GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1995

S	1 

SENATE BILL 671

Short Title:  Increase Durham Occupancy Tax.	(Local)

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Sponsors: Senator Gulley.

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Referred to:  Finance

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April 12, 1995

A BILL TO BE ENTITLED
AN ACT TO AUTHORIZE DURHAM COUNTY TO INCREASE ITS OCCUPANCY TAX FROM FIVE PERCENT TO SIX PERCENT.
The General Assembly of North Carolina enacts:
Section 1.  Section 1(a) of Chapter 969 of the 1985 Session Laws, as amended, is amended by deleting the phrase "three percent (3%)" and substituting the phrase "up to four percent (4%)".
Sec. 2.  Section 1 of Chapter 665 of the 1991 Session Laws reads as rewritten:
"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 County may not levy a tax under this act unless it also levies the tax authorized under Chapter 969 of the 1985 Session Laws at a rate of three percent (3%) or more.
(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. 3.  Section 1 of this act applies only to Durham County.
Sec. 4.  This act is effective upon ratification.