BILL ANALYSIS

H.B. 3076

By: Gallego

Ways & Means

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Currently, the county hotel occupancy tax rate in a county that borders the United Mexican States and in which there is located a national park of more than 400,000 acres may not exceed seven percent of the price paid for a room in a hotel.  H.B. 3076 would apply the same maximum tax rate to a county that borders the United Mexican States and in which there is located a national recreation area and would authorize such a county to impose a hotel occupancy tax where a municipality in the county also imposes such a tax under the condition that the combined tax rate does not exceed seven percent.

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

H.B. 3076 amends the Tax Code to prohibit the county hotel occupancy tax rate in a county that borders the United Mexican States and in which there is located a national recreation area from exceeding seven percent of the price paid for a room in the hotel.  The bill authorizes such a county, if a municipality in the county imposes a municipal hotel occupancy tax, to impose the county hotel occupancy tax on a hotel to which the municipal tax applies at a rate that, when added to the municipal tax rate, does not exceed seven percent of the price paid for a room in the hotel.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2011.