LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session March 26, 2001 TO: Honorable Frank Madla, Chair, Senate Committee on Intergovernmental Relations FROM: John Keel, Director, Legislative Budget Board IN RE: SB1315 by Staples (Relating to the allocation of revenue from the municipal hotel occupancy tax.), As Introduced ************************************************************************** * No fiscal implication to the State is anticipated. * ************************************************************************** The bill would amend Chapter 351 of the Tax Code to allow revenue from the municipal hotel occupancy tax to be used for the promotion and event costs associated with sporting events where the principal participants were primarily tourists whose presence in the community would enhance hotel and motel activities. Under current law, revenue from the municipal hotel occupancy tax may be used for certain purposes only, including: promotion of tourism and acquisition of sites for construction of convention center facilities or visitor information centers; furnishing of facilities, personnel, and materials for the registration of convention delegates or registrants; or advertising and conducting solicitations and promotional programs to attract tourists and convention delegates. The bill would take effect immediately upon enactment, assuming that it received the requisite two-thirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1, 2001. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies: 304 Comptroller of Public Accounts LBB Staff: JK, SD