HBA-KDB H.B. 755 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 755
By: Gallego
Ways & Means
3/15/2001
Introduced



BACKGROUND AND PURPOSE 

Tourism is the third largest industry in Texas and generated $36.7 billion
in spending in 1999.  However, some feel that the industry gets little
attention from the legislature even though tourism creates jobs and
increases the state's tax base.  House Bill 755 creates the state tourism
account to which the state allocates a percentage of taxes on certain
tourism goods and services.  
3/15/2001
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 755 amends the Tax Code to provide that the state tourism
account (tourism account) is an account in the general revenue fund.  The
bill sets forth the requirements by which the comptroller of public
accounts determines the amount of revenue derived from the collection of
limited sales, excise, and use taxes on tourism goods and services to
allocate a certain amount of the revenue to the tourism account. The bill
sets forth provisions relating to the appropriation of revenue in the
tourism account.  The bill requires that the interest earned on the tourism
account be credited to the tourism account.  The bill provides that the
tourism account is exempt from the application of provisions relating to
the use of dedicated revenue. The bill requires an agency that receives an
appropriation for the purpose of promoting tourism to file with the speaker
of the house of representatives, the lieutenant governor, the House
Appropriations Committee, and the Senate Finance Committee a report, no
later than December 31 of each even-numbered year,  that states its
domestic or international marketing and advertising plans for the next two
years related to the purposes of promoting tourism and the growth, if any,
during the preceding two years in a category of tourism goods and services
that the agency estimates is associated with those marketing and
advertising plans. 

EFFECTIVE DATE

September 1, 2001.