bill letting more counties charge hotel tax inside cities

The text as introduced · 524 words

89R12206 CJD-F

By: McLaughlin
H.B. No. 2965

A BILL TO BE ENTITLED

AN ACT

relating to the applicability of a hotel occupancy tax in and the

use of hotel occupancy tax revenue by certain counties.

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

SECTION 1. Section 352.002(d), Tax Code, is amended to read

as follows:

(d) The tax imposed by a county authorized by Subsection

(a)(6), (8), (9), (10), (11), (14), (15), (16), (17), (19), (20),

(21), (23), or (29) to impose the tax does not apply to a hotel

located in a municipality that imposes a tax under Chapter 351

applicable to the hotel. This subsection does not apply to:

(1) a county authorized by Subsection (a)(6) to impose

the tax that:

(A) has a population of less than 50,000 and

adjoins the most populous county in this state; or

(B) has a population of more than 200,000 and

borders the Neches River; or

(2) a county authorized by Subsection (a)(9) to impose

the tax that has a population of more than 11,000.

SECTION 2. Section 352.110, Tax Code, is amended to read as

follows:

Sec. 352.110. USE OF REVENUE; CERTAIN COUNTIES LOCATED

WHOLLY IN EDWARDS AQUIFER AUTHORITY. A county authorized to impose

a tax by Section 352.002(a)(15) may use the revenue from the tax

only as follows:

(1) 75 percent of the revenue for the purposes

described by Section 351.101(a) and only in relation to

unincorporated areas of the county [ promotion of tourism and

lodging ]; and

(2) notwithstanding Section 352.1015, 25 percent of

the revenue for:

(A) the removal of trash and litter in the

state-owned rivers and riverbeds located within the boundaries of

the county; and

(B) the provision and maintenance of litter

containers on or adjacent to state-owned rivers and riverbeds

primarily used by lodging guests and located within the boundaries

of the county.

SECTION 3. Subchapter B, Chapter 352, Tax Code, is amended

by adding Section 352.117 to read as follows:

Sec. 352.117. USE OF REVENUE: CERTAIN COUNTIES THROUGH

WHICH THE FRIO RIVER FLOWS. (a) Subject to Subsection (b), in

addition to the purposes authorized by this chapter, the revenue

from a tax imposed under this chapter by a county authorized to

impose the tax under Section 352.002(a)(16) may be used for:

(1) the removal of trash and litter in the parts of

state-owned rivers and riverbeds located within the boundaries of

the county; and

(2) the provision and maintenance of litter containers

on or adjacent to parts of state-owned rivers and riverbeds that

are:

(A) primarily used by lodging guests; and

(B) located within the boundaries of the county.

(b) A county to which this section applies shall spend 25

percent of the revenue derived in a fiscal year from the tax

authorized by this chapter for the purposes authorized under

Subsection (a).

SECTION 4. 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.