SRC-JJJ C.S.S.B. 1166 76(R)BILL ANALYSIS


Senate Research CenterC.S.S.B. 1166
76R12275 CBH-DBy: Wentworth
Intergovernmental Relations
4/15/1999
Committee Report (Substituted)


DIGEST 

Currently, municipalities in certain areas with a population of less than
5,000 have to deal with problems caused by travel and tourism, but do not
have the resources to address issues, such as traffic and public safety.
These cities have the authority to collect hotel occupancy taxes to address
some of these problems, but only with an established travel and tourism
bureau.  C.S.S.B. 1166 would establish purposes for which certain
municipalities may use revenue from the municipal hotel occupancy tax. 

PURPOSE

As proposed, C.S.S.B. 1166 establishes purposes for which certain
municipalities may use revenue from the municipal hotel occupancy tax. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 351B, Tax Code, by adding Sections 351.1012 and
351.1066, as follows: 

Sec. 351.1012.  USE OF REVENUE: SMALL MUNICIPALITIES.  Authorizes a
municipality with a population of less than 5,000 that is partially
surrounded by a municipality with a population of more than 900,000 to use
revenue from the hotel occupancy tax for any general revenue purpose or
general governmental operation of the municipality. 

Sec. 351.1066.  ALLOCATION OF REVENUE: SMALL MUNICIPALITIES.  Authorizes
the governing body of a municipality with a population of less than 5,000
that is partially surrounded by a  municipality with a population of more
than 900,000 to allocate hotel occupancy tax revenue among the permitted
uses as determined by the ordinance. 

 Effective date: 90 days upon adjournment.

SUMMARY OF COMMITTEE CHANGES

SECTION 1. 

Amends Sections 351.1012 and 351.1066, Tax Code, regarding the use and
allocation of revenues in small municipalities consisting of a population
of less than 5,000 that is partially surrounded by a  municipality with a
population of more than 900,000.