Bill Text: TX SB1262 | 2019-2020 | 86th Legislature | Enrolled


Bill Title: Relating to the allocation of hotel occupancy tax revenue collected by certain municipalities.

Spectrum: Bipartisan Bill

Status: (Passed) 2019-06-04 - Effective on 9/1/19 [SB1262 Detail]

Download: Texas-2019-SB1262-Enrolled.html
 
 
  S.B. No. 1262
 
 
 
 
AN ACT
  relating to the allocation of hotel occupancy tax revenue collected
  by certain municipalities.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 351.101(a), Tax Code, as amended by
  Chapters 53 (S.B. 1365), 267 (H.B. 1896), 324 (S.B. 1488), and 785
  (H.B. 2445), Acts of the 85th Legislature, Regular Session, 2017,
  is reenacted and amended to read as follows:
         (a)  Revenue from the municipal hotel occupancy tax may be
  used only to promote tourism and the convention and hotel industry,
  and that use is limited to the following:
               (1)  the acquisition of sites for and the construction,
  improvement, enlarging, equipping, repairing, operation, and
  maintenance of convention center facilities or visitor information
  centers, or both;
               (2)  the furnishing of facilities, personnel, and
  materials for the registration of convention delegates or
  registrants;
               (3)  advertising and conducting solicitations and
  promotional programs to attract tourists and convention delegates
  or registrants to the municipality or its vicinity;
               (4)  the encouragement, promotion, improvement, and
  application of the arts, including instrumental and vocal music,
  dance, drama, folk art, creative writing, architecture, design and
  allied fields, painting, sculpture, photography, graphic and craft
  arts, motion pictures, radio, television, tape and sound recording,
  and other arts related to the presentation, performance, execution,
  and exhibition of these major art forms;
               (5)  historical restoration and preservation projects
  or activities or advertising and conducting solicitations and
  promotional programs to encourage tourists and convention
  delegates to visit preserved historic sites or museums:
                     (A)  at or in the immediate vicinity of convention
  center facilities or visitor information centers; or
                     (B)  located elsewhere in the municipality or its
  vicinity that would be frequented by tourists and convention
  delegates;
               (6)  expenses, including promotion expenses, directly
  related to a sporting event in which the majority of participants
  are tourists who substantially increase economic activity at hotels
  and motels within the municipality or its vicinity if:
                     (A)  the municipality is located in a county with
  a population of one million or less; [or]
                     (B)  the municipality has a population of more
  than 67,000 and is located in two counties with 90 percent of the
  municipality's territory located in a county with a population of
  at least 580,000, and the remaining territory located in a county
  with a population of at least four million; or
                     (C)  the municipality has a population of at least
  200,000 and shares a border with:
                           (i)  a municipality described by Section
  351.102(e)(7); and
                           (ii)  Lake Ray Hubbard;
               (7)  subject to Section 351.1076, the promotion of
  tourism by the enhancement and upgrading of existing sports
  facilities or fields if:
                     (A)  the municipality owns the facilities or
  fields;
                     (B)  the municipality:
                           (i)  has a population of 80,000 or more and
  is located in a county that has a population of 350,000 or less;
                           (ii)  has a population of at least 75,000 but
  not more than 95,000 and is located in a county that has a
  population of less than 200,000 but more than 160,000;
                           (iii)  has a population of at least 36,000
  but not more than 39,000 and is located in a county that has a
  population of 100,000 or less that is not adjacent to a county with
  a population of more than two million;
                           (iv)  has a population of at least 13,000 but
  less than 39,000 and is located in a county that has a population of
  at least 200,000;
                           (v)  has a population of at least 70,000 but
  less than 90,000 and no part of which is located in a county with a
  population greater than 150,000;
                           (vi)  is located in a county that:
                                 (a)  is adjacent to the Texas-Mexico
  border;
                                 (b)  has a population of at least
  500,000; and
                                 (c)  does not have a municipality with
  a population greater than 500,000;
                           (vii)  has a population of at least 25,000
  but not more than 26,000 and is located in a county that has a
  population of 90,000 or less;
                           (viii)  is located in a county that has a
  population of not more than 300,000 and in which a component
  university of the University of Houston System is located;
                           (ix)  has a population of at least 40,000 and
  the San Marcos River flows through the municipality; [or]
                           (x)  has a population of more than 67,000 and
  is located in two counties with 90 percent of the municipality's
  territory located in a county with a population of at least 580,000,
  and the remaining territory located in a county with a population of
  at least four million;
                           (xi) [(x)]  contains an intersection of
  Interstates 35E and 35W and at least two public universities; or
                           (xii)  is described by Subdivision (6)(C); 
  and
                     (C)  the sports facilities and fields have been
  used, in the preceding calendar year, a combined total of more than
  10 times for district, state, regional, or national sports
  tournaments;
               (8)  for a municipality with a population of at least
  70,000 but less than 90,000, no part of which is located in a county
  with a population greater than 150,000, the construction,
  improvement, enlarging, equipping, repairing, operation, and
  maintenance of a coliseum or multiuse facility;
               (9)  signage directing the public to sights and
  attractions that are visited frequently by hotel guests in the
  municipality;
               (10)  the construction, improvement, enlarging,
  equipping, repairing, operation, and maintenance of a coliseum or
  multiuse facility, if the municipality:
                     (A)  has a population of at least 90,000 but less
  than 120,000; and
                     (B)  is located in two counties, at least one of
  which contains the headwaters of the San Gabriel River; and
               (11)  for a municipality with a population of more than
  175,000 but less than 225,000 that is located in two counties, each
  of which has a population of less than 200,000, the construction,
  improvement, enlarging, equipping, 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.
         SECTION 2.  Section 351.103, Tax Code, is amended by adding
  Subsection (b-1) to read as follows:
         (b-1)  Notwithstanding Subsection (a), at least 30 percent
  of the hotel occupancy tax revenue collected by a municipality
  described by Section 351.101(a)(6)(C) must be allocated for the
  purposes provided by Section 351.101(a)(3).
         SECTION 3.  The change in law made by this Act applies only
  to the allocation of hotel occupancy tax revenue by a municipality
  for a fiscal year that begins on or after the effective date of this
  Act.
         SECTION 4.  To the extent of any conflict, this Act controls
  over another Act of the 86th Legislature, Regular Session, 2019,
  relating to nonsubstantive additions to and corrections in enacted
  codes.
         SECTION 5.  This Act takes effect September 1, 2019.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1262 passed the Senate on
  April 24, 2019, by the following vote:  Yeas 26, Nays 5.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1262 passed the House on
  May 17, 2019, by the following vote:  Yeas 114, Nays 33, two
  present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor
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