0769City of Southlake, Texas
ORDINANCE NO. 769
AN ORDINANCE PROVIDING FOR A HOTEL OCCUPANCY TAX OF
SEVEN PERCENT ON THE PRICE PAID FOR A ROOM IN A HOTEL;
DEFINING TERMS; PROVIDING FOR A TAX LEVY; PROVIDING FOR
EXCEPTIONS; PROVIDING FOR THE DISPOSITION OF REVENUE AND
REFUNDS; PROVIDING FOR RESPONSIBILITY FOR COLLECTION,
REPORTING, AND PAYMENT OF THE TAX; PROVIDING FOR
REPORTS, PAYMENTS AND FEES; PROVIDING RULES, REGULATIONS
AND PENALTIES; PROVIDING A CUMULATIVE CLAUSE; PROVIDING
A SEVERABILITY CLAUSE; PROVIDING FOR PUBLICATION; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City of Southlake, Texas is a home rule city acting under its charter
adopted by the electorate pursuant to Article XI, Section 5 of the Texas Constitution and Chapter
9 of the Local Government Code; and
WHEREAS, the city council of the City of Southlake has determined that it is necessary to
adopt this ordinance to impose a hotel occupancy tax so that the best interests of the citizens of
Southlake are served;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF SOUTHLAKE, TEXAS:
SECTION 1.
That Chapter 17 of the Code of Ordinances of the City of Southlake is hereby amended
by adding a new Article IV thereto, which shall read as follows:
"ARTICLE IV.
HOTEL OCCUPANCYTAX
Section 17-100. Definitions.
(1) Consideration means the cost of a room in a hotel, and does not include:
(A) the cost of any food served or personal services rendered to the occupant not
related to cleaning and readying the room or space for 6ccupancy; or
(B) any tax assessed by any other governmental agency for occupancy of the
room.
(2) "Director" means the director of finance of the city or the director's designated
representative.
(3) "Hotel" means any building in which members of the public obtain sleeping
accommodation for consideration. The term includes a hotel, motel, tourist home, tourist house,
tourist court, lodging house, inn, rooming house, or bed and breakfast. The term does not include:
(A) a hospital, sanitarium, or nursing home; or
(B)
a dormitory or other housing facility owned or leased and operated by an institution
of higher education or a private or independent institution of higher education, as
those terms are defined by Section 61.003 of the Texas Education Code, as amended,
that is used by the institution for the purpose of providing sleeping accommodations
for persons engaged in educational program or activity at the institution.
(4) "Occupancy" means the use or possession, or the right to the use or possession, of
any room in a hotel.
(5) "Occupant" means any person who, for a consideration, uses, possesses, or has a right
to use or possess any room in a hotel under any lease, concession, permit, right of access, license,
contract, or agreement.
(6) "Tax" means the hotel occupancy tax levied in this article pursuant to Chapter 351
of the Texas Tax Code, as amended.
(7) "Tourist" means an individual who travels from the individual's residence to a
different municipality, county, state, or country for pleasure, recreation, education, or culture.
(8) "Visitor Information Center" means a building or a portion of a building used to
distribute or disseminate information to tourists.
Sec. 17-101. Levy and amount of tax.
(a) There is hereby levied a tax upon the occupant of any room that:
(1)
(2)
(3)
is in a hotel within the City or its extraterritorial jurisdiction;
is ordinarily used for sleeping; and
the' cost of occupancy of which is $2 or more each day.
(b) The tax is equal to seven percent of the consideration paid by the occupant of the
room to the hotel.
Sec. 17-102. Exemptions and refunds.
(a) A person described in Section 156.101 or Section 156.103(d) of the Texas Tax Code,
as amended, is exempt from the payment of the tax imposed under this article.
(b) A governmental entity excepted from the tax imposed by Chapter 156 of the Texas
Tax Code, as amended, under Section 156.103(a)(1) or (a)(3) of that chapter shall pay the tax
imposed by this article, but is entitled to a refund of the tax paid.
(c) A person described in Section 156.103(c) of the Texas Tax Code, as amended, shall
pay the tax imposed by this article, but the state governmental entity with whom the person is
associated is entitled to a refund of the tax paid.
(d) To receive a refund of tax paid under this article, the governmental entity entitled to
the refund must file a refund claim with the director on a form prescribed by the state comptroller
and provided by the director. A govermnental entity may file a refund claim with the director only
for each calendar quarter for all reimbursements accrued during that quarter.
Sec. 17-103. Responsibility for collection, reporting, and payment of tax.
Every person owning, operating, managing, or controlling any hotel shall collect the tax for
the city and report and pay the tax to the city in accordance with all requirements and procedures set
forth in this article.
Sec. 17-104. Reports; payments; fees.
(a) On the 15"' day of the month following each month in which a tax is earned, every
person required by this article to collect the tax shall file a report with the director showing:
(1)
(2)
(3)
the consideration paid for all occupancies in the preceding month;
the amount of the tax collected on the occupancies; and
any other information the director may reasonably require.
(b) Every person required by this article to collect the tax shall pay the tax due on all
occupancies in the preceding month to the director at the time of filing the report required under
Subsection (a) of this section.
(c) Every person collecting a tax under this article may deduct a one percent collection
fee from the gross amount of tax collected on all occupancies in the preceding month if the tax is
paid to and received by the director no later than the 15th day of the month following the month in
which the tax is required to be collected. If the 15th day falls on a weekend or holiday, the director
must receive the tax by the next business day. If the tax is paid by mail, the date of receipt by the
director is the date postmarked by the U.S. Postal Service.
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(d) Each remittance of a tax required by this article must contain the following statement
and representation signed by the person required by this article to collect the tax:
The tax remitted and paid to the City of Southlake with this report
was collected pursuant to the requirements of Article IV, Chapter 17,
Southlake City Code, as amended.
(e) The director shall maintain a record that accurately identifies the receipt and
expenditure of all revenue derived from the tax imposed by this article.
Sec. 1%105. Tax collection on purchase of a hotel.
(a) If a person liable for the payment of a tax under this article is the owner of the hotel
and sells the hotel, the successor to the seller or the seller's assignee shall withhold an amount of the
purchase price sufficient to pay the tax due until the seller provides a receipt from the director
showing that the amount has been paid or a certificate stating that no tax is due.
(b) The purchaser of a hotel who fails to withhold an amount of the pumhase price as
required by this section is liable for the amount required to be withheld to the extent of the value of
the purchase price.
(c) The purchaser of a hotel may request that the director issue a certificate stating that
no tax is due or issue a statement of the amount required to be paid before a certificate may be
issued. The director shall issue a certificate or statement not later than 60 days after receiving the
request.
(d) If the director fails to issue the certificate or statement within the period provided by
Subsection (c) of this section, the purchaser is released from the obligation to withhold the purchase
price or pay the amount due.
Sec. 17-106. Rules and regulations.
The director is authorized to make any rules and regulations necessary to effectively collect
the tax. The director shall, upon giving reasonable notice, have access to all books and records
necessary to enable the director to determine the correctness of any report filed as required by this
article and the amount of taxes due under this article.
Sec. 17-107. Use and allocation of revenues.
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(a) The revenue derived from any hotel occupancy mx imposed and levied by this article
may be used only to promote tourism in the convention and hotel industry, and that use is limited
to the following:
(1) the acquisition of sites for and the construction, improvement, enlarging, equipping,
repairing, operation, and maintenance of convention center facilities or visitor
information centers, or both;
(2~ the furnishing of facilities, persmmel, and materials for the registration of convention
delegates or registrants;
(3) advertising and conducting solicitations and promotional programs to attract tourists
and convention delegates or registrants to the city or its vicinity;
(4} the encouragement, promotion, improvement, and application of the arts, including
instrumental and vocal music, dance, drama, folk art, creative writing, architecture,
design and allied fields, painting, sculpture, photography, graphic and draft arts,
motion pictures, radio, television, tape and sound recording, and other arts relating
to the presentation, performance, execution, and exhibition of these major art forms;
and
(5) historical restoration and preservation projects or activities or advertising and
conducting solicitations and promotional programs to encourage tourists and
convention delegates to visit preserved historic sites or museums:
(1) at or in the immediate vicinity of convention center facilities or visitor
information centers; or
(2) located elsewhere in the city or its vicinity that would be frequented by
tourists and convention delegates.
(b) Revenue from any hotel occupancy tax imposed and levied by this article may not be
used for the general revenue purposes for general governmental operations of the city.
(c) Allocations of the hotel occupancy tax revenue by the city for the purposes set out by
subsection (a) above, must comply with the provisions of Chapter 351 of the Texas Tax Code.
Sec. 17-108. Penalties.
(a) A person commits an offense if the person:
(1)
(2)
(3)
(4)
(5)
fails to collect the tax imposed by this article;
fails to file a report as required by this article;
fails to pay the director the tax when payment is due;
files a false report; or
fails to comply with Section 17-105(a) when purchasing a hotel.
(b) An offense committed under subsection (a) of this section is punishable by a fine not
to exceed $500.
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(c) In addition to any criminal penalties imposed under Subsection (b) of this section,
a person failing to pay the tax to the director by the 25th day of the month following the month in
which the tax is required by this article to be collected shall pay an amount equal to 15 percent of
the tax due as a penalty. Delinquent taxes draw interest at the rate of 10 percent per year beginning
30 days from the :late the tax is due to the director.
ed) In addition, the city is authorized to file legal proceedings against the hotel for
noncompliance se. eking any other remedies provided by state law.
(e) In addition to the amount of any tax owed, a person is liable to the city for all
reasonable attorney's fees incurred by the city in enforcing this article against the person and in
collecting any tax owed by the person under this article."
SECTION 2.
CUMULATIVE CLAUSE
This ordir ance shall be cumulative of all provisions of ordinances of the City of Southlake,
Texas, except where the provisions of this ordinance are in direct conflict with the provisions of such
ordinances, in wl-~ich event the conflicting provisions of such ordinances are hereby repealed.
SECTION 3.
SEVERABILITY CLAUSE
It is hereby, declared to be the intention of the city council that the phrases, clauses, sentences,
paragraphs and sections of this ordinance are severable, and if any phrase, clause, sentence,
paragraph or section of this ordinance shall be declared unconstitutional by the valid judgment or
decree of any corm of competent jurisdiction, such unconstitutionality shall not affect any of the
remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same
would have been enacted by the city council without the incorporation in this ordinance of any such
unconstitutional phrase, clause, sentence, paragraph or section.
SECTION 4.
PUBLICATION
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The city secretary of the City of Southlake is hereby directed to publish the proposed
ordinance or its caption and penally together with a notice setting out the time and place for a public
hearing thereon at least 10 days before the second reading of this ordinance. The city secretary shall
additionally publish the caption and penalty clause of this ordinance in the official city newspaper
one time within ten days after passage of this ordinance, as required by Section 3.13 of the Charter
of the Cily of Southlake.
SECTION 5.
EFFECTIVE DATE
This ordinance shall be in full force and effect from and after its passage and publication as
required by law, and it is so ordained.
PASSED AND APPROVED ON FIRST READING ON THIS
~~ ,2000.
MAYOR
DAY OF
ATTEST:
C~TY SECRETARY
PASSED AND APPROVED ON SECOND READING ON THIS/,fi" DAY OF
MAYOR
ATTEST:
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CITY SECRETARY
APPROVED AS TO FORM AND LEGALITY:
City Attorney
\\SLKSV4001\SSIEMER$\SHELLI\HOTEL TAX~HOTELOCCUPANCYTAX ORDINANCE.DOC Page 8
INVOICE
Star-Telegram Customer ID: CIT57
400 W.7th Street Invoice Number: 166203331
FORT WORTH,TX 76102 Invoice Date: 2/4/00
(817)390-7761 Terms: Net due in 21 days
Federal Tax ID 22-3148254
Due Date: 2/29/00
Bill To: PO Number:
CITY OF SOUTHLAKE Order Number: 16620333
667 N CARROLL AVE
SOUTHLAKE, TX 76092-6412 Sales Rep: 073
Description: NOTICE OF PUBLI
Publication Date: 2/4/00
Attn:
Description Location Col Depth Linage MU Rate Amount
NOTICE OF PUBLIC HEARING Notic I358 1 42 42 LINE $5.79 524;.1
NOTIHEAR NGBLIC
Notice
Cso uhnecri of given Cby thoef ($209.1 6)
Sales Discount
Southlake,Texas,that a pub-
February
lic hearing15,will 2000 b held duri ongn
the Regular City Council
Meeting to be held in the
City Council Chambers of Net Amount: $34.02
City Hall, 667 North Carroll
Avenue,Southlake,Texas.
Purpose of the public hearing
is to consider the second
reading of the following ordi-
nance:
ORDINANCE NO.769
AN ORDINANCE PROVIDING
FOR A HOTEL OCCUPANCY
TAX OF SEVEN PERCENT ON
THE PRICE PAID FOR A
ROOM IN A HOTEL; DEFIN-
ING TERMS;PROVIDING FOR
A TAX LEVY;PROVIDING FOR
EXCEPTIONS; PROVIDING
FOR THE DISPOSITION OF
REVENUE AND REFUNDS;
PROVDING FOR RESPONSI-
BILITY FOR COLLECTION RE-
PORTING,AND PAYMENT OF
THE TAX; PROVIDING FOR
REPORTS. PAYMENTS AND
FEES' PROVIDING RULES,
REGULATIONS AND PENAL-
TIES; PROVIDING A SEVER-
A PROVID-
BILITY CLAUSE;PUBLICATION;ION AND
THE STATE PROVIDING AN EFFECTIVE
County of Tai DATE.
City of Southlake
Sandra L.LeGrand
Before me,a wit TTrer l`III dim i.,, ;aid County and State,this day personally appeared TAMMIE BRYANT, Bid and Legal Coordinator, for the Star-
Telegram, published by the Star-Telegram, Inc.at Fort Worth, in Tarrant County,Texas;and who,after being duly sworn, did depose and say that the
attached clipping of an advertisement was published in the above named paper on the tes:
Signed
SUBSCRIBED AND SWORN TO BEFORE ME,THIS Thursday,March ,2000.
Notary Public
446. DAWN M. ENDALL
'=�y COMMISSION EXPIRES•4-4 ,
Thank You For Your Payment SEPTEMBER 13,2009 I
•
Remit To: Star-Telegram Customer ID: CIT57
P.O. Box 901051 Customer Name: CITY OF SOUTHLAKE
FORT WORTH, TX 76101-2051 Invoice Number: 166203331
Invoice Amount: $34.02
PO Number:
Amount Enclosed.
INVOICE
Star-Telegram Customer ID: CIT57
400 W.7th Street Invoice Number: 167471521
FORT WORTH,TX 76102
(817)390-7761 Invoice Date: 2/25/00
Federal Tax ID 22-3148254 Terms: Net due in 21 days
Due Date: 2/29/00
Bill To: PO Number:
CITY OF SOUTHLAKE
667 N CARROLL AVE Order Number: 16747152
SOUTHLAKE, TX 76092-6412 Sales Rep: 073
Description: CITY OF SOUTHLA
Attn: CITY .MANAGER OFFICE Publication Date: 2/25/00
CITY OF SOUTHLAKE ORDINANCE NO I358 1 37 37 LINE $5.79 $214.23
CITY OF SOUTHLAKE
ORDINANCE NO.769
Sales Discount AN PROVIDING
CCUUPANCY ($184.26)
TAX OF SEVEN PERCENT ON
THE PRICE PAID FOR A
ROOM IN A HOTEL DEFIN-
ING TERMS;PROVIDING FOR
A TAX LEVY;PROVIDING FOR
EXCEPTIONS; PROVIDING $29.97
FOR THE DISPOSITION OF Net Amount:
REVENUE AND REFUNDS;
PROVIDING FOR RESPONSI-
BILITY FOR COLLECTION RE-
PORTING AND PAYMENT OF
THE TA)l; PROVIDING FOR
REPORTS PAYMENTS AND
FEES, PROVIDING RULES,
REGULATIONS AND PENAL-
TIES;PROVIDING A CUMULA-
TIVE CLAUSE; PROVIDING A
SEVERABILITY CLAUSE
PROVIDING FOR PUBLICA-
TION; AND PROVIDING AN
EFFECTIVE DATE.
PASSED AND APPROVED BY
THE CITY COUNCIL OF THE
CITY OF SOUTHLAKE TEX-
AS,FEEBRUARY 2000TIi DAY
MAYOR RICK STACY
ATTEST:
SANDRA L.LEGRAND,
CITY SECRETARY
APPROVED AS TO FORM:
THE STATE OF TEXAS CITY ATTORNEY JR.,
County of Tarrant
Before me,a Notary Public in and for said County and State,this day personally appeared TAMMIE RYANT, Bid and Legal Coordinator, for the Star-
Telegram, published by the Star-Telegram, Inc.at Fort Worth,in Tarrant Coun •and who,a ing duly sworn, did depose and say that the
attached clipping of an advertisement was published in t above named paper o he list dates:
Signed_
SUBSCRIBED AND SWORN TO BEFORE ME,THIS Thursday,Marc 2,2000.
Notary Public
• DAWN M. KUYKENDALL
COMMISSION EXPIRES
4110 SEPTEMBER 13,2009
Thank You For Your Payment -3 - -
Remit To: Star-Telegram Customer ID: CIT57
P.O. Box 901051 Customer Name: CITY OF SOUTHLAKE
FORT WORTH, TX 76101-2051 Invoice Number: 167471521
Invoice Amount: $29.97
PO Number:
Amount Enclosed: 1$