BILL ANALYSIS

Senate Research Center	C.S.H.B. 4187
85R31097 ADM-F	By: Raney; Kacal (Schwertner)
	Natural Resources & Economic Development
	5/19/2017
	Committee Report (Substituted)

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

In previous sessions, the municipal hotel tax was made available for the use of building sports facilities or fields to benefit tourism and the local economy without raising taxes. 

H.B. 4187 holds municipalities accountable for the funds spent on sports facilities and fields from the hotel occupancy tax (HOT) fund through reports published every two and four years. Municipalities must include specific goals to make up for shortcomings in projects which do not add back to the HOT funds so as to promote economic stewardship. Municipalities must also make this report readily available on the internet for public access. (Original Author's / Sponsor's Statement of Intent)

C.S.H.B. 4187 amends current law relating to the use of revenue from municipal hotel occupancy taxes for a sports facility or field 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. Amends Section 351.1078, Tax Code, by adding Subsections (a-1) and (c), as follows:

(a-1) Requires that the report described by Subsection (a)(2) (relating to requiring a municipality that spends municipal hotel occupancy tax (HOT) revenue to annually determine and prepare a certain report) be made accessible through a link that appears in a prominent place on the municipality's Internet website.

(c) Requires a municipality to which this section applies, at least annually, to compare the actual area hotel revenue that is attributable to sporting events held at the sporting related facility or sports field described by Section 351.101(i) (relating to authorizing a certain municipality to use revenue from the municipal hotel tax to promote certain industries) to the projected annual amount of that revenue anticipated by the municipality to be generated as a result of the construction or expansion of the facility or field. Requires the municipality, if area hotel revenue attributable to sporting events held at the facility or field is less than the projected amount, to, as soon as practicable, develop and implement a plan to increase that revenue.

SECTION 2. Effective date: upon passage or September 1, 2017.