Bill Text: TX HB5105 | 2023-2024 | 88th Legislature | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to authorizing certain counties to impose a hotel occupancy tax and the use of revenue from that tax.

Spectrum: Partisan Bill (Republican 5-0)

Status: (Passed) 2023-06-13 - Effective on 9/1/23 [HB5105 Detail]

Download: Texas-2023-HB5105-Comm_Sub.html

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88R24366 SRA-F
By: Stucky, Hayes, Thimesch, Bumgarner H.B. No. 5105
Substitute the following for H.B. No. 5105:
By: Shine C.S.H.B. No. 5105

A BILL TO BE ENTITLED
AN ACT
relating to authorizing certain counties to impose a hotel
occupancy tax and the use of revenue from that tax.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 352.002, Tax Code, is amended by adding
Subsection (v) to read as follows:
(v) The commissioners court of a county with a population of
more than 650,000 that is adjacent to two counties, each having a
population of more than 1.8 million, may impose a tax as provided by
Subsection (a). A tax imposed under this subsection does not apply
to a hotel that is located within a 2.5-mile radius of the
intersection of:
(1) the Dallas North Tollway; and
(2) U.S. Highway 380.
SECTION 2. Section 352.003, Tax Code, is amended by adding
Subsection (bb) to read as follows:
(bb) The tax rate in a county authorized to impose the tax
under Section 352.002(v) may not exceed two percent of the price
paid for a room in a hotel.
SECTION 3. Subchapter B, Chapter 352, Tax Code, is amended
by adding Section 352.115 to read as follows:
Sec. 352.115. USE OF REVENUE: CERTAIN COUNTIES ADJACENT TO
POPULOUS COUNTIES. (a) This section applies only to a county
authorized to impose a tax under this chapter by Section
352.002(v).
(b) The revenue from a tax imposed under this chapter by a
county to which this section applies may be used only for the
development, construction, maintenance, operation, improvement,
and marketing and promotion of a multipurpose sports and event
complex that will substantially increase regional sporting and
other events that produce supplemental economic activity at hotels
in the county.
(c) A county to which this section applies shall establish a
project functionality and marketing advisory committee. The
commissioners court of the county shall appoint members to the
committee. The committee must consist of at least nine and not more
than 14 members, at least seven of whom must be hotel owners or
operators or destination marketing organization representatives
from municipalities in which the county imposes the tax authorized
under this chapter.
(d) The committee described by Subsection (c) shall review
and make quarterly recommendations to the county on ways to
maximize the functionality and marketing of the multipurpose sports
and event complex described by Subsection (b).
(e) A county to which this section applies shall finance at
least 40 percent of the annual maintenance and operation costs for
the multipurpose sports and event complex described by Subsection
(b) from revenue other than revenue attributable to the tax imposed
under this chapter.
SECTION 4. This Act takes effect September 1, 2023.