| 1 | 1 | | 88R10730 CJD-F |
|---|
| 2 | 2 | | By: Klick H.B. No. 3216 |
|---|
| 3 | 3 | | |
|---|
| 4 | 4 | | |
|---|
| 5 | 5 | | A BILL TO BE ENTITLED |
|---|
| 6 | 6 | | AN ACT |
|---|
| 7 | 7 | | relating to the use of hotel occupancy tax revenue by certain |
|---|
| 8 | 8 | | municipalities. |
|---|
| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 10 | 10 | | SECTION 1. Subchapter B, Chapter 351, Tax Code, is amended |
|---|
| 11 | 11 | | by adding Section 351.1062 to read as follows: |
|---|
| 12 | 12 | | Sec. 351.1062. ALLOCATION OF REVENUE: CERTAIN |
|---|
| 13 | 13 | | MUNICIPALITIES WITH CITY PARKS. (a) This section applies only to a |
|---|
| 14 | 14 | | municipality that: |
|---|
| 15 | 15 | | (1) has a population of more than 7,500 but less than |
|---|
| 16 | 16 | | 12,000; |
|---|
| 17 | 17 | | (2) has at least one hotel within 350 feet of a city |
|---|
| 18 | 18 | | park; and |
|---|
| 19 | 19 | | (3) is wholly located in a county with a population of |
|---|
| 20 | 20 | | more than 1.8 million but less than 2.3 million. |
|---|
| 21 | 21 | | (b) Notwithstanding any other provision of this chapter and |
|---|
| 22 | 22 | | subject to Subsections (c) and (d), a municipality to which this |
|---|
| 23 | 23 | | section applies may use revenue from the tax imposed under this |
|---|
| 24 | 24 | | chapter to promote tourism and the convention and hotel industry by |
|---|
| 25 | 25 | | constructing a sports facility and amphitheater. |
|---|
| 26 | 26 | | (c) A municipality that uses revenue derived from the tax |
|---|
| 27 | 27 | | imposed under this chapter for the purpose described by Subsection |
|---|
| 28 | 28 | | (b): |
|---|
| 29 | 29 | | (1) shall make a good-faith estimate of the amount of |
|---|
| 30 | 30 | | area hotel revenue that will be generated by events and activities |
|---|
| 31 | 31 | | held at the sports facility and amphitheater during the five-year |
|---|
| 32 | 32 | | period following the date on which construction is completed; and |
|---|
| 33 | 33 | | (2) may not spend hotel occupancy tax revenue for the |
|---|
| 34 | 34 | | construction of the sports facility and amphitheater in a total |
|---|
| 35 | 35 | | amount that exceeds the amount of area hotel revenue estimated |
|---|
| 36 | 36 | | under Subdivision (1). |
|---|
| 37 | 37 | | (d) At the end of the five-year period described by |
|---|
| 38 | 38 | | Subsection (c)(1), a municipality shall reimburse from the |
|---|
| 39 | 39 | | municipality's general fund to the municipality's hotel occupancy |
|---|
| 40 | 40 | | tax revenue fund any municipal hotel occupancy tax revenue spent on |
|---|
| 41 | 41 | | the construction of the sports facility and amphitheater in excess |
|---|
| 42 | 42 | | of the amount of area hotel revenue attributable to the sports |
|---|
| 43 | 43 | | facility and amphitheater during that period. |
|---|
| 44 | 44 | | SECTION 2. This Act takes effect immediately if it receives |
|---|
| 45 | 45 | | a vote of two-thirds of all the members elected to each house, as |
|---|
| 46 | 46 | | provided by Section 39, Article III, Texas Constitution. If this |
|---|
| 47 | 47 | | Act does not receive the vote necessary for immediate effect, this |
|---|
| 48 | 48 | | Act takes effect September 1, 2023. |
|---|