Senate Bill No. 1756 amends the Texas Tax Code to restrict municipalities' ability to pledge or commit tax revenue for hotel and convention center projects. The bill introduces several new subsections that stipulate a municipality may only commit revenue for one qualified project, which includes hotel and multipurpose convention center facility projects. Once a municipality has made such a commitment, it cannot pledge revenue for any subsequent projects unless those projects are authorized by a new act of the legislature that becomes law on or after January 1, 2026. This provision applies to municipalities of varying sizes, including those with populations over 1.5 million.

Additionally, the bill repeals a previous subsection and clarifies that existing obligations related to projects pledged before the effective date of this Act will remain valid under the law in effect at that time. The changes are set to take effect on January 1, 2026, ensuring that municipalities have a clear framework for managing their revenue commitments for qualified projects moving forward.

Statutes affected:
Introduced: Tax Code 351.1015, Tax Code 351.102, Tax Code 351.1021, Tax Code 351.1022, Tax Code 351.106, Tax Code 351.155 (Tax Code 351)
Senate Committee Report: Tax Code 351.1015, Tax Code 351.102, Tax Code 351.1021, Tax Code 351.1022, Tax Code 351.106, Tax Code 351.155 (Tax Code 351)
Engrossed: Tax Code 351.1015, Tax Code 351.102, Tax Code 351.1021, Tax Code 351.1022, Tax Code 351.106, Tax Code 351.155 (Tax Code 351)