By Allen                                              H.B. No. 2681
         77R8080 CBH-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the authority of certain municipalities to use hotel
 1-3     occupancy tax revenue for certain venue projects.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 334.2515, Local Government Code, is
 1-6     amended to read as follows:
 1-7           Sec. 334.2515.  APPLICATION. Except as provided by Section
 1-8     334.2516, this [This] subchapter does not apply to the financing of
 1-9     a venue project that is an area or facility that is part of a
1-10     municipal parks and recreation system.
1-11           SECTION 2. Subchapter H, Chapter 334, Local Government Code,
1-12     is amended by adding Section 334.2516 to read as follows:
1-13           Sec. 334.2516.  USE OF REVENUE BY CERTAIN MUNICIPALITIES FOR
1-14     CERTAIN PURPOSES. (a)   This section applies only to a municipality
1-15     that:
1-16                 (1)  is located in three counties;
1-17                 (2)  has a population of less than 120,000; and
1-18                 (3)  acquires by purchase or lease with a term of not
1-19     less than 20 years an interest in real property that by the terms
1-20     of the acquisition is required to be maintained as park property.
1-21           (b)  A municipality may use revenue under this subchapter to
1-22     acquire, construct, improve, and equip a venue project that is a
1-23     convention center facility or related infrastructure to be
1-24     constructed on real property described by Subsection (a)(3).  In
 2-1     addition, the municipality may pledge the revenue to the payment of
 2-2     bonds or other obligations the municipality issues to finance the
 2-3     convention center facility infrastructure.
 2-4           SECTION 3.  This Act takes effect immediately if it receives
 2-5     a vote of two-thirds of all the members elected to each house, as
 2-6     provided by Section 39, Article III, Texas Constitution.  If this
 2-7     Act does not receive the vote necessary for immediate effect, this
 2-8     Act takes effect September 1, 2001.