1-1 By: Ritter (Senate Sponsor - Bernsen) H.B. No. 2756 1-2 (In the Senate - Received from the House April 30, 2001; 1-3 May 1, 2001, read first time and referred to Committee on 1-4 Intergovernmental Relations; May 10, 2001, reported favorably by 1-5 the following vote: Yeas 5, Nays 0; May 10, 2001, sent to 1-6 printer.) 1-7 A BILL TO BE ENTITLED 1-8 AN ACT 1-9 relating to the recording of expenditures of revenue from the 1-10 county hotel occupancy tax. 1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-12 SECTION 1. Subchapter B, Chapter 352, Tax Code, is amended 1-13 by adding Section 352.109 to read as follows: 1-14 Sec. 352.109. RECORDS. (a) A county shall maintain a record 1-15 that accurately identifies the receipt and expenditure of all 1-16 revenue derived from the tax imposed under this chapter. 1-17 (b) A county or entity that spends revenue derived from the 1-18 tax imposed under this chapter shall, before making an expenditure, 1-19 specify in a list each scheduled activity or event that: 1-20 (1) is directly funded by the tax or is offered by an 1-21 entity that has its administrative costs funded wholly or partly by 1-22 the tax; and 1-23 (2) directly promotes tourism and hotel and convention 1-24 activity. 1-25 (c) If the commissioners court of a county delegates to 1-26 another entity the management or supervision of an activity or 1-27 event funded by the tax imposed under this chapter, each entity 1-28 that is ultimately funded by the tax shall, before making an 1-29 expenditure, specify in a list each scheduled activity or event 1-30 that: 1-31 (1) is directly funded by the tax or is offered by an 1-32 entity that has its administrative costs funded wholly or partly by 1-33 the tax; and 1-34 (2) directly promotes tourism and hotel and convention 1-35 activity. 1-36 (d) Subsections (b) and (c) do not prevent the county or 1-37 funded entity from subsequently adding an activity or event to the 1-38 list required by those subsections if the activity or event 1-39 directly promotes tourism and hotel and convention activity. 1-40 (e) This section does not prevent a county or funded entity 1-41 from setting aside tax revenue in a designated reserve fund for use 1-42 in supporting planned activities, future events, and facility 1-43 improvements that directly promote tourism and hotel and convention 1-44 activity. 1-45 (f) For the purposes of this section, all expenditures for a 1-46 sports and community venue project and related infrastructure, as 1-47 those terms are defined by Section 334.001, Local Government Code, 1-48 are a single scheduled activity or event. 1-49 SECTION 2. (a) This Act takes effect September 1, 2001. 1-50 (b) Section 352.109, Tax Code, as added by this Act, applies 1-51 only to an expenditure made on or after the effective date of this 1-52 Act, without regard to whether the expenditure is from revenue 1-53 collected under Chapter 352, Tax Code, before, on, or after that 1-54 date. 1-55 (c) An expenditure made before the effective date of this 1-56 Act is governed by the law applicable to the action immediately 1-57 before the effective date of this Act, and that law is continued in 1-58 effect for that purpose. 1-59 * * * * *