GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1995

S	1 

SENATE BILL 681

Short Title:  Modify Greensboro Room Tax Use.	(Local)

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Sponsors: Senators Shaw and Martin of Guilford.

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Referred to:  Finance

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April 13, 1995

A BILL TO BE ENTITLED
AN ACT TO MODIFY THE PURPOSES FOR WHICH GREENSBORO MAY USE THE PROCEEDS OF ITS LOCAL OCCUPANCY TAX.
The General Assembly of North Carolina enacts:
Section 1.  Section 6 of Chapter 22 of the 1991 Session Laws reads as rewritten:
"Sec. 6.  Disposition of Taxes Collected.
(a)	Until retirement of the debt to finance renovation and expansion of the Greensboro War Memorial Coliseum arena, the proceeds of the occupancy tax shall be used as provided in this subsection.  The city or the county shall remit twenty percent (20%) of the net proceeds of the tax to the Greensboro/Guilford County Tourism Development Authority.  'Net proceeds' means gross proceeds less the cost to the city or the county of administering and collecting the tax, not to exceed five percent (5%) of the gross proceeds of the tax.  The authority shall use the funds remitted to it under this subsection only for activities and programs promoting and encouraging travel and tourism.
The City of Greensboro shall receive the balance of the net proceeds and shall use these funds only (i)	to finance the renovation and expansion of the Greensboro War Memorial Coliseum arena, (ii) to finance the renovation and expansion of the remainder of the Greensboro War Memorial Complex and acquisition of property adjacent to the Complex, and (iii) for maintenance of the Complex.  In the event that the funds exceed the amount required for these purposes, the excess shall be retained in a special reserve fund and used (i) to make debt payments where additional funds are needed in any payment period or (ii) to call a portion of the debt.
(b)	Upon retirement of the full debt to finance the renovation and expansion of the Greensboro War Memorial Coliseum arena, the proceeds of the occupancy tax shall be used as provided in this subsection.  The city or the county shall remit twenty-five percent (25%) of the net proceeds of the tax to the Greensboro/Guilford County Tourism Development Authority.  The authority shall use the funds remitted to it under this subsection only for activities and programs promoting and encouraging travel and tourism.
The city shall receive the balance of the net proceeds and shall use these funds only (i)	for specific tourist-related events, programs, and activities, such as arts, recreational, or cultural events, or (ii) for promoting, improving, constructing, financing, or acquiring facilities or attractions that enhance the development of tourism.  Before expending the proceeds for any of the purposes listed in this subsection, the city shall submit each project to the Greensboro/Guilford County Tourism Development Authority.  The board of directors of that authority shall make recommendations to the city with respect to the projects within 60 days after submission by the city."
Sec. 2.  This act is effective upon ratification.