TITLE: Relating to the imposition, rate, and use of revenue derived from certain local hotel occupancy taxes; authorizing the imposition of a tax.

SUMMARY: Relating to the imposition, rate, and use of revenue derived from certain local hotel occupancy taxes; authorizing the imposition of a tax.

FULL TEXT:
AN ACT relating to the imposition, rate, and use of revenue derived from certain local hotel occupancy taxes; authorizing the imposition of a tax. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 351.101, Tax Code, is amended by adding Subsection (q ) to read as follows: (q) In addition to the purposes provided by Subsections (a) and (e), a municipality with a population of more than 10,000 that has a city hall located less than three miles from a space center operated by an agency of the federal government and that is wholly located in a county with a population of four million or more may use revenue from the hotel occupancy tax for the construction, improvement, enlarging, equipping, renovating, repairing, operation, and maintenance of a coliseum or multiuse facility and related infrastructure or a venue, as defined by Section 334.001(4), Local Government Code, that is related to the promotion of tourism, including a hotel, resort, or convention center facility located on land owned by the municipality or a nonprofit corporation acting on behalf of the municipality. SECTION 2. Section 352.002, Tax Code, is amended by adding Subsection (y) to read as follows: (y) The commissioners court of a county with a population of 110,000 or more through which the Guadalupe River flows may impose a tax as provided by Subsection (a). The tax imposed under this subsection does not apply to a hotel located in a municipality that: (1) has a population of 50,000 or more; (2) is the county seat of a county adjacent to the county to which this subsection applies; and (3) imposes a tax under Chapter 351 applicable to the hotel. SECTION 3. Section 352.003, Tax Code, is amended by adding Subsection (v) to read as follows: (v) The tax rate in a county authorized to impose the tax under Section 352.002(y) may not exceed seven percent of the price paid for a room in a hotel, except that the tax rate may not exceed two percent of the price paid for a room in a hotel if the hotel is located in: (1) a municipality that imposes a tax under Chapter 351 applicable to the hotel; or (2) the extraterritorial jurisdiction of a municipality that imposes a tax under Section 351.0025 applicable to the hotel. 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.