SWB C.S.H.B. 3043 75(R)BILL ANALYSIS WAYS & MEANS C.S.H.B. 3043 By: Gallego 4-10-97 Committee Report (Substituted) BACKGROUND Section 352.002, Tax Code, (Tax Authorized) authorizes certain counties to impose a hotel occupancy tax. The Commissioners Court may impose the tax by the adoption of an order or resolution. PURPOSE This bill would allow certain municipalities (currently Brewster and Presidio Counties) to impose a hotel occupancy tax. 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 352.002, Tax Code (Tax Authorized), by adding subsections (a) (12) and (a)(13). (a)(12) Provides that a county that borders the Republic of Mexico in which there is located a national park of greater than 400,000 acres. (a)(13) Provides that a county that borders the Republic of Mexico in which there is located a state park of greater than 250,000 acres. Makes conforming changes. SECTION 2.Amends Section 352.003, Tax Code (Tax Rates), by adding Subsections (d) and (e) as follows: (d) Provides that the tax rate in a county authorized to impose the tax under Section 352.002(a)(12) may not exceed three percent of the price paid for a hotel room. (e) Provides that the tax rate in a county authorized to impose the tax under Section(a)(13) may not exceed five percent of the price paid for a hotel room. SECTION 3.Amends section 352.102, Tax Code (Use of Revenue: Counties Bordering Mexico), by adding Subsection (c) which provides that a county that borders the Republic of Mexico and is further described by Subsection 352.002(a)(12) shall use at least one-third of the revenue collected each fiscal year from the tax imposed under this chapter for the purposes authorized by this chapter in unincorporated areas of the county. SECTION 4.Emergency Clause. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 3043 differs from H.B. 3043 in three ways: (1)Amends SECTION 1 to add Presidio County to the list of eligible counties. (2) Amends SECTION 2 to provide that the tax rate in Brewster County may not exceed three percent of the price of a hotel room and the tax rate in Presidio County may not exceed five percent of the price paid for a hotel room. (3) Amends SECTION 3 to provide that Brewster County will use at least one-third of the revenue collected each fiscal year under this chapter for the purposes authorized in this chapter in unincorporated areas of Brewster County.