H.B. No. 4098 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, specifically adding a new category for municipalities that are located in a county with a population of 600,000 or more adjacent to the county containing the State Capitol, and have a population between 16,000 and 27,000. Additionally, it removes a previous eligibility criterion related to municipalities that are the county seat of a county with a population of 60,000 or less bordering the Rio Grande, which included a United States military fort listed in the National Register of Historic Places.

The bill aims to enhance the ability of various municipalities to fund and develop hotel and convention center projects, thereby potentially boosting local economies and tourism. The changes reflect a broader approach to include more municipalities based on specific population and geographic criteria, which may help in diversifying the economic benefits associated with such developments across the state. The act is set to take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if that threshold is not met.

Statutes affected:
Introduced: Tax Code 351.152, Tax Code 351.157 (Tax Code 351)
House Committee Report: Tax Code 351.152 (Tax Code 351)
Engrossed: Tax Code 351.152 (Tax Code 351)