By:  Ellis                                             S.B. No. 542
       73R4408 CBH-F
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the use of hotel occupancy tax revenue collected by
    1-3  certain municipalities for the arts.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 351.103(c), Tax Code, is amended to read
    1-6  as follows:
    1-7        (c)  Not more than 15 percent of the hotel occupancy tax
    1-8  revenue collected by a municipality, other than a municipality
    1-9  having a population of more than 1.6 million, or the amount of tax
   1-10  received by the municipality at the rate of one percent of the cost
   1-11  of a room, whichever is greater, may be used for the purposes
   1-12  provided by Section 351.101(a)(4).  Not more than 20 percent of the
   1-13  hotel occupancy tax revenue collected by a municipality having a
   1-14  population of more than 1.6 million may be used for the purposes
   1-15  provided by Section 351.101(a)(4).  Not more than 15 percent of the
   1-16  hotel occupancy tax revenue collected by a municipality having a
   1-17  population of more than 125,000 may be used for the purposes
   1-18  provided by Section 351.101(a)(5).  <This subsection does not apply
   1-19  to an eligible municipality that imposes the tax authorized by this
   1-20  chapter at a rate that is less than seven percent of the price paid
   1-21  for a room in a hotel.>
   1-22        SECTION 2.  The importance of this legislation and the
   1-23  crowded condition of the calendars in both houses create an
   1-24  emergency and an imperative public necessity that the
    2-1  constitutional rule requiring bills to be read on three several
    2-2  days in each house be suspended, and this rule is hereby suspended,
    2-3  and that this Act take effect and be in force from and after its
    2-4  passage, and it is so enacted.