AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

The municipal hotel occupancy tax generally is authorized to be collected and used only to promote tourism and the convention and hotel industry, limited to certain specified uses such as construction and operation of convention centers and similar facilities and venues. Among a variety of statutorily authorized purposes for which certain cities may use the tax revenue, there is a provision to allow the tax to be used for the promotion of tourism by the enhancement and upgrading of existing sports facilities or fields owned by the city.

 

The City of San Marcos is in critical need of additional support to maintain their sports facilities and fields that increasingly are being used to host tournaments and other sporting events that bring tourism into the burgeoning central Texas hub. Authorizing San Marcos to use some of its municipal hotel occupancy tax for this purpose would benefit their local economy and the hotel and tourism industry.

 

H.B. 3615 amends current law relating to the use of hotel occupancy tax revenues in certain municipalities.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Reenacts Section 351.101(a), Tax Code, as amended by Chapters 541 (S.B. 551) and 546 (S.B. 585), Acts of the 83rd Legislature, Regular Session, 2013, and amends it, as follows:

 

(a)  Requires that revenue from the municipal hotel occupancy tax be used only to promote tourism and the convention and hotel industry, and limits that use to certain activities as enumerated, including the promotion of tourism by the enhancement and upgrading of existing sports facilities or fields, including facilities or fields for baseball, softball, soccer, and flag football, if the municipality has a population of at least 40,000 and the San Marcos River flows through the municipality, subject to Section 351.1076 (Allocation of Revenue: Certain Municipalities). Makes nonsubstantive changes.

 

SECTION 2.  Provides that, to the extent of any conflict, this Act prevails over another Act of the 84th Legislature, Regular Session, 2015, relating to nonsubstantive additions to and corrections in enacted codes.

 

SECTION 3.  Effective date: upon passage or September 1, 2015.