Bill > SB1756

This bill modifies the Texas Tax Code to limit municipalities' ability to pledge or commit tax revenue for certain projects like hotels, convention centers, and other qualified projects. Specifically, the bill restricts municipalities to pledging revenue for only one project in each category, effectively preventing them from funding multiple similar projects in the future. For municipalities with populations over 1.5 million, there are additional restrictions on pledging revenue for convention center hotels or historic hotel structures initiated after December 1, 2016. The bill includes a notable exception that allows municipalities to potentially pledge revenue for subsequent projects if specifically authorized by a legislative act passed on or after January 1, 2026. The restrictions do not invalidate existing bonds or contractual obligations made before the bill's effective date, and the changes will take effect on January 1, 2026. This legislation appears aimed at controlling municipal spending on large hospitality and convention-related infrastructure projects by creating a one-time funding limitation for each type of project.

Budget and Finance, Business and Industry

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB1756