Monitoring the Session

HB 3066

Bill Doubles One City’s State Tax Rebate To 20 Years

Died in committee

Verdict: Smells

SmellsInitial review
Rep. Jeff LeachRHouse 67
Both charges, and why
Pitch: Corporate welfare

ACTUALLY

…“351.157 until the 20th anniversary of the date the qualified hotel”…

Bill text, House committee report version (H)

The bill lets one city keep state hotel and sales tax from a public-private convention hotel project for 20 years instead of 10.

Pitch: Corporate welfare
Carve-out

THE TEXT

“A municipality described by Section 351.152(46) is”…

Bill text, House committee report version (H)

The longer rebate goes only to the one city defined in a single subdivision, not to municipalities in general. The committee analysis names that city as Allen.

Carve-out

Initial review · graded Oct 22, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to the entitlement of certain municipalities to certain tax revenue associated with hotel and convention center projects.

Caption from analyzed text · version H.

Summary

The committee analysis calls it “economic development.” One city keeps state tax money an extra decade.

The bill doubles, from 10 to 20 years, the time one municipality may keep the state hotel occupancy tax and state sales tax collected at its qualified convention center hotel. It touches only the municipality described by Section 351.152(46) of the Tax Code, which the committee analysis identifies as the City of Allen, plus the state comptroller. More state tax money stays with that city for an extra decade, and the comptroller's payback check moves from year 20 to year 40.

Labels

Labels: GOT HALFWAY. Passed the House on May 15, 2025. Died in the Senate: never got out of the Economic Development committee.

Receipt

The receipt

89R-HB3066 · 2025-02-20

SOLD BY

Rep. Jeff LeachRHouse 67

ITEM

relating to the entitlement of certain municipalities to certain tax revenue associated with hotel and convention center projects.

WHAT IT DOES

The committee analysis calls it “economic development.” One city keeps state tax money an extra decade.

The bill doubles, from 10 to 20 years, the time one municipality may keep the state hotel occupancy tax and state sales tax collected at its qualified convention center hotel. It touches only the municipality described by Section 351.152(46) of the Tax Code, which the committee analysis identifies as the City of Allen, plus the state comptroller. More state tax money stays with that city for an extra decade, and the comptroller's payback check moves from year 20 to year 40.

CHARGES

[x] PITCH: CORPORATE WELFARE

ACTUALLY

…“351.157 until the 20th anniversary of the date the qualified hotel”…

Bill text, House committee report version (H)

The bill lets one city keep state hotel and sales tax from a public-private convention hotel project for 20 years instead of 10.

[x] CARVE-OUTanalysis confidence 75%

THE TEXT

“A municipality described by Section 351.152(46) is”…

Bill text, House committee report version (H)

The longer rebate goes only to the one city defined in a single subdivision, not to municipalities in general. The committee analysis names that city as Allen.

TOTAL

No first-year general revenue figure available here.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · April 13, 2025

There would be no fiscal impact to the state in the biennium ending August 31, 2027. Passage of the bill would increase the period of time that Allen would be entitled to retain certain state tax revenue associated with a qualified hotel project from 10 years to 20 years. As a result the fiscal impact of foregone state revenue would be ($108,636,000) through fiscal year 2049.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

  1. Filed
  2. Read first time
  3. Referred to Ways & Means
  4. Scheduled for public hearing on . . .
  5. Considered in public hearing
  6. Testimony taken/registration(s) recorded in committee
  7. Left pending in committee
  8. Considered in formal meeting
  9. Reported favorably w/o amendment(s)
  10. Comte report filed with Committee Coordinator
  11. Committee report distributed
  12. Committee report sent to Calendars
  13. Considered in Calendars
  14. Placed on General State Calendar
  15. Read 2nd time
  16. Postponed 5/13/25 5:00 PM
  17. Laid out as postponed business
  18. Postponed 5/14/25 9:00 AM
  19. Laid out as postponed business
  20. Passed to engrossment
  21. Record vote RV#2493
  22. Statement(s) of vote recorded in Journal
  23. Read 3rd time
  24. Passed
  25. Record vote RV#2614
  26. Statement(s) of vote recorded in Journal
  27. Reported engrossed
  28. Received from the House
  29. Read first time
  30. Referred to Economic Development
FILED UNDER

CORPORATE WELFARE

THE TEXT

…“351.157 until the 20th anniversary of the date the qualified hotel”…

Bill text, House committee report version (H)

The bill lets one city keep state hotel and sales tax from a public-private convention hotel project for 20 years instead of 10.

SIGNED FOR BY

House · 98 yea · 40 nay

Sources

House: Final passage · May 15, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

All floor motions and other positions below.

Smells

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Jeff Leach

Donors

Texans for Lawsuit Reform PAC$1.14MTexas Conservative Majority PAC$273KRepublican Party of Texas$182K

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 28, 2024 to Oct 23, 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.

Texans for Lawsuit Reform PAC$1,141,482.69

Texans for Lawsuit Reform PAC

$1,141,482.69

Cash
$555,000.00
Paid by others
$586,482.69
Total
$1,141,482.69
digital $316,766.74mail $154,662.95advertising $89,953.00polling $25,100.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 25, 2025 to Oct 13, 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: 101004498, 101024562, 101039760, 101044787, 101067510, 101072948.

Texas Conservative Majority PAC$273,017.05

Texas Conservative Majority PAC

$273,017.05

Cash
$35,000.00
Paid by others
$238,017.05
Total
$273,017.05
canvassing $150,000.00digital $70,627.07Other filed descriptions $16,666.67texting $723.31

Also funds 42 other sitting lawmakers.

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

TEC account match.

Team
Sources

Derived itemized flow · Feb 9, 2026 to Oct 23, 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: 101039760, 101044787, 101067510, 101072948.

Republican Party of Texas$182,117.94

Republican Party of Texas

$182,117.94

Cash
$0.00
Paid by others
$182,117.94
Total
$182,117.94
mail $182,117.94

Also funds 12 other sitting lawmakers.

Derived recipient stock · Oct 31, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Sep 30, 2026 to Oct 23, 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: 101072948.

Money

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

×

Texans for Lawsuit Reform PAC

$1,141,482.69

Cash
$555,000.00
Paid by others
$586,482.69
Total
$1,141,482.69
digital $316,766.74mail $154,662.95advertising $89,953.00polling $25,100.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 25, 2025 to Oct 13, 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: 101004498, 101024562, 101039760, 101044787, 101067510, 101072948.

×

Texas Conservative Majority PAC

$273,017.05

Cash
$35,000.00
Paid by others
$238,017.05
Total
$273,017.05
canvassing $150,000.00digital $70,627.07Other filed descriptions $16,666.67texting $723.31

Also funds 42 other sitting lawmakers.

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

TEC account match.

Team
Sources

Derived itemized flow · Feb 9, 2026 to Oct 23, 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: 101039760, 101044787, 101067510, 101072948.

×

Republican Party of Texas

$182,117.94

Cash
$0.00
Paid by others
$182,117.94
Total
$182,117.94
mail $182,117.94

Also funds 12 other sitting lawmakers.

Derived recipient stock · Oct 31, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Sep 30, 2026 to Oct 23, 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: 101072948.

Votes2

House May 15, 2025

Yea
98
Nay
40
Present, not voting
2
Absent
5
Excused
5
Names

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

House journal

Sources

Record 2614

HB 3066 was passed by (Record 2614): 98 Yeas, 40 Nays, 2 Present, not voting.

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

  • Yea: 98 (published)
  • Nay: 40 (published)
  • Present, not voting: 2 (published)
  • Absent: 5 (derived from named list)
  • Excused: 5 (derived from named list)

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

House May 14, 2025

Yea
92
Nay
33
Present, not voting
3
Absent
16
Excused
6
Names

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

House journal

Sources

Record 2493

HB 3066 was passed to engrossment by (Record 2493): 92 Yeas, 33 Nays, 3 Present, not voting.

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

  • Yea: 92 (published)
  • Nay: 33 (published)
  • Present, not voting: 3 (published)
  • Absent: 16 (derived from named list)
  • Excused: 6 (derived from named list)

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

Witnesses8
For
4
Against
1
On
3
Names

For

  • Kalahari resorts1 registration
  • Self; City of allen1 registration
  • Texas Hotel & Lodging Association1 registration
  • Texas Travel Alliance1 registration

Against

  • Self1 registration

On

  • Texas Comptroller of Public Accounts3 registrations
Sources

8 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 first-year general revenue figure available here.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · April 13, 2025

There would be no fiscal impact to the state in the biennium ending August 31, 2027. Passage of the bill would increase the period of time that Allen would be entitled to retain certain state tax revenue associated with a qualified hotel project from 10 years to 20 years. As a result the fiscal impact of foregone state revenue would be ($108,636,000) through fiscal year 2049.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version H by claude-opus-5-5, Oct 22, 2026, against the published rubric.

Sources

Texas House · Filed Feb 20, 2025

05/21/2025 S Referred to Economic Development

Texas Legislature Online · Introduced · House Committee Report · Engrossed

Data snapshot Oct 26, 2026 at 6:51 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 1425 by Paxton (identical)

Subjects

ALLEN, CITY OF (G64TP)

City Government--Finance

Taxation--Hotel, Motel Occupancy

CONVENTIONS & CONVENTION CENTERS

COMPTROLLER OF PUBLIC ACCOUNTS

Text

The text as introduced · 685 words

89R9098 RDS-F

By: Leach
H.B. No. 3066

A BILL TO BE ENTITLED

AN ACT

relating to the entitlement of certain municipalities to certain

tax revenue associated with hotel and convention center projects.

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

SECTION 1. Section 351.158, Tax Code, is amended to read as

follows:

Sec. 351.158. PERIOD OF ENTITLEMENT. (a) Except as

provided by Subsection (b), a [ A ] municipality is entitled to

receive revenue as provided by Sections 351.156 and 351.157 until

the 10th anniversary of the date the qualified hotel to which the

entitlement relates is open for initial occupancy.

(b) A municipality described by Section 351.152(46) is

entitled to receive revenue as provided by Sections 351.156 and

351.157 until the 20th anniversary of the date the qualified hotel

to which the entitlement relates is open for initial occupancy.

SECTION 2. Section 351.162, Tax Code, is amended by

amending Subsections (b) and (c) and adding Subsection (b-1) to

read as follows:

(b) Except as provided by Subsection (b-1), on [ On ] the 20th

anniversary of the date a hotel designated as a qualified hotel by a

municipality as part of a qualified project to which this section

applies is open for initial occupancy, the comptroller shall

determine:

(1) the total amount of state tax revenue received

under Section 351.156 and, if applicable, under Section 351.157 by

the municipality from the qualified project during the period for

which the municipality was entitled to receive that revenue; and

(2) the total amount of state tax revenue described by

Subdivision (1) received by the state during the period beginning

on the 10th anniversary of the date the qualified hotel opened for

initial occupancy and ending on the 20th anniversary of that date

from the same sources from which the municipality received the

revenue described by Subdivision (1).

(b-1) On the 40th anniversary of the date a hotel designated

as a qualified hotel by a municipality described by Section

351.152(46) as part of a qualified project to which this section

applies is open for initial occupancy, the comptroller shall

determine:

(1) the total amount of state tax revenue received

under Section 351.156 and, if applicable, under Section 351.157 by

the municipality from the qualified project during the period for

which the municipality was entitled to receive that revenue; and

(2) the total amount of state tax revenue described by

Subdivision (1) received by the state during the period beginning

on the 20th anniversary of the date the qualified hotel opened for

initial occupancy and ending on the 40th anniversary of that date

from the same sources from which the municipality received the

revenue described by Subdivision (1).

(c) If the amount determined under Subsection (b)(1) or

(b-1)(1), as applicable, exceeds the amount determined under

Subsection (b)(2) or (b-1)(2), as applicable , the comptroller shall

promptly provide written notice to the municipality stating that

the municipality must remit to the comptroller the difference

between those two amounts in the manner provided by this

subsection. The municipality shall, using money lawfully available

to the municipality for the purpose, remit monthly payments to the

comptroller in an amount equal to the total amount of municipal

hotel occupancy tax revenue received by the municipality from the

qualified hotel in the preceding month until the amount remitted to

the comptroller equals the total amount due as stated in the notice.

The first payment required under this subsection must be made not

later than the 30th day after the date the municipality receives the

notice from the comptroller. Subsequent payments are due on the

20th day of each month until the total amount stated in the notice

is paid. The comptroller shall prescribe the procedure a

municipality must use to remit a payment required by this

subsection to the comptroller.

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.