The bill, H.B. No. 3117, amends Section 351.152 of the Texas Tax Code to expand the list of municipalities eligible to use certain tax revenues for hotel and convention center projects. The bill introduces new criteria for eligibility, including municipalities with populations of 7,000 or more that contain Lake Marble Falls, and it also removes a previous criterion related to municipalities that are the county seat of a county with a population of 60,000 or less that borders the Rio Grande and contains a United States military fort listed in the National Register of Historic Places.

The changes aim to provide more municipalities with the authority to utilize tax revenue for the development of hotel and convention center projects, potentially enhancing local economies and tourism. The bill will take effect immediately if it receives a two-thirds vote from both houses of the legislature; otherwise, it will become effective on September 1, 2025.

Statutes affected:
Introduced: Tax Code 351.152, Tax Code 351.153 (Tax Code 351)
House Committee Report: Tax Code 351.152 (Tax Code 351)