SRC-JEC H.B. 2681 77(R) BILL ANALYSIS Senate Research Center H.B. 2681 77R8080 CBH-FBy: Allen (West, Royce) Intergovernmental Relations 5/10/2001 Engrossed DIGEST AND PURPOSE Since completion of Joe Pool Lake, the City of Grand Prairie has attempted to attract a hotel and resort development to the lake's Estes Peninsula which is technically part of the city's park system. The placement of a city-owned convention and conference center on the peninsula may enhance the ability to attract a resort development that could compete nationally to bring tourist and business dollars to Texas. However, revenue from a hotel occupancy tax which is authorized to be used for the construction and operation of convention centers is prohibited from being used for an area or facility that is part of a municipal parks and recreation system. H.B. 2681 authorizes a certain municipality that acquires an interest in real property that by the terms of the acquisition is required to be maintained as park property to use a municipal hotel occupancy tax to construct a convention center facility on the acquired real property. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 334.2515, Local Government Code, to add an exception. SECTION 2. Amends Chapter 334H, Local Government Code, by adding Section 334.2516, as follows: Sec. 334.2516. USE OF REVENUE BY CERTAIN MUNICIPALITIES FOR CERTAIN PURPOSES. (a) Provides that this section applies only to a municipality that meets certain criteria. (b) Authorizes a municipality to use revenue under this subchapter to acquire, construct, improve, and equip a venue project that is a convention center facility or related infrastructure to be constructed on real property described by Subsection (a)(3). Additionally authorizes the municipality to pledge the revenue to the payment of bonds or other obligations the municipality issues to finance the convention center facility infrastructure. SECTION 3. Effective date: upon passage or September 1, 2001.