BILL ANALYSIS
Senate Research Center S.B. 29
AUTHOR'S/SPONSOR'S STATEMENT OF INTENT
S.B. 29 authorizes the commissioners court of a county the entire border of which is located within 250 miles of New Mexico, that has a population of more than 100,000, that includes one municipality with a population of more than 90,000 but less than 120,000, and that includes within its borders an international airport, by the adoption of an order or resolution, to impose a tax on a person who, under a lease, concession, permit, right of access, license, contract, or agreement, pays for the use or possession or for the right to the use or possession of a room that is in a hotel, costs $2 or more each day, and is ordinarily used for sleeping.
S.B. 29 provides that the tax rate in a county authorized to impose this tax may not exceed two percent of the price paid for a room in a hotel in the county.
The tax expires September 1, 2007. S.B. 29 prohibits the county from imposing the tax on or after September 1, 2007.
RULEMAKING AUTHORITY
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 352.002, Tax Code, by adding Subsections (a-1) and (a-2), as follows:
(a-1) Authorizes, in addition to the counties described by Subsection (a), the commissioners court of a county the entire border of which is located within 250 miles of New Mexico, that has a population of more than 100,000, that includes one municipality with a population of more than 90,000 but less than 120,000, and that includes within its borders an international airport, by the adoption of an order or resolution to impose a tax on a person who, under a lease, concession, permit, right of access, license, contract, or agreement, pays for the use or possession or for the right to the use or possession of a room that is in a hotel, costs $2 or more each day, and is ordinarily used for sleeping.
(a-2) Provides that this subsection and Subsection (a-1) expire September 1, 2007. Prohibits a county described by Subsection (a-1) from imposing the tax authorized by that subsection on or after September 1, 2007.
SECTION 2. Amends Section 352.003, Tax Code, by adding Subsections (h) and (h-1), as follows:
(h) Prohibits the tax rate in a county authorized to impose the tax under Section 352.002(a-1) from exceeding two percent of the price paid for a room in a hotel in the county.
(h-1) Provides that this subsection and Subsection (h) expire September 1, 2007.
SECTION 3. Effective date: upon passage or the 91st day after adjournment.