BILL ANALYSIS

C.S.H.B. 1773

                                                                                                                                            By: Miller

Local Government Ways & Means

Committee Report (Substituted)

BACKGROUND AND PURPOSE

Currently, counties, as well as some cities are authorized to impose a hotel occupancy tax.  In some instances this, this poses a double taxation upon the hotels.  This legislation would remove the authority from Somervell county, allowing them to opt out of imposing the tax upon cities within its jurisdiction.  The committee substitute makes changes so that only Somervell county is affected by this legislation.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. 

ANALYSIS

Section 1.  This section codifies the language of the statute with changes made during previous legislative sessions.  (No new changes are added by this bill).
 
Section 2.  Adds subsection (9), "a county that that has a population of less than 12,00 and an area of less than 275 square miles," to the statute stating those counties which are not eligible to impose a hotel occupancy tax upon a municipality within its jurisdiction already authorized to do so.  This would not apply to a county that has a population of more than 9,000.
 

Section 3. Effective date is September 1, 2005.

EFFECTIVE DATE

September 1, 2005.

COMPARISON OF ORIGINAL TO SUBSTITUTE

Changes Section 2 of the bill so that only Somervell county is affected.