BILL ANALYSIS Senate Research Center S.B. 1483 89R2306 RDS-D By: Hinojosa, Adam Economic Development 4/11/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Under current law, certain municipalities in Texas are authorized to receive a rebate for a period of 10 years on the state hotel occupancy taxes and state sales taxes collected at certain hotels and, in some cases, at certain qualified commercial retail outlets located within 1,000 feet. To qualify for a rebate, the hotel must, among other things, be located within 1,000 feet of a city-owned convention center facility and, in most cases, on land owned by a city. These rebated funds can be used by municipalities to service bonds or other obligations incurred for the construction of the project. Once the 10-year period elapses, the rebates cease, and all state hotel occupancy and sales taxes collected are deposited into the state's general revenue fund. S.B. 1483 amends the statute to extend eligibility to the city of South Padre Island, supporting the expansion of its convention center with the development of a future full-service convention center hotel. As proposed, S.B. 1483 amends current law 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. 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 351.152, Tax Code, to include a municipality described by Section 351.001(11) (relating to defining "eligible barrier island coastal municipality") among the municipalities to which Subchapter C (Municipal Hotel and Convention Center Projects) applies. SECTION 2. Effective date: upon passage or September 1, 2025.
BILL ANALYSIS
Senate Research Center S.B. 1483
89R2306 RDS-D By: Hinojosa, Adam
Economic Development
4/11/2025
As Filed
Senate Research Center
S.B. 1483
89R2306 RDS-D
By: Hinojosa, Adam
Economic Development
4/11/2025
As Filed
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
Under current law, certain municipalities in Texas are authorized to receive a rebate for a period of 10 years on the state hotel occupancy taxes and state sales taxes collected at certain hotels and, in some cases, at certain qualified commercial retail outlets located within 1,000 feet. To qualify for a rebate, the hotel must, among other things, be located within 1,000 feet of a city-owned convention center facility and, in most cases, on land owned by a city. These rebated funds can be used by municipalities to service bonds or other obligations incurred for the construction of the project. Once the 10-year period elapses, the rebates cease, and all state hotel occupancy and sales taxes collected are deposited into the state's general revenue fund.
S.B. 1483 amends the statute to extend eligibility to the city of South Padre Island, supporting the expansion of its convention center with the development of a future full-service convention center hotel.
As proposed, S.B. 1483 amends current law 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.
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 351.152, Tax Code, to include a municipality described by Section 351.001(11) (relating to defining "eligible barrier island coastal municipality") among the municipalities to which Subchapter C (Municipal Hotel and Convention Center Projects) applies.
SECTION 2. Effective date: upon passage or September 1, 2025.