Texas HB4140 allows counties to use tax revenue from hotels to fund multipurpose venues and related infrastructure.

Texas HB4140 amends the Tax Code to allow counties to use certain tax revenue to acquire and enhance multipurpose venues and related infrastructure in designated project financing zones. The bill defines "hotel-associated revenue" and "incremental hotel-associated revenue." Counties can use this revenue to fund qualified projects, which are venues designed to enhance hotel activity and tourism. The bill also outlines procedures for the comptroller to manage these funds, including the creation of a suspense account. The act takes effect September 1, 2025.

Texas HB4140 allows counties to use tax revenue from hotels to fund multipurpose venues and related infrastructure.

Texas HB4140 amends the Tax Code to allow counties to use certain tax revenue to acquire and enhance multipurpose venues and related infrastructure in designated project financing zones. The bill defines "hotel-associated revenue" and "incremental hotel-associated revenue." Counties can use this revenue to fund qualified projects, which are venues designed to enhance hotel activity and tourism. The bill also outlines procedures for the comptroller to manage these funds, including the creation of a suspense account. The act takes effect September 1, 2025.