BILL ANALYSIS Senate Research Center C.S.H.B. 5105 88R31926 SRA-F By: Stucky et al. (Springer) Natural Resources & Economic Development 5/21/2023 Committee Report (Substituted) AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Currently, Denton County does not fit into brackets outlined by Section 352.002, despite it having a considerable population, two large universities, and adjacency to two of the largest counties in Texas. Denton County also has a burgeoning tourism industry, with locations like the town square and numerous music festivals bringing in visitors year-round. This bill allows Denton County to qualify for a hotel occupancy tax as prescribed by the bill. C.S.H.B. 5105 amends current law relating to authorizing certain counties to impose a hotel occupancy tax and the use of revenue from that tax. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 352.002, Tax Code, by adding Subsection (v), as follows: (v) Authorizes the commissioners court of a county with a population of more than 650,000 that is adjacent to two counties, each having a population of more than 1.8 million, to impose a tax as provided by Subsection (a). Provides that a tax imposed under this subsection does not apply to a hotel that is located on a contiguous property in more than one county. SECTION 2. Amends Section 352.003, Tax Code, by adding Subsection (bb), to prohibit the tax rate in a county authorized to impose the tax under Section 352.002(v) from exceeding two percent of the price paid for a room in a hotel. SECTION 3. Amends Subchapter B, Chapter 352, Tax Code, by adding Section 352.115, as follows: Sec. 352.115. USE OF REVENUE: CERTAIN COUNTIES ADJACENT TO POPULOUS COUNTIES. Authorizes the revenue from a tax imposed under Chapter 352 (County Hotel Occupancy Taxes) by a county authorized to impose the tax under Section 352.002(v) to be used for the purposes described by Section 352.112 (Use of Revenue: Certain Counties Holding an Annual Strawberry Festival), in addition to the purposes authorized by this chapter. SECTION 4. Effective date: September 1, 2023.
BILL ANALYSIS
Senate Research Center C.S.H.B. 5105
88R31926 SRA-F By: Stucky et al. (Springer)
Natural Resources & Economic Development
5/21/2023
Committee Report (Substituted)
Senate Research Center
C.S.H.B. 5105
88R31926 SRA-F
By: Stucky et al. (Springer)
Natural Resources & Economic Development
5/21/2023
Committee Report (Substituted)
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
Currently, Denton County does not fit into brackets outlined by Section 352.002, despite it having a considerable population, two large universities, and adjacency to two of the largest counties in Texas.
Denton County also has a burgeoning tourism industry, with locations like the town square and numerous music festivals bringing in visitors year-round. This bill allows Denton County to qualify for a hotel occupancy tax as prescribed by the bill.
C.S.H.B. 5105 amends current law relating to authorizing certain counties to impose a hotel occupancy tax and the use of revenue from that tax.
RULEMAKING AUTHORITY
This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 352.002, Tax Code, by adding Subsection (v), as follows:
(v) Authorizes the commissioners court of a county with a population of more than 650,000 that is adjacent to two counties, each having a population of more than 1.8 million, to impose a tax as provided by Subsection (a). Provides that a tax imposed under this subsection does not apply to a hotel that is located on a contiguous property in more than one county.
SECTION 2. Amends Section 352.003, Tax Code, by adding Subsection (bb), to prohibit the tax rate in a county authorized to impose the tax under Section 352.002(v) from exceeding two percent of the price paid for a room in a hotel.
SECTION 3. Amends Subchapter B, Chapter 352, Tax Code, by adding Section 352.115, as follows:
Sec. 352.115. USE OF REVENUE: CERTAIN COUNTIES ADJACENT TO POPULOUS COUNTIES. Authorizes the revenue from a tax imposed under Chapter 352 (County Hotel Occupancy Taxes) by a county authorized to impose the tax under Section 352.002(v) to be used for the purposes described by Section 352.112 (Use of Revenue: Certain Counties Holding an Annual Strawberry Festival), in addition to the purposes authorized by this chapter.
SECTION 4. Effective date: September 1, 2023.