The bill, H.B. No. 266, amends Section 351.152 of the Texas Tax Code to expand the applicability of certain tax revenue derived from hotel and convention center projects to additional municipalities. The bill introduces new criteria for eligibility, specifically adding a new category for municipalities with a population of 47,000 or more that are located in two counties—one with a population of 2.1 million or more and the other with a population of 179,000 or more, and that are bisected by State Highway 174. 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 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 access to tax revenue for the development and expansion of convention center facilities, thereby 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 91 days after the end of the legislative session.

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