AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
The Will Rogers Memorial Center in Fort Worth attracts in excess of two million people per year due to its ability to host an extensive variety of cultural, equestrian, and recreational events. To enhance the venue's capability to serve as economic generator for the city, plans are underway to expand its seating capacity, increase its handicap accessibility, and construct new facilities. S.B. 1180 gives Fort Worth residents the option to increase the city's hotel occupancy tax from two percent to three percent to finance these renovations, relying on revenue coming mostly from visitors. Additionally, it allows the City of Fort Worth to impose the current livestock facility-use tax on livestock stalls or pens adjacent to the venue.
As proposed, S.B. 1180 amends current law relating to hotel occupancy taxes and livestock facility use taxes for certain venue projects.
RULEMAKING AUTHORITY
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 334.254, Local Government Code, by amending Subsection (a) and adding Subsection (d), as follows:
(a) Creates an exception to this subsection under Subsection (d).
(d) Authorizes a municipality with a population of more than 700,000 located in a county with a population of more than one million that is adjacent to a county with a population of more than two million to impose the tax authorized by this subchapter at any rate not to exceed three percent of the price paid for a room in a hotel.
SECTION 2. Amends Section 334.255, Local Government Code, by adding Subsection (c), to provide that this section does not apply to a municipality described by Section 334.254(d).
SECTION 3. Amends Subchapter H, Chapter 334, Local Government Code, by adding Section 334.2551, as follows:
Sec. 334.2551. RATE INCREASE IN CERTAIN POPULOUS MUNICIPALITIES. (a) Provides that this section applies only to a municipality described by Section 334.254(d).
(b) Authorizes a municipality that has adopted a tax under this subchapter at a rate of less than three percent to by ordinance increase the rate of the tax to the maximum applicable rate if the increase is approved by a majority of the registered voters of that municipality voting at an election held for that purpose.
(c) Sets forth the required language for the ballot.
SECTION 4. Amends Section 334.401(1), Local Government Code, to redefine "designated facility."
SECTION 5. Amends Section 334.403(b), Local Government Code, to authorize the municipality or county to impose the facility use tax under this subchapter only at a designated facility that is or includes an approved venue project.
SECTION 6. Effective date: upon passage or September 1, 2011.