H.B. No. 1315

	AN ACT
	relating to the use of municipal hotel occupancy tax revenue in
	certain municipalities.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Subchapter B, Chapter 351, Tax Code, is amended
	by adding Section 351.1066 to read as follows:
	Sec. 351.1066.  ALLOCATION OF REVENUE: CERTAIN
	MUNICIPALITIES. (a) This section applies only to:
	(1)  a municipality with a population of at least 3,500
	but less than 5,500 that is the county seat of a county with a
	population of less than 50,000 that borders a county with a
	population of more than 1.6 million; and
	(2)  a municipality with a population of at least 2,900
	but less than 3,500 that is the county seat of a county with a
	population of less than 22,000 that is bordered by the Trinity River
	and includes a state park and a portion of a wildlife management
	area.
	(b)  Notwithstanding any other provision of this chapter, a
	municipality to which this section applies may use all or any
	portion of the revenue derived from the municipal hotel occupancy
	tax for:
	(1)  a business recruitment project to substantially
	enhance hotel activity and encourage tourism; and
	(2)  the construction, enlarging, equipping,
	improvement, maintenance, repairing, and operation of a
	recreational facility to substantially enhance hotel activity and
	encourage tourism.
	SECTION 2.  Section 351.003, Tax Code, is amended by adding
	Subsections (e) and (f) to read as follows:
	(e)  The rate in a municipality that has a population of more
	than 95,000 and is in a county that borders Lake Palestine and has a
	population of more than 200,000 may not exceed nine percent of the
	price paid for a room. The municipality shall allocate for the
	construction, expansion, maintenance, or operation of convention
	center facilities all revenue received by the municipality that is
	derived from the application of the tax at a rate of more than seven
	percent of the price paid for a room in a hotel.
	(f)  The rate in a municipality that has a population of at
	least 80,000 and is partly located in a county that borders the
	State of Louisiana and has a population of at least 60,000 may not
	exceed nine percent of the price paid for a room. The municipality
	shall allocate for the construction, expansion, maintenance, or
	operation of convention center facilities all revenue received by
	the municipality that is derived from the application of the tax at
	a rate of more than seven percent of the price paid for a room in a
	hotel.
	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, 2011.
	______________________________	______________________________
	President of the Senate	Speaker of the House
	I certify that H.B. No. 1315 was passed by the House on May 5,
	2011, by the following vote:  Yeas 146, Nays 0, 1 present, not
	voting; and that the House concurred in Senate amendments to H.B.
	No. 1315 on May 24, 2011, by the following vote:  Yeas 132, Nays 6,
	1 present, not voting.
	______________________________
	Chief Clerk of the House
	I certify that H.B. No. 1315 was passed by the Senate, with
	amendments, on May 21, 2011, by the following vote:  Yeas 31, Nays
	0.
	______________________________
	Secretary of the Senate
	APPROVED: __________________
	Date
	__________________
	Governor