By Lewis of Tarrant                                   H.B. No. 2082
         76R8187 DAK-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to certain hotel facilities.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Section 151.429, Tax Code, is amended by amending
 1-5     Subsection (h) and adding Subsection (i) to read as follows:
 1-6           (h)  Notwithstanding Subsections (a) through (g) [the other
 1-7     provisions of this section], the owner of a qualified hotel project
 1-8     shall receive a rebate, refund, or payment of 100 percent of the
 1-9     sales and use taxes paid or collected by the qualified hotel
1-10     project or businesses located in the qualified hotel project
1-11     pursuant to this chapter and 100 percent of the hotel occupancy
1-12     taxes paid by persons for the use or possession of or for the right
1-13     to the use or possession of a room or space at the qualified hotel
1-14     project pursuant to the provisions of Chapter 156 during the first
1-15     10 years after such qualified hotel project is open for initial
1-16     occupancy.  The rebate, refund, or payment of sales and use taxes
1-17     does not apply to a qualified hotel project described under
1-18     Subsection (i).
1-19           (i)  After January 1, 1999, a qualified hotel project may be
1-20     constructed in each eligible central municipality, as defined by
1-21     Section 351.001.  This subsection does not apply to a municipality
1-22     with a population of 1,500,000 or more.
1-23           SECTION 2.  Section 351.001(2), Tax Code, is amended to read
1-24     as follows:
 2-1                 (2)  "Convention center facilities" or "convention
 2-2     center complex" means civic centers, civic center buildings,
 2-3     auditoriums, exhibition halls, and coliseums that are owned by the
 2-4     municipality or other governmental entity or that are managed in
 2-5     whole or part by the municipality, hotels owned by the municipality
 2-6     or a nonprofit municipally sponsored local government corporation
 2-7     created under Chapter 431, Transportation Code, within 1,000 feet
 2-8     of a convention center owned by a municipality with a population of
 2-9     1,500,000 or more, or a historic hotel owned by a municipality or a
2-10     nonprofit municipally sponsored local government corporation
2-11     created under Chapter 431, Transportation Code, within one mile of
2-12     a convention center owned by a municipality with a population of
2-13     1,500,000 or more.  The term includes parking areas or facilities
2-14     that are for the parking or storage of conveyances and that are
2-15     located at or in the vicinity of other convention center
2-16     facilities.  The term also includes a hotel owned by or located on
2-17     land that is owned by an eligible central municipality or by a
2-18     nonprofit corporation acting on behalf of an eligible central
2-19     municipality and is located within 1,000 feet of a convention
2-20     center facility owned by the municipality.
2-21           SECTION 3.  Section 351.102, Tax Code, is amended by adding
2-22     Subsection (c) to read as follows:
2-23           (c)  An eligible central municipality may pledge the revenue
2-24     derived from the tax imposed under this chapter from a hotel that
2-25     is owned by or located on land owned by the municipality or by a
2-26     nonprofit corporation acting on behalf of an eligible central
2-27     municipality and is located within 1,000 feet of a convention
 3-1     center facility owned by the municipality for the payment of bonds
 3-2     issued for the construction of the hotel.
 3-3           SECTION 4.  Section 2303.003(8), Government Code, is amended
 3-4     to read as follows:
 3-5                 (8)  "Qualified hotel project" means a hotel proposed
 3-6     to be constructed by a municipality or a nonprofit municipally
 3-7     sponsored local government corporation created under Chapter 431,
 3-8     Transportation Code, [the Texas Transportation Corporation Act
 3-9     (Article 1528l, Vernon's Texas Civil Statutes)] that is within
3-10     1,000 feet of a convention center owned by a municipality having a
3-11     population of 1,500,000 or more, including shops, parking
3-12     facilities, and any other facilities ancillary to the hotel. The
3-13     term also includes a hotel owned by or located on land that is
3-14     owned by an eligible central municipality, as defined by Section
3-15     351.001, Tax Code, or by a nonprofit corporation acting on behalf
3-16     of an eligible central municipality, and is located within 1,000
3-17     feet of a convention center facility owned by the municipality,
3-18     including shops, parking facilities, and any other facilities
3-19     ancillary to the hotel.
3-20           SECTION 5.  Section 2, Chapter 63, Acts of the 59th
3-21     Legislature, Regular Session, 1965 (Article 1269j-4.1, Vernon's
3-22     Texas Civil Statutes), is amended by adding Subsection (c) to read
3-23     as follows:
3-24           (c)  An eligible central municipality, as defined by Section
3-25     351.001, Tax Code, may establish, acquire, lease as lessee or
3-26     lessor, purchase, construct, improve, enlarge, equip, repair,
3-27     operate, or maintain a hotel that is owned by or located on land
 4-1     owned by the municipality or by a nonprofit corporation acting on
 4-2     behalf of an eligible central municipality and is located within
 4-3     1,000 feet of a convention center facility owned by the
 4-4     municipality.  An eligible central municipality may also issue
 4-5     bonds or incur other obligations to acquire, lease, construct, or
 4-6     equip a hotel that is owned by or located on land owned by the
 4-7     municipality or by a nonprofit corporation acting on behalf of an
 4-8     eligible central municipality and that is located within 1,000 feet
 4-9     of a convention center owned by the municipality.
4-10           SECTION 6.  This Act takes effect September 1, 1999.
4-11           SECTION 7.  The importance of this legislation and the
4-12     crowded condition of the calendars in both houses create an
4-13     emergency and an imperative public necessity that the
4-14     constitutional rule requiring bills to be read on three several
4-15     days in each house be suspended, and this rule is hereby suspended.