HBA-SEP H.B. 2758 77(R)BILL ANALYSIS Office of House Bill AnalysisH.B. 2758 By: Ritter Ways & Means 77/18/2001 Enrolled BACKGROUND AND PURPOSE Current law prohibits a county hotel occupancy tax from exceeding seven percent of the hotel room price but provides several exceptions which limit the tax to as low as two percent of the hotel room price. House Bill 2758 authorizes Jefferson County to impose a hotel occupancy tax and sets the rule of the tax. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 2758 amends the Tax Code to specify that the county hotel occupancy tax imposed by the commissioners court of a county that has a population of 25,000 or less, that has not more than 4 municipalities, and that is located wholly in the Edwards Aquifer Authority, does not apply to a hotel located in a municipality that imposes a municipal hotel occupancy tax. A county that borders the Gulf of Mexico that has a population of more than 200,000, and borders the Neches River is authorized to impose a county hotel occupancy tax regardless of whether the municipality currently imposes a municipal hotel occupancy tax. The bill prohibits the county hotel occupancy tax rate in a county that borders the Gulf of Mexico, has a population of more than 200,000, and borders the Neches River from exceeding two percent of the price paid for a room in a hotel in the county. EFFECTIVE DATE June 16, 2001.