City of Laurel; extend repealer on authority for tax on hotels and motels to promote tourism., the official text

MISSISSIPPI LEGISLATURE

2026 Regular Session

To: Local and Private

By: Senator(s) Barnett

Senate Bill 3107

(As Sent to Governor)

AN ACT TO AMEND CHAPTER 925, LOCAL AND PRIVATE LAWS OF 2022,
EXTEND THE REPEALER ON THE LAW AUTHORIZING THE GOVERNING AUTHORITIES OF THE
CITY OF LAUREL, MISSISSIPPI, TO LEVY A TAX IN AN AMOUNT NOT TO EXCEED 3% UPON
THE GROSS PROCEEDS OF SALES OF HOTELS AND MOTELS DERIVED FROM ROOM RENTALS FOR
THE PURPOSE OF GENERATING REVENUE TO PROMOTE TOURISM; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1.  Chapter
925, Local and Private Laws of 2022, is amended as follows:

Section 1.  As used in this
act, the following terms shall have the following meanings unless a different
meaning is clearly indicated by the context:

(a)
"Authority" means the Economic Development Authority of Jones County
created under Chapter 4, Laws of the First Extraordinary Session of 1983, as
amended.

(b)  "City"
means the City of Laurel, Mississippi.

(c)  "Governing
authorities" means the mayor and city council of the city.

(d)  "Hotel"
or "motel" means any establishment engaged in the business of
furnishing or providing rooms intended or designed for dwelling, lodging or
sleeping purposes to transient guests on a daily, weekly or monthly basis and
located within the limits of the city.  "Hotel" or "motel"
includes Airbnb, Vacation Rentals By Owner and similar establishments, but does
not include hospitals, nursing homes and assisted living facilities.

(e)  "Person"
means an individual, partnership, corporation, limited liability company, trust
or unincorporated organization and a government or agency or political
subdivision thereof.

(f)  "Tax"
means the tax authorized by Section 2 of this act.

Section 2.  (1)  For
the purpose of providing funds to promote tourism in the city, including, but
not limited to, staffing, leasing, purchasing, building, constructing,
improving and renovating facilities for tourism, providing public safety to
promote tourism, and funding advertising and marketing campaigns to promote and
enhance tourism, the governing authorities are authorized, in their discretion,
to levy, assess and collect from every person or entity operating a hotel or
motel, in addition to all other taxes currently being levied, assessed and
collected, a tax not to exceed three percent (3%) of the gross proceeds of
sales of room rentals for each such hotel or motel.

(2)  Persons or entities
liable for the tax shall add the amount of the tax to the sales price and shall
collect the amount of the tax due by them from the person receiving the
services at the time of payment.

Section 3.  (1)  Before
levying the tax, the governing authorities shall adopt a resolution declaring
their intention to hold an election on the question of whether to levy the tax,
setting forth the amount of the tax to be imposed, the effective date of the
tax and the date of the election.  Notice of such intention and election shall
be published once each week for three (3) consecutive weeks in a newspaper
published or having a general circulation in the city, with the first
publication of the notice to be made not less than twenty-one (21) days before
the date fixed in the resolution for the election and the last publication to
be made not more than seven (7) days before the election.  The election shall
be conducted in the same manner as other city elections, and the governing
authorities shall direct the city election commissioners to conduct the
election as such.  All qualified electors of the city may vote, and the ballots
used in the election shall have printed thereon a brief statement of the amount
and purposes of the proposed tax levy and the words "FOR THE TOURISM
PROMOTION TAX" and, on a separate line, "AGAINST THE TOURISM
PROMOTION TAX," and the voters shall vote by placing a cross (X) or check
(ü)opposite their choice on the
proposition.  After the results of the election have been canvassed and
certified, the city may levy the tax if a majority of the qualified electors
who vote in the election vote in favor of the tax.

(2)  At least thirty (30)
days before the effective date of the tax, the governing authorities shall
furnish to the Department of Revenue a certified copy of the resolution
evidencing the tax.

Section 4.  (1)  The
tax shall be collected by and paid to the Mississippi Department of Revenue in
the manner that state sales taxes are computed, collected and paid, and the
full enforcement provisions and all other provisions of Title 27, Chapter 65,
Mississippi Code of 1972, shall apply as necessary to the implementation and
administration of this act.

(2)  The proceeds of the
tax, less three percent (3%) which shall be retained by the Department of
Revenue to cover the cost of collection, shall be paid to the city on or before
the fifteenth day of the month following the month in which it was collected.

(3)  The proceeds of the tax
shall not be considered by the city as general fund revenues but shall be set
aside and earmarked by the city in a special account to be dedicated solely for
the purpose of promoting tourism in the city.

(4)  The records reflecting
the receipts and expenditures of the revenue from the tax shall be audited
annually by an independent certified public accountant, and the accountant
shall make a written report of his audit to the governing authorities.  The
audit shall be made and completed as soon as practicable after the close of the
fiscal year, and expenses of the audit may be paid from the funds derived from
the tax authorized in this act.

Section 5.  The city
is granted the following authority, in addition to all other authority
conferred by law, to promote tourism in the city and to effectuate the purposes
of this act:

(a)  To acquire,
construct, lease, rent, furnish, equip, repair, maintain, staff and operate
facilities and equipment necessary or useful in the promotion of tourism in the
city;

(b)  To receive and
expend revenues from any sources, including, but not limited to, revenues from
private enterprises and the revenues derived from the tax authorized in this
act;

(c)  To employ such
personnel as deemed necessary by the governing authorities to carry out this
act; and

(d)  To exercise
activities related to promoting tourism in the city, including, but not limited
to, contracting with other entities, preparing marketing and advertising
campaigns and marketing and staging events to promote tourism in the city.

Section 6.  The city
may pledge revenues derived from the tax authorized in this act as security to
repay any indebtedness of the city which the city may otherwise be authorized
to incur under the laws of the state that is consistent with the purposes of
this act.

Section 7.  Subject
to the provisions of this act, and provided there is no indebtedness or
obligation outstanding under this act, the governing authorities are authorized
to discontinue the tax levied under this act by adopting a resolution to that
effect.  The discontinuance of the tax shall be effective beginning on the
first day of the month designated in the resolution, and the tax levy shall not
apply to sales made on or after that date.  A certified copy of the resolution
discontinuing the tax shall be delivered to the Department of Revenue at least
seven (7) days before the date set in the resolution for the discontinuance of
the tax.

Section 8.  This act
shall be repealed from and after July 1, * * * 2026 2036.

SECTION 2.  This act
shall take effect and be in force from and after its passage.