HBA-JRA C.S.H.B. 3252 76(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.H.B. 3252
By: Gray
Ways & Means
444/18/1999
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

The City of Galveston had a charter revision election on May 3, 1998.  The
intent was to make the charter conform with state law regarding the
assessment and usage of the hotel occupancy tax. However, a sentence in the
charter prohibiting the hotel occupancy tax to be used for anything other
than advertising and promoting the city's recreational advantages and
facilities was inadvertently left unchanged.  State law does not limit the
use of the hotel occupancy tax in this way.  C.S.H.B. 3252 authorizes an
eligible coastal municipality and a park board of trustees created by the
municipality to use the municipal hotel occupancy tax as authorized by
state law, notwithstanding the provisions of the municipality's charter. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 351.105, Tax Code, by adding Subsection (f), as
follows: 

(f)  Authorizes an eligible coastal municipality and a park board of
trustees created by the municipality to contract for the park board to use
the municipal hotel occupancy tax collected by the eligible coastal
municipality as provided by this section (Allocation of Revenue: Eligible
Coastal Municipalities) and, without further authorization, to use such tax
for the purpose of issuing bonds or entering into other agreements. 

(g)  Provides that this section, Chapter 306 (Park Board And Park Bonds:
Municipalities With Population of More Than 40,000), Local Government Code,
and Article 1269j-4.1, V.T.C.S. (Public Improvements in City, Town or
Village;  Bonds;  Occupancy Tax) prevail over any conflicting provision in
the charter of an eligible coastal municipality. 

SECTION 2.Emergency clause.
  Effective date: upon passage.

COMPARISON OF ORIGINAL TO SUBSTITUTE

The substitute modifies the original to conform to Legislative Council
format. 

The substitute also modifies the original in SECTION 1 (Section 351.105,
Tax Code), to add Subsection (g).