2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 263 - Tourism Improvement of 1998 (§§ 6601 — 6724) › Subchapter I - General Provisions (§§ 6601 — 6604) › § 6601 - Definitions

The following terms and phrases, when used or made reference to in this chapter, shall have the meaning indicated below, unless otherwise clearly construed from the context:
(2) Bond or Bonds.— Shall include any temporary bonds, financing bonds, obligations, preferred or subordinate promissory notes, temporary debt instruments or any other evidence of indebtedness.
(3) Imposts charged for benefits or profits.— Shall mean the imposts charged by a municipality or municipalities, at the request of an association, on real property located in a tourism improvement district, which specifically and substantially benefited by an improvement project established or to be established to defray its development, construction, operation and maintenance costs. The amount of the imposts charged on each property shall be based on the benefits or profits each property receives or shall receive from the improvement project or projects, as determined by the Association, and shall constitute a tacit lawful tax on all real property located within the district. This tax shall have preferential rank over any other tax already existing on the property, except the following:
(a) The lien which secures the delinquent tax debts transferred pursuant to the provisions of Act June 20, 1997, No. 21;
(b) the obligation for taxes on real property;
(c) any other liens constituted before the effective date of this act, and
(d) any tacit lawful tax securing the payment of any imposts on benefits or profits, used to finance the public infrastructure.
(4) Company.— Shall mean the Puerto Rico Tourist Company.
(5) Commonwealth.— Shall mean the Commonwealth of Puerto Rico.
(6) Municipality.— Shall mean the local government juridical entity subordinated to the Constitution of the Commonwealth of Puerto Rico and its laws, whose purpose is to achieve the local common good, and within that goal, to primarily attend to the collective matters, problems and needs of its inhabitants.
(7) Tourism improvement district, Improvement district or District.— Shall mean the geographic area established pursuant to the procedures provided in this chapter, which is particularly and substantially benefited by an improvement project or projects established or to be established according to the provisions of this chapter. This geographic area may include adjacent or non-adjacent real property but shall only include real property belonging to the proprietors who agreed to organize the association and establish the tourism improvement district. The improvement project may be located in or outside of the district; Provided, That should an improvement project be located outside the district the owner of the real property where the latter is to be located must give his/her consent for the project to be established on his/her property. After a tourist improvement district has been established, no real property included within that district may be withdrawn from said district for any reason whatsoever, during the term of existence of said district.
(8) Petitioner.— Shall mean the owners association or associations.
(9) Improvement project or Project.— Shall mean any development, improvement, infrastructure, facility, work, enterprise or service proposed and agreed upon by the members of an association, whose cost shall be defrayed by said association according to the mechanisms provided in this chapter. An improvement project may include, without it being construed as a limitation, convention centers, sports arenas, stadiums, performing arts centers, museums, aquariums, learning centers, markets, marinas, golf courses, eco-tourism facilities; aqueducts and sewer facilities; recreational and ports and airports facilities; highway rest stops, parking, security guard, and gardening facilities, transportation equipment and facilities; public spaces, educational facilities, restaurants, entertainment facilities, and telecommunications, public security and safety systems facilities. The improvement project must comply with all applicable laws, plans, ordinances and regulations of the Commonwealth and the municipalities of Puerto Rico, including, but not limited to, those related to land use and the protection of the environment.
(1) Owners association or Association.— Shall mean all owners of real property in a specific geographic area who, with the consent of two thirds of all owners, have agreed to form an association and establish a tourism improvement district comprising only the real property of the members of the association, pursuant to the provisions of this chapter.
(10) Developer.— Shall mean an investor, or any entity affiliated to, or owned or controlled, either directly or indirectly, by such investor, who is directly or indirectly responsible for, or is a participant in, the construction, development, or administration of properties located in a tourism improvement district.
History —Aug. 8, 1998, No. 207, § 1.003; Dec. 16, 2009, No. 171, § 1, eff. 30 days after Dec. 16, 2009.