HBA-JRA H.B. 3794 76(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 3794
By: Zbranek
Ways & Means
7/26/1999
Enrolled



BACKGROUND AND PURPOSE 

Current law authorizes certain counties to impose a hotel occupancy tax
within their respective incorporated municipalities.  H.B. 3794 authorizes
a county that borders the Gulf of Mexico that has a population of less than
40,000 and adjoins the most populous county in this state to impose a hotel
occupancy tax of up to three percent of the price paid for a room.
Chambers County is the only county that currently meets these requirements. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 352.002(d), Tax Code, to provide that this
subsection, which exempts a hotel located in a municipality that imposes a
municipal hotel occupancy tax from the hotel tax imposed by certain
counties, does not apply to a county that borders the Gulf of Mexico that
has a population of less than 40,000 and adjoins the most populous county
in this state. 

SECTION 2.  Amends Section 352.003, Tax Code, by adding Subsection (e), as
follows: 

(e)  Prohibits the tax rate in a county that borders the Gulf of Mexico and
that has a population of less than 40,000 and adjoins the most populous
county in this state from exceeding three percent of the price paid for a
room in a hotel. 

SECTION 3.Emergency clause.
  Effective date: upon passage.