BILL ANALYSIS

 

 

Senate Research Center                                                                                                        S.B. 213

                                                                                                                                            By: Fraser

                                                                                                               Intergovernmental Relations

                                                                                                                                              7/3/2007

                                                                                                                                              Enrolled

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Under current law, a county that borders Lake Buchanan with a population of 34,000 or more is allowed to impose a hotel occupancy tax. This bill will allow counties with a population of 15,000 or more that border Lake Buchanan to impose the hotel occupancy tax under Section 352.002, Tax Code.

 

S.B. 213 extends the hotel occupancy taxing ability to all counties that border Lake Buchanan.  S.B. 213 also authorizes a county with a population of less than 10,000 that borders the Sulphur River to impose a hotel occupancy tax.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Section 352.002, Tax Code, by amending Subsections (a) and (d) and adding Subsection (f), as follows:

 

(a) Includes a county that borders Lake Buchanan and has a population between 15,000 and 20,000 and a county with a population of less than 10,000 that borders the Sulphur River as counties in which the commissioners court is authorized to impose a county hotel occupancy tax.

 

(d)  Includes a tax imposed by a county with a population of less than 10,000 that borders the Sulphur River as a tax that does not apply to a hotel located in a municipality that imposes a tax under Chapter 351 (Municipal Hotel Occupancy Tax) applicable to the hotel. 

 

(f)  Provides that a tax imposed by a county that borders Lake Buchanan and has a population between 15,000 and 20,000 does not apply to a hotel located in a municipality. 

 

SECTION 2. Amends Section 352.003(g), Tax Code, as follows:

 

(g) Prohibits the tax rate in a county authorized to impose the tax under Section 352.002(a)(18), rather than Section 352.002(a)(17), from exceeding two percent of the price paid for a room in a hotel.  

 

SECTION 3. Effective date: upon passage or September 1, 2007.