LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

March 10, 2007

TO:	Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	SB462 by Harris (Relating to the allocation of revenue from the municipal hotel occupancy tax for the arts for certain municipalities.), As Introduced

No fiscal implication to the State is anticipated.

The bill would add a new section to Chapter 351 of the Tax Code, relating to the allocation of the municipal hotel occupancy tax revenue for the arts for certain municipalities. Under the bill, certain municipalities with a population of more than 190,000 may use an amount less than or equal to 24 percent of its hotel occupancy tax collections for the purposes provided by Section 351.101(a) (4), if the municipality is located in a county in which another municipality with a population of more than one million is predominately located.

Currently only the municipalities of Irving and Garland meet the criteria established in the bill.

The new section established by the bill would expire September 1, 2022.

The bill would take effect immediately if it receives two-thirds vote in each house; otherwise, it would take effect September 1, 2007.

Local Government Impact

Because the bill would not have statewide impact on units of local government of the same type or class, no comment from this office is required by the rules of the House/Senate as to its probable fiscal implication on units of local government.

Source Agencies:

304 Comptroller of Public Accounts

LBB Staff:

JOB, DB, SD, CT, EB, KJG