| TO: | Honorable Frank Madla, Chair, Senate Committee on Intergovernmental Relations |
| FROM: | John Keel, Director, Legislative Budget Board |
| IN RE: | SB1466 by Lindsay (Relating to hotel occupancy taxes and the financing of convention center facilities in certain counties. ), Committee Report 1st House, Substituted |
The bill would amend Chapter 352 of the Tax Code to include certain hotels in the definition for "convention center complex" or "convention center facilities" in a county with a population of more than 3.3 million. The hotels would be those owned by the county or by a nonprofit local government corporation sponsored by the county created under Chapter 431 of the Government Code and located within 1,000 feet of a convention center or stadium. The bill would make a conforming definitional change in Section 1477.302 of the Government Code.
Under the provisions of the bill, in a county with a population of 3.3 million or more, a county, municipality, or political subdivision would be prohibited from adopting or levying an additional hotel occupancy tax if doing so would result in a combined rate that would exceed 17 percent at any location within the county.
The bill would allow revenue from the county hotel occupancy tax to be used by a county having a population of more than 3.3 million for the acquisition of sites for and the construction, improvement, equipping, operation, repairing, and maintenance of hotels owned by that county or owned by a nonprofit local government corporation sponsored by that county, within 1,000 feet of a convention center or stadium.
The bill would take effect immediately if it receives a two-thirds vote in each house; otherwise, it would take effect September 1, 2003.
Currently, only Harris County has a population of more than 3.3 million.
| Source Agencies: | 304 Comptroller of Public Accounts
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| LBB Staff: | JK, DLBa
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