LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION
 
April 9, 2003

TO:
Honorable Fred Hill, Chair, House Committee on Local Government Ways and Means
 
FROM:
John Keel, Director, Legislative Budget Board
 
IN RE:
HB2162 by McReynolds (Relating to the authority of certain counties to impose a hotel occupancy tax.), Committee Report 1st House, Substituted



Estimated Two-year Net Impact to General Revenue Related Funds for HB2162, Committee Report 1st House, Substituted: an impact of $0 through the biennium ending August 31, 2005.



Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2004 $0
2005 $0
2006 $0
2007 $0
2008 $0




Fiscal Year Probable Revenue Gain/(Loss) from
County of Tyler
2004 $27,000
2005 $27,000
2006 $28,000
2007 $29,000
2008 $30,000

Fiscal Analysis

The bill would amend Chapter 352 of the Tax Code to authorize a county having a population of no more than 21,000, bordering the Neches River, and in which there is located a national preserve, to impose a county hotel occupancy tax.

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, 2003.


Methodology

Based on the bill's eligibility requirements, the county of Tyler would be the only additional county authorized to impose a county hotel occupancy tax.

Under current law, unless otherwise specified, a county that imposes a hotel occupancy tax may not impose the tax at a rate that exceeds seven percent of the price paid for a room.

This analysis assumes the county of Tyler would impose the tax at a rate of seven percent.


Local Government Impact

The fiscal impact to local government is illustrated in the above table.


Source Agencies:
304 Comptroller of Public Accounts
LBB Staff:
JK, WP, SD