05 HB 374/AP
House
Bill 374 (AS PASSED HOUSE AND SENATE)
By:
Representatives Geisinger of the
48th,
Jones of the
46th,
Martin of the
47th,
and Willard of the
49th
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Code Section 48-13-51 of the Official Code of Georgia Annotated, relating
to county and municipal levies on public accommodations charges for promotion of
tourism, conventions, and trade shows, so as to extend the time for the levy and
collection of a tax for the purpose of construction and expansion of a system of
bicycle or pedestrian greenways, trails, walkways, or any other combination
thereof connecting a downtown historic or business district and surrounding
areas under certain circumstances; to provide that certain counties may levy and
collect such a tax at the rate of 5 percent; to provide that funds shall be
expended in a certain way; to provide for requirements and limitations with
respect thereto; to provide for related matters; to provide an effective date;
to repeal conflicting laws; and for other purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Code
Section 48-13-51 of the Official Code of Georgia Annotated, relating to county
and municipal levies on public accommodations charges for promotion of tourism,
conventions, and trade shows, is amended by striking subparagraph (a)(1)(D) and
inserting in its place a new subparagraph (D) to read as follows:
"(D)
Except as provided in paragraphs (2.1), (3), (3.1), (3.2), (3.3), (3.4), (3.5),
(3.7), (4), (4.1), (4.2), (4.3), (4.4), (4.5), (4.6), (4.7), (5), (5.1),
and
(5.2), and
(5.3) of this subsection, no tax levied
pursuant to this Code section shall be levied or collected at a rate exceeding 3
percent of the charge to the public for the
furnishings."
SECTION
2.
Said
Code section is further amended by striking paragraph (2) of subsection (a) and
inserting in its place a new paragraph (2) to read as follows:
"(2)
A county or municipality levying a tax as provided in paragraph (1) of this
subsection shall in each fiscal year beginning on or after July 1, 1987, expend
for the purpose of promoting tourism, conventions, and trade shows a percentage
of the total taxes collected under this Code section which is not less than the
percentage of such tax collections expended for such purposes during the
immediately preceding fiscal year. In addition, if during such immediately
preceding fiscal year any portion of such tax receipts was expended for such
purposes through a grant to or a contract or contracts with the state, a
department of state government, a state authority, or a private sector nonprofit
organization, then in each fiscal year beginning on or after July 1, 1987, at
least the same percentage shall be expended through a contract or contracts with
one or more such entities for the purpose of promoting tourism, conventions, and
trade shows. The expenditure requirements of this paragraph shall cease to
apply to a county or municipality which levies a tax at a rate in excess of 3
percent, as authorized under paragraphs (2.1), (3), (3.1), (3.2), (3.3), (3.4),
(3.5), (3.7), (4), (4.1), (4.2), (4.3), (4.4), (4.5), (4.6), (4.7), (5), (5.1),
and
(5.2), and
(5.3) of this subsection; and in such case
the expenditure requirements of such paragraph of this subsection pursuant to
which such tax is levied shall apply
instead."
SECTION
3.
Said
Code section is further amended by striking paragraph (4) of subsection (a) and
inserting in its place a new paragraph (4) to read as follows:
"(4)
Notwithstanding any other provision of this subsection, a county (within the
territorial limits of the special district located within the county) or
municipality may levy a tax under this Code section at a rate of 6 percent. A
county or municipality levying a tax pursuant to this paragraph shall expend (in
each fiscal year during which the tax is collected under this paragraph (4)) an
amount equal to at least 43 1/3 percent of the total taxes collected at the rate
of 6 percent for the purpose of: (A) promoting tourism, conventions, and trade
shows; (B) supporting a facility owned or operated by a state authority for
convention and trade show purposes or any other similar or related purposes; (C)
supporting a facility owned or operated by a local authority or local government
for convention and trade show purposes or any other similar or related purposes,
if a written agreement to provide such support was in effect on January 1, 1987,
and if such facility is substantially completed and in operation prior to July
1, 1987; (D) supporting a facility owned or operated by a local government or
local authority for convention and trade show purposes or any other similar or
related purposes if construction of such facility is funded or was funded prior
to July 1, 1990, in whole or in part by a grant of state funds or is funded on
or after July 1, 1990, in whole or substantially by an appropriation of state
funds; (E) supporting a facility owned by a local government or local authority
for convention and trade show purposes and any other similar or related purposes
if construction of such facility is substantially funded or was substantially
funded on or after February 28, 1985, by a special county 1 percent sales and
use tax authorized by Article 3 of Chapter 8 of this title, as amended, and such
facility was substantially completed and in operation prior to December 31,
1993; or (F) for some combination of such purposes. Amounts so expended shall be
expended only through a contract or contracts with the state, a department of
state government, a state authority, a convention and visitors bureau authority
created by local Act of the General Assembly for a municipality, or a private
sector nonprofit organization, or through a contract or contracts with some
combination of such entities, except that amounts expended for purposes (C) and
(D) may be so expended in any otherwise lawful manner. In addition to the
amounts required to be expended above, a county or municipality levying a tax
pursuant to this paragraph (4) shall further expend (in each fiscal year during
which the tax is collected under this paragraph (4)) an amount equal to at least
1 percent of the total taxes collected at the rate of 6 percent for the purpose
of supporting a museum of aviation and aviation hall of fame or an amount equal
to at least 16 2/3 percent of the total taxes collected at the rate of 6 percent
for the purpose of construction or expansion of either: (A) a facility owned or
operated by a state authority for convention and trade show purposes or any
other similar or related purposes; (B) a facility owned or operated by a local
authority or local government for convention and trade show purposes or any
other similar or related purposes, if such support is provided to a governmental
entity with which the county or municipality levying the tax had in effect on
January 1, 1987, a contractual agreement concerning governmental support of a
convention and trade show facility; (C) a facility owned or operated for
convention and trade show purposes, visitor welcome center purposes, or any
other similar or related purposes by a convention and visitors bureau authority
created by local Act of the General Assembly for a municipality; (D) a facility
owned or operated for convention and trade show purposes or any other similar or
related purposes by a coliseum and exhibit hall authority created by local Act
of the General Assembly for a county and one or more municipalities therein; (E)
a facility owned by a local government or local authority for convention and
trade show purposes and any other similar or related purposes if construction of
such facility is substantially funded or was substantially funded on or after
February 28, 1985, by a special county 1 percent sales and use tax authorized by
Article 3 of Chapter 8 of this title, as amended, and such facility was
substantially completed and in operation prior to December 31, 1993; (F) a
system of bicycle or pedestrian trails or walkways or both connecting a historic
district within the levying county or municipality and surrounding areas (and
with respect to this purpose (F) construction and expansion shall include
acquisition and development), if not later than December 1, 1993, the county or
municipality has adopted ordinances, resolutions, or contracts which: (i)
designate such historic district; (ii) obligate the county or municipality to
provide funds to promote tourism to a historic district owners and business
association which qualifies as a private sector nonprofit organization under
subparagraph (a)(8)(A) of this Code section and Section 501(c)(6) of the
Internal Revenue Code; (iii) provide a 'comprehensive plan' as provided for in
Chapters 70 and 71 of Title 36; (iv) provide a transportation plan as a
component of such comprehensive plan; and (v) provide a recreation plan which is
designed to identify recreation needs through the year 2000 and which includes
provisions for such system of trails or walkways or both; provided that the
authority to expend funds for such system of trails or walkways or both shall
expire when all capital costs of the initial acquisition, construction, and
development of such system as identified in the relevant plan have been paid and
in no event later than July 1, 2002. Amounts so expended to meet such 16 2/3
percent expenditure requirement shall not be subject to the foregoing provisions
of this paragraph requiring expenditure through a contract or contracts with
certain entities; or (G) a system of bicycle or pedestrian greenways, trails,
walkways, or any combination thereof connecting a downtown historic or business
district within the levying county or municipality and surrounding areas (and
with respect to this purpose (G) construction and expansion shall include
acquisition and development), if not later than December 1, 2000, the county or
municipality has adopted ordinances, resolutions, or contracts which: (i)
designate such historic or downtown business district; (ii) obligate the county
or municipality to provide funds to promote tourism to a downtown business
district owners and business association or chamber of commerce which qualify as
private sector nonprofit organizations under subparagraph (a)(8)(A) of this Code
section and Section 501(c)(6) of the Internal Revenue Code; (iii) provide a
'comprehensive plan' as provided for in Chapters 70 and 71 of Title 36; (iv)
provide a transportation plan as a component of such comprehensive plan; and (v)
provide a recreation plan as a component of such comprehensive plan which
includes provisions for such system of trails or walkways or both; provided that
the authority to expend funds for such system of trails or walkways or both
shall expire when all capital costs of the initial acquisition, construction,
and development of such system as identified in the relevant plan have been paid
and in no event later than July 1,
2005
2025.
Amounts so expended to meet such 16 2/3 percent expenditure requirement shall
not be subject to the foregoing provisions of this paragraph requiring
expenditure through a contract or contracts with certain
entities."
SECTION
4.
Said
Code section is further amended in subsection (a) by adding a new paragraph
immediately following paragraph (5.2), to be designated paragraph (5.3), to read
as follows:
"(5.3)(A)
Notwithstanding the provisions of paragraph (1) of this subsection, a county
(within the territorial limits of the special district located within the
county) and municipalities within such a county in which a convention and
visitoŕs
bureau authority has been created by local Act of the General Assembly which was
in existence on July 1, 2005, and which authority is established specifically by
such local Act as a permissible, but not exclusive, entity for the transfer of
hotel and motel tax funds by the taxing entities of the county for which such
authority was created may levy a tax under this Code section at a rate of 5
percent.
(B)
The provisions of paragraph (2) of this subsection relating to expenditures
shall apply to this paragraph; provided, however, that a county or municipality
levying a tax pursuant to this paragraph shall be authorized, but not required,
to expend funds through a convention and
visitoŕs
bureau authority created by local Act of the General
Assembly."
SECTION
5.
Said
Code section is further amended by striking paragraph (6) of subsection (a) and
inserting in its place a new paragraph (6) to read as follows:
"(6)
At no time shall a county or municipality levy a tax under more than one
paragraph of this subsection. Following the termination of a tax under
paragraph (2.1), (3.1), (3.2), (3.3), (3.4), (3.5), (3.7), (4.1), (4.2), (4.3),
(4.4), (4.5), (4.6), (4.7), (5), (5.1),
or
(5.2), or
(5.3) of this subsection, any county or
municipality which has levied a tax pursuant to paragraph (2.1), (3.1), (3.2),
(3.3), (3.4), (3.5), (3.7), (4.1), (4.2), (4.3), (4.4), (4.5), (4.6), (4.7),
(5), (5.1),
or
(5.2), or
(5.3) of this subsection shall be
authorized to levy a tax in the manner and at the rate authorized by either
paragraph (1), paragraph (3), or paragraph (4) of this subsection but shall not
thereafter be authorized to again levy a tax under paragraph (2.1), (3.1),
(3.2), (3.3), (3.4), (3.5), (3.7), (4.1), (4.2), (4.3), (4.4), (4.5), (4.6),
(4.7), (5), (5.1),
or
(5.2), or
(5.3) of this
subsection."
SECTION
6.
Said
Code section is further amended by striking paragraphs (9) and (10) of
subsection (a) and inserting in their places new paragraphs (9) and (10) to read
as follows:
"(9)(A)
A county or municipality imposing a tax under paragraph (1), (2), (2.1), (3),
(3.1), (3.2), (3.3), (3.4), (3.5), (3.7), (4), (4.1), (4.2), (4.3), (4.4),
(4.5), (4.6), (4.7), (5), (5.1),
or
(5.2), or
(5.3) of this subsection shall prior to
the imposition of the tax (if the tax is imposed on or after July 1, 1990) and
prior to each fiscal year thereafter in which the tax is imposed adopt a budget
plan specifying how the expenditure requirements of this Code section will be
met. Prior to the adoption of such budget plan, the county or municipality
shall obtain from the authorized entity with which it proposes to contract to
meet the expenditure requirements of this Code section a budget for expenditures
to be made by such organization; and such budget shall be made a part of the
county or municipal budget plan.
(B)(i)
The determination as to whether a county or municipality has complied with the
expenditure requirements of paragraph (2), (2.1), (3), (3.1), (3.2), (3.3),
(3.4), (3.5), (3.7), (4), (4.1), (4.2), (4.3), (4.4), (4.5), (4.6), (4.7), (5),
(5.1),
or
(5.2), or
(5.3) of this subsection shall be made for
each fiscal year beginning on or after July 1, 1987, as of the end of each
fiscal year, shall be prominently reflected in the audit required under Code
Section 36-81-7, and shall disclose:
(I)
The amount of funds expended or contractually committed for expenditure as
provided in paragraph (2), (2.1), (3), (3.1), (3.2), (3.3), (3.4), (3.5), (3.7),
(4), (4.1), (4.2), (4.3), (4.4), (4.5), (4.6), (4.7), (5), (5.1),
or
(5.2), or
(5.3) of this subsection, whichever is
applicable, during the fiscal year;
(II)
The amount of tax receipts under this Code section during such fiscal year;
and
(III)
Expenditures as a percentage of tax receipts.
(ii)
A county or municipality contractually expending funds to meet the expenditure
requirements of paragraph (2), (2.1), (3), (3.1), (3.2), (3.3), (3.4), (3.5),
(3.7), (4), (4.1), (4.2), (4.3), (4.4), (4.5), (4.6), (4.7), (5), (5.1),
or
(5.2), or
(5.3) of this subsection shall require the
contracting party to provide audit verification that the contracting party makes
use of such funds in conformity with the requirements of this subsection. If the
audit required by Code Section 36-81-7 identifies noncompliance with the
applicable expenditure requirements of this Code section, such noncompliance
shall be reported in accordance with paragraph (2) of subsection (c) of Code
Section 36-81-7. The state auditor shall report all instances of noncompliance
with this subparagraph noted in the audit report to the Department of Community
Affairs upon completion of the report review required by paragraph (2) of
subsection (d) of Code Section 36-81-7. The state auditor shall furnish a copy
of all documents submitted by the local government or the local
government́s
auditor pertaining to noncompliance with this subparagraph to the Department of
Revenue. The Department of Community Affairs shall submit a copy of such
documents to the performance review board.
(10)
Nothing in this article shall be construed to limit the power of a county or
municipality to expend more than the required amounts, or all, of the total
taxes collected under this Code section for the purposes described in paragraph
(2), (2.1), (3), (3.1), (3.2), (3.3), (3.4), (3.5), (3.7), (4), (4.1), (4.2),
(4.3), (4.4), (4.5), (4.6), (4.7), (5), (5.1),
or
(5.2), or
(5.3) of this
subsection."
SECTION
7.
This
Act shall become effective upon its approval by the Governor or upon its
becoming law without such approval.
SECTION
8.
All
laws and parts of laws in conflict with this Act are repealed.