 (3)  hotel occupancy tax revenue; and
 (4)  surcharge and user fee revenue.
 (b)  The amount transferred under Subsection (a) may not
 exceed the incremental increase in tax receipts determined under
 Section 478.0102(a)(1). (V.A.C.S. Art. 5190.14, Sec. 5A(f).)
 SUBCHAPTER E. DISBURSEMENTS FROM FUND
 Sec. 478.0201.  DISBURSEMENT WITHOUT APPROPRIATION. Money
 in the fund may be disbursed by the office without appropriation
 only as provided by this chapter.  (V.A.C.S. Art. 5190.14, Sec.
 5A(d) (part).)
 Sec. 478.0202.  DISBURSEMENT FROM FUND. (a)  After approval
 of each contributing endorsing municipality and endorsing county,
 the office may make a disbursement from the fund for a purpose for
 which a local organizing committee, an endorsing municipality, an
 endorsing county, or this state is obligated under a games support
 contract or event support contract.
 (b)  In considering whether to make a disbursement from the
 fund, the office may not consider a contingency clause in an event
 support contract as relieving a local organizing committee's,
 endorsing municipality's, or endorsing county's obligation to pay a
 cost under the contract.
 (c)  If the office makes a disbursement from the fund, the
 office shall satisfy the obligation proportionately from the local
 and state revenue in the fund. (V.A.C.S. Art. 5190.14, Secs. 5A(k)
 (part), (l).)
 Sec. 478.0203.  REDUCTION OF DISBURSEMENT AMOUNT. (a)
 After the conclusion of an event, the office shall compare
 information on the actual attendance figures provided under Section
 478.0251 with the estimated attendance numbers used to determine
 the incremental increase in tax receipts under Section 478.0102.
 If the actual attendance figures are significantly lower than the
 estimated attendance numbers, the office may reduce the amount of a
 disbursement from the fund for an endorsing entity:
 (1)  in proportion to the discrepancy between the
 actual and estimated attendance; and
 (2)  in proportion to the amount the entity contributed
 to the fund.
 (b)  The office by rule shall:
 (1)  define "significantly lower" for purposes of this
 section; and
 (2)  provide the manner in which the office may
 proportionately reduce a disbursement.
 (c)  This section does not affect the remittance under
 Section 478.0207 of any money remaining in the fund. (V.A.C.S. Art.
 5190.14, Sec. 5A(y).)
 Sec. 478.0204.  ALLOWABLE EXPENSES. (a) Money in the fund
 may be used to:
 (1)  pay the principal of and interest on notes issued
 under Section 478.0252; and
 (2)  fulfill obligations of an endorsing municipality,
 an endorsing county, or this state to a site selection organization
 under a games support contract or event support contract.
 (b)  Subject to Sections 478.0202 and 478.0205, the
 obligations described by Subsection (a)(2) may include the payment
 of:
 (1)  the costs relating to the preparations necessary
 or desirable for conducting the event; and
 (2)  the costs of conducting the event, including the
 costs of an improvement or renovation to an existing facility and
 the costs of the acquisition or construction of a new facility or
 other facility. (V.A.C.S. Art. 5190.14, Sec. 5A(h).)
 Sec. 478.0205.  LIMITATION ON CERTAIN DISBURSEMENTS. (a) A
 disbursement from the fund is limited to five percent of the cost of
 a structural improvement or a fixture if:
 (1)  an obligation is incurred under a games support
 contract or event support contract to make the improvement or add
 the fixture to a site for an event; and
 (2)  the improvement or fixture is expected to derive
 most of its value in subsequent uses of the site for future events.
 (b)  The remainder of an obligation described by Subsection
 (a) is not eligible for a disbursement from the fund, unless the
 obligation is for an improvement or fixture for a publicly owned
 facility. (V.A.C.S. Art. 5190.14, Sec. 5A(k) (part).)
 Sec. 478.0206.  PROHIBITED DISBURSEMENT. The office may not
 make a disbursement from the fund that the office determines would
 be used to solicit the relocation of a professional sports
 franchise located in this state. (V.A.C.S. Art. 5190.14, Sec.
 5A(k) (part).)
 Sec. 478.0207.  REMITTANCE OF REMAINING FUND MONEY. On
 payment of all municipal, county, or state obligations under a
 games support contract or event support contract related to the
 location of an event in this state, the office shall remit to each
 endorsing entity, in proportion to the amount contributed by the
 entity, any money remaining in the fund. (V.A.C.S. Art. 5190.14,
 Sec. 5A(m).)
 SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS
 Sec. 478.0251.  REQUIRED INFORMATION. (a) A local
 organizing committee, endorsing municipality, or endorsing county
 shall provide information required by the office to fulfill the
 office's duties under this chapter, including:
 (1)  annual audited statements of any financial records
 required by a site selection organization; and
 (2)  data obtained by the local organizing committee,
 an endorsing municipality, or an endorsing county relating to:
 (A)  attendance at the event, including an
 estimate of the number of people expected to attend the event who
 are not residents of this state; and
 (B)  the economic impact of the event.
 (b)  A local organizing committee, endorsing municipality,
 or endorsing county must provide an annual audited financial
 statement required by the office not later than the end of the
 fourth month after the last day of the period covered by the
 financial statement.
 (c)  After the conclusion of an event and on the office's
 request, a local organizing committee, endorsing municipality, or
 endorsing county must provide information about the event, such as
 attendance figures, including an estimate of the number of people
 who attended the event who are not residents of this state,
 financial information, or other public information held by the
 committee, municipality, or county that the office considers
 necessary. (V.A.C.S. Art. 5190.14, Sec. 5A(i).)
 Sec. 478.0252.  ISSUANCE OF NOTES. (a) To meet its
 obligations under a games support contract or event support
 contract to improve, construct, renovate, or acquire facilities or
 to acquire equipment, an endorsing municipality by ordinance or an
 endorsing county by order may authorize the issuance of notes.
 (b)  An endorsing municipality or endorsing county may
 provide that the notes be paid from and secured by:
 (1)  amounts on deposit or amounts to be deposited to
 the fund; or
 (2)  surcharges from user fees charged in connection
 with the event, including parking or ticket fees.
 (c)  A note issued must mature not later than the seventh
 anniversary of the date of issuance. (V.A.C.S. Art. 5190.14, Sec.
 5A(g).)
 Sec. 478.0253.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS. An endorsing municipality or endorsing county may
 guarantee its obligations under an event support contract and this
 chapter by pledging, in addition to the tax revenue deposited under
 Section 478.0152, surcharges from user fees charged in connection
 with the event, including parking or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 5A(e) (part).)
 CHAPTER 479. MOTOR SPORTS RACING TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 479.0001.  DEFINITIONS
 Sec. 479.0002.  CONSTRUCTION OF CHAPTER
 Sec. 479.0003.  APPLICABILITY OF PROVISIONS RELATING TO
 GAMES
 SUBCHAPTER B. STATE ACTIONS RELATING TO MOTOR SPORTS RACING EVENTS
 Sec. 479.0051.  PREREQUISITES FOR OFFICE ACTION
 Sec. 479.0052.  DETERMINATION OF INCREMENTAL INCREASE
 IN CERTAIN TAX RECEIPTS
 Sec. 479.0053.  TIME FOR DETERMINATION
 Sec. 479.0054.  DESIGNATION OF MARKET AREA
 Sec. 479.0055.  ESTIMATE OF TAX REVENUE CREDITED TO
 TRUST FUND
 SUBCHAPTER C. TRUST FUND ESTABLISHMENT AND CONTRIBUTIONS
 Sec. 479.0101.  MOTOR SPORTS RACING TRUST FUND
 Sec. 479.0102.  DEPOSIT OF MUNICIPAL AND COUNTY TAX
 REVENUE
 Sec. 479.0103.  STATE TAX REVENUE
 SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND
 Sec. 479.0151.  DISBURSEMENT WITHOUT APPROPRIATION
 Sec. 479.0152.  DISBURSEMENT FROM TRUST FUND
 Sec. 479.0153.  ALLOWABLE EXPENSES
 Sec. 479.0154.  PROHIBITED DISBURSEMENT
 Sec. 479.0155.  REMITTANCE OF REMAINING TRUST FUND
 MONEY
 SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO MOTOR SPORTS
 RACING EVENTS
 Sec. 479.0201.  REQUIRED INFORMATION
 Sec. 479.0202.  ISSUANCE OF NOTES
 Sec. 479.0203.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS
 CHAPTER 479. MOTOR SPORTS RACING TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 479.0001.  DEFINITIONS.  In this chapter:
 (1)  "Endorsing county" means a county that contains a
 site selected by a site selection organization for a motor sports
 racing event.
 (2)  "Endorsing municipality" means a municipality
 that contains a site selected by a site selection organization for a
 motor sports racing event.
 (3)  "Event support contract" means a joinder
 undertaking, joinder agreement, or similar contract executed by a
 site selection organization and an endorsing municipality or
 endorsing county.
 (4)  "Motor sports racing event" means a specific
 automobile racing event sanctioned by the Automobile Competition
 Committee for the United States (ACCUS) and held at a temporary
 event venue.  The term includes an event or activity held,
 sponsored, or endorsed by the site selection organization in
 conjunction with the racing event.
 (5)  "Trust fund" means the motor sports racing trust
 fund established by this chapter. (V.A.C.S. Art. 5190.14, Sec.
 5B(a); New.)
 Sec. 479.0002.  CONSTRUCTION OF CHAPTER. This chapter may
 not be construed as creating or requiring a state guarantee of an
 obligation imposed on an endorsing municipality, an endorsing
 county, or this state under a motor sports racing event support
 contract or another agreement relating to hosting a motor sports
 racing event in this state. (V.A.C.S. Art. 5190.14, Sec. 5B(n).)
 Sec. 479.0003.  APPLICABILITY OF PROVISIONS RELATING TO
 GAMES. Any provision of this subtitle applicable to games as
 defined by Section 475.0001 also applies to a motor sports racing
 event. (V.A.C.S. Art. 5190.14, Sec. 5B(p).)
 SUBCHAPTER B. STATE ACTIONS RELATING TO MOTOR SPORTS RACING EVENTS
 Sec. 479.0051.  PREREQUISITES FOR OFFICE ACTION. The office
 may not undertake any duty imposed by this chapter unless:
 (1)  the municipality and county in which a motor
 sports racing event will be held submit a request; and
 (2)  the request is accompanied by documentation from a
 site selection organization selecting the site for the racing
 event.  (V.A.C.S. Art. 5190.14, Sec. 5B(o).)
 Sec. 479.0052.  DETERMINATION OF INCREMENTAL INCREASE IN
 CERTAIN TAX RECEIPTS. (a)  After a site selection organization
 selects a site for a motor sports racing event in this state in
 accordance with an application by a local organizing committee,
 endorsing municipality, or endorsing county, the office shall
 determine the incremental increases in the following tax receipts
 that the office determines are directly attributable to the
 preparation for and presentation of the racing event for the 30-day
 period that ends at the end of the day after the date on which the
 racing event will be held:
 (1)  the receipts to this state from taxes imposed
 under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5,
 Alcoholic Beverage Code, in the market areas designated under
 Section 479.0054;
 (2)  the receipts collected by this state for each
 endorsing municipality in the market area from the sales and use tax
 imposed by each endorsing municipality under Section 321.101(a),
 Tax Code, and the mixed beverage tax revenue to be received by each
 endorsing municipality under Section 183.051(b), Tax Code;
 (3)  the receipts collected by this state for each
 endorsing county in the market area from the sales and use tax
 imposed by each endorsing county under Section 323.101(a), Tax
 Code, and the mixed beverage tax revenue to be received by each
 endorsing county under Section 183.051(b), Tax Code;
 (4)  the receipts collected by each endorsing
 municipality in the market area from the hotel occupancy tax
 imposed under Chapter 351, Tax Code; and
 (5)  the receipts collected by each endorsing county in
 the market area from the hotel occupancy tax imposed under Chapter
 352, Tax Code.
 (b)  The office shall make the determination required by
 Subsection (a) in accordance with procedures the office develops.
 (V.A.C.S. Art. 5190.14, Sec. 5B(b) (part).)
 Sec. 479.0053.  TIME FOR DETERMINATION.  The office shall
 determine the incremental increase in tax receipts under Section
 479.0052 not later than three months before the date of the motor
 sports racing event.  (V.A.C.S. Art. 5190.14, Sec. 5B(b) (part).)
 Sec. 479.0054.  DESIGNATION OF MARKET AREA. (a)  For
 purposes of Section 479.0052(a)(1), the office shall designate as a
 market area for a motor sports racing event each area in which the
 office determines there is a reasonable likelihood of measurable
 economic impact directly attributable to the preparation for and
 presentation of the racing event. The office shall include areas
 likely to provide venues, accommodations, and services in
 connection with the racing event based on a proposal or other
 information a local organizing committee, endorsing municipality,
 or endorsing county provides to the office.
 (b)  The office shall determine the geographic boundaries of
 each market area.
 (c)  An endorsing municipality or endorsing county selected
 as the site for the motor sports racing event must be included in a
 market area for the racing event. (V.A.C.S. Art. 5190.14, Sec.
 5B(c).)
 Sec. 479.0055.  ESTIMATE OF TAX REVENUE CREDITED TO TRUST
 FUND. (a) Not later than three months before the date of a motor
 sports racing event, the office shall provide an estimate of the
 total amount of tax revenue that would be transferred or deposited
 to the trust fund under this chapter in connection with that racing
 event if the racing event were held in this state at a site selected
 in accordance with an application by a local organizing committee,
 endorsing municipality, or endorsing county.
 (b)  The office shall provide the estimate on request to a
 local organizing committee, endorsing municipality, or endorsing
 county.
 (c)  A local organizing committee, endorsing municipality,
 or endorsing county may submit the office's estimate to a site
 selection organization. (V.A.C.S. Art. 5190.14, Sec. 5B(j).)
 SUBCHAPTER C. TRUST FUND ESTABLISHMENT AND CONTRIBUTIONS
 Sec. 479.0101.  MOTOR SPORTS RACING TRUST FUND. The motor
 sports racing trust fund is established outside the state treasury
 and is held in trust by the comptroller for administration of this
 chapter. (V.A.C.S. Art. 5190.14, Sec. 5B(d) (part).)
 Sec. 479.0102.  DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE.
 (a) Each endorsing municipality or endorsing county shall remit to
 the comptroller and the comptroller shall deposit into a trust fund
 created by the comptroller, at the direction of the office, and
 designated as the motor sports racing trust fund for the motor
 sports racing event the amount of the municipality's or county's
 hotel occupancy tax revenue determined under Section
 479.0052(a)(4) or (5), less any amount of the revenue that the
 municipality or county determines is necessary to meet the
 obligations of the municipality or county.
 (b)  The comptroller, at the direction of the office, shall
 retain the amount of sales and use tax revenue and mixed beverage
 tax revenue determined under Section 479.0052(a)(2) or (3) from the
 amounts otherwise required to be sent to the municipality under
 Sections 321.502 and 183.051(b), Tax Code, or to the county under
 Sections 323.502 and 183.051(b), Tax Code, less any amount of the
 revenue that the municipality or county determines is necessary to
 meet the obligations of the municipality or county, and shall
 deposit the retained tax revenue to the trust fund.
 (c)  The comptroller shall begin retaining and depositing
 the municipal and county tax revenue with the first distribution of
 that tax revenue that occurs after the first day of the period
 described by Section 479.0052(a).
 (d)  The comptroller shall discontinue retaining the
 municipal and county tax revenue when the amount of the applicable
 tax revenue determined under Section 479.0052(a)(2) or (3) has been
 retained. (V.A.C.S. Art. 5190.14, Sec. 5B(d) (part).)
 Sec. 479.0103.  STATE TAX REVENUE. The comptroller, at the
 direction of the office, shall transfer to the trust fund a portion
 of the state tax revenue determined under Section 479.0052(a)(1) in
 an amount equal to 6.25 multiplied by the amount of the municipal
 and county sales and use tax revenue and mixed beverage tax revenue
 retained and the hotel occupancy tax revenue remitted by an
 endorsing municipality or endorsing county under Section 479.0102.
 (V.A.C.S. Art. 5190.14, Sec. 5B(f).)
 SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND
 Sec. 479.0151.  DISBURSEMENT WITHOUT APPROPRIATION. Money
 in the trust fund may be disbursed by the office without
 appropriation only as provided by this chapter. (V.A.C.S. Art.
 5190.14, Sec. 5B(d) (part).)
 Sec. 479.0152.  DISBURSEMENT FROM TRUST FUND. (a) After
 approval of each contributing endorsing municipality and endorsing
 county, the office may make a disbursement from the trust fund for a
 purpose for which an endorsing municipality, an endorsing county,
 or this state is obligated under a motor sports racing event support
 contract or event support contract.
 (b)  If the office makes a disbursement from the trust fund,
 the office shall satisfy the obligation proportionately from the
 municipal, county, and state revenue in the trust fund. (V.A.C.S.
 Art. 5190.14, Secs. 5B(k) (part), (l).)
 Sec. 479.0153.  ALLOWABLE EXPENSES. (a) Money in the trust
 fund may be used to:
 (1)  pay the principal of and interest on notes issued
 under Section 479.0202; and
 (2)  fulfill obligations of an endorsing municipality,
 an endorsing county, or this state to a site selection organization
 under a motor sports racing event support contract or event support
 contract.
 (b)  The obligations described by Subsection (a)(2) may
 include the payment of:
 (1)  the costs relating to the preparations necessary
 or desirable for conducting the motor sports racing event; and
 (2)  the costs of conducting the racing event,
 including costs of a temporary improvement or temporary renovation
 to an existing facility specific to the racing event. (V.A.C.S.
 Art. 5190.14, Sec. 5B(h).)
 Sec. 479.0154.  PROHIBITED DISBURSEMENT. The office may not
 make a disbursement from the trust fund that the office determines
 would be used to solicit the relocation of a professional sports
 franchise located in this state. (V.A.C.S. Art. 5190.14, Sec.
 5B(k) (part).)
 Sec. 479.0155.  REMITTANCE OF REMAINING TRUST FUND MONEY.
 On payment of all municipal, county, or state obligations under a
 motor sports racing event support contract or event support
 contract related to the location of a motor sports racing event in
 this state, the office shall remit to each endorsing entity, in
 proportion to the amount contributed by the entity, any money
 remaining in the trust fund. (V.A.C.S. Art. 5190.14, Sec. 5B(m).)
 SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO MOTOR SPORTS
 RACING EVENTS
 Sec. 479.0201.  REQUIRED INFORMATION. (a) A local
 organizing committee, endorsing municipality, or endorsing county
 shall provide information required by the office to fulfill the
 office's duties under this chapter, including:
 (1)  annual audited statements of any financial records
 required by a site selection organization; and
 (2)  data obtained by the local organizing committee,
 an endorsing municipality, or an endorsing county relating to:
 (A)  attendance at the motor sports racing event;
 and
 (B)  the economic impact of the racing event.
 (b)  A local organizing committee, endorsing municipality,
 or endorsing county must provide any annual audited financial
 statement required by the office not later than the end of the
 fourth month after the last day of the period covered by the
 financial statement. (V.A.C.S. Art. 5190.14, Sec. 5B(i).)
 Sec. 479.0202.  ISSUANCE OF NOTES. (a) To meet its
 obligations under a motor sports racing event support contract or
 event support contract to improve, renovate, or acquire facilities
 or to acquire equipment, an endorsing municipality by ordinance or
 an endorsing county by order may authorize the issuance of notes.
 (b)  An endorsing municipality or endorsing county may
 provide that the notes be paid from and secured by:
 (1)  amounts on deposit or amounts to be transferred or
 deposited to the trust fund; or
 (2)  surcharges from user fees charged in connection
 with the motor sports racing event, including parking or ticket
 fees.
 (c)  A note issued must mature not later than the seventh
 anniversary of the date of issuance. (V.A.C.S. Art. 5190.14, Sec.
 5B(g).)
 Sec. 479.0203.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS. An endorsing municipality or endorsing county may
 guarantee its obligations under a motor sports racing event support
 contract and this chapter by pledging, in addition to the tax
 revenue deposited under Section 479.0102, surcharges from user fees
 charged in connection with the motor sports racing event, including parking or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 5B(e).)
 CHAPTER 480. EVENTS TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 480.0001.  DEFINITIONS
 Sec. 480.0002.  RULES
 Sec. 480.0003.  CONSTRUCTION OF CHAPTER
 SUBCHAPTER B. ELIGIBILITY
 Sec. 480.0051.  EVENTS ELIGIBLE FOR FUNDING
 Sec. 480.0052.  LIMITATIONS ON CERTAIN FUNDING REQUESTS
 SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS
 Sec. 480.0101.  PREREQUISITES FOR OFFICE ACTION
 Sec. 480.0102.  DETERMINATION OF INCREMENTAL INCREASE
 IN CERTAIN TAX RECEIPTS
 Sec. 480.0103.  TIME FOR DETERMINATION
 Sec. 480.0104.  DESIGNATION OF MARKET AREA
 Sec. 480.0105.  ESTIMATE OF TAX REVENUE CREDITED TO
 FUND
 Sec. 480.0106.  MODEL EVENT SUPPORT CONTRACT
 SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS
 Sec. 480.0151.  EVENTS TRUST FUND
 Sec. 480.0152.  DEPOSIT OF MUNICIPAL AND COUNTY TAX
 REVENUE
 Sec. 480.0153.  OTHER LOCAL MONEY
 Sec. 480.0154.  SURCHARGES AND USER FEES
 Sec. 480.0155.  STATE TAX REVENUE
 SUBCHAPTER E. DISBURSEMENTS FROM FUND
 Sec. 480.0201.  DISBURSEMENT WITHOUT APPROPRIATION
 Sec. 480.0202.  DISBURSEMENT FROM FUND
 Sec. 480.0203.  REDUCTION OF DISBURSEMENT AMOUNT
 Sec. 480.0204.  ALLOWABLE EXPENSES
 Sec. 480.0205.  LIMITATION ON CERTAIN DISBURSEMENTS
 Sec. 480.0206.  PROHIBITED DISBURSEMENTS
 Sec. 480.0207.  REMITTANCE OF REMAINING FUND MONEY
 SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS
 Sec. 480.0251.  REQUIRED INFORMATION
 Sec. 480.0252.  ISSUANCE OF NOTES
 Sec. 480.0253.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS
 CHAPTER 480. EVENTS TRUST FUND
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 480.0001.  DEFINITIONS. In this chapter:
 (1)  "Endorsing county" means a county that contains a
 site selected by a site selection organization for an event.
 (2)  "Endorsing municipality" means a municipality
 that contains a site selected by a site selection organization for
 an event.
 (3)  "Event" means an event or related series of events
 to be held in this state for which a local organizing committee,
 endorsing municipality, or endorsing county seeks approval from a
 site selection organization to hold the event at a site in this
 state.  The term includes any activity related to or associated with
 the event.
 (4)  "Event support contract" means a joinder
 undertaking, a joinder agreement, or a similar contract executed by
 a site selection organization and a local organizing committee, an
 endorsing municipality, or an endorsing county.
 (5)  "Site selection organization" means an entity that
 conducts or considers conducting in this state an event eligible
 under Section 480.0051. (V.A.C.S. Art. 5190.14, Sec. 5C(a).)
 Sec. 480.0002.  RULES. The office may adopt rules necessary
 to implement this chapter. (V.A.C.S. Art. 5190.14, Sec. 5C(p).)
 Sec. 480.0003.  CONSTRUCTION OF CHAPTER. This chapter may
 not be construed as creating or requiring a state guarantee of an
 obligation imposed on an endorsing municipality, an endorsing
 county, or this state under an event support contract or another
 agreement relating to hosting an event in this state. (V.A.C.S.
 Art. 5190.14, Sec. 5C(n).)
 SUBCHAPTER B. ELIGIBILITY
 Sec. 480.0051.  EVENTS ELIGIBLE FOR FUNDING. An event is
 eligible for funding under this chapter only if:
 (1)  a site selection organization, after considering
 through a highly competitive selection process one or more sites
 not in this state, selects a site in this state for the event to be
 held:
 (A)  one time; or
 (B)  if the event is scheduled under an event
 contract or event support contract to be held each year for a period
 of years, one time in each year;
 (2)  a site selection organization selects a site in
 this state as:
 (A)  the sole site for the event; or
 (B)  the sole site for the event in a region
 composed of this state and one or more adjoining states; and
 (3)  the event is held not more than one time in any
 year in this state or an adjoining state.  (V.A.C.S. Art. 5190.14,
 Sec. 5C(a-1).)
 Sec. 480.0052.  LIMITATIONS ON CERTAIN FUNDING REQUESTS.
 (a) This section applies only to an event for which the office
 determines under Section 480.0102 that the total incremental
 increase in tax receipts is less than $200,000.
 (b)  Subject to Subsection (c), an endorsing municipality or
 endorsing county may during any 12-month period submit requests for
 funding under this chapter for not more than 10 events to which this
 section applies.
 (c)  Not more than three of the events described by
 Subsection (b) may be nonsporting events.  (V.A.C.S. Art. 5190.14,
 Sec. 5C(b-1).)
 SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS
 Sec. 480.0101.  PREREQUISITES FOR OFFICE ACTION. The office
 may not undertake any duty imposed by this chapter unless:
 (1)  the municipality or county in which an event will
 be located submits a request; and
 (2)  the request is accompanied by documentation from a
 site selection organization selecting the site for the event.
 (V.A.C.S. Art. 5190.14, Sec. 5C(o).)
 Sec. 480.0102.  DETERMINATION OF INCREMENTAL INCREASE IN
 CERTAIN TAX RECEIPTS. (a) After a site selection organization
 selects a site for an event in this state in accordance with an
 application by a local organizing committee, endorsing
 municipality, or endorsing county, the office shall determine the
 incremental increases in the following tax receipts that the office
 determines are directly attributable to the preparation for and
 presentation of the event for the 30-day period that ends at the end
 of the day after the date on which the event will be held or, if the
 event will be held on more than one day, after the last date on which
 the event will be held:
 (1)  the receipts to this state from taxes imposed
 under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5,
 Alcoholic Beverage Code, in the market areas designated under
 Section 480.0104;
 (2)  the receipts collected by this state for each
 endorsing municipality in the market area from the sales and use tax
 imposed by each endorsing municipality under Section 321.101(a),
 Tax Code, and the mixed beverage tax revenue to be received by each
 endorsing municipality under Section 183.051(b), Tax Code;
 (3)  the receipts collected by this state for each
 endorsing county in the market area from the sales and use tax
 imposed by each endorsing county under Section 323.101(a), Tax
 Code, and the mixed beverage tax revenue to be received by each
 endorsing county under Section 183.051(b), Tax Code;
 (4)  the receipts collected by each endorsing
 municipality in the market area from the hotel occupancy tax
 imposed under Chapter 351, Tax Code; and
 (5)  the receipts collected by each endorsing county in
 the market area from the hotel occupancy tax imposed under Chapter
 352, Tax Code.
 (b)  The office shall make the determination required by
 Subsection (a) in accordance with procedures the office develops
 and shall base that determination on information submitted by a
 local organizing committee, endorsing municipality, or endorsing
 county.
 (c)  In determining the amount of state revenue available
 under Subsection (a)(1), the office may consider whether:
 (1)  the event has been previously held in this state;
 and
 (2)  changes to the character of the event could affect
 the incremental increase in tax receipts collected and remitted to
 this state by an endorsing municipality or endorsing county under
 Subsection (a)(1).  (V.A.C.S. Art. 5190.14, Secs. 5C(b) (part),
 (c-1) (part), (q).)
 Sec. 480.0103.  TIME FOR DETERMINATION. The office shall
 determine the incremental increase in tax receipts under Section
 480.0102 not later than the earlier of:
 (1)  the 30th day after the date the office receives the
 information for an event submitted by a local organizing committee,
 endorsing municipality, or endorsing county on which the office
 bases the determination as provided by Section 480.0102(b); and
 (2)  three months before the date of the event.
 (V.A.C.S. Art. 5190.14, Secs. 5C(b) (part), (c-1) (part).)
 Sec. 480.0104.  DESIGNATION OF MARKET AREA. (a) For
 purposes of Section 480.0102(a)(1), the office shall designate as a
 market area for an event each area in which the office determines
 there is a reasonable likelihood of measurable economic impact
 directly attributable to the preparation for and presentation of
 the event.  The office shall include areas likely to provide venues,
 accommodations, and services in connection with the event based on
 the proposal the local organizing committee provides to the office.
 (b)  The office shall determine the geographic boundaries of
 each market area.
 (c)  An endorsing municipality or endorsing county selected
 as the site for the event must be included in a market area for the
 event. (V.A.C.S. Art. 5190.14, Sec. 5C(c).)
 Sec. 480.0105.  ESTIMATE OF TAX REVENUE CREDITED TO FUND.
 (a) Not later than three months before the date of an event, the
 office shall provide an estimate of the total amount of tax revenue
 that would be transferred or deposited to the events trust fund
 under this chapter in connection with that event if the event were
 held in this state at a site selected in accordance with an
 application by a local organizing committee, endorsing
 municipality, or endorsing county.
 (b)  The office shall provide the estimate on request to a
 local organizing committee, endorsing municipality, or endorsing
 county.
 (c)  A local organizing committee, endorsing municipality,
 or endorsing county may submit the office's estimate to a site
 selection organization. (V.A.C.S. Art. 5190.14, Sec. 5C(j).)
 Sec. 480.0106.  MODEL EVENT SUPPORT CONTRACT. (a) The
 office may adopt a model event support contract and make the
 contract available on the office's Internet website.
 (b)  The office's adoption of a model event support contract
 under this section does not require use of the model event support
 contract for purposes of this chapter.  (V.A.C.S. Art. 5190.14,
 Sec. 5C(r).)
 SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS
 Sec. 480.0151.  EVENTS TRUST FUND. The events trust fund is
 established outside the state treasury and is held in trust by the
 comptroller for administration of this chapter. (V.A.C.S. Art.
 5190.14, Sec. 5C(d) (part).)
 Sec. 480.0152.  DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE.
 (a) Each endorsing municipality or endorsing county shall remit to
 the comptroller and the comptroller shall deposit into a trust fund
 created by the comptroller, at the direction of the office, and
 designated as the events trust fund the amount of the
 municipality's or county's hotel occupancy tax revenue determined
 under Section 480.0102(a)(4) or (5), less any amount of the revenue
 that the municipality or county determines is necessary to meet the
 obligations of the municipality or county.
 (b)  The comptroller, at the direction of the office, shall
 retain the amount of sales and use tax revenue and mixed beverage
 tax revenue determined under Section 480.0102(a)(2) or (3) from the
 amounts otherwise required to be sent to the municipality under
 Sections 321.502 and 183.051(b), Tax Code, or to the county under
 Sections 323.502 and 183.051(b), Tax Code, less any amount of the
 revenue that the municipality or county determines is necessary to
 meet the obligations of the municipality or county, and shall
 deposit the retained tax revenue to the events trust fund.
 (c)  The comptroller shall begin retaining and depositing
 the municipal and county tax revenue:
 (1)  with the first distribution of that tax revenue
 that occurs after the first day of the period described by Section
 480.0102(a); or
 (2)  at a time the office otherwise determines to be
 practicable.
 (d)  The comptroller shall discontinue retaining the
 municipal and county tax revenue when the amount of the applicable
 tax revenue determined under Section 480.0102(a)(2) or (3) has been
 retained. (V.A.C.S. Art. 5190.14, Sec. 5C(d) (part).)
 Sec. 480.0153.  OTHER LOCAL MONEY. (a) In lieu of the
 municipal and county tax revenues remitted or retained under
 Section 480.0152, an endorsing municipality or endorsing county may
 remit to the office for deposit to the events trust fund other local
 money in an amount equal to the total amount of municipal and county
 tax revenue determined under Sections 480.0102(a)(2)-(5).
 (b)  An endorsing municipality or endorsing county must
 remit the other local money not later than the 90th day after the
 last day of an event.
 (c)  For purposes of Section 480.0155, the amount deposited
 under this section is considered remitted municipal and county tax
 revenue. (V.A.C.S. Art. 5190.14, Sec. 5C(d-1).)
 Sec. 480.0154.  SURCHARGES AND USER FEES. An endorsing
 municipality or endorsing county may collect and remit to the
 office surcharges and user fees attributable to an event for
 deposit to the events trust fund. (V.A.C.S. Art. 5190.14, Sec.
 5C(e) (part).)
 Sec. 480.0155.  STATE TAX REVENUE. (a) The comptroller, at
 the direction of the office, shall transfer to the events trust fund
 a portion of the state tax revenue in an amount equal to 6.25
 multiplied by the amount of the municipal and county tax revenue
 retained or remitted under this chapter, including:
 (1)  local sales and use tax revenue;
 (2)  mixed beverage tax revenue;
 (3)  hotel occupancy tax revenue; and
 (4)  surcharge and user fee revenue.
 (b)  The amount transferred under Subsection (a) may not
 exceed the incremental increase in tax receipts determined under
 Section 480.0102(a)(1). (V.A.C.S. Art. 5190.14, Sec. 5C(f).)
 SUBCHAPTER E. DISBURSEMENTS FROM FUND
 Sec. 480.0201.  DISBURSEMENT WITHOUT APPROPRIATION. Money
 in the events trust fund may be disbursed by the office without
 appropriation only as provided by this chapter. (V.A.C.S. Art.
 5190.14, Sec. 5C(d) (part).)
 Sec. 480.0202.  DISBURSEMENT FROM FUND. (a) After approval
 of each contributing endorsing municipality and endorsing county,
 the office may make a disbursement from the events trust fund for a
 purpose for which a local organizing committee, an endorsing
 municipality, an endorsing county, or this state is obligated under
 an event support contract, including an obligation to pay costs
 incurred in making preparations necessary for the event and
 conducting the event.
 (b)  In considering whether to make a disbursement from the
 events trust fund, the office may not consider a contingency clause
 in an event support contract as relieving a local organizing
 committee's, endorsing municipality's, or endorsing county's
 obligation to pay a cost under the contract.
 (c)  If the office makes a disbursement from the events trust
 fund, the office shall satisfy the obligation proportionately from
 the local and state revenue in the fund. (V.A.C.S. Art. 5190.14,
 Secs. 5C(k) (part), (l).)
 Sec. 480.0203.  REDUCTION OF DISBURSEMENT AMOUNT. (a)
 After the conclusion of an event, the office shall compare
 information on the actual attendance figures provided under Section
 480.0251 with the estimated attendance numbers used to determine
 the incremental increase in tax receipts under Section 480.0102.
 If the actual attendance figures are significantly lower than the
 estimated attendance numbers, the office may reduce the amount of a
 disbursement from the events trust fund for an endorsing entity:
 (1)  in proportion to the discrepancy between the
 actual and estimated attendance; and
 (2)  in proportion to the amount the entity contributed
 to the fund.
 (b)  The office by rule shall:
 (1)  define "significantly lower" for purposes of this
 section; and
 (2)  provide the manner in which the office may
 proportionately reduce a disbursement.
 (c)  This section does not affect the remittance under
 Section 480.0207 of any money remaining in the events trust fund.
 (V.A.C.S. Art. 5190.14, Sec. 5C(t).)
 Sec. 480.0204.  ALLOWABLE EXPENSES. (a) Money in the events
 trust fund may be used to:
 (1)  pay the principal of and interest on notes issued
 under Section 480.0252; and
 (2)  fulfill obligations of an endorsing municipality,
 an endorsing county, or this state to a site selection organization
 under an event support contract.
 (b)  Subject to Sections 480.0202 and 480.0205, the
 obligations described by Subsection (a)(2) may include the payment
 of:
 (1)  the costs relating to the preparations necessary
 for conducting the event; and
 (2)  the costs of conducting the event, including costs
 of an improvement or renovation to an existing facility and costs of
 acquisition or construction of a new facility or other facility.
 (V.A.C.S. Art. 5190.14, Sec. 5C(h).)
 Sec. 480.0205.  LIMITATION ON CERTAIN DISBURSEMENTS. (a) A
 disbursement from the events trust fund is limited to five percent
 of the cost of a structural improvement or a fixture if:
 (1)  an obligation is incurred under an event support
 contract to make the improvement or add the fixture to a site for an
 event; and
 (2)  the improvement or fixture is expected to derive
 most of its value in subsequent uses of the site for future events.
 (b)  The remainder of an obligation described by Subsection
 (a) is not eligible for a disbursement from the events trust fund,
 unless the obligation is for an improvement or fixture for a
 publicly owned facility. (V.A.C.S. Art. 5190.14, Sec. 5C(k)
 (part).)
 Sec. 480.0206.  PROHIBITED DISBURSEMENTS. (a) Subject to
 Subsection (b), the office may not make a disbursement from the
 events trust fund that the office determines would be used to:
 (1)  solicit the relocation of a professional sports
 franchise located in this state;
 (2)  construct an arena, stadium, or convention center;
 or
 (3)  conduct usual and customary maintenance of a
 facility.
 (b)  Subsection (a) does not prohibit a disbursement from the
 events trust fund for the construction of temporary structures
 within an arena, stadium, or convention center that are necessary
 for the conduct of an event or temporary maintenance of a facility
 that is necessary for the preparation for or conduct of an event.
 (V.A.C.S. Art. 5190.14, Secs. 5C(k-1), (k-2).)
 Sec. 480.0207.  REMITTANCE OF REMAINING FUND MONEY. On
 payment of all municipal, county, or state obligations under an
 event support contract related to the location of an event in this
 state, the office shall remit to each endorsing entity, in
 proportion to the amount contributed by the entity, any money
 remaining in the events trust fund. (V.A.C.S. Art. 5190.14, Sec.
 5C(m).)
 SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS
 Sec. 480.0251.  REQUIRED INFORMATION. (a) A local
 organizing committee, endorsing municipality, or endorsing county
 shall provide information required by the office to fulfill the
 office's duties under this chapter, including:
 (1)  annual audited statements of any financial records
 required by a site selection organization; and
 (2)  data obtained by the local organizing committee,
 an endorsing municipality, or an endorsing county relating to:
 (A)  attendance at the event, including an
 estimate of the number of people expected to attend the event who
 are not residents of this state; and
 (B)  the economic impact of the event.
 (b)  A local organizing committee, endorsing municipality,
 or endorsing county must provide any annual audited financial
 statement required by the office not later than the end of the
 fourth month after the last day of the period covered by the
 financial statement.
 (c)  After the conclusion of an event and on the office's
 request, a local organizing committee, endorsing municipality, or
 endorsing county must provide information about the event, such as
 attendance figures, including an estimate of the number of people
 who attended the event who are not residents of this state,
 financial information, or other public information held by the
 committee, municipality, or county that the office considers
 necessary. (V.A.C.S. Art. 5190.14, Sec. 5C(i).)
 Sec. 480.0252.  ISSUANCE OF NOTES. (a) To meet its
 obligations under an event support contract to improve, construct,
 renovate, or acquire facilities or to acquire equipment, an
 endorsing municipality by ordinance or an endorsing county by order
 may authorize the issuance of notes.
 (b)  An endorsing municipality or endorsing county may
 provide that the notes be paid from and secured by:
 (1)  amounts on deposit or amounts to be transferred or
 deposited to the events trust fund; or
 (2)  surcharges from user fees charged in connection
 with the event, including parking or ticket fees.
 (c)  A note issued must mature not later than the seventh
 anniversary of the date of issuance. (V.A.C.S. Art. 5190.14, Sec.
 5C(g).)
 Sec. 480.0253.  PLEDGE OF SURCHARGES TO GUARANTEE
 OBLIGATIONS. An endorsing municipality or endorsing county may
 guarantee its obligations under an event support contract and this
 chapter by pledging, in addition to the tax revenue deposited under
 Section 480.0152, surcharges from user fees charged in connection
 with the event, including parking or ticket fees. (V.A.C.S. Art.
 5190.14, Sec. 5C(e) (part).)
 ARTICLE 2. CONFORMING AMENDMENTS
 SECTION 2.01.  Section 335.078, Local Government Code, is
 amended to read as follows:
 Sec. 335.078.  VENUE DISTRICT AS ENDORSING MUNICIPALITY OR
 COUNTY. (a)  A venue district located in a county with a population
 of 3.3 million or more may act as an endorsing municipality or
 endorsing county under Subtitle E-1, Title 4, Government Code
 [Chapter 1507, Acts of the 76th Legislature, Regular Session, 1999
 (Article 5190.14, Vernon's Texas Civil Statutes)].
 (b)  A venue district acting as an endorsing municipality or
 endorsing county under Subtitle E-1, Title 4, Government Code
 [Chapter 1507, Acts of the 76th Legislature, Regular Session, 1999
 (Article 5190.14, Vernon's Texas Civil Statutes)], shall remit for
 deposit into the trust fund established for the games or event the
 amounts determined by the comptroller under that subtitle
 [chapter].  The comptroller shall determine the incremental
 increase in receipts attributable to the games or event and related
 activities under that subtitle [chapter] based on the amount of
 applicable taxes imposed by each municipality or county that
 comprises the venue district and not on the amount of taxes imposed
 by the venue district.
 (c)  A venue district acting as an endorsing municipality or
 endorsing county under Subtitle E-1, Title 4, Government Code
 [Chapter 1507, Acts of the 76th Legislature, Regular Session, 1999
 (Article 5190.14, Vernon's Texas Civil Statutes)], may guarantee
 the district's obligations under a games or event support contract
 by pledging surcharges from user fees, including parking or ticket
 fees, charged in connection with the games or event and related
 activities.
 (d)  Subject to Subsection (b), a venue district acting as an
 endorsing municipality or endorsing county under Subtitle E-1,
 Title 4, Government Code [Chapter 1507, Acts of the 76th
 Legislature, Regular Session, 1999 (Article 5190.14, Vernon's
 Texas Civil Statutes)], as authorized by this section, has all the
 powers of an endorsing municipality or endorsing county under that
 subtitle [chapter], and any action an endorsing municipality or
 endorsing county is required to take by ordinance or order under
 that subtitle [chapter] may be taken by order or resolution of the
 venue district.
 SECTION 2.02.  Section 26.041(j), Tax Code, is amended to
 read as follows:
 (j)  Any amount derived from the sales and use tax that is
 retained by the comptroller under Chapters 476 or 477, Government
 Code [Section 4 or 5, Chapter 1507, Acts of the 76th Legislature,
 Regular Session, 1999 (Article 5190.14, Vernon's Texas Civil
 Statutes)], is not considered to be sales and use tax revenue for
 purposes of this section.
 ARTICLE 3. REPEALER
 SECTION 3.01.  Article 5190.14, Vernon's Texas Civil
 Statutes, is repealed.
 ARTICLE 4. GENERAL MATTERS
 SECTION 4.01.  This Act is enacted under Section 43, Article
 III, Texas Constitution. This Act is intended as a recodification
 only, and no substantive change in law is intended by this Act.
 SECTION 4.02.  This Act takes effect April 1, 2021.
 ______________________________ ______________________________
 President of the Senate Speaker of the House
 I certify that H.B. No. 4174 was passed by the House on April
 26, 2019, by the following vote:  Yeas 137, Nays 2, 2 present, not
 voting.
 ______________________________
 Chief Clerk of the House
 I certify that H.B. No. 4174 was passed by the Senate on May
 15, 2019, by the following vote:  Yeas 31, Nays 0.
 ______________________________
 Secretary of the Senate
 APPROVED:  _____________________
 Date
 _____________________
 Governor