GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1991

S	1 

SENATE BILL 580

Short Title:  Raise Durham Occupancy Tax.	(Local)
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Sponsors: Senators Royall and Hunt.
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Referred to:  Finance.
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April 11, 1991

A BILL TO BE ENTITLED
AN ACT TO AUTHORIZE THE CITY OF DURHAM TO INCREASE ITS ROOM OCCUPANCY TAX FROM THREE PERCENT TO FIVE PERCENT AND TO USE THE ADDITIONAL TAX REVENUE FOR PROMOTION OF TRAVEL AND TOURISM.
The General Assembly of North Carolina enacts:
Section 1.  (a)	Levy of Additional Occupancy Tax. In addition to the tax authorized by Chapter 969 of the 1985 Session Laws, the Durham County Board of Commissioners may levy a room occupancy tax of two percent (2%) of the gross receipts derived from the rental of accommodations taxable under that Chapter.  The levy, collection, administration, and repeal of the tax authorized by this act shall be in accordance with the provisions of Section 1 of Chapter 969 of the 1985 Session Laws.  Durham may not levy a tax under this act unless it also levies the tax under Chapter 969 of the 1985 Session Laws.
(b)	Use of Proceeds of Additional Tax.  Durham County shall, on a monthly basis, remit the net proceeds of the tax levied under this act to the Durham Convention & Visitors Bureau, a joint agency established by interlocal cooperation agreement between Durham County and the City of Durham.  The Bureau may use funds remitted to it under this subsection only to promote travel and tourism in Durham County.  If the interlocal cooperation agreement expires or the Bureau is otherwise dissolved, Durham County shall use the net proceeds of the tax levied under this section only to promote travel and tourism in Durham County.  As used in this subsection, "net proceeds”means gross proceeds less the cost to the county of administering and collecting the tax, as determined by the finance officer.
Sec. 2.  This act is effective upon ratification.