Bill > H332

This bill modifies the occupancy tax regulations for Nash County and creates a new taxing district called Rocky Mount District R. For Nash County, the bill reduces the room occupancy tax from up to 5% to 3% and changes how the tax revenue is distributed, with all funds now going to the Nash County Tourism Development Authority. The bill also establishes Rocky Mount District R as a new taxing district within the part of Rocky Mount located in Nash County, which is authorized to levy its own 3% room occupancy tax. The new district will have a Tourism Development Authority responsible for using the tax proceeds primarily to promote travel and tourism, with at least two-thirds of the funds dedicated to promotional activities and the remainder used for tourism-related expenditures. The Rocky Mount City Council will serve as the governing body for this new district, and the tax cannot become effective until the existing 2% room occupancy tax is repealed. The bill specifies detailed provisions about the composition of the Tourism Development Authority, including requirements that at least one-third of members be from businesses collecting the tax and at least half be active in tourism promotion, with no elected officials allowed to serve. The effective date for most provisions is when the act becomes law, with some specific provisions taking effect on July 1, 2025.

Budget and Finance, Government Affairs

https://www.ncleg.gov/BillLookUp/2025/H332