Tex.
Tax Code Section 351.106
Allocation of Revenue: Populous Municipalities with Council-manager Government
(a)
A municipality that has a population of 1.18 million or more, is located predominantly in a county that has a total area of less than 1,000 square miles, and that has adopted a council-manager form of government shall use the amount of revenue from the tax that is derived from the application of the tax at a rate of more than four percent of the cost of a room as follows:(1)
no more than 55 percent to:(A)
constructing, improving, enlarging, equipping, and repairing the municipality’s convention center complex; or(B)
pledging payment of revenue bonds and revenue refunding bonds issued under Subchapter A (Authority for Certain Facilities), Chapter 1504 (Obligations for Municipal Buildings), Government Code, for the municipality’s convention center complex; and(2)
at least 45 percent for the purposes provided by Section 351.101 (Use of Tax Revenue)(a)(3).(b)
Revenue received by a municipality described by Subsection (a) from the application of the tax at a rate of four percent or less may be used as provided by Section 351.101 (Use of Tax Revenue).(c)
A municipality to which this section applies:(1)
is entitled to receive in the same manner all funds and revenue that a municipality to which Section 351.1015 (Certain Qualified Projects) applies may receive under that section; and(2)
may pledge the funds and revenue for the payment of obligations incurred for the construction of qualified projects authorized under that section.
Source:
Section 351.106 — Allocation of Revenue: Populous Municipalities with Council-manager Government, https://statutes.capitol.texas.gov/Docs/TX/htm/TX.351.htm#351.106 (accessed May 26, 2025).
