| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the authority of certain municipalities to use certain |
|
|
tax revenue for hotel and convention center projects and other |
|
|
qualified projects. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 351.1015, Tax Code, is amended by adding |
|
|
Subsection (m) to read as follows: |
|
|
(m) Notwithstanding any other provision of this section, a |
|
|
municipality may pledge or commit revenue under this section for |
|
|
only one qualified project. After a municipality pledges or commits |
|
|
revenue under this section for a qualified project, the |
|
|
municipality may not ever again pledge or commit revenue for a |
|
|
subsequent qualified project under this section. For purposes of |
|
|
this subsection, the term "municipality" includes a local |
|
|
government corporation created to aid and act on behalf of the |
|
|
municipality. |
|
|
SECTION 2. Section 351.102, Tax Code, is amended by adding |
|
|
Subsections (a-1), (b-1), and (b-2) to read as follows: |
|
|
(a-1) Notwithstanding Subsection (a), a municipality may |
|
|
not pledge or commit revenue under that subsection for the payment |
|
|
of principal of or interest on bonds or other obligations issued to |
|
|
pay the cost of the acquisition and construction of a convention |
|
|
center hotel or the cost of acquisition, remodeling, or |
|
|
rehabilitation of a historic hotel structure if the acquisition, |
|
|
construction, remodeling, or rehabilitation is commenced after |
|
|
December 1, 2016. |
|
|
(b-1) Notwithstanding Subsection (b) or (c) and except as |
|
|
provided by Subsection (b-2), a municipality may pledge or commit |
|
|
revenue under Subsection (b) for only one hotel project. After a |
|
|
municipality pledges or commits revenue under Subsection (b) for a |
|
|
hotel project, the municipality may not ever again pledge or commit |
|
|
revenue for a subsequent hotel project under that subsection. |
|
|
(b-2) A municipality that before January 1, 2025, pledged or |
|
|
committed revenue under this section for more than one hotel |
|
|
project: |
|
|
(1) is not subject to Subsection (b-1); and |
|
|
(2) may not on or after January 1, 2025, pledge or |
|
|
commit revenue under Subsection (b) for another hotel project. |
|
|
SECTION 3. Section 351.1021, Tax Code, is amended by adding |
|
|
Subsection (f) to read as follows: |
|
|
(f) An eligible municipality may pledge or commit revenue |
|
|
under this section for only one multipurpose convention center |
|
|
facility project. After an eligible municipality pledges or |
|
|
commits revenue under this section for a multipurpose convention |
|
|
center facility project, the municipality may never again pledge or |
|
|
commit revenue under this section for a subsequent multipurpose |
|
|
convention center facility project. For purposes of this |
|
|
subsection, the term "eligible municipality" includes a local |
|
|
government corporation created to aid and act on behalf of the |
|
|
municipality. |
|
|
SECTION 4. Section 351.1022, Tax Code, is amended by adding |
|
|
Subsection (f) to read as follows: |
|
|
(f) A municipality may pledge or commit revenue under this |
|
|
section for only one hotel project. After a municipality pledges or |
|
|
commits revenue under this section for a hotel project, the |
|
|
municipality may never again pledge or commit revenue under this |
|
|
section for a subsequent hotel project. |
|
|
SECTION 5. Section 351.106, Tax Code, is amended by adding |
|
|
Subsection (d) to read as follows: |
|
|
(d) In this subsection, "qualified project" has the meaning |
|
|
assigned by Section 351.1015. Notwithstanding any other provision |
|
|
of this section, a municipality may pledge or commit revenue under |
|
|
this section for only one qualified project. After a municipality |
|
|
pledges or commits revenue under this section for a qualified |
|
|
project, the municipality may not ever again pledge or commit |
|
|
revenue for a qualified project. |
|
|
SECTION 6. Section 351.155(d), Tax Code, is repealed. |
|
|
SECTION 7. The changes in law made by this Act do not affect |
|
|
the validity of a bond, contractual obligation, or other obligation |
|
|
for which revenue was pledged or committed under Subchapter B or C, |
|
|
Chapter 351, Tax Code, before the effective date of this Act. |
|
|
Bonds, contractual obligations, or other obligations for which |
|
|
revenue was pledged or committed before that date are governed by |
|
|
the law in effect when the revenue was pledged or committed, and |
|
|
that law is continued in effect for the purposes of the validity of |
|
|
those bonds, contractual obligations, and other obligations. |
|
|
SECTION 8. This Act takes effect immediately if it receives |
|
|
a vote of two-thirds of all the members elected to each house, as |
|
|
provided by Section 39, Article III, Texas Constitution. If this |
|
|
Act does not receive the vote necessary for immediate effect, this |
|
|
Act takes effect September 1, 2025. |