H.B. No. 3098

	AN ACT
	relating to the use by certain municipalities of hotel occupancy
	tax revenue for the construction of a recreational venue near
	hotels.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 351.101(a), Tax Code, is amended to read
	as follows:
	(a)  Revenue from the municipal hotel occupancy tax may be
	used only to promote tourism and the convention and hotel industry,
	and that use is limited to the following:
	(1)  the acquisition of sites for and the construction,
	improvement, enlarging, equipping, repairing, operation, and
	maintenance of convention center facilities or visitor information
	centers, or both;
	(2)  the furnishing of facilities, personnel, and
	materials for the registration of convention delegates or
	registrants;
	(3)  advertising and conducting solicitations and
	promotional programs to attract tourists and convention delegates
	or registrants to the municipality or its vicinity;
	(4)  the encouragement, promotion, improvement, and
	application of the arts, including instrumental and vocal music,
	dance, drama, folk art, creative writing, architecture, design and
	allied fields, painting, sculpture, photography, graphic and craft
	arts, motion pictures, radio, television, tape and sound recording,
	and other arts related to the presentation, performance, execution,
	and exhibition of these major art forms;
	(5)  historical restoration and preservation projects
	or activities or advertising and conducting solicitations and
	promotional programs to encourage tourists and convention
	delegates to visit preserved historic sites or museums:
	(A)  at or in the immediate vicinity of convention
	center facilities or visitor information centers; or
	(B)  located elsewhere in the municipality or its
	vicinity that would be frequented by tourists and convention
	delegates;
	(6)  for a municipality located in a county with a
	population of one million or less, expenses, including promotion
	expenses, directly related to a sporting event in which the
	majority of participants are tourists who substantially increase
	economic activity at hotels and motels within the municipality or
	its vicinity; [and]
	(7)  subject to Section 351.1076, the promotion of
	tourism by the enhancement and upgrading of existing sports
	facilities or fields, including facilities or fields for baseball,
	softball, soccer, and flag football, if:
	(A)  the municipality owns the facilities or
	fields;
	(B)  the municipality:
	(i)  has a population of 80,000 or more and
	is located in a county that has a population of 350,000 or less;
	(ii)  has a population of at least 65,000 but
	not more than 70,000 and is located in a county that has a
	population of 155,000 or less; or
	(iii)  has a population of at least 34,000
	but not more than 36,000 and is located in a county that has a
	population of 90,000 or less; and
	(C)  the sports facilities and fields have been
	used, in the preceding calendar year, a combined total of more than
	10 times for district, state, regional, or national sports
	tournaments; and
	(8)  the construction of a recreational venue in the
	immediate vicinity of area hotels, if:
	(A)  the municipality:
	(i)  is a general-law municipality;
	(ii)  has a population of not more than 900;
	and
	(iii)  does not impose an ad valorem tax;
	(B)  not more than $100,000 of municipal hotel
	occupancy tax revenue is used for the construction of the
	recreational venue;
	(C)  a majority of the hotels in the municipality
	request the municipality to construct the recreational venue;
	(D)  the recreational venue will be used primarily
	by hotel guests; and
	(E)  the municipality will pay for maintenance of
	the recreational venue from the municipality's general fund.
	SECTION 2.  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, 2009.
	______________________________	______________________________
	President of the Senate	Speaker of the House
	I certify that H.B. No. 3098 was passed by the House on May 5,
	2009, by the following vote:  Yeas 144, Nays 0, 1 present, not
	voting.
	______________________________
	Chief Clerk of the House
	I certify that H.B. No. 3098 was passed by the Senate on May
	26, 2009, by the following vote:  Yeas 31, Nays 0.
	______________________________
	Secretary of the Senate
	APPROVED:  _____________________
	Date
	_____________________
	Governor