HBA-SEP H.B. 3126 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3126
By: Christian
Ways & Means
3/30/2001
Introduced



BACKGROUND AND PURPOSE 

Currently, the use of revenue from the municipal hotel occupancy tax is
limited to construction and maintenance of convention center facilities and
visitor centers; the furnishing of facilities, personnel, and materials for
the registration of convention delegates or registrants (delegates);
advertising and promotional programs to attract tourists and delegates; the
encouragement and promotion of the arts; or historical restoration and the
preservation of projects to encourage tourists and delegates to visit these
sites. Although most rural areas do not have convention centers, rural
areas could benefit by using this tax to fund the promotion and event costs
associated with sporting events that attract visitors.  House Bill 3126
authorizes revenue from the municipal hotel occupancy tax to be used for
the promotion and event costs associated with sporting events to attract
tourists to the area and enhance hotel and motel activities.  

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. 

ANALYSIS

House Bill 3126 amends the Tax Code to authorize revenue from the municipal
hotel occupancy tax to be used for the promotion and event costs associated
with sporting events the principal participants of which are primarily
tourists to the area and whose presence in the community will enhance hotel
and motel activities.  

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001.