LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION

March 23, 2009

TO:	Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	SB959 by Duncan (Relating to the authority of certain counties to impose a hotel occupancy tax for the maintenance and operation of a coliseum in the county.), As Introduced

No fiscal implication to the State is anticipated.

The bill would amend Chapter 352 of the Tax Code, regarding the county hotel occupancy tax.

The bill would take effect immediately upon enactment, if it receives two-thirds vote in each house. Otherwise, it would take effect September 1, 2009.

Local Government Impact

Based on the geographical limitations set forth in the bill, the only location affected would be Scurry County. The bill would allow the commissioners court to impose a hotel occupancy tax not to exceed 4 percent. The bill would restrict the use of this new tax revenue source to the maintenance and operation of a coliseum in the county. While the impact cannot be estimated, if the county hotel tax was levied at the full 4 percent rate, the local revenue could be up to $150,000 in the first full year.

Source Agencies:

304 Comptroller of Public Accounts

LBB Staff:

JOB, DB, SD, MN, TP