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G-09-09-24-10D6 - 9/24/2009ORDINANCE NO. 4 -(A -011 -e/4 -Me AN ORDINANCE ADOPTING THE HOTEL OCCUPANCY TAX BUDGET OF THE CITY OF ROUND ROCK, TEXAS FOR FISCAL YEAR 2009-2010. WHEREAS, the City of Round Rock collects a seven (7) percent hotel occupancy tax on hotel rooms, and WHEREAS, V.T.C.A., Tax Code Section 351.101(a) states, "Revenue from the municipal hotel occupancy tax may be used only to promote tourism and the convention and hotel industry," and Section 351.101(b) states, "Revenue derived from the tax authorized by this chapter shall be expended in a manner directly enhancing and promoting tourism and the convention and hotel industry," and WHEREAS, in developing the 2009-2010 Hotel Occupancy Tax Budget, the City Council has taken into consideration City - sponsored items which promote tourism, and WHEREAS, a proposed 2009-2010 budget for Hotel Occupancy Tax funds is attached as Exhibit "A" which provides for expenditure of the funds in a manner that complies with statutory requirements and Section 1.1809 of the City Code (1995 Edition), Now Therefore BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ROUND ROCK, TEXAS: That the attached 2009-2010 Hotel Occupancy Tax Budget is hereby approved and the disbursements shown thereon are hereby authorized. The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at 0:\wdox\SCClnts\0112\0905\MUNICIPAL\090910D6.DOC/rmc which this Ordinance was adopted was posted and that such meeting was open to the public as required by law at all times during which this Ordinance and the subject matter hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended. READ and APPROVED on first reading this the (P' day of _ 2009. READ, APPROVED and ADOPTED on second reading this the 2-4"t day of Ot/Vr� , 2009. ATTEST: SARA L. WHITE, City Secretary ich ALAN MCGRAW, Mayor City of Round Rock, Texas 2 City of Round Rock Hotel Occupancy Tax Fund # 710 Fund Balance Analysis Estimated Fund Balance 10/01/09 Less Operating Reserves (*1) Estimated Revenue (FY 2009-2010) Total Funds Available Requested Expenditures Estimated Unreserved Fund Balance 9/30/10 $ 5,253,293 $ 6,375,196 (1,125,000) 2,250,000 7,500,196 (2,246,903) * 1 - Operating Reserves are established in accordance with operating reserve policies. EXHIBIT 1 City of Round Rock Hotel Occupancy Tax Fund #710 2009- 2010 Budget 2007-2008 2008=2009,--72009-2010 3F h Actual # ¢Adopted ' zG Proposed DESCRIPTION. OF ITEM K >�; ' Budget Budget Revenues Hotel -Motel Occupancy Tax Interest Income Miscellaneous Revenue Total Revenues Expenditures 2,960,352 $ 106,558 73,384 2,800,000 $ 100,000 0 2,200,000 50,000 0 3,140,294 2,900,000 2,250,000 Event & Tourism Funding Festivals & Events Advertising 11,500 25,500 25,500 Arts Support 13,000 29,000 38,000 Tourism Support 21,005 9,745 0 Museum Support 0 0 0 Total Event & Tourism Funding 45,505 64,245 63,500 Convention & Visitors Bureau Personnel 226,022 294,441 303,125 Contractual Services 141,540 261,169 241,135 Materials & Supplies 20,695 35,335 27,643 Other Services & Charges 132,594 200,500 200,500 Capital Outlay 3,703 0 0 Total Convention & Visitors Bureau 524,554 791,445 772,403 Total Operating Expenditures 570,059 855,690 835,903 Capital Projects Transfer to Capital Projects Fund Total Transfer to Capital Projects 500,000 500,000 500,000 425,000 500,000 425,000 Convention Center Property Insurance 35,000 40,000 50,000 Contingency and Trustee Fees 4,414 45,000 45,000 Transfer to Reserve Fund at Trustee Bank 0 0 0 Transfer to Debt Svc. Fund at Trustee Bank 715,000 710,000 716,000 Transfer Capital Repair at Trustee Bank 11,565 75,000 75,000 Transfer to Conv. Center Revenue 0 0 0 Transfer to Stadium Expansion Fund Transfer to Capital Improvement Fund 100,000 100,000 100,000 Total Convention Center 865,979 970,000 986,000 Total Expenditures $ 1,936,038 $ 2,325,690 $ 2,246,903 DATE: September 17, 2009 SUBJECT: City Council Meeting — September 24, 2009 ITEM: *10D6. Consider an ordinance adopting the FY 2009-2010 Hotel/Motel Occupancy Tax Budget. (Second Reading) Department: Staff Person: Justification: Finance Cheryl Delaney, Finance Director The Hotel/Motel Budget includes operating expenditures associated with the Convention & Visitors Bureau, special event funding and debt service for Dell Diamond/United Heritage Convention Center Complex. Funding: Cost: N/A Source of funds: N/A Outside Resources: N/A Background Information: The Hotel/Motel Fund is used to collect for the levy and use of the hotel -motel bed tax. Proceeds from this tax are to be used toward the promotion of tourism and the convention and hotel industry in the City. Public Comment: N/A