HB 1039: bill repeals one hotel occupancy tax section

Caption

relating to the use of hotel occupancy tax revenue by certain municipalities.

Summary

Section 351.1035, gone.

The bill repeals one section of the Tax Code, Section 351.1035, which deals with how certain cities may use hotel occupancy tax money. It touches the cities covered by that section and the hotel tax revenue they collect. Hotel tax money collected after the bill takes effect would no longer fall under that section, while money collected earlier stays under the old rule.

Labels

Labels: GOT HALFWAY. Passed the House on May 13, 2025. Died in the Senate: never got out of the Economic Development committee.

Receipt

The receipt

89R-HB1039 · 2024-11-12

SOLD BY

Rep. Eddie MoralesDHouse 74

ITEM

relating to the use of hotel occupancy tax revenue by certain municipalities.

WHAT IT DOES

Section 351.1035, gone.

The bill repeals one section of the Tax Code, Section 351.1035, which deals with how certain cities may use hotel occupancy tax money. It touches the cities covered by that section and the hotel tax revenue they collect. Hotel tax money collected after the bill takes effect would no longer fall under that section, while money collected earlier stays under the old rule.

CHARGES

[ ] NONE FOUND

TOTAL

No fiscal implication to the State is anticipated.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · April 11, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

Nov 12, 2024Filed
Mar 7, 2025Read first time
Mar 7, 2025Referred to Ways & Means
Apr 14, 2025Scheduled for public hearing on . . .
Apr 14, 2025Considered in public hearing
Apr 14, 2025Testimony taken/registration(s) recorded in committee
Apr 14, 2025Left pending in committee
May 1, 2025Considered in formal meeting
May 1, 2025Reported favorably w/o amendment(s)
May 6, 2025Comte report filed with Committee Coordinator
May 7, 2025Committee report distributed
May 7, 2025Committee report sent to Calendars
May 8, 2025Considered in Calendars
May 10, 2025Placed on General State Calendar
May 12, 2025Read 2nd time
May 12, 2025Amended 1-E. Morales
May 12, 2025Passed to engrossment as amended
May 12, 2025Record vote RV#2239
May 13, 2025Read 3rd time
May 13, 2025Passed
May 13, 2025Record vote RV#2304
May 13, 2025Statement(s) of vote recorded in Journal
May 13, 2025Reported engrossed
May 14, 2025Received from the House
May 21, 2025Read first time
May 21, 2025Referred to Economic Development

FILED UNDER

No verified beat found.

SIGNED FOR BY

House · 102 yea · 39 nay

Sources

House: Final passage · May 13, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

All floor motions and other positions below.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

Eddie Morales

Donors

Texas Trial Lawyers Association PAC$101K Legacy 44$100K Texas REALTORS Political Action Committee$57K

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Oct 27, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Texas Trial Lawyers Association PAC$101,077.16

Texas Trial Lawyers Association PAC

$101,077.16

Cash: $80,000.00
Paid by others: $21,077.16
Total: $101,077.16

mailers $21,077.16

Also funds 137 other sitting lawmakers.

Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Oct 27, 2024 to Oct 1, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100983216, 101059340, 101067651, 101071574.

Legacy 44$100,000.00

Legacy 44

$100,000.00

Cash: $30,000.00
Paid by others: $70,000.00
Total: $100,000.00

digital $70,000.00

Also funds 33 other sitting lawmakers.

Derived recipient stock · Oct 21, 2024 to Oct 20, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Oct 29, 2024 to Sep 21, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100983216, 101067651.

Texas REALTORS Political Action Committee$56,517.22

Texas REALTORS Political Action Committee

$56,517.22

Cash: $37,500.00
Paid by others: $19,017.22
Total: $56,517.22

mail $18,992.22grassroots $25.00

Also funds 140 other sitting lawmakers.

Derived recipient stock · Jul 2, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Nov 2, 2024 to Sep 2, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100983216, 101031005, 101067651.

Money

Missing data does not establish zero giving. Display amounts are rounded.

×

Texas Trial Lawyers Association PAC

$101,077.16

Cash: $80,000.00
Paid by others: $21,077.16
Total: $101,077.16

mailers $21,077.16

Also funds 137 other sitting lawmakers.

Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Oct 27, 2024 to Oct 1, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100983216, 101059340, 101067651, 101071574.

×

Legacy 44

$100,000.00

Cash: $30,000.00
Paid by others: $70,000.00
Total: $100,000.00

digital $70,000.00

Also funds 33 other sitting lawmakers.

Derived recipient stock · Oct 21, 2024 to Oct 20, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Oct 29, 2024 to Sep 21, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100983216, 101067651.

×

Texas REALTORS Political Action Committee

$56,517.22

Cash: $37,500.00
Paid by others: $19,017.22
Total: $56,517.22

mail $18,992.22grassroots $25.00

Also funds 140 other sitting lawmakers.

Derived recipient stock · Jul 2, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Nov 2, 2024 to Sep 2, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100983216, 101031005, 101067651.

Votes2

House May 13, 2025

Yea: 102
Nay: 39
Present, not voting: 2
Absent: 3
Excused: 4

Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 2304

HB 1039 was passed by (Record 2304): 102 Yeas, 39 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

Yea: 102 (published)
Nay: 39 (published)
Present, not voting: 2 (published)
Absent: 3 (derived from named list)
Excused: 4 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

House May 12, 2025

Yea: 99
Nay: 41
Present, not voting: 2
Absent: 3
Excused: 5

Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 2239

HB 1039, as amended, was passed to engrossment by (Record 2239): 99 Yeas, 41 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

Yea: 99 (published)
Nay: 41 (published)
Present, not voting: 2 (published)
Absent: 3 (derived from named list)
Excused: 5 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Witnesses6

For: 3
Against: 0
On: 3

Names

For

Self1 registration
Texas Hotel & Lodging Association1 registration
Texas Travel Alliance1 registration

On

Texas Comptroller of Public Accounts3 registrations

Sources

6 parsed registrations across the loaded witness lists.

Derived stock of witness registrations. Repeated appearances count separately. Organizations and self-representation appear as printed.

House witness list. Source snapshot 2026-10-20, Central time.

Fiscal

No fiscal implication to the State is anticipated.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · April 11, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.

Sources

Texas House · Filed Nov 12, 2024

05/21/2025 S Referred to Economic Development

Texas Legislature Online · Introduced · House Committee Report · Engrossed

Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.

House committee · Ways & Means · Committee vote 11 aye, 0 nay, 2 absent · Out of committee

Senate committee · Economic Development · Final status: Died in committee

Companion

SB 913 by Blanco (identical)

Subjects

ALPINE, CITY OF (GB1KQ)

City Government--Finance

Taxation--Hotel, Motel Occupancy

BORDER

Text

The text as introduced · 153 words

89R3222 CJD-F

By: Morales of Maverick
H.B. No. 1039

A BILL TO BE ENTITLED

AN ACT

relating to the use of hotel occupancy tax revenue by certain

municipalities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 351.1035, Tax Code, is repealed.

SECTION 2. The change in law made by this Act applies only

to revenue collected on or after the effective date of this Act.

Revenue collected before the effective date of this Act is governed

by the law in effect when the revenue was collected, and the former

law is continued in effect for that purpose.

SECTION 3. 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.

Verdict: No flags

The receipt

SOLD BY

ITEM

WHAT IT DOES

CHARGES

TOTAL

HISTORY

SIGNED FOR BY

Donors

Texas Trial Lawyers Association PAC

Legacy 44

Texas REALTORS Political Action Committee

Texas Trial Lawyers Association PAC

Legacy 44

Texas REALTORS Political Action Committee

House May 13, 2025

House May 12, 2025

For

On

Companion