A BILL TO BE ENTITLED
AN ACT to authorize the town of Robbinsville to levy an occupancy tax, to amend the existing graham county occupancy tax, and to create a taxing district in graham county for the purpose of levying a three percent room occupancy and tourism development tax.
The General Assembly of North Carolina enacts:

PART i: town of Robbinsville occupancy tax
SECTION 1.1.  Occupancy Tax. – (a) Authorization and Scope. – The Town Council of the Town of Robbinsville may levy a room occupancy tax of up to three percent (3%) of the gross receipts derived from the rental of any room, lodging, or accommodation furnished by a hotel, motel, inn, tourist camp, or similar place within the town that is subject to sales tax imposed by the State under G.S. 105‑164.4(a)(3). This tax is in addition to any State or local sales tax.
SECTION 1.1.(b)  Administration. – A tax levied under this Part shall be levied, administered, collected, and repealed as provided in G.S. 160A‑215. The penalties provided in G.S. 160A‑215 apply to a tax levied under this Part.
SECTION 1.1.(c)  Distribution and Use of Tax Revenue. – The Town of Robbinsville shall, on a quarterly basis, remit the net proceeds of the occupancy tax to the Robbinsville Tourism Development Authority. The Authority shall use at least two‑thirds of the funds remitted to it under this subsection to promote travel and tourism in the Town of Robbinsville and shall use the remainder for tourism‑related expenditures.
The following definitions apply in this Part:
(1)	Net proceeds. – Gross proceeds less the cost to the town of administering and collecting the tax, as determined by the finance officer, not to exceed three percent (3%) of the first five hundred thousand dollars ($500,000) of gross proceeds collected each year and one percent (1%) of the remaining gross proceeds collected each year.
(2)	Promote travel and tourism. – To advertise or market an area or activity, publish and distribute pamphlets and other materials, conduct market research, or engage in similar promotional activities that attract tourists or business travelers to the area; the term includes administrative expenses incurred in engaging in the listed activities.
(3)	Tourism‑related expenditures. – Expenditures that, in the judgment of the Robbinsville Tourism Development Authority, are designed to increase the use of lodging facilities, meeting facilities, or convention facilities in the town or to attract tourists or business travelers to the town. The term includes tourism‑related capital expenditures.
SECTION 1.2.  Tourism Development Authority. – (a) Appointment and Membership. – When the Town Council adopts a resolution levying a room occupancy tax under this Part, it shall also adopt a resolution creating the Robbinsville Tourism Development Authority, which shall be a public authority under the Local Government Budget and Fiscal Control Act. The resolution shall provide for the membership of the Authority, including the members' terms of office, and for the filling of vacancies on the Authority. At least one‑third of the members shall be individuals who are affiliated with businesses that collect the tax in the town, and at least one‑half of the members shall be individuals who are currently active in the promotion of travel and tourism in the town. The Town Council shall designate one member of the Authority as chair and shall determine the compensation, if any, to be paid to members of the Authority.
The Authority shall meet at the call of the chair and shall adopt rules of procedure to govern its meetings. The finance officer for the Town of Robbinsville shall be the ex officio finance officer of the Authority.
SECTION 1.2.(b)  Duties. – The Authority shall expend the net proceeds of the tax levied under this Part for the purposes provided in Section 1.1(c) of this section. The Authority shall promote travel, tourism, and conventions in the town, sponsor tourist‑related events and activities in the town, and finance tourist‑related capital projects in the town.
SECTION 1.2.(c)  Reports. – The Authority shall report quarterly and at the close of the fiscal year to the Robbinsville Town Council on its receipts and expenditures for the preceding quarter and for the year in such detail as the Town Council may require.
SECTION 1.3.  G.S. 160A‑215(g) reads as rewritten:
"(g)	Applicability. – Subsection (c) of this section applies to all cities that levy an occupancy tax. To the extent subsection (c) conflicts with any provision of a local act, subsection (c) supersedes that provision. The remainder of this section applies only to Beech Mountain District W, to the Cities of Belmont, Conover, Eden, Elizabeth City, Gastonia, Goldsboro, Greensboro, Hickory, High Point, Jacksonville, Kings Mountain, Lenoir, Lexington, Lincolnton, Lowell, Lumberton, Monroe, Mount Airy, Mount Holly, Reidsville, Roanoke Rapids, Salisbury, Shelby, Statesville, Washington, and Wilmington, to the Towns of Ahoskie, Beech Mountain, Benson, Bermuda Run, Blowing Rock, Boiling Springs, Boone, Burgaw, Carolina Beach, Carrboro, Cooleemee, Cramerton, Dallas, Dobson, Elkin, Fontana Dam, Franklin, Grover, Hillsborough, Jonesville, Kenly, Kure Beach, Leland, McAdenville, Mocksville, Mooresville, Murfreesboro, North Topsail Beach, Pembroke, Pilot Mountain, Ranlo, Robbinsville, Selma, Smithfield, St. Pauls, Swansboro, Troutman, Tryon, West Jefferson, Wilkesboro, Wrightsville Beach, Yadkinville, and Yanceyville, and to the municipalities in Avery and Brunswick Counties."

PART iI: GRAHAM COUNTY occupancy tax
SECTION 2.1.  Chapter 969 of the 1985 Session Laws, as amended by Chapters 118 and 195 of the 1987 Session Laws and by Section 21(k) of S.L. 2007‑527, and only as it applies to Graham County, is rewritten and recodified as Sections 3.2 and 3.3 of this act. This act does not affect the rights or liabilities of the county, a taxpayer, or another person arising under the law rewritten and recodified by this act before the effective date, nor does it affect the right to any refund or credit of a tax that accrued under the law rewritten and recodified by this act before the effective date.
SECTION 2.2.  Occupancy Tax. – (a) Authorization and Scope. – The Graham County Board of Commissioners may levy a room occupancy tax of three percent (3%) of the gross receipts derived from the rental of any room, lodging, or accommodation furnished by a hotel, motel, inn, tourist camp, or similar place within the county that is subject to sales tax imposed by the State under G.S. 105‑164.4(a)(3). This tax is in addition to any State or local sales tax.
SECTION 2.2.(b)  Administration. – A tax levied under this Part shall be levied, administered, collected, and repealed as provided in G.S. 153A‑155. The penalties provided in G.S. 153A‑155 apply to a tax levied under this Part.
SECTION 2.2.(c)  Definitions. – The following definitions apply in this Part:
(1)	Net proceeds. – Gross proceeds less the cost to the county of administering and collecting the tax, as determined by the finance officer, not to exceed three percent (3%) of the first five hundred thousand dollars ($500,000) of gross proceeds collected each year and one percent (1%) of the remaining gross proceeds collected each year.
(2)	Promote travel and tourism. – To advertise or market an area or activity, publish and distribute pamphlets and other materials, conduct market research, or engage in similar promotional activities that attract tourists or business travelers to the area. The term includes administrative expenses incurred in engaging in the listed activities.
(3)	Tourism‑related expenditures. – Expenditures that, in the judgment of the Graham County Tourism Development Authority, are designed to increase the use of lodging facilities, meeting facilities, or convention facilities in the county or to attract tourists or business travelers to the county. The term includes tourism‑related capital expenditures.
SECTION 2.2.(d)  Distribution and Use of Tax Revenue. – Graham County shall, on a quarterly basis, remit the net proceeds of the occupancy tax levied under this Part to the Graham County Tourism Development Authority. The Authority shall use at least two‑thirds of the funds remitted to it under this subsection to promote travel and tourism in Graham County and shall use the remainder for tourism‑related expenditures.
SECTION 2.3.  Tourism Development Authority. – (a) Appointment and Membership. – When the Graham County Board of Commissioners adopts a resolution levying a room occupancy tax under Section 5 of this act, it shall also ensure that the Graham County Tourism Development Authority complies with the requirements of this act. Any changes to the Authority shall be accomplished by adoption of a resolution. The Authority shall be a public authority under the Local Government Budget and Fiscal Control Act. The resolution adopted by the Board of Commissioners shall provide for the membership of the Authority, including the members' terms of office, and for the filling of vacancies on the Authority. At least one‑third of the members shall be individuals who are affiliated with businesses that collect the tax in the county, and at least one‑half of the members shall be individuals who are currently active in the promotion of travel and tourism in the county. The Board of Commissioners shall designate one member of the Authority as chair and shall determine the compensation, if any, to be paid to members of the Authority.
The Authority shall meet at the call of the chair and shall adopt rules of procedure to govern its meetings. The Finance Officer for Graham County shall be the ex officio finance officer of the Authority.
SECTION 2.3.(b)  Duties. – The Authority shall expend the net proceeds of the tax levied under Section 2.2 of this act for the purposes provided in that section. The Authority shall promote travel, tourism, and conventions in the county, sponsor tourist‑related events and activities in the county, and finance tourist‑related capital projects in the county.
SECTION 2.3.(c)  Reports. – The Authority shall report quarterly and at the close of the fiscal year to the Graham County Board of Commissioners on its receipts and expenditures for the preceding quarter and for the year in such detail as the Board of Commissioners may require.
SECTION 2.4.(a)  Section 3 of Chapter 969 of the 1985 Session Laws reads as rewritten:
"Sec. 3. This act applies only to the following counties: Clay, Durham, Macon, Polk, and Transylvania."
SECTION 2.4.(b)  Section 3 of Chapter 118 of the 1987 Session Laws reads as rewritten:
"Sec. 3. This act applies only to the following counties: Clay and Macon."
SECTION 2.4.(c)  Section 2 of Chapter 195 of the 1987 Session Laws reads as rewritten:
"Sec. 2. This act applies only to the following counties: Clay and Macon."

PART III: Graham county district G occupancy tax
SECTION 3.1.  Graham County District G Created. – Graham County District G is created as a taxing district. Its jurisdiction consists of that part of Graham County that is located outside of the incorporated area of the Town of Robbinsville. Graham County District G is a body politic and corporate and has the power to carry out the provisions of this act. The Graham County Board of Commissioners shall serve ex officio as the governing body of the district, and the officers of the County shall serve as the officers of the governing body of the district. A simple majority of the governing body constitutes a quorum, and approval by a majority of those present is sufficient to determine any matter before the governing body, if a quorum is present.
SECTION 3.2.  Occupancy Tax. – (a) Authorization and Scope. – The governing body of Graham County District G may levy a room occupancy tax of up to three percent (3%) of the gross receipts derived from the rental of any room, lodging, or accommodation furnished by a hotel, motel, inn, tourist camp, or similar place within the district that is subject to sales tax imposed by the State under G.S. 105‑164.4(a)(3). This tax is in addition to any State or local sales tax. Graham County District G may not levy a tax under this subsection unless Graham County also levies a tax of not less than three percent (3%) under subsection 1(a) of Chapter 969 of the 1985 Session Laws (Regular Session 1986), as recodified and rewritten as Section 2.2 of this act.
SECTION 3.2.(b)  Administration. – A tax levied under this Part shall be levied, administered, collected, and repealed as provided in G.S. 153A‑155 as if Graham County District G were a county. The penalties provided in G.S. 153A‑155 apply to a tax levied under this Part.
SECTION 3.2.(c)  Definitions. – The following definitions apply in this Part:
(1)	Net proceeds. – Gross proceeds less the cost to the district of administering and collecting the tax, as determined by the finance officer, not to exceed three percent (3%) of the first five hundred thousand dollars ($500,000) of gross proceeds collected each year and one percent (1%) of the remaining gross receipts collected each year.
(2)	Promote travel and tourism. – To advertise or market an area or activity, publish and distribute pamphlets and other materials, conduct market research, or engage in similar promotional activities that attract tourists or business travelers to the area. The term includes administrative expenses incurred in engaging in the listed activities.
(3)	Tourism‑related expenditures. – Expenditures that, in the judgment of the Tourism Development Authority, are designed to increase the use of lodging facilities, meeting facilities, or convention facilities in the district or to attract tourists or business travelers to the district. The term includes tourism‑related capital expenditures.
SECTION 3.2.(d)  Distribution and Use of Tax Revenue. – Graham County District G shall, on a quarterly basis, remit the net proceeds of the occupancy tax to the Graham County Tourism Development Authority. The Authority shall use at least two‑thirds of the proceeds remitted to it to promote travel and tourism in Graham County District G and shall use the remainder for tourism‑related expenditures. 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 Graham County District G. None of the proceeds may be used to promote travel or tourism in areas within Graham County that are outside of the district or for tourism‑related expenditures in the county that are outside of the district.
SECTION 3.3.  G.S. 153A‑155(g) reads as rewritten:
"(g)	Applicability. – Subsection (c) of this section applies to all counties and county districts that levy an occupancy tax. To the extent subsection (c) conflicts with any provision of a local act, subsection (c) supersedes that provision. The remainder of this section applies only to Alleghany, Anson, Brunswick, Buncombe, Burke, Cabarrus, Camden, Carteret, Caswell, Chatham, Cherokee, Chowan, Clay, Craven, Cumberland, Currituck, Dare, Davie, Duplin, Durham, Forsyth, Franklin, Granville, Halifax, Haywood, Henderson, Jackson, Madison, Martin, McDowell, Montgomery, Moore, Nash, New Hanover, Northampton, Pasquotank, Pender, Perquimans, Person, Randolph, Richmond, Rockingham, Rowan, Rutherford, Sampson, Scotland, Stanly, Swain, Transylvania, Tyrrell, Vance, Washington, and Wilson Counties, to Graham County District G, to New Hanover County District U, to Surry County District S, to Watauga County District U, to Wilkes County District K, to Yadkin County District Y, and to the Township of Averasboro in Harnett County and the Ocracoke Township Taxing District."

part iv: effective date
SECTION 4.  This act is effective when it becomes law.