A BILL TO BE ENTITLED
AN ACT To modify the New hanover occupancy tax.
The General Assembly of North Carolina enacts:
SECTION 1.  Section 7(d) of S.L. 2006‑167 reads as rewritten:
"SECTION 7.(d) Distribution and Use of Tax Revenue. – New Hanover County District U shall distribute and use the net proceeds of the room occupancy and tourism development tax levied under this section as set out in this subsection. In accordance with the North Carolina Constitution and the United States Constitution, the tax proceeds may be used only for the direct benefit of the jurisdiction of New Hanover District U. As used in this subsection, the term "Authority" means the Cape Fear Coast Convention and Visitors Bureau, which has been established as a tourism development authority.
(1)	Proceeds collected prior to July 1, 2014. – Within 30 days of the effective date of this act, New Hanover County District U shall remit to the Authority the net proceeds of the tax that have been collected by the district prior to July 1, 2014. The Authority shall use one hundred percent (100%) of the funds remitted to it under this subdivision for tourism‑related expenditures in the district.
(2)	Proceeds collected on or after July 1, 2014. – New Hanover County District U shall, on a quarterly basis, remit to the Authority the net proceeds of the tax collected by the district on or after July 1, 2014. The Authority shall use at least two‑thirds of the funds remitted to it under this subdivision for tourism promotion and shall use the remainder for tourism‑related expenditures in the district."
SECTION 2.  This act is effective when it becomes law.