BILL ANALYSIS

C.S.H.B. 3117

By: Troxclair

Ways & Means

Committee Report (Substituted)

BACKGROUND AND PURPOSE

The bill author has informed the committee that the city council and mayor of Marble Falls see the potential for tourism and economic growth around Lake Marble Falls and that residents and local leaders have recognized that the city is a valuable asset, attracting visitors for recreation, water sports, and nature tourism. The bill author has also informed the committee that allowing the city to use hotel occupancy tax revenue for hotel and convention center projects would enable the city to invest in infrastructure that supports these projects and would address both the needs of the local economy and the growing demand for accommodations and venues to support conventions and gatherings in the region. C.S.H.B. 3117 seeks to support tourism and economic development in Marble Falls by enabling the use of certain tax revenue to improve local infrastructure.

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. 3117 amends the Tax Code to include a municipality with a population of 7,000 or more that contains Lake Marble Falls among the municipalities entitled to receive certain tax revenue derived from a hotel and convention center project and authorized to pledge or commit certain tax revenue for the payment of obligations related to the project.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2025.

COMPARISON OF INTRODUCED AND SUBSTITUTE

While C.S.H.B. 3117 may differ from the introduced in minor or nonsubstantive ways, the following summarizes the substantial differences between the introduced and committee substitute versions of the bill.

The substitute omits the provision from the introduced exempting an applicable municipality from municipal ownership requirements with respect to an otherwise qualified hotel or convention center facility for purposes of the entitlement and authorization granted by the bill.