Texas § SD.3875.113 - USE OF HOTEL OCCUPANCY TAX

§ SD.3875.113. USE OF HOTEL OCCUPANCY TAX

USE OF HOTEL OCCUPANCY TAX. (a) The district shall apply the proceeds from a hotel occupancy tax imposed under Section 3875.112 for any of the district's purposes and for the purposes described by Section 352.1015 , Tax Code, to the extent considered appropriate by the board. (b) During each interval of three calendar years following the date on which a hotel occupancy tax imposed under Section 3875.112 is initially collected, the board may not apply an annual average of more than 10 percent of the amount of tax collected under that section, excluding any interest earnings or investment profits and after a deduction for the costs of imposing and collecting the taxes, for the administrative expenses of the district or a district purpose other than: (1) the costs of advertising and promoting tourism; or (2) the costs of business development and commerce, including the costs of planning, designing, constructing, acquiring, leasing, financing, owning, operating, maintaining, managing, improving, repairing, rehabilitating, or reconstructing improvement projects for conferences, conventions, and exhibitions, manufacturer, consumer, or trade shows, and civic, community, or institutional events. (c) For purposes of this section, a reference in Subchapter B , Chapter 352 , Tax Code, to a county is a reference to the district and a reference in Subchapter B , Chapter 352 , Tax Code, to the county's officers or governing body is a reference to the board. Added by Acts 2001, 77th Leg., Ch. 1204 (H.B. 3647), Sec. 1, eff. June 15, 2001. Transferred and redesignated from Local Government Code, Chapter 385 by Acts 2015, 84th Leg., R.S., Ch. 1236 (S.B. 1296 ), Sec. 21.001 (41), eff. September 1, 2015. Amended by: Acts 2015, 84th Leg., R.S., Ch. 1236 (S.B. 1296 ), Sec. 21.002(23), eff. September 1, 2015.