89R12206 CJD-F
By: McLaughlin H.B. No. 2965
A BILL TO BE ENTITLED
AN ACT
relating to the applicability of a hotel occupancy tax in and the
use of hotel occupancy tax revenue by certain counties.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 352.002(d), Tax Code, is amended to read
as follows:
(d) The tax imposed by a county authorized by Subsection
(a)(6), (8), (9), (10), (11), (14), (15), (16), (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 50,000 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 11,000.
SECTION 2. Section 352.110, Tax Code, is amended to read as
follows:
Sec. 352.110. USE OF REVENUE; CERTAIN COUNTIES LOCATED
WHOLLY IN EDWARDS AQUIFER AUTHORITY. A county authorized to impose
a tax by Section 352.002(a)(15) may use the revenue from the tax
only as follows:
(1) 75 percent of the revenue for the purposes
described by Section 351.101(a) and only in relation to
unincorporated areas of the county [promotion of tourism and
lodging]; and
(2) notwithstanding Section 352.1015, 25 percent of
the revenue for:
(A) the removal of trash and litter in the
state-owned rivers and riverbeds located within the boundaries of
the county; and
(B) the provision and maintenance of litter
containers on or adjacent to state-owned rivers and riverbeds
primarily used by lodging guests and located within the boundaries
of the county.
SECTION 3. Subchapter B, Chapter 352, Tax Code, is amended
by adding Section 352.117 to read as follows:
Sec. 352.117. USE OF REVENUE: CERTAIN COUNTIES THROUGH
WHICH THE FRIO RIVER FLOWS. (a) Subject to Subsection (b), 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)(16) may be used for:
(1) the removal of trash and litter in the parts of
state-owned rivers and riverbeds located within the boundaries of
the county; and
(2) the provision and maintenance of litter containers
on or adjacent to parts of state-owned rivers and riverbeds that
are:
(A) primarily used by lodging guests; and
(B) located within the boundaries of the county.
(b) A county to which this section applies shall spend 25
percent of the revenue derived in a fiscal year from the tax
authorized by this chapter for the purposes authorized under
Subsection (a).
SECTION 4. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.