BILL ANALYSIS



H.B. 2623
By: Hochberg
05-04-95
Committee Report (Unamended)


BACKGROUND

Currently, Section 352.003, Tax Code, allows a commissioners court
to levy a two percent county hotel tax rate within a municipality
with a population of 1,200,000 or more.  This tax rate will change
to one percent on January 1, 2001.

PURPOSE

This bill would allow for a county hotel tax rate of 2% to be
maintained in a municipality with a population of 1,200,000 or
more.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency or institution.

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 352.003 (Tax Rates), Subsection (b), Tax
Code, by deleting language that would change the county hotel tax
rate from 2% to 1% on January 1, 2001 for a municipality that has
a population of 1,200,000 or more.

SECTION 2.  Effective date: September 1, 1995

SECTION 3.  Emergency clause

SUMMARY OF COMMITTEE ACTION

Public notice was posted in accordance with the rules, and a public
hearing was held on May 2, 1995.  Representative Hochberg explained
the bill.  By a record vote of 6 ayes, 0 nays, 0 present not voting
and 5 absent, the committee voted to report H.B. 2623 to the House
without amendment with the recommendation that it be sent to the
Local and Consent Calendar and that it do pass.