BILL ANALYSIS

C.S.H.B. 3113

By: Gonzales, Larry

Ways & Means

Committee Report (Substituted)

BACKGROUND AND PURPOSE

According to interested parties, certain cities, such as the City of Round Rock, are experiencing explosive growth that shows no signs of slowing, and the parties further note that such cities lack adequate conference facilities. C.S.H.B. 3113 seeks to provide such a city with an additional economic development tool to strengthen tourism and better position the city to act quickly to provide needed conference space.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

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

C.S.H.B. 3113 amends the Tax Code to include a municipality with a population of 96,000 or more that is located in a county that borders Lake Palestine or contains the headwaters of the San Gabriel River among the municipalities authorized to pledge revenue derived from the municipal hotel occupancy tax from certain hotel projects for payment of obligations issued or incurred to acquire, lease, construct, and equip the hotels and any facilities ancillary to the hotels. The bill includes within such facilities meeting spaces, public spaces, including open public spaces used for connectivity, plazas, and street and water and sewer infrastructure and includes as a hotel project from which the tax revenue is derived a project located on land that will be owned by the municipality. The bill makes the authorization for a municipality with a population of 173,000 or more that is located within two counties to pledge that revenue for those purposes applicable to a municipality with that same population located within two or more counties.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2015.

COMPARISON OF ORIGINAL AND SUBSTITUTE

C.S.H.B. 3113 differs from the original in minor or nonsubstantive ways by conforming to certain bill drafting conventions.