The bill, S.B. No. 2830, amends the Texas Tax Code to enhance the authority of certain municipalities to receive tax revenue generated from hotel and convention center projects. Specifically, it updates Section 351.153(a) to include additional types of municipalities, identified by new categories (22, 29, and 58), that are eligible for these tax revenues. Furthermore, Section 351.157(a) is revised to broaden the definition of "qualified establishment" by including establishments located in municipalities described by Section 351.152(22), thereby expanding the scope of projects that can benefit from this tax revenue.

The bill aims to facilitate the development of hotel and convention center projects by allowing municipalities to pledge certain tax revenues for related financial obligations. This legislative change is intended to stimulate local economies by promoting tourism and convention activities. The bill will take effect immediately upon receiving a two-thirds majority vote in both houses of the legislature; otherwise, it will become effective on September 1, 2025.

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