MISSISSIPPI LEGISLATURE

2002 Regular Session

To: Finance

By: Senator(s) Minor

Senate Bill 2889

AN ACT TO AMEND SECTION 31-31-11, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT FOR THE PURPOSE OF DEFRAYING THE COSTS OF COLLECTION, THE STATE TAX COMMISSION MAY RETAIN A PORTION OF THE PROCEEDS COLLECTED FROM THE OCCUPANCY TAX THAT IS LEVIED ON HOTELS AND MOTELS IN THE CITY OF JACKSON, MISSISSIPPI, FOR THE PURPOSE OF PROVIDING FUNDS FOR THE PAYMENT OF A CERTAIN PORTION OF THE DEBT SERVICE ON BONDS ISSUED UNDER THE MISSISSIPPI TELECOMMUNICATION CONFERENCE AND TRAINING CENTER ACT AND FOR THE MAINTENANCE OF THE MISSISSIPPI TELECOMMUNICATION CONFERENCE AND TRAINING CENTER AND RENOVATIONS, IMPROVEMENTS AND ADDITIONS TO THE CENTER; TO PROVIDE THAT FOR THE PURPOSE OF DEFRAYING THE COSTS OF COLLECTION, THE STATE TAX COMMISSION MAY RETAIN A PORTION OF THE PROCEEDS COLLECTED FROM ANY TAX LEVIED UNDER THE AUTHORITY OF A LOCAL AND PRIVATE LAW OF THE STATE OF MISSISSIPPI, AND COLLECTED AND PAID TO THE STATE TAX COMMISSION IN THE SAME OR SIMILAR MANNER THAT STATE SALES TAXES ARE COLLECTED AND PAID; AND FOR RELATED PURPOSES.

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

     SECTION 1.  Section 31-31-11, Mississippi Code of 1972, is amended as follows:

     31-31-11.  (1)  For the purpose of providing funds for the payment of a certain portion of the debt service on any bonds issued pursuant to this chapter and for the purpose of providing funds for the maintenance of the facility and renovations, improvements and additions to the facility, there is hereby levied, assessed and shall be collected from every person engaging in or doing business in the City of Jackson, Mississippi, as specified herein, a tax which may be cited as an "occupancy tax," which shall be in addition to all other taxes now imposed.  Such tax shall be upon each hotel and motel located within the City of Jackson in the amount of Seventy-five Cents (75¢) per day for each occupied room.

     (2)  Persons liable for the tax imposed herein shall add the amount of tax to the price of rooms, and in addition thereto shall collect, insofar as practicable, the amount of the tax due by him from the person receiving the services or goods at the time of payment therefor.

     (3)  Such tax shall be collected by and paid to the State Tax Commission on a form prescribed by the State Tax Commission, in the same manner that state sales taxes are collected and paid; and the full enforcement provisions and all other provisions of Chapter 65, Title 27, Mississippi Code of 1972, shall apply as necessary to the implementation and administration of this chapter.

     (4)  The proceeds of such tax, less three percent (3%) thereof which shall be retained by the State Tax Commission to defray the costs of collection, shall be deposited by the State Tax Commission into the reserve fund created pursuant to subsection (5) of this section on or before the fifteenth day of the month following the month in which collected by the State Tax Commission.

     (5)  There is hereby created in the State Treasury a special fund to be called the "Mississippi Telecommunication Conference and Training Facility Reserve Fund."  Money in the fund at the end of a fiscal year shall not lapse into the general fund and interest earned on any amount deposited into the fund shall be credited to the special fund.  Money in the fund shall be used to pay a portion of the debt service of the bonds issued pursuant to this chapter as specified in subsection (6) of this section and to provide funds for the maintenance of the facility and renovations, improvements and additions to the facility. 

     (6)  The amount of the debt service that shall be paid annually from the reserve fund shall be the amount of the debt service on bonds attributable to forty percent (40%) of the cost of constructing the facility and the amount of the debt service on bonds attributable to all land acquisition costs.  Amounts remaining in the fund in any fiscal year after the payments required by this subsection for debt service, may be used by the commission to provide funds for the maintenance of the facility and renovations, improvements and additions to the facility.

     (7)  Before the taxes authorized by this chapter shall be imposed, the municipal governing authorities of the City of Jackson shall adopt a resolution declaring its intention to levy the tax, setting forth the amount of such tax and establishing the date on which this tax initially shall be levied and collected.  This date shall be not less than the first day of the second month from the date of adoption of the resolution.

     The resolution shall be published in a local newspaper at least twice during the period from the adoption of the resolution to the effective date of the taxation prescribed in this section, with the last publication being made no later than ten (10) days prior to the effective date of such taxation.

     (8)  The tax imposed pursuant to this section shall remain in force and effect until the City of Jackson shall by resolution rescind the tax; provided, however, that the tax imposed pursuant to this section shall not be rescinded if any bonds issued pursuant to this chapter remain outstanding.

     SECTION 2.  For any tax levied and collected under the authority of a local and private law of the State of Mississippi, and collected and paid to the State Tax Commission in the same or similar manner that state sales taxes are collected and paid, the State Tax Commission may retain three percent (3%) of the proceeds of such tax for the purpose of defraying the costs incurred by the commission in the collection of the tax.

     SECTION 3.  This act shall take effect and be in force from and after its passage.