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AN ACT
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relating to the nonsubstantive revision of the event reimbursement |
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programs, including the Pan American Games trust fund, Olympic |
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Games trust fund, Major Events reimbursement program fund, Motor |
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Sports Racing trust fund, and Events trust fund; including |
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conforming amendments. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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ARTICLE 1. NONSUBSTANTIVE REVISION OF THE EVENT REIMBURSEMENT |
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PROGRAMS |
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SECTION 1.01. Title 4, Government Code, is amended by |
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adding Subtitle E-1 to read as follows: |
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SUBTITLE E-1. EVENT REIMBURSEMENT PROGRAMS |
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CHAPTER 475. GENERAL PROVISIONS |
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CHAPTER 476. PAN AMERICAN GAMES TRUST FUND |
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CHAPTER 477. OLYMPIC GAMES TRUST FUND |
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CHAPTER 478. MAJOR EVENTS REIMBURSEMENT PROGRAM |
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CHAPTER 479. MOTOR SPORTS RACING TRUST FUND |
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CHAPTER 480. EVENTS TRUST FUND |
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CHAPTER 475. GENERAL PROVISIONS |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 475.0001. DEFINITIONS |
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Sec. 475.0002. PURPOSES OF SUBTITLE |
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Sec. 475.0003. LEGISLATIVE FINDINGS |
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Sec. 475.0004. RULES |
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SUBCHAPTER B. ACTIONS OF OFFICE AND STATE AGENCIES IN RELATION TO |
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GAMES |
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Sec. 475.0051. APPLICABILITY OF SUBCHAPTER |
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Sec. 475.0052. REQUEST FOR OFFICE TO ENTER INTO GAMES |
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SUPPORT CONTRACT |
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Sec. 475.0053. TIME FOR DETERMINATION |
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Sec. 475.0054. PREREQUISITE FOR EXECUTION OF GAMES |
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SUPPORT CONTRACT |
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Sec. 475.0055. JOINDER UNDERTAKING TERMS |
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Sec. 475.0056. JOINDER AGREEMENT TERMS |
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Sec. 475.0057. ADDITIONAL TERMS OF GAMES SUPPORT |
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CONTRACT |
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Sec. 475.0058. REPAYMENT AGREEMENT REQUIRED |
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Sec. 475.0059. STATE AS ADDITIONAL INSURED |
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Sec. 475.0060. SUPPORT BY CERTAIN STATE AGENCIES |
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SUBCHAPTER C. LOCAL ORGANIZING COMMITTEES |
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Sec. 475.0101. APPLICABILITY OF OPEN MEETINGS AND OPEN |
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RECORDS LAWS |
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Sec. 475.0102. TAX EXEMPTIONS FOR CERTAIN COMMITTEES |
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Sec. 475.0103. ETHICS REQUIREMENTS RELATING TO CERTAIN |
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COMMITTEES; FINANCIAL DISCLOSURES |
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SUBCHAPTER D. LOCAL GOVERNMENT CORPORATION IN CERTAIN POPULOUS |
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COUNTIES AS ENDORSING MUNICIPALITY OR COUNTY |
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Sec. 475.0151. APPLICABILITY |
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Sec. 475.0152. AUTHORITY TO ACT AS ENDORSING |
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MUNICIPALITY OR COUNTY |
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Sec. 475.0153. DEPOSIT OF MUNICIPAL OR COUNTY TAX REVENUE |
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TO TRUST FUND |
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Sec. 475.0154. PLEDGE OF SURCHARGES TO GUARANTEE |
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OBLIGATIONS |
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SUBCHAPTER E. CRIMINAL PENALTIES |
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Sec. 475.0201. OFFENSE OF BRIBERY |
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CHAPTER 475. GENERAL PROVISIONS |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 475.0001. DEFINITIONS. In this subtitle: |
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(1) "Endorsing county" means an endorsing county for |
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purposes of Chapter 477, 478, 479, or 480. |
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(2) "Endorsing municipality" means an endorsing |
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municipality for purposes of Chapter 476, 477, 478, 479, or 480. |
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(3) "Event" means a game or an event as defined by |
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Chapter 478, 479, or 480. |
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(4) "Games" means any of the following and includes |
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the events and activities related to the following: |
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(A) the College Football Playoff games; |
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(B) the Major League Baseball All-Star Game; |
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(C) the National Basketball Association All-Star |
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Game; |
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(D) the National Collegiate Athletic Association |
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Final Four; |
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(E) the National Hockey League All-Star Game; |
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(F) the Olympic Games; |
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(G) the Pan American Games; |
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(H) the Super Bowl; |
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(I) the World Cup Soccer Games; or |
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(J) the World Games. |
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(5) "Games support contract" means a joinder |
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undertaking, a joinder agreement, or a similar contract executed by |
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the office and containing terms permitted or required by this |
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subtitle. |
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(6) "Joinder agreement" means an agreement: |
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(A) entered into by the office on behalf of this |
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state and a site selection organization setting out representations |
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and assurances by this state in connection with the selection of a |
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site in this state for a game or event; or |
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(B) entered into by a local organizing committee, |
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an endorsing municipality, or an endorsing county, or more than one |
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local organizing committee, endorsing municipality, or endorsing |
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county acting collectively, and a site selection organization |
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setting out representations and assurances by each local organizing |
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committee, endorsing municipality, or endorsing county in |
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connection with the selection of a site in this state for a game or |
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event. |
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(7) "Joinder undertaking" means an agreement: |
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(A) entered into by the office on behalf of this |
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state and a site selection organization that this state will |
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execute a joinder agreement if the site selection organization |
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selects a site in this state for a game or event; or |
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(B) entered into by a local organizing committee, |
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an endorsing municipality, or an endorsing county, or more than one |
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local organizing committee, endorsing municipality, or endorsing |
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county acting collectively, and a site selection organization that |
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each local organizing committee, endorsing municipality, or |
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endorsing county will execute a joinder agreement if the site |
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selection organization selects a site in this state for a game or |
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event. |
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(8) "Local organizing committee" means a nonprofit |
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corporation or the corporation's successor in interest that: |
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(A) is authorized by an endorsing municipality, |
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endorsing county, or more than one endorsing municipality or county |
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acting collectively to pursue an application and bid on the |
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applicant's behalf to a site selection organization for selection |
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as the site of a game or event; or |
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(B) with authorization from an endorsing |
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municipality, endorsing county, or more than one endorsing |
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municipality or county acting collectively, executes an agreement |
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with a site selection organization regarding a bid to host a game or |
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event. |
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(9) "Office" means the Texas Economic Development and |
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Tourism Office within the office of the governor. |
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(10) "Site selection organization" means a site |
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selection organization as defined by Chapters 477, 478, and 480. |
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(V.A.C.S. Art. 5190.14, Secs. 1(1), (1-a), (2), (2-a), (3) as |
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amended Acts 78th Leg., R.S., Ch. 814, (4), (5), (6), (7), (8).) |
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Sec. 475.0002. PURPOSES OF SUBTITLE. The purposes of this |
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subtitle are to: |
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(1) provide assurances required by a site selection |
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organization sponsoring a game or event; and |
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(2) provide financing for the costs of: |
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(A) applying or bidding for selection as the site |
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of a game or event in this state; |
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(B) making preparations necessary and desirable |
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for conducting a game or event in this state, including costs of the |
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construction or renovation of facilities to the extent authorized |
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by this subtitle; and |
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(C) conducting a game or event in this state. |
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(V.A.C.S. Art. 5190.14, Sec. 2.) |
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Sec. 475.0003. LEGISLATIVE FINDINGS. Conducting one or |
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more games or events in this state will: |
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(1) provide invaluable public visibility throughout |
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the nation or world for this state and the communities where the |
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games or events are held; |
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(2) encourage and provide major economic benefits to |
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the communities where the games or events are held and to the entire |
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state; and |
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(3) provide opportunities for local and Texas |
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businesses to create jobs that pay a living wage. (V.A.C.S. Art. |
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5190.14, Sec. 3.) |
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Sec. 475.0004. RULES. The office of the governor shall |
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adopt rules consistent with this subtitle to ensure efficient |
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administration of the trust funds established under this subtitle, |
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including rules related to application and receipt requirements. |
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(V.A.C.S. Art. 5190.14, Sec. 3A.) |
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SUBCHAPTER B. ACTIONS OF OFFICE AND STATE AGENCIES IN RELATION TO |
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GAMES |
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Sec. 475.0051. APPLICABILITY OF SUBCHAPTER. This |
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subchapter does not apply to or otherwise affect an event support |
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contract under Chapter 478, 479, or 480 to which the office is not a |
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party. (V.A.C.S. Art. 5190.14, Sec. 7(a) (part).) |
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Sec. 475.0052. REQUEST FOR OFFICE TO ENTER INTO GAMES |
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SUPPORT CONTRACT. (a) The office shall review a request from a |
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local organizing committee, endorsing municipality, or endorsing |
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county that the office, on behalf of this state, enter into a games |
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support contract required by a site selection organization in |
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connection with the committee's, municipality's, or county's bid to |
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host any of the games. |
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(b) A request under Subsection (a) must be accompanied by: |
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(1) a general description and summary of the games for |
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which the local organizing committee, endorsing municipality, or |
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endorsing county is seeking a site selection; |
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(2) a preliminary and general description of the |
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proposal the local organizing committee, endorsing municipality, |
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or endorsing county intends to submit to a site selection |
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organization; |
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(3) the estimated cost of preparing and submitting the |
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intended proposal; |
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(4) the local organizing committee's, endorsing |
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municipality's, or endorsing county's intended method of obtaining |
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the money needed for preparing the proposal; |
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(5) a description by type and approximate amount of |
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the site selection application costs that the local organizing |
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committee, endorsing municipality, or endorsing county intends to |
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pay; and |
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(6) any other information reasonably requested by the |
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office to assist the office in reviewing the request. (V.A.C.S. |
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Art. 5190.14, Secs. 7(a) (part), (b).) |
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Sec. 475.0053. TIME FOR DETERMINATION. The office shall |
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approve or deny a request under Section 475.0052 not later than the |
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30th day after the date the local organizing committee, endorsing |
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municipality, or endorsing county submits the request. (V.A.C.S. |
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Art. 5190.14, Sec. 7(c).) |
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Sec. 475.0054. PREREQUISITE FOR EXECUTION OF GAMES SUPPORT |
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CONTRACT. The office may agree to execute a games support contract |
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only if: |
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(1) the office determines that: |
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(A) this state's assurances and obligations |
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under the contract are reasonable; and |
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(B) any financial commitment of this state will |
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be satisfied exclusively by recourse to the Pan American Games |
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trust fund or the Olympic Games trust fund, as applicable; and |
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(2) the endorsing municipality or endorsing county has |
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executed an agreement with a site selection organization that |
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contains substantially similar terms. (V.A.C.S. Art. 5190.14, Sec. |
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7(f).) |
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Sec. 475.0055. JOINDER UNDERTAKING TERMS. The office may |
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agree in a joinder undertaking entered into with a site selection |
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organization that the office will: |
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(1) execute a joinder agreement if the site selection |
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organization selects a site in this state for the games; and |
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(2) refrain from taking any action after execution of |
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the joinder undertaking that would impair the office's ability to |
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execute the joinder agreement. (V.A.C.S. Art. 5190.14, Sec. 7(d).) |
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Sec. 475.0056. JOINDER AGREEMENT TERMS. The office may |
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agree in a joinder agreement that this state will: |
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(1) provide or cause to be provided all of the |
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governmental funding, facilities, and other resources specified in |
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the local organizing committee's, endorsing municipality's, or |
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endorsing county's bid to host the games; |
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(2) be bound by the terms of, cause the local |
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organizing committee, endorsing municipality, or endorsing county |
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to perform, and guarantee performance of the committee's, |
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municipality's, or county's obligations under contracts relating to |
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selecting a site in this state for the games; and |
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(3) be jointly and severally liable with the local |
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organizing committee, endorsing municipality, or endorsing county |
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for: |
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(A) an obligation of the committee, |
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municipality, or county to a site selection organization, including |
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an obligation indemnifying the organization against a claim of and |
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liability to a third party arising out of or relating to the games; |
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and |
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(B) any financial deficit relating to the games. |
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(V.A.C.S. Art. 5190.14, Sec. 7(e).) |
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Sec. 475.0057. ADDITIONAL TERMS OF GAMES SUPPORT CONTRACT. |
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A games support contract may contain any additional provision the |
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office requires to carry out the purposes of this subtitle. |
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(V.A.C.S. Art. 5190.14, Sec. 7(h).) |
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Sec. 475.0058. REPAYMENT AGREEMENT REQUIRED. (a) Before |
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executing a games support contract, the office must execute an |
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agreement with the local organizing committee, endorsing |
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municipality, or endorsing county requiring the committee, |
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municipality, or county to repay this state any money spent by the |
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office under this subtitle if a site selection organization selects |
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a site for the games in this state in accordance with an application |
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by the committee, municipality, or county. |
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(b) The local organizing committee, endorsing municipality, |
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or endorsing county will make a repayment under Subsection (a) from |
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any surplus of the committee's, municipality's, or county's money |
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remaining after: |
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(1) presentation of the games; and |
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(2) payment of the expenses and obligations incurred |
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by the committee, municipality, or county. (V.A.C.S. Art. 5190.14, |
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Sec. 7(g).) |
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Sec. 475.0059. STATE AS ADDITIONAL INSURED. The office may |
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require a local organizing committee, endorsing municipality, or |
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endorsing county to list this state as an additional insured on any |
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insurance policy purchased by the committee, municipality, or |
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county that a site selection organization requires to be in effect |
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in connection with the games. (V.A.C.S. Art. 5190.14, Sec. 7(i).) |
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Sec. 475.0060. SUPPORT BY CERTAIN STATE AGENCIES. The |
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Texas Department of Transportation, the Department of Public Safety |
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of the State of Texas, and the Texas Department of Housing and |
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Community Affairs may: |
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(1) assist a local organizing committee, endorsing |
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municipality, or endorsing county in developing applications and |
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planning for the games; and |
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(2) enter into a contract or agreement or give |
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assurances related to the presentation of the games. (V.A.C.S. Art. |
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5190.14, Sec. 7(j).) |
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SUBCHAPTER C. LOCAL ORGANIZING COMMITTEES |
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Sec. 475.0101. APPLICABILITY OF OPEN MEETINGS AND OPEN |
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RECORDS LAWS. (a) A local organizing committee and the committee's |
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governing body are subject to Chapters 551 and 552. For purposes of |
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those chapters, the governing body of a local organizing committee |
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is considered a governmental body as defined by those chapters. For |
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purposes of Chapter 552, the records and information of a local |
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organizing committee are considered public records and public |
|
information. |
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(b) A final bid that a local organizing committee submits to |
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a site selection organization, or a draft of that bid, is excepted |
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from required public disclosure under Chapter 552 until the |
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organization selects the site for the games. |
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(c) Chapter 551 does not apply to a meeting of a |
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subcommittee of a local organizing committee's governing body if: |
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(1) the subcommittee consists of not more than five |
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members; |
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(2) the meeting is not held in a public building; |
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(3) the subcommittee makes a recording of the meeting |
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proceedings in compliance with Section 551.103, and the committee |
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preserves the recording until the second anniversary of the date |
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the recording is made; |
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(4) the subcommittee does not discuss or decide any |
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financial matters during the meeting; and |
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(5) any decision the subcommittee makes will not take |
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effect without the governing body reviewing and officially adopting |
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the decision at a meeting held in compliance with Chapter 551. |
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(d) A recording made under Subsection (c) is subject to |
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required public disclosure in the manner prescribed by Chapter 552 |
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for a public record. (V.A.C.S. Art. 5190.14, Sec. 8.) |
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Sec. 475.0102. TAX EXEMPTIONS FOR CERTAIN COMMITTEES. A |
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local organizing committee that is exempt from paying federal |
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income tax under Section 501(c), Internal Revenue Code of 1986, is |
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exempt from: |
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(1) the sales, excise, and use taxes imposed under |
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Chapter 151, Tax Code; |
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(2) taxes on the sale, rental, and use of a motor |
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vehicle imposed under Chapter 152, Tax Code; |
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(3) the hotel occupancy tax imposed under Chapter 156, |
|
Tax Code; and |
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(4) the franchise tax imposed under Chapter 171, Tax |
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Code. (V.A.C.S. Art. 5190.14, Sec. 9(a).) |
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Sec. 475.0103. ETHICS REQUIREMENTS RELATING TO CERTAIN |
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COMMITTEES; FINANCIAL DISCLOSURES. (a) A local organizing |
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committee that submits a request under Section 475.0052 must: |
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(1) affirm as a part of that request that the committee |
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is in full compliance with the ethical guidelines provided by all |
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contracts entered into and rules adopted by the site selection |
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organization, including the organization's requirements regarding |
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disclosure of any financial interest a director, officer, or |
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senior-level employee of the committee has in any proposed |
|
transaction with the committee; |
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(2) not later than the 15th day of the first month |
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following each calendar quarter, file with the secretary of the |
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endorsing municipality for which the committee submits a request: |
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(A) a certification that the committee continues |
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to comply with the ethical guidelines described by Subdivision (1); |
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and |
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(B) a report of contributions to and expenditures |
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by the committee, in the manner described by Subsection (b); and |
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(3) file with the secretary of the endorsing |
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municipality on April 15 of each year a copy of each financial |
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statement a committee or a member of a committee is required to |
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submit to the United States Olympic Committee during the preceding |
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calendar year. |
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(b) A report under Subsection (a)(2)(B) must include: |
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(1) for each contribution made to the local organizing |
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committee: |
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(A) the contributor's full name and address; |
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(B) the date of the contribution; |
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(C) whether the contribution is cash, made by |
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check, or in-kind; and |
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(D) the amount or market value of the |
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contribution; and |
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(2) for each expenditure made by the local organizing |
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committee: |
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(A) the full name and address of the person who |
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receives payment of the expenditure; |
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(B) the date of the expenditure; |
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(C) the amount of the expenditure; and |
|
(D) the purpose of the expenditure. |
|
(c) The endorsing municipality for which a local organizing |
|
committee submits a request under Section 475.0052 must have a |
|
comprehensive ethics code establishing standards of conduct, |
|
disclosure requirements, and enforcement mechanisms relating to |
|
municipal officials and employees before the office considers the |
|
request. (V.A.C.S. Art. 5190.14, Sec. 10.) |
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SUBCHAPTER D. LOCAL GOVERNMENT CORPORATION IN CERTAIN POPULOUS |
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COUNTIES AS ENDORSING MUNICIPALITY OR COUNTY |
|
Sec. 475.0151. APPLICABILITY. This subchapter applies only |
|
to a local government corporation that: |
|
(1) is authorized to collect a municipal hotel |
|
occupancy tax; and |
|
(2) is located in a county with a population of 3.3 |
|
million or more. (V.A.C.S. Art. 5190.14, Sec. 12(a).) |
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Sec. 475.0152. AUTHORITY TO ACT AS ENDORSING MUNICIPALITY |
|
OR COUNTY. (a) A local government corporation may act as an |
|
endorsing municipality or endorsing county under this subtitle. |
|
(b) Subject to Section 475.0153, a local government |
|
corporation acting as an endorsing municipality or endorsing county |
|
under this subtitle has all the powers of an endorsing municipality |
|
or endorsing county under this subtitle, and any action an |
|
endorsing municipality or endorsing county is required to take by |
|
ordinance or order under this subtitle may be taken by order or |
|
resolution of the corporation. (V.A.C.S. Art. 5190.14, |
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Secs. 12(b), (e).) |
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Sec. 475.0153. DEPOSIT OF MUNICIPAL OR COUNTY TAX REVENUE |
|
TO TRUST FUND. (a) A local government corporation acting as an |
|
endorsing municipality or endorsing county under this subtitle |
|
shall remit for deposit into the trust fund established for the |
|
games or event the amounts determined by the office under this |
|
subtitle. |
|
(b) The office shall determine the incremental increase in |
|
tax receipts attributable to the games or event and related |
|
activities under this subtitle based on the amount of taxes imposed |
|
by each municipality or county that comprises the corporation and |
|
not on the amount of taxes imposed by the corporation. (V.A.C.S. |
|
Art. 5190.14, Sec. 12(c).) |
|
Sec. 475.0154. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS. A local government corporation acting as an endorsing |
|
municipality or endorsing county under this subtitle may guarantee |
|
the corporation's obligations under a games support contract or |
|
event support contract by pledging surcharges from user fees, |
|
including parking or ticket fees, charged in connection with the |
|
games or event and related activities. (V.A.C.S. Art. 5190.14, |
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Sec. 12(d).) |
|
SUBCHAPTER E. CRIMINAL PENALTIES |
|
Sec. 475.0201. OFFENSE OF BRIBERY. (a) In this section, |
|
"benefit" has the meaning assigned by Section 36.01, Penal Code. |
|
(b) A person commits an offense if the person intentionally |
|
or knowingly offers, confers, or agrees to confer on another |
|
person, or solicits, accepts, or agrees to accept from another |
|
person, any benefit as consideration for the recipient's decision, |
|
opinion, recommendation, vote, or other exercise of discretion as a |
|
member or employee of a local organizing committee or site |
|
selection organization. |
|
(c) It is a defense to prosecution under Subsection (b) that |
|
the benefit conferred is a meal or entertainment reported under |
|
Section 475.0103(a)(2)(B). |
|
(d) It is not a defense to prosecution under Subsection (b) |
|
that a person whom the actor sought to influence was not qualified |
|
to act as the actor intended the person to act. |
|
(e) It is not a defense to prosecution under Subsection (b) |
|
that the benefit is not offered or conferred or that the benefit is |
|
not solicited or accepted until after: |
|
(1) the decision, opinion, recommendation, vote, or |
|
other exercise of discretion has occurred; or |
|
(2) the person whom the actor sought to influence is no |
|
longer a member of the local organizing committee or a site |
|
selection organization. |
|
(f) An offense under this section is a felony of the second degree. (V.A.C.S. Art. 5190.14, Sec. 11.) |
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|
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CHAPTER 476. PAN AMERICAN GAMES TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 476.0001. DEFINITIONS |
|
Sec. 476.0002. ELIGIBILITY AS ENDORSING MUNICIPALITY |
|
SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES |
|
Sec. 476.0051. DETERMINATION OF INCREMENTAL INCREASE |
|
IN CERTAIN TAX RECEIPTS |
|
Sec. 476.0052. TIME FOR DETERMINATION |
|
Sec. 476.0053. DESIGNATION OF MARKET AREA |
|
Sec. 476.0054. ESTIMATE OF TAX REVENUE CREDITED TO |
|
TRUST FUND |
|
SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND |
|
LIMITATION |
|
Sec. 476.0101. PAN AMERICAN GAMES TRUST FUND |
|
Sec. 476.0102. DEPOSIT OF MUNICIPAL TAX REVENUE |
|
Sec. 476.0103. STATE TAX REVENUE |
|
Sec. 476.0104. LIMITATION ON TRANSFERS AND DEPOSITS TO |
|
TRUST FUND |
|
SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND |
|
Sec. 476.0151. DISBURSEMENT WITHOUT APPROPRIATION |
|
Sec. 476.0152. DISBURSEMENT FROM TRUST FUND |
|
Sec. 476.0153. ALLOWABLE EXPENSES |
|
Sec. 476.0154. TRANSFER AND REMITTANCE OF REMAINING |
|
TRUST FUND MONEY |
|
SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES |
|
Sec. 476.0201. REQUIRED INFORMATION |
|
Sec. 476.0202. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS |
|
SUBCHAPTER F. LIMITATIONS ON JOINT LIABILITY |
|
Sec. 476.0251. LIMITATION AMOUNTS |
|
CHAPTER 476. PAN AMERICAN GAMES TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 476.0001. DEFINITIONS. In this chapter: |
|
(1) "Endorsing municipality" means a municipality |
|
that authorizes a bid by a local organizing committee for selection |
|
of the municipality as the site of the games. |
|
(2) "Games" means the Pan American Games. |
|
(3) "Site selection organization" means: |
|
(A) the Pan American Sports Organization; or |
|
(B) the United States Olympic Committee. |
|
(4) "Trust fund" means the Pan American Games trust |
|
fund established by this chapter. (V.A.C.S. Art. 5190.14, Secs. |
|
4(a)(1) as amended Acts 78th Leg., R.S., Ch. 814, (2), (3) (part); |
|
New.) |
|
Sec. 476.0002. ELIGIBILITY AS ENDORSING MUNICIPALITY. Only |
|
a municipality with a population of 850,000 or more is eligible as |
|
an endorsing municipality under this chapter. (V.A.C.S. Art. |
|
5190.14, Sec. 4(a)(3) (part).) |
|
SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES |
|
Sec. 476.0051. DETERMINATION OF INCREMENTAL INCREASE IN |
|
CERTAIN TAX RECEIPTS. (a) After a site selection organization |
|
selects a site for the games in this state in accordance with an |
|
application by a local organizing committee acting on behalf of an |
|
endorsing municipality, the office shall determine for each |
|
subsequent calendar quarter the incremental increases in the |
|
following tax receipts that the office determines are directly |
|
attributable to the preparation for and presentation of the games |
|
and related events: |
|
(1) the receipts to this state from the taxes imposed |
|
under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5, |
|
Alcoholic Beverage Code, in the market areas designated under |
|
Section 476.0053; |
|
(2) the receipts collected by this state for the |
|
endorsing municipality from the sales and use tax imposed by the |
|
municipality under Section 321.101(a), Tax Code; and |
|
(3) the receipts collected by the endorsing |
|
municipality from the municipality's hotel occupancy tax imposed |
|
under Chapter 351, Tax Code. |
|
(b) The office shall make the determination required by |
|
Subsection (a) in accordance with procedures the office develops. |
|
(V.A.C.S. Art. 5190.14, Sec. 4(b) (part).) |
|
Sec. 476.0052. TIME FOR DETERMINATION. The office shall |
|
determine the incremental increase in tax receipts under Section |
|
476.0051 after the first occurrence of a measurable economic impact |
|
in this state resulting from the preparation for the games, as |
|
determined by the office, but not later than one year before the |
|
scheduled opening event of the games. (V.A.C.S. Art. 5190.14, Sec. |
|
4(b) (part).) |
|
Sec. 476.0053. DESIGNATION OF MARKET AREA. (a) For |
|
purposes of Section 476.0051(a)(1), the office shall designate as a |
|
market area for the games each area in which the office determines |
|
there is a reasonable likelihood of measurable economic impact |
|
directly attributable to the preparation for and presentation of |
|
the games and related events. The office shall include areas likely |
|
to provide venues, accommodations, and services in connection with |
|
the games based on the proposal the local organizing committee |
|
provides under Section 475.0052. |
|
(b) The office shall determine the geographic boundaries of |
|
each market area. |
|
(c) The endorsing municipality selected as the site for the |
|
games must be included in a market area for the games. (V.A.C.S. |
|
Art. 5190.14, Sec. 4(c).) |
|
Sec. 476.0054. ESTIMATE OF TAX REVENUE CREDITED TO TRUST |
|
FUND. (a) Not later than September 1 of the year that is eight |
|
years before the year the games would be held in this state, the |
|
office shall provide an estimate of the total amount of municipal |
|
and state tax revenue that would be transferred or deposited to the |
|
trust fund before January 1 of the year following the year the games |
|
would be held if the games were held in this state at a site selected |
|
in accordance with an application by a local organizing committee. |
|
(b) The office shall provide the estimate on request to a |
|
local organizing committee. |
|
(c) A local organizing committee may submit the office's |
|
estimate to a site selection organization. (V.A.C.S. Art. 5190.14, |
|
Sec. 4(i).) |
|
SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND |
|
LIMITATION |
|
Sec. 476.0101. PAN AMERICAN GAMES TRUST FUND. The Pan |
|
American Games trust fund is established outside the state |
|
treasury. The trust fund is held in trust by the comptroller for |
|
administration of this subtitle. (V.A.C.S. Art. 5190.14, Sec. 4(f) |
|
(part).) |
|
Sec. 476.0102. DEPOSIT OF MUNICIPAL TAX REVENUE. (a) |
|
Subject to Section 476.0104, the endorsing municipality shall |
|
deposit to the trust fund the amount of the municipality's hotel |
|
occupancy tax revenue determined under Section 476.0051(a)(3). The |
|
endorsing municipality shall deposit the hotel occupancy tax |
|
revenue to the trust fund at least quarterly. |
|
(b) To guarantee the joint obligations of this state and the |
|
endorsing municipality under a games support contract and this |
|
subtitle, the comptroller, at the direction of the office, shall |
|
retain the amount of municipal sales and use tax revenue determined |
|
under Section 476.0051(a)(2) from the amounts otherwise required to |
|
be sent to the municipality under Section 321.502, Tax Code, and, |
|
subject to Section 476.0104, deposit the retained tax revenue to |
|
the trust fund. |
|
(c) The comptroller shall begin retaining the municipal |
|
sales and use tax revenue with the first distribution of that tax |
|
revenue that occurs after the date the office makes the |
|
determination under Section 476.0051(a)(2). |
|
(d) The comptroller shall discontinue retaining the |
|
municipal sales and use tax revenue on the earlier of: |
|
(1) the end of the third calendar month following the |
|
month in which the closing event of the games occurs; or |
|
(2) the date the amount of municipal sales and use tax |
|
revenue and municipal hotel occupancy tax revenue in the trust fund |
|
equals 14 percent of the maximum amount of municipal and state tax |
|
revenue that may be transferred or deposited to the trust fund under |
|
Section 476.0104. (V.A.C.S. Art. 5190.14, Secs. 4(d), (f) (part).) |
|
Sec. 476.0103. STATE TAX REVENUE. (a) At the time the |
|
endorsing municipality deposits to the trust fund its hotel |
|
occupancy tax revenue under Section 476.0102(a), the comptroller, |
|
at the direction of the office, shall transfer to the trust fund a |
|
portion of the state tax revenue determined under Section |
|
476.0051(a)(1) in an amount equal to 6.25 multiplied by the amount |
|
of that municipal hotel occupancy tax revenue. |
|
(b) At the time the comptroller deposits to the trust fund |
|
the municipal sales and use tax revenue under Section 476.0102(b), |
|
the comptroller, at the direction of the office, shall transfer to |
|
the trust fund a portion of the state tax revenue determined under |
|
Section 476.0051(a)(1) in an amount equal to 6.25 multiplied by the |
|
amount of that municipal sales and use tax revenue. |
|
(c) The comptroller shall discontinue transferring to the |
|
trust fund any state tax revenue determined under Section |
|
476.0051(a)(1) on the earlier of: |
|
(1) the end of the third calendar month following the |
|
month in which the closing event of the games occurs; or |
|
(2) the date the amount of state revenue in the trust |
|
fund equals 86 percent of the maximum amount of municipal and state |
|
tax revenue that may be transferred or deposited to the trust fund |
|
under Section 476.0104. (V.A.C.S. Art. 5190.14, Sec. 4(f) (part).) |
|
Sec. 476.0104. LIMITATION ON TRANSFERS AND DEPOSITS TO |
|
TRUST FUND. The total amount of municipal and state tax revenue |
|
transferred or deposited to the trust fund may not exceed $20 |
|
million. (V.A.C.S. Art. 5190.14, Sec. 4(m) (part).) |
|
SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND |
|
Sec. 476.0151. DISBURSEMENT WITHOUT APPROPRIATION. Money |
|
in the trust fund may be spent by the office without appropriation |
|
only as provided by this subtitle. (V.A.C.S. Art. 5190.14, Sec. |
|
4(f) (part).) |
|
Sec. 476.0152. DISBURSEMENT FROM TRUST FUND. (a) The |
|
office may make a disbursement from the trust fund only if the |
|
office certifies that the disbursement is for a purpose for which |
|
this state and the endorsing municipality are jointly obligated |
|
under a games support contract or another agreement providing |
|
assurances from the office or the municipality to a site selection |
|
organization. |
|
(b) On a certification described by Subsection (a), the |
|
office shall satisfy the obligation: |
|
(1) first, from municipal revenue deposited to the |
|
trust fund and any interest earned on that municipal revenue; and |
|
(2) if the municipal revenue is insufficient to |
|
satisfy the entire deficit, from state revenue transferred to the |
|
trust fund and any interest earned on that state revenue in an |
|
amount sufficient to satisfy the portion of the deficit not covered |
|
by the municipal revenue. (V.A.C.S. Art. 5190.14, Secs. 4(g) |
|
(part), (j), (k).) |
|
Sec. 476.0153. ALLOWABLE EXPENSES. The office may use |
|
money in the trust fund only to fulfill joint obligations of this |
|
state and the endorsing municipality to a site selection |
|
organization under a games support contract or another agreement |
|
providing assurances from the office or municipality to a site |
|
selection organization. (V.A.C.S. Art. 5190.14, Sec. 4(g).) |
|
Sec. 476.0154. TRANSFER AND REMITTANCE OF REMAINING TRUST |
|
FUND MONEY. (a) On January 1 of the second year following the year |
|
in which the games are held in this state, the comptroller, at the |
|
direction of the office, shall transfer to the general revenue fund |
|
the amount of state revenue remaining in the trust fund plus any |
|
interest earned on that state revenue. |
|
(b) The comptroller shall remit to the endorsing |
|
municipality any money remaining in the trust fund after the |
|
required amount is transferred under Subsection (a). (V.A.C.S. |
|
Art. 5190.14, Sec. 4(l).) |
|
SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES |
|
Sec. 476.0201. REQUIRED INFORMATION. (a) A local |
|
organizing committee shall provide information required by the |
|
office to fulfill the office's duties under this subtitle, |
|
including: |
|
(1) annual audited statements of any committee |
|
financial records required by a site selection organization; and |
|
(2) data obtained by the committee relating to: |
|
(A) attendance at the games; and |
|
(B) the economic impact of the games. |
|
(b) A local organizing committee must provide any annual |
|
audited financial statement required by the office not later than |
|
the end of the fourth month after the last day of the period covered |
|
by the financial statement. (V.A.C.S. Art. 5190.14, Sec. 4(h).) |
|
Sec. 476.0202. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS. An endorsing municipality may guarantee its |
|
obligations under a games support contract and this subtitle by |
|
pledging, in addition to municipal sales and use tax revenue |
|
retained under Section 476.0102(b), surcharges from user fees |
|
charged in connection with presentation of the games, including |
|
parking or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 4(e).) |
|
SUBCHAPTER F. LIMITATIONS ON JOINT LIABILITY |
|
Sec. 476.0251. LIMITATION AMOUNTS. The joint liability of |
|
this state and the endorsing municipality under a joinder agreement |
|
and any other games support contracts entered into under this |
|
subtitle may not exceed the lesser of: |
|
(1) $20 million; or |
|
(2) the total amount of revenue transferred or |
|
deposited to the trust fund and interest earned on the trust fund. (V.A.C.S. Art. 5190.14, Sec. 4(m) (part).) |
|
|
|
CHAPTER 477. OLYMPIC GAMES TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 477.0001. DEFINITIONS |
|
Sec. 477.0002. ELIGIBILITY AS ENDORSING MUNICIPALITY |
|
SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES |
|
Sec. 477.0051. DETERMINATION OF INCREMENTAL INCREASE |
|
IN CERTAIN TAX RECEIPTS |
|
Sec. 477.0052. TIME FOR DETERMINATION |
|
Sec. 477.0053. DESIGNATION OF MARKET AREA |
|
Sec. 477.0054. ESTIMATE OF TAX REVENUE CREDITED TO |
|
TRUST FUND |
|
SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND |
|
LIMITATION |
|
Sec. 477.0101. OLYMPIC GAMES TRUST FUND |
|
Sec. 477.0102. DEPOSIT OF MUNICIPAL AND COUNTY TAX |
|
REVENUE |
|
Sec. 477.0103. STATE TAX REVENUE |
|
Sec. 477.0104. LIMITATION ON TRANSFERS AND DEPOSITS TO |
|
TRUST FUND |
|
SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND |
|
Sec. 477.0151. DISBURSEMENT WITHOUT APPROPRIATION |
|
Sec. 477.0152. DISBURSEMENT FROM TRUST FUND |
|
Sec. 477.0153. ALLOWABLE EXPENSES |
|
Sec. 477.0154. PROHIBITED DISBURSEMENT |
|
Sec. 477.0155. TRANSFER AND REMITTANCE OF REMAINING |
|
TRUST FUND MONEY |
|
SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES |
|
Sec. 477.0201. REQUIRED INFORMATION |
|
Sec. 477.0202. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS |
|
Sec. 477.0203. MUNICIPAL OR COUNTY ELECTION |
|
SUBCHAPTER F. LIMITATIONS ON JOINT LIABILITY |
|
Sec. 477.0251. LIMITATION AMOUNTS |
|
CHAPTER 477. OLYMPIC GAMES TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 477.0001. DEFINITIONS. In this chapter: |
|
(1) "Endorsing county" means a county that: |
|
(A) contains all or part of a municipality |
|
described by Section 477.0002; or |
|
(B) is adjacent to a county described by |
|
Paragraph (A). |
|
(2) "Endorsing municipality" means a municipality |
|
that authorizes a bid by a local organizing committee for selection |
|
of the municipality as the site of the games. |
|
(3) "Games" means the Olympic Games. |
|
(4) "Site selection organization" means: |
|
(A) the International Olympic Committee; or |
|
(B) the United States Olympic Committee. |
|
(5) "Trust fund" means the Olympic Games trust fund |
|
established by this chapter. (V.A.C.S. Art. 5190.14, Secs. 4(a)(3) |
|
(part), 5(a)(1), (2), (3) (part), (4); New.) |
|
Sec. 477.0002. ELIGIBILITY AS ENDORSING MUNICIPALITY. Only |
|
a municipality with a population of 850,000 or more is eligible as |
|
an endorsing municipality under this chapter. (V.A.C.S. Art. |
|
5190.14, Secs. 4(a)(3) (part), 5(a)(3) (part).) |
|
SUBCHAPTER B. STATE ACTIONS RELATING TO GAMES |
|
Sec. 477.0051. DETERMINATION OF INCREMENTAL INCREASE IN |
|
CERTAIN TAX RECEIPTS. (a) After a site selection organization |
|
selects a site for the games in this state in accordance with an |
|
application by a local organizing committee, the office shall |
|
determine for each subsequent calendar quarter the incremental |
|
increases in the following tax receipts that the office determines |
|
are directly attributable to the preparation for and presentation |
|
of the games and related events: |
|
(1) the receipts to this state from the taxes imposed |
|
under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5, |
|
Alcoholic Beverage Code, in the market areas designated under |
|
Section 477.0053; |
|
(2) the receipts collected by this state for each |
|
endorsing municipality from the sales and use tax imposed by the |
|
municipality under Section 321.101(a), Tax Code, and the mixed |
|
beverage tax revenue to be received by the municipality under |
|
Section 183.051(b), Tax Code; |
|
(3) the receipts collected by this state for each |
|
endorsing county from the sales and use tax imposed by the county |
|
under Section 323.101(a), Tax Code, and the mixed beverage tax |
|
revenue received by the county under Section 183.051(b), Tax Code; |
|
(4) the receipts collected by each endorsing |
|
municipality from the hotel occupancy tax imposed under Chapter |
|
351, Tax Code; and |
|
(5) the receipts collected by each endorsing county |
|
from the hotel occupancy tax imposed under Chapter 352, Tax Code. |
|
(b) The office shall make the determination required by |
|
Subsection (a) in accordance with procedures the office develops. |
|
(V.A.C.S. Art. 5190.14, Sec. 5(b) (part).) |
|
Sec. 477.0052. TIME FOR DETERMINATION. The office shall |
|
determine the incremental increase in tax receipts under Section |
|
477.0051 after the first occurrence of a measurable economic impact |
|
in this state resulting from the preparation for the games, as |
|
determined by the office, but not later than one year before the |
|
scheduled opening event of the games. (V.A.C.S. Art. 5190.14, Sec. |
|
5(b) (part).) |
|
Sec. 477.0053. DESIGNATION OF MARKET AREA. (a) For |
|
purposes of Section 477.0051(a)(1), the office shall designate as a |
|
market area for the games each area in which the office determines |
|
there is a reasonable likelihood of measurable economic impact |
|
directly attributable to the preparation for and presentation of |
|
the games and related events. The office shall include areas likely |
|
to provide venues, accommodations, and services in connection with |
|
the games based on the proposal the local organizing committee |
|
provides under Section 475.0052. |
|
(b) The office shall determine the geographic boundaries of |
|
each market area. |
|
(c) Each endorsing municipality or endorsing county |
|
selected as the site for the games must be included in a market area |
|
for the games. (V.A.C.S. Art. 5190.14, Sec. 5(c).) |
|
Sec. 477.0054. ESTIMATE OF TAX REVENUE CREDITED TO TRUST |
|
FUND. (a) Before August 31 of the year that is 12 years before the |
|
year the games would be held in this state, or as soon as |
|
practicable after that date, the office shall provide an estimate |
|
of the total amount of municipal, county, and state tax revenue that |
|
would be transferred or deposited to the trust fund if the games |
|
were held in this state at a site selected in accordance with an |
|
application by a local organizing committee. |
|
(b) The office shall provide the estimate on request to a |
|
local organizing committee. |
|
(c) A local organizing committee may submit the office's |
|
estimate to a site selection organization. (V.A.C.S. Art. 5190.14, |
|
Sec. 5(i).) |
|
SUBCHAPTER C. TRUST FUND ESTABLISHMENT, CONTRIBUTION, AND |
|
LIMITATION |
|
Sec. 477.0101. OLYMPIC GAMES TRUST FUND. The Olympic Games |
|
trust fund is established outside the treasury. The trust fund is |
|
held in trust by the comptroller for the administration of this |
|
subtitle. (V.A.C.S. Art. 5190.14, Sec. 5(f) (part).) |
|
Sec. 477.0102. DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE. |
|
(a) Subject to Section 477.0104, each endorsing municipality or |
|
endorsing county shall remit to the comptroller and the |
|
comptroller, at the direction of the office, quarterly shall |
|
deposit to the trust fund the amount of the municipality's or |
|
county's hotel occupancy tax revenue determined under Section |
|
477.0051(a)(4) or (5), as applicable. |
|
(b) To guarantee the joint obligations of this state and an |
|
endorsing municipality or endorsing county under a games support |
|
contract and this subtitle, subject to Section 477.0203, the |
|
comptroller, at the direction of the office, shall retain the |
|
amount of sales and use tax revenue and mixed beverage tax revenue |
|
determined under Section 477.0051(a)(2) or (3) from the amounts |
|
otherwise required to be sent to the municipality under Section |
|
183.051(b) or 321.502, Tax Code, or to the county under Section |
|
183.051(b) or 323.502, Tax Code. Subject to Sections 477.0104 and |
|
477.0203, the comptroller, at the direction of the office, shall |
|
deposit the retained tax revenue to the trust fund for the same |
|
calendar quarter as under Subsection (a). |
|
(c) The comptroller shall begin retaining municipal and |
|
county sales and use tax revenue and mixed beverage tax revenue with |
|
the first distribution of that tax revenue that occurs after the |
|
date the office makes the determination under Section |
|
477.0051(a)(2) or (3). |
|
(d) The comptroller shall discontinue retaining municipal |
|
and county sales and use tax revenue and mixed beverage tax revenue |
|
on the earlier of: |
|
(1) the end of the third calendar month following the |
|
month in which the closing event of the games occurs; or |
|
(2) the date the amount of municipal and county sales |
|
and use tax revenue and mixed beverage tax revenue in the trust fund |
|
equals 14 percent of the maximum amount of municipal, county, and |
|
state tax revenue that may be transferred or deposited to the trust |
|
fund under Section 477.0104. (V.A.C.S. Art. 5190.14, Secs. 5(d), |
|
(f) (part).) |
|
Sec. 477.0103. STATE TAX REVENUE. (a) At the time the |
|
comptroller deposits to the trust fund the municipal and county tax |
|
revenue under Section 477.0102(b), the comptroller shall transfer |
|
to the trust fund the state tax revenue determined under Section |
|
477.0051(a)(1) for the quarter. |
|
(b) The comptroller shall discontinue transferring the |
|
amount of state tax revenue determined under Section 477.0051(a)(1) |
|
on the earlier of: |
|
(1) the end of the third calendar month following the |
|
month in which the closing event of the games occurs; or |
|
(2) the date the amount of state revenue in the trust |
|
fund equals 86 percent of the maximum amount of municipal, county, |
|
and state tax revenue that may be transferred or deposited to the |
|
trust fund under Section 477.0104. (V.A.C.S. Art. 5190.14, Sec. |
|
5(f) (part).) |
|
Sec. 477.0104. LIMITATION ON TRANSFERS AND DEPOSITS TO |
|
TRUST FUND. The total amount of municipal, county, and state tax |
|
revenue transferred or deposited to the trust fund may not exceed |
|
$100 million. (V.A.C.S. Art. 5190.14, Sec. 5(m) (part).) |
|
SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND |
|
Sec. 477.0151. DISBURSEMENT WITHOUT APPROPRIATION. Money |
|
in the trust fund may be spent by the office without appropriation |
|
only as provided by this subtitle. (V.A.C.S. Art. 5190.14, Sec. |
|
5(f) (part).) |
|
Sec. 477.0152. DISBURSEMENT FROM TRUST FUND. (a) The |
|
office may make a disbursement from the trust fund only if the |
|
office certifies that the disbursement is for a purpose for which |
|
this state and each endorsing municipality and endorsing county are |
|
jointly obligated under a games support contract or another |
|
agreement providing assurances from the office or an endorsing |
|
municipality or endorsing county to a site selection organization. |
|
(b) On a certification described by Subsection (a), the |
|
office shall satisfy the obligation proportionately from the state |
|
and municipal or county revenue in the trust fund. (V.A.C.S. Art. |
|
5190.14, Secs. 5(j) (part), (k).) |
|
Sec. 477.0153. ALLOWABLE EXPENSES. The office may use |
|
money in the trust fund only to fulfill joint obligations of this |
|
state and each endorsing municipality and endorsing county to a |
|
site selection organization under a games support contract or |
|
another agreement providing assurances from the office or the |
|
municipality or county to a site selection organization. (V.A.C.S. |
|
Art. 5190.14, Sec. 5(g).) |
|
Sec. 477.0154. PROHIBITED DISBURSEMENT. The office may not |
|
make a disbursement from the trust fund that the office determines |
|
would be used to solicit the relocation of a professional sports |
|
franchise located in this state. (V.A.C.S. Art. 5190.14, Sec. 5(j) |
|
(part).) |
|
Sec. 477.0155. TRANSFER AND REMITTANCE OF REMAINING TRUST |
|
FUND MONEY. (a) Two years after the closing event of the games, the |
|
office shall transfer to the general revenue fund the amount of |
|
state revenue remaining in the trust fund plus any interest earned |
|
on that state revenue. |
|
(b) The office shall remit to each endorsing entity in |
|
proportion to the amount contributed by the entity any money |
|
remaining in the trust fund after the required amount is |
|
transferred under Subsection (a). (V.A.C.S. Art. 5190.14, Sec. |
|
5(l).) |
|
SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO GAMES |
|
Sec. 477.0201. REQUIRED INFORMATION. (a) A local |
|
organizing committee shall provide information required by the |
|
office to fulfill the office's duties under this subtitle, |
|
including: |
|
(1) annual audited statements of any committee |
|
financial records required by a site selection organization; and |
|
(2) data obtained by the committee relating to: |
|
(A) attendance at the games; and |
|
(B) the economic impact of the games. |
|
(b) A local organizing committee must provide any annual |
|
audited financial statement required by the office not later than |
|
the end of the fourth month after the last day of the period covered |
|
by the financial statement. (V.A.C.S. Art. 5190.14, Sec. 5(h).) |
|
Sec. 477.0202. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS. An endorsing municipality or endorsing county may |
|
guarantee its obligations under a games support contract and this |
|
subtitle by pledging, in addition to sales and use tax revenue, |
|
mixed beverage tax revenue, and hotel occupancy tax revenue |
|
retained under Section 477.0102, surcharges from user fees charged |
|
in connection with the presentation of the games, including parking |
|
or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 5(e).) |
|
Sec. 477.0203. MUNICIPAL OR COUNTY ELECTION. (a) An |
|
endorsing municipality or endorsing county must hold an election in |
|
the municipality or county to determine whether the municipality or |
|
county may contribute a portion of its sales and use taxes to the |
|
trust fund under this chapter. The election must be held on a |
|
uniform election date before the date a site selection organization |
|
requires the endorsing municipality or endorsing county and the |
|
state to enter into a joinder undertaking relating to the |
|
applicable games. |
|
(b) If an endorsing municipality or endorsing county is |
|
required to hold an election under this section and the |
|
contribution of a portion of the municipality's or county's sales |
|
and use taxes to the trust fund under this chapter is not approved |
|
by a majority of the voters voting in the election: |
|
(1) the comptroller may not establish the trust fund |
|
under this chapter, may not retain the municipality's or county's |
|
tax revenue under Section 477.0102 from amounts otherwise required |
|
to be sent to that municipality or county, and may not transfer any |
|
state tax revenue into the trust fund; |
|
(2) the office is not required to determine the |
|
incremental increase in municipal, county, or state tax revenue |
|
under Section 477.0051; and |
|
(3) the office may not enter into a games support |
|
contract relating to the games for which the municipality or county |
|
has authorized a bid on its behalf. |
|
(c) Notwithstanding any other provisions of this subtitle, |
|
an endorsing municipality or endorsing county is not required to |
|
hold an election to contribute its mixed beverage tax revenue or its |
|
hotel occupancy tax revenue to the trust fund under this chapter. |
|
(V.A.C.S. Art. 5190.14, Sec. 6.) |
|
SUBCHAPTER F. LIMITATIONS ON JOINT LIABILITY |
|
Sec. 477.0251. LIMITATION AMOUNTS. The joint liability of |
|
this state and an endorsing municipality or endorsing county under |
|
a joinder agreement and any other games support contracts entered |
|
into under this subtitle may not exceed the lesser of: |
|
(1) $100 million; or |
|
(2) the total amount of revenue transferred or |
|
deposited to the trust fund and interest earned on the trust fund. (V.A.C.S. Art. 5190.14, Sec. 5(m) (part).) |
|
|
|
CHAPTER 478. MAJOR EVENTS REIMBURSEMENT PROGRAM |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 478.0001. DEFINITIONS |
|
Sec. 478.0002. RULES |
|
Sec. 478.0003. CONSTRUCTION OF CHAPTER |
|
SUBCHAPTER B. ELIGIBILITY |
|
Sec. 478.0051. EVENTS ELIGIBLE FOR FUNDING |
|
Sec. 478.0052. SINGLE EVENT CLASSIFICATION FOR |
|
ELIGIBILITY PURPOSES |
|
Sec. 478.0053. EXEMPTION FROM CERTAIN ELIGIBILITY |
|
REQUIREMENT FOR CERTAIN LARGE VENUES |
|
SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS |
|
Sec. 478.0101. PREREQUISITES FOR OFFICE ACTION |
|
Sec. 478.0102. DETERMINATION OF INCREMENTAL INCREASE |
|
IN CERTAIN TAX RECEIPTS |
|
Sec. 478.0103. TIME FOR DETERMINATION REQUEST |
|
Sec. 478.0104. TIME FOR DETERMINATION |
|
Sec. 478.0105. DESIGNATION OF MARKET AREA |
|
Sec. 478.0106. ESTIMATE OF TAX REVENUE CREDITED TO |
|
FUND |
|
Sec. 478.0107. ECONOMIC IMPACT STUDY |
|
Sec. 478.0108. DISTRIBUTION AND PUBLICATION OF PLAN TO |
|
PREVENT TRAFFICKING OF PERSONS IN |
|
CONNECTION WITH EVENT |
|
SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS |
|
Sec. 478.0151. MAJOR EVENTS REIMBURSEMENT PROGRAM FUND |
|
Sec. 478.0152. DEPOSIT OF MUNICIPAL AND COUNTY TAX |
|
REVENUE |
|
Sec. 478.0153. OTHER LOCAL MONEY |
|
Sec. 478.0154. SURCHARGES AND USER FEES |
|
Sec. 478.0155. STATE TAX REVENUE |
|
SUBCHAPTER E. DISBURSEMENTS FROM FUND |
|
Sec. 478.0201. DISBURSEMENT WITHOUT APPROPRIATION |
|
Sec. 478.0202. DISBURSEMENT FROM FUND |
|
Sec. 478.0203. REDUCTION OF DISBURSEMENT AMOUNT |
|
Sec. 478.0204. ALLOWABLE EXPENSES |
|
Sec. 478.0205. LIMITATION ON CERTAIN DISBURSEMENTS |
|
Sec. 478.0206. PROHIBITED DISBURSEMENT |
|
Sec. 478.0207. REMITTANCE OF REMAINING FUND MONEY |
|
SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS |
|
Sec. 478.0251. REQUIRED INFORMATION |
|
Sec. 478.0252. ISSUANCE OF NOTES |
|
Sec. 478.0253. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS |
|
CHAPTER 478. MAJOR EVENTS REIMBURSEMENT PROGRAM |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 478.0001. DEFINITIONS. In this chapter: |
|
(1) "Endorsing county" means: |
|
(A) a county that contains a site selected by a |
|
site selection organization for an event; or |
|
(B) a county that: |
|
(i) does not contain a site selected by a |
|
site selection organization for an event; |
|
(ii) is included in the market area for the |
|
event as designated by the office; and |
|
(iii) is a party to an event support |
|
contract. |
|
(2) "Endorsing municipality" means: |
|
(A) a municipality that contains a site selected |
|
by a site selection organization for an event; or |
|
(B) a municipality that: |
|
(i) does not contain a site selected by a |
|
site selection organization for an event; |
|
(ii) is included in the market area for the |
|
event as designated by the office; and |
|
(iii) is a party to an event support |
|
contract. |
|
(3) "Event" means any of the following and includes |
|
any activity related to or associated with the following: |
|
(A) the Academy of Country Music Awards; |
|
(B) the Amateur Athletic Union Junior Olympic |
|
Games; |
|
(C) the Breeders' Cup World Championships; |
|
(D) a game of the College Football Playoff or its |
|
successor; |
|
(E) an Elite Rodeo Association World |
|
Championship; |
|
(F) a Formula One automobile race; |
|
(G) the largest event held each year at a sports |
|
entertainment venue in this state with a permanent seating |
|
capacity, including grandstand and premium seating, of at least |
|
125,000; |
|
(H) the Major League Baseball All-Star Game; |
|
(I) the Major League Soccer All-Star Game or the |
|
Major League Soccer Cup; |
|
(J) a mixed martial arts championship; |
|
(K) the Moto Grand Prix of the United States; |
|
(L) the National Association for Stock Car Auto |
|
Racing (NASCAR): |
|
(i) All-Star Race; or |
|
(ii) season-ending Championship Race; |
|
(M) the National Basketball Association All-Star |
|
Game; |
|
(N) a National Collegiate Athletic Association |
|
Final Four tournament game; |
|
(O) the National Collegiate Athletic Association |
|
men's or women's lacrosse championships; |
|
(P) a national collegiate championship of an |
|
amateur sport sanctioned by the national governing body of the |
|
sport that is recognized by the United States Olympic Committee; |
|
(Q) the National Cutting Horse Association |
|
Triple Crown; |
|
(R) the National Hockey League All-Star Game; |
|
(S) a national political convention of the |
|
Republican National Committee or the Democratic National |
|
Committee; |
|
(T) an Olympic activity, including a Junior or |
|
Senior activity, training program, or feeder program sanctioned by |
|
the United States Olympic Committee's Community Olympic |
|
Development Program; |
|
(U) a presidential general election debate; |
|
(V) the Professional Rodeo Cowboys Association |
|
National Finals Rodeo; |
|
(W) a Super Bowl; |
|
(X) the United States Open Championship; |
|
(Y) a World Cup soccer game or the World Cup |
|
soccer tournament; |
|
(Z) the World Games; or |
|
(AA) the X Games. |
|
(4) "Event support contract" means a joinder |
|
undertaking, joinder agreement, or similar contract executed by a |
|
site selection organization and a local organizing committee, an |
|
endorsing municipality, or an endorsing county. |
|
(5) "Fund" means the major events reimbursement |
|
program fund. |
|
(6) "Program" means the major events reimbursement |
|
program. |
|
(7) "Site selection organization" means: |
|
(A) the Academy of Country Music; |
|
(B) the Amateur Athletic Union; |
|
(C) the College Football Playoff Administration, |
|
LLC, or its successor; |
|
(D) the Commission on Presidential Debates; |
|
(E) the Democratic National Committee; |
|
(F) Dorna Sports; |
|
(G) the Elite Rodeo Association; |
|
(H) ESPN or an affiliate; |
|
(I) the Federation Internationale de Football |
|
Association (FIFA); |
|
(J) the International World Games Association; |
|
(K) Major League Baseball; |
|
(L) Major League Soccer; |
|
(M) the National Association for Stock Car Auto |
|
Racing (NASCAR); |
|
(N) the National Basketball Association; |
|
(O) the National Collegiate Athletic |
|
Association; |
|
(P) the National Cutting Horse Association; |
|
(Q) the National Football League; |
|
(R) the National Hockey League; |
|
(S) the Professional Rodeo Cowboys Association; |
|
(T) the Republican National Committee; |
|
(U) the Ultimate Fighting Championship; |
|
(V) the United States Golf Association; |
|
(W) the United States Olympic Committee; or |
|
(X) the national governing body of a sport that |
|
is recognized by: |
|
(i) the Federation Internationale de |
|
l'Automobile; |
|
(ii) Formula One Management Limited; |
|
(iii) the National Thoroughbred Racing |
|
Association; or |
|
(iv) the United States Olympic Committee. |
|
(V.A.C.S. Art. 5190.14, Sec. 5A(a); New.) |
|
Sec. 478.0002. RULES. The office may adopt rules necessary |
|
to implement this chapter. (V.A.C.S. Art. 5190.14, Sec. 5A(v).) |
|
Sec. 478.0003. CONSTRUCTION OF CHAPTER. This chapter may |
|
not be construed as creating or requiring a state guarantee of an |
|
obligation imposed on an endorsing municipality, an endorsing |
|
county, or this state under an event support contract or another |
|
agreement relating to hosting an event in this state. (V.A.C.S. |
|
Art. 5190.14, Sec. 5A(o).) |
|
SUBCHAPTER B. ELIGIBILITY |
|
Sec. 478.0051. EVENTS ELIGIBLE FOR FUNDING. (a) Only an |
|
event listed in Section 478.0001(3) is eligible for funding under |
|
this chapter. |
|
(b) A listed event may receive funding through the program |
|
only if: |
|
(1) a site selection organization, after considering |
|
through a highly competitive selection process one or more sites |
|
not in this state, selects a site in this state for the event to be |
|
held: |
|
(A) one time; or |
|
(B) if the event is scheduled under an event |
|
contract or event support contract to be held each year for a period |
|
of years, one time in each year; |
|
(2) a site selection organization selects a site in |
|
this state as: |
|
(A) the sole site for the event; or |
|
(B) the sole site for the event in a region |
|
composed of this state and one or more adjoining states; |
|
(3) the event is held not more than one time in any |
|
year; |
|
(4) the incremental increase in tax receipts |
|
determined under Section 478.0102 is at least $1 million; and |
|
(5) not later than the 30th day before the first day of |
|
the event, a site selection organization submits a plan to prevent |
|
the trafficking of persons in connection with the event to: |
|
(A) the office of the attorney general; and |
|
(B) the chief of the Texas Division of Emergency |
|
Management. (V.A.C.S. Art. 5190.14, Sec. 5A(a-1) (part).) |
|
Sec. 478.0052. SINGLE EVENT CLASSIFICATION FOR ELIGIBILITY |
|
PURPOSES. For purposes of Section 478.0051, each presidential |
|
general election debate in a series of presidential debates before |
|
a general election is considered a separate, single event. |
|
(V.A.C.S. Art. 5190.14, Sec. 5A(a-3).) |
|
Sec. 478.0053. EXEMPTION FROM CERTAIN ELIGIBILITY |
|
REQUIREMENT FOR CERTAIN LARGE VENUES. Section 478.0051(b)(1) does |
|
not apply to an event described by Section 478.0001(3)(G). If an |
|
endorsing municipality or endorsing county requests the office to |
|
make a determination under Section 478.0102 for an event described |
|
by Section 478.0001(3)(G), the remaining provisions of this chapter |
|
apply to that event as if the event satisfied the eligibility |
|
requirements under Section 478.0051(b)(1). (V.A.C.S. Art. |
|
5190.14, Sec. 5A(a-2).) |
|
SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS |
|
Sec. 478.0101. PREREQUISITES FOR OFFICE ACTION. The office |
|
may not undertake any duty imposed by this chapter unless: |
|
(1) the municipality or county in which an event will |
|
be located submits a request; |
|
(2) the event meets the requirements for funding under |
|
Section 478.0051 and all other funding requirements under this |
|
chapter; and |
|
(3) the request is accompanied by documentation from a |
|
site selection organization selecting the site for the event. |
|
(V.A.C.S. Art. 5190.14, Sec. 5A(p).) |
|
Sec. 478.0102. DETERMINATION OF INCREMENTAL INCREASE IN |
|
CERTAIN TAX RECEIPTS. (a) After a site selection organization |
|
selects a site for an event in this state in accordance with an |
|
application by a local organizing committee, endorsing |
|
municipality, or endorsing county and on request of a local |
|
organizing committee, endorsing municipality, or endorsing county, |
|
the office shall determine the incremental increases in the |
|
following tax receipts that the office determines are directly |
|
attributable to the preparation for and presentation of the event |
|
for a one-year period that begins two months before the date on |
|
which the event will begin: |
|
(1) the receipts to this state from taxes imposed |
|
under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5, |
|
Alcoholic Beverage Code, in the market areas designated under |
|
Section 478.0105; |
|
(2) the receipts collected by this state for each |
|
endorsing municipality in the market area from the sales and use tax |
|
imposed by each endorsing municipality under Section 321.101(a), |
|
Tax Code, and the mixed beverage tax revenue to be received by each |
|
endorsing municipality under Section 183.051(b), Tax Code; |
|
(3) the receipts collected by this state for each |
|
endorsing county in the market area from the sales and use tax |
|
imposed by each endorsing county under Section 323.101(a), Tax |
|
Code, and the mixed beverage tax revenue to be received by each |
|
endorsing county under Section 183.051(b), Tax Code; |
|
(4) the receipts collected by each endorsing |
|
municipality in the market area from the hotel occupancy tax |
|
imposed under Chapter 351, Tax Code; and |
|
(5) the receipts collected by each endorsing county in |
|
the market area from the hotel occupancy tax imposed under Chapter |
|
352, Tax Code. |
|
(b) The office shall make the determination required by |
|
Subsection (a) in accordance with procedures the office develops |
|
and shall base that determination on information submitted by a |
|
local organizing committee, endorsing municipality, or endorsing |
|
county. |
|
(c) For an event scheduled to be held each year for a period |
|
of years under an event contract or event support contract, the |
|
office shall calculate the incremental increase in the tax receipts |
|
specified by Subsection (a) as if the event did not occur in the |
|
prior year for purposes of Section 478.0051(b)(4). (V.A.C.S. Art. |
|
5190.14, Secs. 5A(a-1) (part), (b), (b-1) (part).) |
|
Sec. 478.0103. TIME FOR DETERMINATION REQUEST. A request |
|
for a determination of the incremental increase in tax receipts |
|
under Section 478.0102 must be submitted to the office not earlier |
|
than one year and not later than the 45th day before the beginning |
|
date of the event. (V.A.C.S. Art. 5190.14, Sec. 5A(b-1) (part).) |
|
Sec. 478.0104. TIME FOR DETERMINATION. The office shall |
|
determine the incremental increase in tax receipts under Section |
|
478.0102 not later than the 30th day after the date the office |
|
receives the request for that determination and related |
|
information. (V.A.C.S. Art. 5190.14, Sec. 5A(b-1) (part).) |
|
Sec. 478.0105. DESIGNATION OF MARKET AREA. (a) For |
|
purposes of Section 478.0102(a)(1), the office shall designate as a |
|
market area for an event each area in which the office determines |
|
there is a reasonable likelihood of measurable economic impact |
|
directly attributable to the preparation for and presentation of |
|
the event. The office shall include areas likely to provide venues, |
|
accommodations, and services in connection with the event based on |
|
the proposal the local organizing committee provides to the office. |
|
(b) The office shall determine the geographic boundaries of |
|
each market area. |
|
(c) An endorsing municipality or endorsing county selected |
|
as the site for an event must be included in a market area for the |
|
event. (V.A.C.S. Art. 5190.14, Sec. 5A(c).) |
|
Sec. 478.0106. ESTIMATE OF TAX REVENUE CREDITED TO FUND. |
|
(a) Not later than the 30th day after the date a local organizing |
|
committee, endorsing municipality, or endorsing county submits a |
|
request for a determination of the incremental increase in tax |
|
receipts under Section 478.0102, the office shall provide an |
|
estimate of the total amount of tax revenue that would be deposited |
|
to the fund under this chapter in connection with that event if the |
|
event were held in this state at a site selected in accordance with |
|
an application by a local organizing committee, endorsing |
|
municipality, or endorsing county. |
|
(b) A local organizing committee, endorsing municipality, |
|
or endorsing county may submit the office's estimate to a site |
|
selection organization. (V.A.C.S. Art. 5190.14, Sec. 5A(j).) |
|
Sec. 478.0107. ECONOMIC IMPACT STUDY. (a) Not later than |
|
the 10th month after the last day of an event eligible for |
|
disbursements from the fund, using existing resources, the office |
|
shall complete a study in the market area of the event on the |
|
measurable economic impact directly attributable to the |
|
preparation for and presentation of the event. |
|
(b) The office shall post on the office's Internet website: |
|
(1) the results of the study conducted under |
|
Subsection (a), including any source documentation or other |
|
information on which the office relied for the study; |
|
(2) the incremental increase in tax receipts for the |
|
event determined under Section 478.0102 and any source |
|
documentation or information described by Section 478.0251 on which |
|
the office relied to determine that increase; |
|
(3) the documentation described by Section |
|
478.0101(3); and |
|
(4) documentation verifying that: |
|
(A) a request submitted under Section 478.0101 is |
|
complete and certified as complete by the office; |
|
(B) the office considered the information |
|
submitted by a local organizing committee, endorsing municipality, |
|
or endorsing county to determine the incremental increase in tax |
|
receipts under Section 478.0102 as required by Section 478.0102(b); |
|
and |
|
(C) each deadline established under this chapter |
|
was met. (V.A.C.S. Art. 5190.14, Sec. 5A(w).) |
|
Sec. 478.0108. DISTRIBUTION AND PUBLICATION OF PLAN TO |
|
PREVENT TRAFFICKING OF PERSONS IN CONNECTION WITH EVENT. The |
|
office of the attorney general may: |
|
(1) distribute the plan required by Section |
|
478.0051(b)(5) to appropriate law enforcement agencies and the |
|
office of the governor; and |
|
(2) publish the plan on the Internet website of the |
|
office of the attorney general. (V.A.C.S. Art. 5190.14, Sec. |
|
5A(a-4).) |
|
SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS |
|
Sec. 478.0151. MAJOR EVENTS REIMBURSEMENT PROGRAM FUND. |
|
The major events reimbursement program fund is established outside |
|
the state treasury and is held in trust by the comptroller for |
|
administration of this subtitle. (V.A.C.S. Art. 5190.14, Sec. 5A(d) |
|
(part).) |
|
Sec. 478.0152. DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE. |
|
(a) Each endorsing municipality or endorsing county participating |
|
in the program shall remit to the comptroller and the comptroller |
|
shall deposit into a trust fund created by the comptroller, at the |
|
direction of the office, and designated as the major events |
|
reimbursement program fund the amount of the municipality's or |
|
county's hotel occupancy tax revenue determined under Section |
|
478.0102(a)(4) or (5), less any amount of the revenue that the |
|
municipality or county determines is necessary to meet the |
|
obligations of the municipality or county. |
|
(b) The comptroller, at the direction of the office, shall |
|
retain the amount of sales and use tax revenue and mixed beverage |
|
tax revenue determined under Section 478.0102(a)(2) or (3) from the |
|
amounts otherwise required to be sent to the municipality under |
|
Sections 321.502 and 183.051(b), Tax Code, or to the county under |
|
Sections 323.502 and 183.051(b), Tax Code, less any amount of the |
|
revenue that the municipality or county determines is necessary to |
|
meet the obligations of the municipality or county, and shall |
|
deposit the retained tax revenue to the fund. |
|
(c) The comptroller shall begin retaining and depositing |
|
the municipal and county tax revenue: |
|
(1) with the first distribution of that tax revenue |
|
that occurs after the first day of the one-year period described by |
|
Section 478.0102(a); or |
|
(2) at a time the office otherwise determines to be |
|
practicable. |
|
(d) The comptroller shall discontinue retaining the |
|
municipal and county tax revenue when the amount of the applicable |
|
tax revenue determined under Section 478.0102(a)(2) or (3) has been |
|
retained. (V.A.C.S. Art. 5190.14, Sec. 5A(d) (part).) |
|
Sec. 478.0153. OTHER LOCAL MONEY. (a) In lieu of the |
|
municipal and county tax revenues remitted or retained under |
|
Section 478.0152, an endorsing municipality or endorsing county may |
|
remit to the office for deposit to the fund other local money in an |
|
amount equal to the total amount of municipal and county tax revenue |
|
determined under Sections 478.0102(a)(2)-(5). |
|
(b) An endorsing municipality or endorsing county must |
|
remit the other local money not later than the 90th day after the |
|
last day of an event eligible for funding under the program. |
|
(c) For purposes of Section 478.0155, the amount deposited |
|
under this section is considered remitted local revenue. (V.A.C.S. |
|
Art. 5190.14, Sec. 5A(d-1).) |
|
Sec. 478.0154. SURCHARGES AND USER FEES. An endorsing |
|
municipality or endorsing county may collect and remit to the |
|
office surcharges and user fees attributable to an event for |
|
deposit to the fund. (V.A.C.S. Art. 5190.14, Sec. 5A(e) (part).) |
|
Sec. 478.0155. STATE TAX REVENUE. (a) The comptroller, at |
|
the direction of the office, shall transfer to the fund a portion of |
|
the state tax revenue in an amount equal to the prevailing state |
|
sales tax rate multiplied by the amount of the local revenue |
|
retained or remitted under this chapter, including: |
|
(1) local sales and use tax revenue; |
|
(2) mixed beverage tax revenue; |
|
(3) hotel occupancy tax revenue; and |
|
(4) surcharge and user fee revenue. |
|
(b) The amount transferred under Subsection (a) may not |
|
exceed the incremental increase in tax receipts determined under |
|
Section 478.0102(a)(1). (V.A.C.S. Art. 5190.14, Sec. 5A(f).) |
|
SUBCHAPTER E. DISBURSEMENTS FROM FUND |
|
Sec. 478.0201. DISBURSEMENT WITHOUT APPROPRIATION. Money |
|
in the fund may be disbursed by the office without appropriation |
|
only as provided by this chapter. (V.A.C.S. Art. 5190.14, Sec. |
|
5A(d) (part).) |
|
Sec. 478.0202. DISBURSEMENT FROM FUND. (a) After approval |
|
of each contributing endorsing municipality and endorsing county, |
|
the office may make a disbursement from the fund for a purpose for |
|
which a local organizing committee, an endorsing municipality, an |
|
endorsing county, or this state is obligated under a games support |
|
contract or event support contract. |
|
(b) In considering whether to make a disbursement from the |
|
fund, the office may not consider a contingency clause in an event |
|
support contract as relieving a local organizing committee's, |
|
endorsing municipality's, or endorsing county's obligation to pay a |
|
cost under the contract. |
|
(c) If the office makes a disbursement from the fund, the |
|
office shall satisfy the obligation proportionately from the local |
|
and state revenue in the fund. (V.A.C.S. Art. 5190.14, Secs. 5A(k) |
|
(part), (l).) |
|
Sec. 478.0203. REDUCTION OF DISBURSEMENT AMOUNT. (a) |
|
After the conclusion of an event, the office shall compare |
|
information on the actual attendance figures provided under Section |
|
478.0251 with the estimated attendance numbers used to determine |
|
the incremental increase in tax receipts under Section 478.0102. |
|
If the actual attendance figures are significantly lower than the |
|
estimated attendance numbers, the office may reduce the amount of a |
|
disbursement from the fund for an endorsing entity: |
|
(1) in proportion to the discrepancy between the |
|
actual and estimated attendance; and |
|
(2) in proportion to the amount the entity contributed |
|
to the fund. |
|
(b) The office by rule shall: |
|
(1) define "significantly lower" for purposes of this |
|
section; and |
|
(2) provide the manner in which the office may |
|
proportionately reduce a disbursement. |
|
(c) This section does not affect the remittance under |
|
Section 478.0207 of any money remaining in the fund. (V.A.C.S. Art. |
|
5190.14, Sec. 5A(y).) |
|
Sec. 478.0204. ALLOWABLE EXPENSES. (a) Money in the fund |
|
may be used to: |
|
(1) pay the principal of and interest on notes issued |
|
under Section 478.0252; and |
|
(2) fulfill obligations of an endorsing municipality, |
|
an endorsing county, or this state to a site selection organization |
|
under a games support contract or event support contract. |
|
(b) Subject to Sections 478.0202 and 478.0205, the |
|
obligations described by Subsection (a)(2) may include the payment |
|
of: |
|
(1) the costs relating to the preparations necessary |
|
or desirable for conducting the event; and |
|
(2) the costs of conducting the event, including the |
|
costs of an improvement or renovation to an existing facility and |
|
the costs of the acquisition or construction of a new facility or |
|
other facility. (V.A.C.S. Art. 5190.14, Sec. 5A(h).) |
|
Sec. 478.0205. LIMITATION ON CERTAIN DISBURSEMENTS. (a) A |
|
disbursement from the fund is limited to five percent of the cost of |
|
a structural improvement or a fixture if: |
|
(1) an obligation is incurred under a games support |
|
contract or event support contract to make the improvement or add |
|
the fixture to a site for an event; and |
|
(2) the improvement or fixture is expected to derive |
|
most of its value in subsequent uses of the site for future events. |
|
(b) The remainder of an obligation described by Subsection |
|
(a) is not eligible for a disbursement from the fund, unless the |
|
obligation is for an improvement or fixture for a publicly owned |
|
facility. (V.A.C.S. Art. 5190.14, Sec. 5A(k) (part).) |
|
Sec. 478.0206. PROHIBITED DISBURSEMENT. The office may not |
|
make a disbursement from the fund that the office determines would |
|
be used to solicit the relocation of a professional sports |
|
franchise located in this state. (V.A.C.S. Art. 5190.14, Sec. |
|
5A(k) (part).) |
|
Sec. 478.0207. REMITTANCE OF REMAINING FUND MONEY. On |
|
payment of all municipal, county, or state obligations under a |
|
games support contract or event support contract related to the |
|
location of an event in this state, the office shall remit to each |
|
endorsing entity, in proportion to the amount contributed by the |
|
entity, any money remaining in the fund. (V.A.C.S. Art. 5190.14, |
|
Sec. 5A(m).) |
|
SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS |
|
Sec. 478.0251. REQUIRED INFORMATION. (a) A local |
|
organizing committee, endorsing municipality, or endorsing county |
|
shall provide information required by the office to fulfill the |
|
office's duties under this chapter, including: |
|
(1) annual audited statements of any financial records |
|
required by a site selection organization; and |
|
(2) data obtained by the local organizing committee, |
|
an endorsing municipality, or an endorsing county relating to: |
|
(A) attendance at the event, including an |
|
estimate of the number of people expected to attend the event who |
|
are not residents of this state; and |
|
(B) the economic impact of the event. |
|
(b) A local organizing committee, endorsing municipality, |
|
or endorsing county must provide an annual audited financial |
|
statement required by the office not later than the end of the |
|
fourth month after the last day of the period covered by the |
|
financial statement. |
|
(c) After the conclusion of an event and on the office's |
|
request, a local organizing committee, endorsing municipality, or |
|
endorsing county must provide information about the event, such as |
|
attendance figures, including an estimate of the number of people |
|
who attended the event who are not residents of this state, |
|
financial information, or other public information held by the |
|
committee, municipality, or county that the office considers |
|
necessary. (V.A.C.S. Art. 5190.14, Sec. 5A(i).) |
|
Sec. 478.0252. ISSUANCE OF NOTES. (a) To meet its |
|
obligations under a games support contract or event support |
|
contract to improve, construct, renovate, or acquire facilities or |
|
to acquire equipment, an endorsing municipality by ordinance or an |
|
endorsing county by order may authorize the issuance of notes. |
|
(b) An endorsing municipality or endorsing county may |
|
provide that the notes be paid from and secured by: |
|
(1) amounts on deposit or amounts to be deposited to |
|
the fund; or |
|
(2) surcharges from user fees charged in connection |
|
with the event, including parking or ticket fees. |
|
(c) A note issued must mature not later than the seventh |
|
anniversary of the date of issuance. (V.A.C.S. Art. 5190.14, Sec. |
|
5A(g).) |
|
Sec. 478.0253. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS. An endorsing municipality or endorsing county may |
|
guarantee its obligations under an event support contract and this |
|
chapter by pledging, in addition to the tax revenue deposited under |
|
Section 478.0152, surcharges from user fees charged in connection |
|
with the event, including parking or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 5A(e) (part).) |
|
|
|
CHAPTER 479. MOTOR SPORTS RACING TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 479.0001. DEFINITIONS |
|
Sec. 479.0002. CONSTRUCTION OF CHAPTER |
|
Sec. 479.0003. APPLICABILITY OF PROVISIONS RELATING TO |
|
GAMES |
|
SUBCHAPTER B. STATE ACTIONS RELATING TO MOTOR SPORTS RACING EVENTS |
|
Sec. 479.0051. PREREQUISITES FOR OFFICE ACTION |
|
Sec. 479.0052. DETERMINATION OF INCREMENTAL INCREASE |
|
IN CERTAIN TAX RECEIPTS |
|
Sec. 479.0053. TIME FOR DETERMINATION |
|
Sec. 479.0054. DESIGNATION OF MARKET AREA |
|
Sec. 479.0055. ESTIMATE OF TAX REVENUE CREDITED TO |
|
TRUST FUND |
|
SUBCHAPTER C. TRUST FUND ESTABLISHMENT AND CONTRIBUTIONS |
|
Sec. 479.0101. MOTOR SPORTS RACING TRUST FUND |
|
Sec. 479.0102. DEPOSIT OF MUNICIPAL AND COUNTY TAX |
|
REVENUE |
|
Sec. 479.0103. STATE TAX REVENUE |
|
SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND |
|
Sec. 479.0151. DISBURSEMENT WITHOUT APPROPRIATION |
|
Sec. 479.0152. DISBURSEMENT FROM TRUST FUND |
|
Sec. 479.0153. ALLOWABLE EXPENSES |
|
Sec. 479.0154. PROHIBITED DISBURSEMENT |
|
Sec. 479.0155. REMITTANCE OF REMAINING TRUST FUND |
|
MONEY |
|
SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO MOTOR SPORTS |
|
RACING EVENTS |
|
Sec. 479.0201. REQUIRED INFORMATION |
|
Sec. 479.0202. ISSUANCE OF NOTES |
|
Sec. 479.0203. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS |
|
CHAPTER 479. MOTOR SPORTS RACING TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 479.0001. DEFINITIONS. In this chapter: |
|
(1) "Endorsing county" means a county that contains a |
|
site selected by a site selection organization for a motor sports |
|
racing event. |
|
(2) "Endorsing municipality" means a municipality |
|
that contains a site selected by a site selection organization for a |
|
motor sports racing event. |
|
(3) "Event support contract" means a joinder |
|
undertaking, joinder agreement, or similar contract executed by a |
|
site selection organization and an endorsing municipality or |
|
endorsing county. |
|
(4) "Motor sports racing event" means a specific |
|
automobile racing event sanctioned by the Automobile Competition |
|
Committee for the United States (ACCUS) and held at a temporary |
|
event venue. The term includes an event or activity held, |
|
sponsored, or endorsed by the site selection organization in |
|
conjunction with the racing event. |
|
(5) "Trust fund" means the motor sports racing trust |
|
fund established by this chapter. (V.A.C.S. Art. 5190.14, Sec. |
|
5B(a); New.) |
|
Sec. 479.0002. CONSTRUCTION OF CHAPTER. This chapter may |
|
not be construed as creating or requiring a state guarantee of an |
|
obligation imposed on an endorsing municipality, an endorsing |
|
county, or this state under a motor sports racing event support |
|
contract or another agreement relating to hosting a motor sports |
|
racing event in this state. (V.A.C.S. Art. 5190.14, Sec. 5B(n).) |
|
Sec. 479.0003. APPLICABILITY OF PROVISIONS RELATING TO |
|
GAMES. Any provision of this subtitle applicable to games as |
|
defined by Section 475.0001 also applies to a motor sports racing |
|
event. (V.A.C.S. Art. 5190.14, Sec. 5B(p).) |
|
SUBCHAPTER B. STATE ACTIONS RELATING TO MOTOR SPORTS RACING EVENTS |
|
Sec. 479.0051. PREREQUISITES FOR OFFICE ACTION. The office |
|
may not undertake any duty imposed by this chapter unless: |
|
(1) the municipality and county in which a motor |
|
sports racing event will be held submit a request; and |
|
(2) the request is accompanied by documentation from a |
|
site selection organization selecting the site for the racing |
|
event. (V.A.C.S. Art. 5190.14, Sec. 5B(o).) |
|
Sec. 479.0052. DETERMINATION OF INCREMENTAL INCREASE IN |
|
CERTAIN TAX RECEIPTS. (a) After a site selection organization |
|
selects a site for a motor sports racing event in this state in |
|
accordance with an application by a local organizing committee, |
|
endorsing municipality, or endorsing county, the office shall |
|
determine the incremental increases in the following tax receipts |
|
that the office determines are directly attributable to the |
|
preparation for and presentation of the racing event for the 30-day |
|
period that ends at the end of the day after the date on which the |
|
racing event will be held: |
|
(1) the receipts to this state from taxes imposed |
|
under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5, |
|
Alcoholic Beverage Code, in the market areas designated under |
|
Section 479.0054; |
|
(2) the receipts collected by this state for each |
|
endorsing municipality in the market area from the sales and use tax |
|
imposed by each endorsing municipality under Section 321.101(a), |
|
Tax Code, and the mixed beverage tax revenue to be received by each |
|
endorsing municipality under Section 183.051(b), Tax Code; |
|
(3) the receipts collected by this state for each |
|
endorsing county in the market area from the sales and use tax |
|
imposed by each endorsing county under Section 323.101(a), Tax |
|
Code, and the mixed beverage tax revenue to be received by each |
|
endorsing county under Section 183.051(b), Tax Code; |
|
(4) the receipts collected by each endorsing |
|
municipality in the market area from the hotel occupancy tax |
|
imposed under Chapter 351, Tax Code; and |
|
(5) the receipts collected by each endorsing county in |
|
the market area from the hotel occupancy tax imposed under Chapter |
|
352, Tax Code. |
|
(b) The office shall make the determination required by |
|
Subsection (a) in accordance with procedures the office develops. |
|
(V.A.C.S. Art. 5190.14, Sec. 5B(b) (part).) |
|
Sec. 479.0053. TIME FOR DETERMINATION. The office shall |
|
determine the incremental increase in tax receipts under Section |
|
479.0052 not later than three months before the date of the motor |
|
sports racing event. (V.A.C.S. Art. 5190.14, Sec. 5B(b) (part).) |
|
Sec. 479.0054. DESIGNATION OF MARKET AREA. (a) For |
|
purposes of Section 479.0052(a)(1), the office shall designate as a |
|
market area for a motor sports racing event each area in which the |
|
office determines there is a reasonable likelihood of measurable |
|
economic impact directly attributable to the preparation for and |
|
presentation of the racing event. The office shall include areas |
|
likely to provide venues, accommodations, and services in |
|
connection with the racing event based on a proposal or other |
|
information a local organizing committee, endorsing municipality, |
|
or endorsing county provides to the office. |
|
(b) The office shall determine the geographic boundaries of |
|
each market area. |
|
(c) An endorsing municipality or endorsing county selected |
|
as the site for the motor sports racing event must be included in a |
|
market area for the racing event. (V.A.C.S. Art. 5190.14, Sec. |
|
5B(c).) |
|
Sec. 479.0055. ESTIMATE OF TAX REVENUE CREDITED TO TRUST |
|
FUND. (a) Not later than three months before the date of a motor |
|
sports racing event, the office shall provide an estimate of the |
|
total amount of tax revenue that would be transferred or deposited |
|
to the trust fund under this chapter in connection with that racing |
|
event if the racing event were held in this state at a site selected |
|
in accordance with an application by a local organizing committee, |
|
endorsing municipality, or endorsing county. |
|
(b) The office shall provide the estimate on request to a |
|
local organizing committee, endorsing municipality, or endorsing |
|
county. |
|
(c) A local organizing committee, endorsing municipality, |
|
or endorsing county may submit the office's estimate to a site |
|
selection organization. (V.A.C.S. Art. 5190.14, Sec. 5B(j).) |
|
SUBCHAPTER C. TRUST FUND ESTABLISHMENT AND CONTRIBUTIONS |
|
Sec. 479.0101. MOTOR SPORTS RACING TRUST FUND. The motor |
|
sports racing trust fund is established outside the state treasury |
|
and is held in trust by the comptroller for administration of this |
|
chapter. (V.A.C.S. Art. 5190.14, Sec. 5B(d) (part).) |
|
Sec. 479.0102. DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE. |
|
(a) Each endorsing municipality or endorsing county shall remit to |
|
the comptroller and the comptroller shall deposit into a trust fund |
|
created by the comptroller, at the direction of the office, and |
|
designated as the motor sports racing trust fund for the motor |
|
sports racing event the amount of the municipality's or county's |
|
hotel occupancy tax revenue determined under Section |
|
479.0052(a)(4) or (5), less any amount of the revenue that the |
|
municipality or county determines is necessary to meet the |
|
obligations of the municipality or county. |
|
(b) The comptroller, at the direction of the office, shall |
|
retain the amount of sales and use tax revenue and mixed beverage |
|
tax revenue determined under Section 479.0052(a)(2) or (3) from the |
|
amounts otherwise required to be sent to the municipality under |
|
Sections 321.502 and 183.051(b), Tax Code, or to the county under |
|
Sections 323.502 and 183.051(b), Tax Code, less any amount of the |
|
revenue that the municipality or county determines is necessary to |
|
meet the obligations of the municipality or county, and shall |
|
deposit the retained tax revenue to the trust fund. |
|
(c) The comptroller shall begin retaining and depositing |
|
the municipal and county tax revenue with the first distribution of |
|
that tax revenue that occurs after the first day of the period |
|
described by Section 479.0052(a). |
|
(d) The comptroller shall discontinue retaining the |
|
municipal and county tax revenue when the amount of the applicable |
|
tax revenue determined under Section 479.0052(a)(2) or (3) has been |
|
retained. (V.A.C.S. Art. 5190.14, Sec. 5B(d) (part).) |
|
Sec. 479.0103. STATE TAX REVENUE. The comptroller, at the |
|
direction of the office, shall transfer to the trust fund a portion |
|
of the state tax revenue determined under Section 479.0052(a)(1) in |
|
an amount equal to 6.25 multiplied by the amount of the municipal |
|
and county sales and use tax revenue and mixed beverage tax revenue |
|
retained and the hotel occupancy tax revenue remitted by an |
|
endorsing municipality or endorsing county under Section 479.0102. |
|
(V.A.C.S. Art. 5190.14, Sec. 5B(f).) |
|
SUBCHAPTER D. DISBURSEMENTS FROM TRUST FUND |
|
Sec. 479.0151. DISBURSEMENT WITHOUT APPROPRIATION. Money |
|
in the trust fund may be disbursed by the office without |
|
appropriation only as provided by this chapter. (V.A.C.S. Art. |
|
5190.14, Sec. 5B(d) (part).) |
|
Sec. 479.0152. DISBURSEMENT FROM TRUST FUND. (a) After |
|
approval of each contributing endorsing municipality and endorsing |
|
county, the office may make a disbursement from the trust fund for a |
|
purpose for which an endorsing municipality, an endorsing county, |
|
or this state is obligated under a motor sports racing event support |
|
contract or event support contract. |
|
(b) If the office makes a disbursement from the trust fund, |
|
the office shall satisfy the obligation proportionately from the |
|
municipal, county, and state revenue in the trust fund. (V.A.C.S. |
|
Art. 5190.14, Secs. 5B(k) (part), (l).) |
|
Sec. 479.0153. ALLOWABLE EXPENSES. (a) Money in the trust |
|
fund may be used to: |
|
(1) pay the principal of and interest on notes issued |
|
under Section 479.0202; and |
|
(2) fulfill obligations of an endorsing municipality, |
|
an endorsing county, or this state to a site selection organization |
|
under a motor sports racing event support contract or event support |
|
contract. |
|
(b) The obligations described by Subsection (a)(2) may |
|
include the payment of: |
|
(1) the costs relating to the preparations necessary |
|
or desirable for conducting the motor sports racing event; and |
|
(2) the costs of conducting the racing event, |
|
including costs of a temporary improvement or temporary renovation |
|
to an existing facility specific to the racing event. (V.A.C.S. |
|
Art. 5190.14, Sec. 5B(h).) |
|
Sec. 479.0154. PROHIBITED DISBURSEMENT. The office may not |
|
make a disbursement from the trust fund that the office determines |
|
would be used to solicit the relocation of a professional sports |
|
franchise located in this state. (V.A.C.S. Art. 5190.14, Sec. |
|
5B(k) (part).) |
|
Sec. 479.0155. REMITTANCE OF REMAINING TRUST FUND MONEY. |
|
On payment of all municipal, county, or state obligations under a |
|
motor sports racing event support contract or event support |
|
contract related to the location of a motor sports racing event in |
|
this state, the office shall remit to each endorsing entity, in |
|
proportion to the amount contributed by the entity, any money |
|
remaining in the trust fund. (V.A.C.S. Art. 5190.14, Sec. 5B(m).) |
|
SUBCHAPTER E. LOCAL POWERS AND DUTIES RELATING TO MOTOR SPORTS |
|
RACING EVENTS |
|
Sec. 479.0201. REQUIRED INFORMATION. (a) A local |
|
organizing committee, endorsing municipality, or endorsing county |
|
shall provide information required by the office to fulfill the |
|
office's duties under this chapter, including: |
|
(1) annual audited statements of any financial records |
|
required by a site selection organization; and |
|
(2) data obtained by the local organizing committee, |
|
an endorsing municipality, or an endorsing county relating to: |
|
(A) attendance at the motor sports racing event; |
|
and |
|
(B) the economic impact of the racing event. |
|
(b) A local organizing committee, endorsing municipality, |
|
or endorsing county must provide any annual audited financial |
|
statement required by the office not later than the end of the |
|
fourth month after the last day of the period covered by the |
|
financial statement. (V.A.C.S. Art. 5190.14, Sec. 5B(i).) |
|
Sec. 479.0202. ISSUANCE OF NOTES. (a) To meet its |
|
obligations under a motor sports racing event support contract or |
|
event support contract to improve, renovate, or acquire facilities |
|
or to acquire equipment, an endorsing municipality by ordinance or |
|
an endorsing county by order may authorize the issuance of notes. |
|
(b) An endorsing municipality or endorsing county may |
|
provide that the notes be paid from and secured by: |
|
(1) amounts on deposit or amounts to be transferred or |
|
deposited to the trust fund; or |
|
(2) surcharges from user fees charged in connection |
|
with the motor sports racing event, including parking or ticket |
|
fees. |
|
(c) A note issued must mature not later than the seventh |
|
anniversary of the date of issuance. (V.A.C.S. Art. 5190.14, Sec. |
|
5B(g).) |
|
Sec. 479.0203. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS. An endorsing municipality or endorsing county may |
|
guarantee its obligations under a motor sports racing event support |
|
contract and this chapter by pledging, in addition to the tax |
|
revenue deposited under Section 479.0102, surcharges from user fees |
|
charged in connection with the motor sports racing event, including parking or ticket fees. (V.A.C.S. Art. 5190.14, Sec. 5B(e).) |
|
|
|
CHAPTER 480. EVENTS TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 480.0001. DEFINITIONS |
|
Sec. 480.0002. RULES |
|
Sec. 480.0003. CONSTRUCTION OF CHAPTER |
|
SUBCHAPTER B. ELIGIBILITY |
|
Sec. 480.0051. EVENTS ELIGIBLE FOR FUNDING |
|
Sec. 480.0052. LIMITATIONS ON CERTAIN FUNDING REQUESTS |
|
SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS |
|
Sec. 480.0101. PREREQUISITES FOR OFFICE ACTION |
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Sec. 480.0102. DETERMINATION OF INCREMENTAL INCREASE |
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IN CERTAIN TAX RECEIPTS |
|
Sec. 480.0103. TIME FOR DETERMINATION |
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Sec. 480.0104. DESIGNATION OF MARKET AREA |
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Sec. 480.0105. ESTIMATE OF TAX REVENUE CREDITED TO |
|
FUND |
|
Sec. 480.0106. MODEL EVENT SUPPORT CONTRACT |
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SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS |
|
Sec. 480.0151. EVENTS TRUST FUND |
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Sec. 480.0152. DEPOSIT OF MUNICIPAL AND COUNTY TAX |
|
REVENUE |
|
Sec. 480.0153. OTHER LOCAL MONEY |
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Sec. 480.0154. SURCHARGES AND USER FEES |
|
Sec. 480.0155. STATE TAX REVENUE |
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SUBCHAPTER E. DISBURSEMENTS FROM FUND |
|
Sec. 480.0201. DISBURSEMENT WITHOUT APPROPRIATION |
|
Sec. 480.0202. DISBURSEMENT FROM FUND |
|
Sec. 480.0203. REDUCTION OF DISBURSEMENT AMOUNT |
|
Sec. 480.0204. ALLOWABLE EXPENSES |
|
Sec. 480.0205. LIMITATION ON CERTAIN DISBURSEMENTS |
|
Sec. 480.0206. PROHIBITED DISBURSEMENTS |
|
Sec. 480.0207. REMITTANCE OF REMAINING FUND MONEY |
|
SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS |
|
Sec. 480.0251. REQUIRED INFORMATION |
|
Sec. 480.0252. ISSUANCE OF NOTES |
|
Sec. 480.0253. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS |
|
CHAPTER 480. EVENTS TRUST FUND |
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
Sec. 480.0001. DEFINITIONS. In this chapter: |
|
(1) "Endorsing county" means a county that contains a |
|
site selected by a site selection organization for an event. |
|
(2) "Endorsing municipality" means a municipality |
|
that contains a site selected by a site selection organization for |
|
an event. |
|
(3) "Event" means an event or related series of events |
|
to be held in this state for which a local organizing committee, |
|
endorsing municipality, or endorsing county seeks approval from a |
|
site selection organization to hold the event at a site in this |
|
state. The term includes any activity related to or associated with |
|
the event. |
|
(4) "Event support contract" means a joinder |
|
undertaking, a joinder agreement, or a similar contract executed by |
|
a site selection organization and a local organizing committee, an |
|
endorsing municipality, or an endorsing county. |
|
(5) "Site selection organization" means an entity that |
|
conducts or considers conducting in this state an event eligible |
|
under Section 480.0051. (V.A.C.S. Art. 5190.14, Sec. 5C(a).) |
|
Sec. 480.0002. RULES. The office may adopt rules necessary |
|
to implement this chapter. (V.A.C.S. Art. 5190.14, Sec. 5C(p).) |
|
Sec. 480.0003. CONSTRUCTION OF CHAPTER. This chapter may |
|
not be construed as creating or requiring a state guarantee of an |
|
obligation imposed on an endorsing municipality, an endorsing |
|
county, or this state under an event support contract or another |
|
agreement relating to hosting an event in this state. (V.A.C.S. |
|
Art. 5190.14, Sec. 5C(n).) |
|
SUBCHAPTER B. ELIGIBILITY |
|
Sec. 480.0051. EVENTS ELIGIBLE FOR FUNDING. An event is |
|
eligible for funding under this chapter only if: |
|
(1) a site selection organization, after considering |
|
through a highly competitive selection process one or more sites |
|
not in this state, selects a site in this state for the event to be |
|
held: |
|
(A) one time; or |
|
(B) if the event is scheduled under an event |
|
contract or event support contract to be held each year for a period |
|
of years, one time in each year; |
|
(2) a site selection organization selects a site in |
|
this state as: |
|
(A) the sole site for the event; or |
|
(B) the sole site for the event in a region |
|
composed of this state and one or more adjoining states; and |
|
(3) the event is held not more than one time in any |
|
year in this state or an adjoining state. (V.A.C.S. Art. 5190.14, |
|
Sec. 5C(a-1).) |
|
Sec. 480.0052. LIMITATIONS ON CERTAIN FUNDING REQUESTS. |
|
(a) This section applies only to an event for which the office |
|
determines under Section 480.0102 that the total incremental |
|
increase in tax receipts is less than $200,000. |
|
(b) Subject to Subsection (c), an endorsing municipality or |
|
endorsing county may during any 12-month period submit requests for |
|
funding under this chapter for not more than 10 events to which this |
|
section applies. |
|
(c) Not more than three of the events described by |
|
Subsection (b) may be nonsporting events. (V.A.C.S. Art. 5190.14, |
|
Sec. 5C(b-1).) |
|
SUBCHAPTER C. STATE ACTIONS RELATING TO EVENTS |
|
Sec. 480.0101. PREREQUISITES FOR OFFICE ACTION. The office |
|
may not undertake any duty imposed by this chapter unless: |
|
(1) the municipality or county in which an event will |
|
be located submits a request; and |
|
(2) the request is accompanied by documentation from a |
|
site selection organization selecting the site for the event. |
|
(V.A.C.S. Art. 5190.14, Sec. 5C(o).) |
|
Sec. 480.0102. DETERMINATION OF INCREMENTAL INCREASE IN |
|
CERTAIN TAX RECEIPTS. (a) After a site selection organization |
|
selects a site for an event in this state in accordance with an |
|
application by a local organizing committee, endorsing |
|
municipality, or endorsing county, the office shall determine the |
|
incremental increases in the following tax receipts that the office |
|
determines are directly attributable to the preparation for and |
|
presentation of the event for the 30-day period that ends at the end |
|
of the day after the date on which the event will be held or, if the |
|
event will be held on more than one day, after the last date on which |
|
the event will be held: |
|
(1) the receipts to this state from taxes imposed |
|
under Chapters 151, 152, 156, and 183, Tax Code, and under Title 5, |
|
Alcoholic Beverage Code, in the market areas designated under |
|
Section 480.0104; |
|
(2) the receipts collected by this state for each |
|
endorsing municipality in the market area from the sales and use tax |
|
imposed by each endorsing municipality under Section 321.101(a), |
|
Tax Code, and the mixed beverage tax revenue to be received by each |
|
endorsing municipality under Section 183.051(b), Tax Code; |
|
(3) the receipts collected by this state for each |
|
endorsing county in the market area from the sales and use tax |
|
imposed by each endorsing county under Section 323.101(a), Tax |
|
Code, and the mixed beverage tax revenue to be received by each |
|
endorsing county under Section 183.051(b), Tax Code; |
|
(4) the receipts collected by each endorsing |
|
municipality in the market area from the hotel occupancy tax |
|
imposed under Chapter 351, Tax Code; and |
|
(5) the receipts collected by each endorsing county in |
|
the market area from the hotel occupancy tax imposed under Chapter |
|
352, Tax Code. |
|
(b) The office shall make the determination required by |
|
Subsection (a) in accordance with procedures the office develops |
|
and shall base that determination on information submitted by a |
|
local organizing committee, endorsing municipality, or endorsing |
|
county. |
|
(c) In determining the amount of state revenue available |
|
under Subsection (a)(1), the office may consider whether: |
|
(1) the event has been previously held in this state; |
|
and |
|
(2) changes to the character of the event could affect |
|
the incremental increase in tax receipts collected and remitted to |
|
this state by an endorsing municipality or endorsing county under |
|
Subsection (a)(1). (V.A.C.S. Art. 5190.14, Secs. 5C(b) (part), |
|
(c-1) (part), (q).) |
|
Sec. 480.0103. TIME FOR DETERMINATION. The office shall |
|
determine the incremental increase in tax receipts under Section |
|
480.0102 not later than the earlier of: |
|
(1) the 30th day after the date the office receives the |
|
information for an event submitted by a local organizing committee, |
|
endorsing municipality, or endorsing county on which the office |
|
bases the determination as provided by Section 480.0102(b); and |
|
(2) three months before the date of the event. |
|
(V.A.C.S. Art. 5190.14, Secs. 5C(b) (part), (c-1) (part).) |
|
Sec. 480.0104. DESIGNATION OF MARKET AREA. (a) For |
|
purposes of Section 480.0102(a)(1), the office shall designate as a |
|
market area for an event each area in which the office determines |
|
there is a reasonable likelihood of measurable economic impact |
|
directly attributable to the preparation for and presentation of |
|
the event. The office shall include areas likely to provide venues, |
|
accommodations, and services in connection with the event based on |
|
the proposal the local organizing committee provides to the office. |
|
(b) The office shall determine the geographic boundaries of |
|
each market area. |
|
(c) An endorsing municipality or endorsing county selected |
|
as the site for the event must be included in a market area for the |
|
event. (V.A.C.S. Art. 5190.14, Sec. 5C(c).) |
|
Sec. 480.0105. ESTIMATE OF TAX REVENUE CREDITED TO FUND. |
|
(a) Not later than three months before the date of an event, the |
|
office shall provide an estimate of the total amount of tax revenue |
|
that would be transferred or deposited to the events trust fund |
|
under this chapter in connection with that event if the event were |
|
held in this state at a site selected in accordance with an |
|
application by a local organizing committee, endorsing |
|
municipality, or endorsing county. |
|
(b) The office shall provide the estimate on request to a |
|
local organizing committee, endorsing municipality, or endorsing |
|
county. |
|
(c) A local organizing committee, endorsing municipality, |
|
or endorsing county may submit the office's estimate to a site |
|
selection organization. (V.A.C.S. Art. 5190.14, Sec. 5C(j).) |
|
Sec. 480.0106. MODEL EVENT SUPPORT CONTRACT. (a) The |
|
office may adopt a model event support contract and make the |
|
contract available on the office's Internet website. |
|
(b) The office's adoption of a model event support contract |
|
under this section does not require use of the model event support |
|
contract for purposes of this chapter. (V.A.C.S. Art. 5190.14, |
|
Sec. 5C(r).) |
|
SUBCHAPTER D. FUND ESTABLISHMENT AND CONTRIBUTIONS |
|
Sec. 480.0151. EVENTS TRUST FUND. The events trust fund is |
|
established outside the state treasury and is held in trust by the |
|
comptroller for administration of this chapter. (V.A.C.S. Art. |
|
5190.14, Sec. 5C(d) (part).) |
|
Sec. 480.0152. DEPOSIT OF MUNICIPAL AND COUNTY TAX REVENUE. |
|
(a) Each endorsing municipality or endorsing county shall remit to |
|
the comptroller and the comptroller shall deposit into a trust fund |
|
created by the comptroller, at the direction of the office, and |
|
designated as the events trust fund the amount of the |
|
municipality's or county's hotel occupancy tax revenue determined |
|
under Section 480.0102(a)(4) or (5), less any amount of the revenue |
|
that the municipality or county determines is necessary to meet the |
|
obligations of the municipality or county. |
|
(b) The comptroller, at the direction of the office, shall |
|
retain the amount of sales and use tax revenue and mixed beverage |
|
tax revenue determined under Section 480.0102(a)(2) or (3) from the |
|
amounts otherwise required to be sent to the municipality under |
|
Sections 321.502 and 183.051(b), Tax Code, or to the county under |
|
Sections 323.502 and 183.051(b), Tax Code, less any amount of the |
|
revenue that the municipality or county determines is necessary to |
|
meet the obligations of the municipality or county, and shall |
|
deposit the retained tax revenue to the events trust fund. |
|
(c) The comptroller shall begin retaining and depositing |
|
the municipal and county tax revenue: |
|
(1) with the first distribution of that tax revenue |
|
that occurs after the first day of the period described by Section |
|
480.0102(a); or |
|
(2) at a time the office otherwise determines to be |
|
practicable. |
|
(d) The comptroller shall discontinue retaining the |
|
municipal and county tax revenue when the amount of the applicable |
|
tax revenue determined under Section 480.0102(a)(2) or (3) has been |
|
retained. (V.A.C.S. Art. 5190.14, Sec. 5C(d) (part).) |
|
Sec. 480.0153. OTHER LOCAL MONEY. (a) In lieu of the |
|
municipal and county tax revenues remitted or retained under |
|
Section 480.0152, an endorsing municipality or endorsing county may |
|
remit to the office for deposit to the events trust fund other local |
|
money in an amount equal to the total amount of municipal and county |
|
tax revenue determined under Sections 480.0102(a)(2)-(5). |
|
(b) An endorsing municipality or endorsing county must |
|
remit the other local money not later than the 90th day after the |
|
last day of an event. |
|
(c) For purposes of Section 480.0155, the amount deposited |
|
under this section is considered remitted municipal and county tax |
|
revenue. (V.A.C.S. Art. 5190.14, Sec. 5C(d-1).) |
|
Sec. 480.0154. SURCHARGES AND USER FEES. An endorsing |
|
municipality or endorsing county may collect and remit to the |
|
office surcharges and user fees attributable to an event for |
|
deposit to the events trust fund. (V.A.C.S. Art. 5190.14, Sec. |
|
5C(e) (part).) |
|
Sec. 480.0155. STATE TAX REVENUE. (a) The comptroller, at |
|
the direction of the office, shall transfer to the events trust fund |
|
a portion of the state tax revenue in an amount equal to 6.25 |
|
multiplied by the amount of the municipal and county tax revenue |
|
retained or remitted under this chapter, including: |
|
(1) local sales and use tax revenue; |
|
(2) mixed beverage tax revenue; |
|
(3) hotel occupancy tax revenue; and |
|
(4) surcharge and user fee revenue. |
|
(b) The amount transferred under Subsection (a) may not |
|
exceed the incremental increase in tax receipts determined under |
|
Section 480.0102(a)(1). (V.A.C.S. Art. 5190.14, Sec. 5C(f).) |
|
SUBCHAPTER E. DISBURSEMENTS FROM FUND |
|
Sec. 480.0201. DISBURSEMENT WITHOUT APPROPRIATION. Money |
|
in the events trust fund may be disbursed by the office without |
|
appropriation only as provided by this chapter. (V.A.C.S. Art. |
|
5190.14, Sec. 5C(d) (part).) |
|
Sec. 480.0202. DISBURSEMENT FROM FUND. (a) After approval |
|
of each contributing endorsing municipality and endorsing county, |
|
the office may make a disbursement from the events trust fund for a |
|
purpose for which a local organizing committee, an endorsing |
|
municipality, an endorsing county, or this state is obligated under |
|
an event support contract, including an obligation to pay costs |
|
incurred in making preparations necessary for the event and |
|
conducting the event. |
|
(b) In considering whether to make a disbursement from the |
|
events trust fund, the office may not consider a contingency clause |
|
in an event support contract as relieving a local organizing |
|
committee's, endorsing municipality's, or endorsing county's |
|
obligation to pay a cost under the contract. |
|
(c) If the office makes a disbursement from the events trust |
|
fund, the office shall satisfy the obligation proportionately from |
|
the local and state revenue in the fund. (V.A.C.S. Art. 5190.14, |
|
Secs. 5C(k) (part), (l).) |
|
Sec. 480.0203. REDUCTION OF DISBURSEMENT AMOUNT. (a) |
|
After the conclusion of an event, the office shall compare |
|
information on the actual attendance figures provided under Section |
|
480.0251 with the estimated attendance numbers used to determine |
|
the incremental increase in tax receipts under Section 480.0102. |
|
If the actual attendance figures are significantly lower than the |
|
estimated attendance numbers, the office may reduce the amount of a |
|
disbursement from the events trust fund for an endorsing entity: |
|
(1) in proportion to the discrepancy between the |
|
actual and estimated attendance; and |
|
(2) in proportion to the amount the entity contributed |
|
to the fund. |
|
(b) The office by rule shall: |
|
(1) define "significantly lower" for purposes of this |
|
section; and |
|
(2) provide the manner in which the office may |
|
proportionately reduce a disbursement. |
|
(c) This section does not affect the remittance under |
|
Section 480.0207 of any money remaining in the events trust fund. |
|
(V.A.C.S. Art. 5190.14, Sec. 5C(t).) |
|
Sec. 480.0204. ALLOWABLE EXPENSES. (a) Money in the events |
|
trust fund may be used to: |
|
(1) pay the principal of and interest on notes issued |
|
under Section 480.0252; and |
|
(2) fulfill obligations of an endorsing municipality, |
|
an endorsing county, or this state to a site selection organization |
|
under an event support contract. |
|
(b) Subject to Sections 480.0202 and 480.0205, the |
|
obligations described by Subsection (a)(2) may include the payment |
|
of: |
|
(1) the costs relating to the preparations necessary |
|
for conducting the event; and |
|
(2) the costs of conducting the event, including costs |
|
of an improvement or renovation to an existing facility and costs of |
|
acquisition or construction of a new facility or other facility. |
|
(V.A.C.S. Art. 5190.14, Sec. 5C(h).) |
|
Sec. 480.0205. LIMITATION ON CERTAIN DISBURSEMENTS. (a) A |
|
disbursement from the events trust fund is limited to five percent |
|
of the cost of a structural improvement or a fixture if: |
|
(1) an obligation is incurred under an event support |
|
contract to make the improvement or add the fixture to a site for an |
|
event; and |
|
(2) the improvement or fixture is expected to derive |
|
most of its value in subsequent uses of the site for future events. |
|
(b) The remainder of an obligation described by Subsection |
|
(a) is not eligible for a disbursement from the events trust fund, |
|
unless the obligation is for an improvement or fixture for a |
|
publicly owned facility. (V.A.C.S. Art. 5190.14, Sec. 5C(k) |
|
(part).) |
|
Sec. 480.0206. PROHIBITED DISBURSEMENTS. (a) Subject to |
|
Subsection (b), the office may not make a disbursement from the |
|
events trust fund that the office determines would be used to: |
|
(1) solicit the relocation of a professional sports |
|
franchise located in this state; |
|
(2) construct an arena, stadium, or convention center; |
|
or |
|
(3) conduct usual and customary maintenance of a |
|
facility. |
|
(b) Subsection (a) does not prohibit a disbursement from the |
|
events trust fund for the construction of temporary structures |
|
within an arena, stadium, or convention center that are necessary |
|
for the conduct of an event or temporary maintenance of a facility |
|
that is necessary for the preparation for or conduct of an event. |
|
(V.A.C.S. Art. 5190.14, Secs. 5C(k-1), (k-2).) |
|
Sec. 480.0207. REMITTANCE OF REMAINING FUND MONEY. On |
|
payment of all municipal, county, or state obligations under an |
|
event support contract related to the location of an event in this |
|
state, the office shall remit to each endorsing entity, in |
|
proportion to the amount contributed by the entity, any money |
|
remaining in the events trust fund. (V.A.C.S. Art. 5190.14, Sec. |
|
5C(m).) |
|
SUBCHAPTER F. LOCAL POWERS AND DUTIES RELATING TO EVENTS |
|
Sec. 480.0251. REQUIRED INFORMATION. (a) A local |
|
organizing committee, endorsing municipality, or endorsing county |
|
shall provide information required by the office to fulfill the |
|
office's duties under this chapter, including: |
|
(1) annual audited statements of any financial records |
|
required by a site selection organization; and |
|
(2) data obtained by the local organizing committee, |
|
an endorsing municipality, or an endorsing county relating to: |
|
(A) attendance at the event, including an |
|
estimate of the number of people expected to attend the event who |
|
are not residents of this state; and |
|
(B) the economic impact of the event. |
|
(b) A local organizing committee, endorsing municipality, |
|
or endorsing county must provide any annual audited financial |
|
statement required by the office not later than the end of the |
|
fourth month after the last day of the period covered by the |
|
financial statement. |
|
(c) After the conclusion of an event and on the office's |
|
request, a local organizing committee, endorsing municipality, or |
|
endorsing county must provide information about the event, such as |
|
attendance figures, including an estimate of the number of people |
|
who attended the event who are not residents of this state, |
|
financial information, or other public information held by the |
|
committee, municipality, or county that the office considers |
|
necessary. (V.A.C.S. Art. 5190.14, Sec. 5C(i).) |
|
Sec. 480.0252. ISSUANCE OF NOTES. (a) To meet its |
|
obligations under an event support contract to improve, construct, |
|
renovate, or acquire facilities or to acquire equipment, an |
|
endorsing municipality by ordinance or an endorsing county by order |
|
may authorize the issuance of notes. |
|
(b) An endorsing municipality or endorsing county may |
|
provide that the notes be paid from and secured by: |
|
(1) amounts on deposit or amounts to be transferred or |
|
deposited to the events trust fund; or |
|
(2) surcharges from user fees charged in connection |
|
with the event, including parking or ticket fees. |
|
(c) A note issued must mature not later than the seventh |
|
anniversary of the date of issuance. (V.A.C.S. Art. 5190.14, Sec. |
|
5C(g).) |
|
Sec. 480.0253. PLEDGE OF SURCHARGES TO GUARANTEE |
|
OBLIGATIONS. An endorsing municipality or endorsing county may |
|
guarantee its obligations under an event support contract and this |
|
chapter by pledging, in addition to the tax revenue deposited under |
|
Section 480.0152, surcharges from user fees charged in connection |
|
with the event, including parking or ticket fees. (V.A.C.S. Art. |
|
5190.14, Sec. 5C(e) (part).) |
|
ARTICLE 2. CONFORMING AMENDMENTS |
|
SECTION 2.01. Section 335.078, Local Government Code, is |
|
amended to read as follows: |
|
Sec. 335.078. VENUE DISTRICT AS ENDORSING MUNICIPALITY OR |
|
COUNTY. (a) A venue district located in a county with a population |
|
of 3.3 million or more may act as an endorsing municipality or |
|
endorsing county under Subtitle E-1, Title 4, Government Code |
|
[Chapter 1507, Acts of the 76th Legislature, Regular Session, 1999
|
|
(Article 5190.14, Vernon's Texas Civil Statutes)]. |
|
(b) A venue district acting as an endorsing municipality or |
|
endorsing county under Subtitle E-1, Title 4, Government Code |
|
[Chapter 1507, Acts of the 76th Legislature, Regular Session, 1999
|
|
(Article 5190.14, Vernon's Texas Civil Statutes)], shall remit for |
|
deposit into the trust fund established for the games or event the |
|
amounts determined by the comptroller under that subtitle |
|
[chapter]. The comptroller shall determine the incremental |
|
increase in receipts attributable to the games or event and related |
|
activities under that subtitle [chapter] based on the amount of |
|
applicable taxes imposed by each municipality or county that |
|
comprises the venue district and not on the amount of taxes imposed |
|
by the venue district. |
|
(c) A venue district acting as an endorsing municipality or |
|
endorsing county under Subtitle E-1, Title 4, Government Code |
|
[Chapter 1507, Acts of the 76th Legislature, Regular Session, 1999
|
|
(Article 5190.14, Vernon's Texas Civil Statutes)], may guarantee |
|
the district's obligations under a games or event support contract |
|
by pledging surcharges from user fees, including parking or ticket |
|
fees, charged in connection with the games or event and related |
|
activities. |
|
(d) Subject to Subsection (b), a venue district acting as an |
|
endorsing municipality or endorsing county under Subtitle E-1, |
|
Title 4, Government Code [Chapter 1507, Acts of the 76th
|
|
Legislature, Regular Session, 1999 (Article 5190.14, Vernon's
|
|
Texas Civil Statutes)], as authorized by this section, has all the |
|
powers of an endorsing municipality or endorsing county under that |
|
subtitle [chapter], and any action an endorsing municipality or |
|
endorsing county is required to take by ordinance or order under |
|
that subtitle [chapter] may be taken by order or resolution of the |
|
venue district. |
|
SECTION 2.02. Section 26.041(j), Tax Code, is amended to |
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read as follows: |
|
(j) Any amount derived from the sales and use tax that is |
|
retained by the comptroller under Chapters 476 or 477, Government |
|
Code [Section 4 or 5, Chapter 1507, Acts of the 76th Legislature,
|
|
Regular Session, 1999 (Article 5190.14, Vernon's Texas Civil
|
|
Statutes)], is not considered to be sales and use tax revenue for |
|
purposes of this section. |
|
ARTICLE 3. REPEALER |
|
SECTION 3.01. Article 5190.14, Vernon's Texas Civil |
|
Statutes, is repealed. |
|
ARTICLE 4. GENERAL MATTERS |
|
SECTION 4.01. This Act is enacted under Section 43, Article |
|
III, Texas Constitution. This Act is intended as a recodification |
|
only, and no substantive change in law is intended by this Act. |
|
SECTION 4.02. This Act takes effect April 1, 2021. |
|
|
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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|
|
I certify that H.B. No. 4174 was passed by the House on April |
|
26, 2019, by the following vote: Yeas 137, Nays 2, 2 present, not |
|
voting. |
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|
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______________________________ |
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Chief Clerk of the House |
|
|
|
I certify that H.B. No. 4174 was passed by the Senate on May |
|
15, 2019, by the following vote: Yeas 31, Nays 0. |
|
|
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______________________________ |
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Secretary of the Senate |
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APPROVED: _____________________ |
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Date |
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_____________________ |
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Governor |