Texas 2025 - 89th Regular

Texas House Bill HB3715

Filed
3/4/25  
Out of House Committee
5/6/25  
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the authority of certain municipalities to use certain tax revenue for hotel and convention center projects.

Impact

The introduction of HB 3715 is expected to create significant changes in how municipalities allocate and spend tax revenue. Eligible municipalities will gain greater authority to fund projects that promote tourism, providing them with a means to improve local amenities and facilities, particularly in areas that might otherwise struggle to secure funding for such projects. This bill may lead to improved convention centers and hotels, which could translate to increased tourist traffic and associated economic benefits.

Summary

House Bill 3715 aims to amend the Texas Tax Code to allow specific municipalities to utilize certain tax revenues for hotel and convention center projects. This legislation identifies eligible municipalities based on their population and geographical criteria, enabling them to invest in infrastructure that can enhance tourism and economic activity. By doing so, it seeks to promote local business growth and boost job creation within the hospitality sector.

Sentiment

Overall sentiment regarding HB 3715 appears cautiously optimistic. Supporters argue that empowering municipalities to use tax revenue in this manner can stimulate local economies and enhance the quality of life for residents. However, some concerns arise regarding the long-term fiscal implications of allowing municipalities to dip into specific tax revenues for these projects, especially in times of budget tightness. Critics worry about the possibility of misallocation of funds or prioritizing hospitality over other essential services.

Contention

Notable points of contention include debates over which municipalities are eligible for the funding and the fairness of these criteria. There are concerns that the bill might favor larger populations or specific geographic regions while leaving smaller communities or those with different economic needs at a disadvantage. Furthermore, discussions have emerged about the potential conflict between funding hotel and convention projects versus traditional public services, which may lead to a deeper examination of local budget priorities.

Texas Constitutional Statutes Affected

Tax Code

  • Chapter 351. Municipal Hotel Occupancy Taxes
    • Section: 152
    • Section: 152
    • Section: 152
    • Section: 152

Companion Bills

TX SB2133

Identical Relating to the authority of certain municipalities to use certain tax revenue for hotel and convention center projects.

Previously Filed As

TX HB5012

Relating to the authority of certain municipalities to use certain tax revenue for hotel and convention center projects and other qualified projects.

TX HB3324

Relating to the authority of certain municipalities to use certain tax revenue for hotel and convention center projects and other qualified projects.

TX SB2351

Relating to the authority of certain municipalities to use certain tax revenue for hotel and convention center projects and other qualified projects.

TX HB1962

Relating to the authority of certain municipalities to receive certain tax revenue derived from a hotel and convention center project and to pledge certain tax revenue for the payment of obligations related to the project.

TX SB720

Relating to the authority of certain municipalities to receive certain tax revenue derived from a hotel and convention center project and to pledge certain tax revenue for the payment of obligations related to the project.

TX HB4689

Relating to hotel and convention center projects, including the authority of certain municipalities to receive certain tax revenue derived from those projects and to pledge certain tax revenue for the payment of obligations related to those projects.

TX HB4529

Relating to the authority of certain municipalities to receive certain tax revenue derived from a hotel and convention center project and to pledge certain tax revenue for the payment of obligations related to the project.

TX SB2138

Relating to the authority of certain municipalities to receive certain tax revenue derived from a hotel and convention center project and to pledge certain tax revenue for the payment of obligations related to the project.

TX HB3250

Relating to the authority of certain municipalities to receive certain tax revenue derived from a hotel and convention center project and to pledge certain tax revenue for the payment of obligations related to the project.

TX HB2352

Relating to the authority of certain municipalities to receive certain tax revenue derived from a hotel and convention center project and to pledge certain tax revenue for the payment of obligations related to the project.

Similar Bills

No similar bills found.