BILL ANALYSIS

C.S.H.B. 4659

By: Garcia Hernandez, Cassandra

Ways & Means

Committee Report (Substituted)

BACKGROUND AND PURPOSE

The bill author has informed the committee that Addison, Texas, is a dynamic economic center in the Dallas-Fort Worth area, which hosts major corporations that are drawn to the area due to the proximity to an airport and the community's commitment to business growth. The bill author has further informed the committee that, with a strategic focus on economic development, Addison continues to enhance its appeal and expand opportunities, and that the municipality would be able to attract more visitors and businesses, promote infrastructure enhancements, and benefit residents economically if authorized to use certain tax revenue related to a hotel and convention center project. C.S.H.B. 4659 seeks to achieve those goals and establish a dedicated funding source to support the development of such projects by including Addison among the municipalities entitled to receive certain tax revenues from hotel and convention center projects and authorized to allocate certain tax revenue to support such a project.

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. 4659 amends the Tax Code to include 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 a municipality with a population of more than 16,000 but less than 18,000 that is located in a county with a population of more than 2.5 million that is adjacent to a county with a population of more than 2.1 million.

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. 4659 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.

Whereas the introduced included a municipality that has a population of 16,000 or more, is located entirely within a county with a population of 2.6 million or more, and is labeled as a "town" in the most recent U.S. census among the municipalities entitled to receive certain tax revenue derived from a hotel and convention center and authorized to pledge or commit certain tax revenue for the payment of obligations related to the project, the substitute instead includes a municipality with a population of more than 16,000 but less than 18,000 that is located in a county with a population of more than 2.5 million that is adjacent to a county with a population of more than 2.1 million among such municipalities. The introduced additionally entitled the applicable municipality to receive the sales and use tax revenue and, if applicable, the mixed beverage tax revenue derived from qualifying restaurants, bars, retail establishments, and swimming pools and swimming facilities owned or operated by the related qualified hotel that are located in the municipality, whereas the substitute does not.