By: Morales of Maverick H.B. No. 2172
A BILL TO BE ENTITLED
AN ACT
relating to the hotel occupancy tax imposed by certain counties and
the use of revenue from that tax; reducing the maximum rate of that
tax; authorizing the imposition of a tax.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 352.002, Tax Code, is amended by
amending Subsection (d) and adding Subsection (w) to read as
follows:
(d) The tax imposed by a county authorized by Subsection
(a)(6) [(a)(4), (6)], (8), (9), (10), (11), (14), (15), (17), (19),
(20), (21), (23), or (29) to impose the tax does not apply to a hotel
located in a municipality that imposes a tax under Chapter 351
applicable to the hotel. This subsection does not apply to:
(1) a county authorized by Subsection (a)(6) to impose
the tax that:
(A) has a population of less than 40,000 and
adjoins the most populous county in this state; or
(B) has a population of more than 200,000 and
borders the Neches River; or
(2) a county authorized by Subsection (a)(9) to impose
the tax that has a population of more than 9,000.
(w) A county with a population of more than 650,000 that is
adjacent to two counties, each of which has a population of more
than 1.8 million, may impose a tax as provided by Subsection (a).
SECTION 2. Section 352.003, Tax Code, is amended by adding
Subsection (y) to read as follows:
(y) The tax rate in a county authorized to impose the tax
under Section 352.002(a)(4) may not exceed two percent of the price
paid for a room in a hotel.
SECTION 3. Subchapter B, Chapter 352, Tax Code, is amended
by adding Section 352.114 to read as follows:
Sec. 352.114. USE OF REVENUE: CERTAIN COUNTIES CONTAINING
AN INDIAN RESERVATION. (a) In addition to the purposes authorized
by this chapter, the revenue from a tax imposed under this chapter
by a county authorized to impose the tax under Section
352.002(a)(4) may be used to make repairs and improvements to the
county airport or to provide reimbursement for repairs and
improvements to the airport.
(b) A county to which this section applies may not use
revenue from a tax imposed under this chapter for a purpose
described by Subsection (a) in a total amount that would exceed the
amount of hotel revenue in the county that is likely to be
reasonably attributable to guests traveling through the airport
during the 15-year period beginning on the date the county first
uses the tax revenue for that purpose.
(c) A county to which this section applies may not use
revenue from a tax imposed under this chapter for a purpose
described by Subsection (a) after the 10th anniversary of the date
the county first uses the revenue for that purpose.
SECTION 4. This Act takes effect September 1, 2021.