MISSISSIPPI LEGISLATURE
2004 Regular Session
To: Local and Private Legislation; Ways and Means
By: Representative Janus, Bentz, Dedeaux, Fredericks, Guice, Ishee, Patterson, Peranich, Simpson, Upshaw
AN ACT TO PROVIDE FOR A TAX ON GROSS PROCEEDS OF ROOM RENTALS BY HOTELS AND MOTELS IN HARRISON COUNTY, MISSISSIPPI, TO BE EXPENDED TO RETIRE BONDS AUTHORIZED TO BE ISSUED BY THE COUNTY PURSUANT TO THIS ACT; TO AUTHORIZE THE ISSUANCE OF GENERAL OBLIGATION BONDS OF THE COUNTY IN THE AMOUNT OF $68,000,000.00 TO DEFRAY THE COSTS OF EXPANDING AND RENOVATING THE MISSISSIPPI COAST COLISEUM AND CONVENTION CENTER AND TO RETIRE BONDS PREVIOUSLY ISSUED BY THE COUNTY TO EXPAND THE MISSISSIPPI COAST COLISEUM AND CONVENTION CENTER; TO AMEND CHAPTER 58, LAWS OF THE EXTRAORDINARY SESSION OF 1954, AS LAST AMENDED BY CHAPTER 989, LOCAL AND PRIVATE LAWS OF 1999, TO AUTHORIZE A PORTION OF THE PROCEEDS OF THE TAX LEVIED ON CERTAIN ROOM RENTALS TO BE UTILIZED TO PAY THE DEBT SERVICE ON CERTAIN GENERAL OBLIGATION BONDS OF THE COUNTY ISSUED FOR THE PURPOSE OF DEFRAYING THE COST OF CONSTRUCTING, REPAIRING, EQUIPPING, REMODELING, ENLARGING, EXPANDING OR IMPROVING THE MISSISSIPPI COAST COLISEUM AND CONVENTION CENTER; TO REVISE THE ALLOCATION OF THE PROCEEDS OF THE TAX UPON THE RETIREMENT OF ALL BONDS ISSUED UNDER THIS ACT; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. For the purposes of Sections 1 through 12 of this act:
(a) "Board of supervisors" means the Board of Supervisors of Harrison County, Mississippi.
(b) "County" means Harrison County, Mississippi.
(c) "Hotel" or "motel" means and includes any establishment engaged in the business of furnishing or providing more than ten (10) rooms intended or designed for dwelling, lodging or sleeping purposes that at any one time will accommodate transient guests on a daily or weekly basis and that are known to the trade as such.
SECTION 2. (1) Before the issuance of bonds provided for in Section 6 of this act, the board of supervisors shall levy, assess and collect from every person, firm, corporation or other entity operating hotels or motels in the county, a tax, in addition to all other taxes or assessments now imposed, which shall be equal to two percent (2%) of the gross proceeds from room rentals of all hotels or motels in the county.
(2) Persons, firms, corporations or other entities liable for the tax imposed by subsection (1) of this section shall add the amount of such tax to the room rental and in addition thereto shall collect, insofar as practicable, the amount of the tax due from the person renting the room at the time of payment therefor.
SECTION 3. (1) Before any tax authorized under Sections 1 through 12 of this act may be imposed, the governing authorities shall adopt a resolution declaring its intention to levy the taxes, setting forth the amount of such tax to be imposed, the date upon which such taxes shall become effective and calling for a referendum to be held on the question. The date of the referendum shall be the first Tuesday after the first Monday in November 2004. Notice of such intention shall be published once each week for at least three (3) consecutive weeks in a newspaper published or having a general circulation in the county, with the first publication of such notice to be made not less than twenty-one (21) days before the date fixed in the resolution for the referendum and the last publication to be made not more than seven (7) days before the referendum. At the referendum, all qualified electors of the county may vote, and the ballots used in such referendum shall have printed thereon a brief statement of the amount and purposes of the proposed tax levy and the words "FOR THE HOTEL-MOTEL TAX TO FUND THE IMPROVEMENT AND EXPANSION OF THE MISSISSIPPI COAST COLISEUM AND CONVENTION CENTER" and, on a separate line, "AGAINST THE HOTEL-MOTEL TAX TO FUND THE IMPROVEMENT AND EXPANSION OF THE MISSISSIPPI COAST COLISEUM AND CONVENTION CENTER", and the voters shall vote by placing a cross (X) or check (√) opposite their choice on the proposition. When the results of any such referendum shall have been canvassed by the election commission and certified, the county may levy the taxes beginning on the first day of the second month following the referendum, only if at least sixty percent (60%) of the qualified electors who vote in the election vote in favor of the tax. No public funds shall be used for the purpose of promoting the adoption of the referendum and no employee of the county or any city located in the county, other than elected public officials, may promote the referendum during business hours.
(2) If a referendum has been held under the provisions of subsection (1) of this section, and the authority of the county to impose the convention center taxes has been denied by the electors of the county, a subsequent referendum on the issue may be held on the first Tuesday after the first Monday in November 2006. If a second referendum is held, and the authority to impose the convention center taxes has been denied again by the electors of the county, no further referendum may be held.
SECTION 4. (1) On or before the fifteenth day of the month prior to the imposition of the tax authorized in Section 2 of this act, the board of supervisors shall give written notification to the Chairman of the State Tax Commission of the date on which the tax will become effective.
(2) The tax shall be collected by and paid to the State Tax Commission in the same manner as state sales taxes are computed, collected and paid, and full enforcement provisions and all other provisions of Chapter 65, Title 27, Mississippi Code of 1972, shall apply as necessary to the implementation of Sections 1 through 12 of this act.
(3) Except as otherwise provided in Section 27-3-58, the revenue from the special tax collected under the provisions of this section during the preceding month shall be paid to the county on or before the fifteenth day of each month.
(4) The proceeds of such taxes shall be placed into a separate fund apart from the county general fund and any other funds of the county, and shall be expended by the county as provided in Section 10(1) of this act.
(5) The tax imposed by Sections 1 through 12 of this act shall stand repealed on the first day of the month immediately succeeding the date the payment of the principal of, redemption premium, if any, and interest on the bonds issued pursuant to Sections 1 through 12 of this act have been paid in full. Any revenue from the tax remaining after the payment of the principal of, redemption premium, if any, and interest on the bonds issued pursuant to Sections 1 through 12 of this act have been paid in full shall be transferred to the county general fund.
SECTION 5. The proceeds of the bonds issued pursuant to Sections 1 through 12 of this act shall be utilized:
(a) For the purpose of defraying the cost of constructing, repairing, equipping, remodeling, enlarging, expanding or improving the Mississippi Coast Coliseum and Convention Center; and
(b) To retire bonds issued by the county after May 1, 1995, but prior to the effective date of this act, to defray the cost of expanding the Mississippi Coast Coliseum and Convention Center.
SECTION 6. The board of supervisors is authorized and empowered, in its discretion, to issue general obligation bonds of the county in the aggregate principal amount not to exceed Sixty-eight Million Dollars ($68,000,000.00) for the purposes provided for in Section 5 of this act. As used in Sections 1 through 12 of this act, "bonds" shall be deemed to mean and include bonds, refunding bonds, notes or certificates of participation. The full faith and credit of the county shall be irrevocably pledged for the payment of the principal of and interest on the bonds.
SECTION 7. Bonds authorized by Sections 1 through 12 of this act, other than refunding bonds, shall be issued pursuant to Sections 19-9-1 through 19-9-31 or as may be otherwise provided by law; however, no election shall be held under the provisions of Sections 19-9-1 through 19-9-31, upon the question of the issuance of bonds authorized under Sections 1 through 12 of this act.
SECTION 8. Bonds issued pursuant to Sections 1 through 12 of this act shall not be deemed indebtedness within the meaning of Section 19-9-5. Bonds issued pursuant to Sections 1 through 12 of this act shall be submitted by validation under Sections 31-13-1 through 31-13-11.
SECTION 9. Bonds issued under Sections 1 through 12 of this act may be refunded at any time and from time to time by the county pursuant to an authorizing resolution of the board of supervisors, directing issuance of refunding bonds in accordance with the "Mississippi Bond Refinancing Act" (Section 31-27-1 et seq., Mississippi Code of 1972).
SECTION 10. (1) The avails of the tax provided for in Sections 1 through 12 of this act shall be used solely for the payment of the principal of, redemption premium, if any, and interest on the bonds, and for the payment of expenses of issuance thereof or reserve funds therefor.
(2) To the extent the proceeds of the tax provided for in Sections 1 through 12 of this act and any other amounts which may, from time to time, be available for the payment of the principal of, redemption premium, if any, and interest on the bonds, including any available revenues of the project, are not sufficient for such purpose, the board of supervisors shall levy a special ad valorem tax upon all of the taxable property within the county which shall be sufficient, together with other money available for such purpose, to provide for the payment of the principal of, redemption premium, if any, and interest on such bonds according to the terms thereof.
SECTION 11. Sections 1 through 12 of this act shall be liberally construed for the purposes herein set out, the power hereby granted shall be deemed to be full and complete authority for the issuance of bonds under Sections 1 through 12 of this act and shall be construed as additional, cumulative and supplemental to any power granted to the county by any general or local and private act of the Legislature.
SECTION 12. The provisions of Sections 1 through 12 of this act shall be repealed in the event that two (2) referenda on the question of imposing convention center taxes have been denied by the electors of the county. If this event occurs, the Circuit Clerk of Harrison County shall notify the Chairmen of the Local and Private Committees of the House of Representatives and Senate of the Mississippi State Legislature.
SECTION 13. Chapter 58, Laws of the Extraordinary Session of 1954, as amended by Chapter 810, Local and Private Laws of 1966, as amended by Chapter 820, Local and Private Laws of 1972, as amended by Chapter 973, Local and Private Laws of 1979, as amended by Chapter 881, Local and Private Laws of 1980, as amended by Chapter 918, Local and Private Laws of 1990, as amended by Chapter 882, Local and Private Laws of 1991, as amended by Chapter 937, Local and Private Laws of 1995, as amended by Chapter 989, Local and Private Laws of 1999, is amended as follows:
Section 1. The Board of Supervisors of Harrison County, Mississippi, in its discretion, may levy a special ad valorem tax not in excess of one (1) mill upon all the taxable property within said county to provide funds for the Harrison County Tourism Commission for the purpose of advertising, promoting conventions, and bringing into favorable notice the opportunities, possibilities and tourism resources of said county.
Section 2. (1) For the purposes of providing funds to promote tourism and conventions in Harrison County, there is hereby levied and assessed against and shall be collected from every person, firm or corporation operating hotels or motels in Harrison County an assessment, in addition to all other taxes now imposed, which shall be equal to three percent (3%) of the gross proceeds from room rental of all such hotels or motels in Harrison County. Persons liable for the tax imposed herein shall add the amount of tax to the room rental 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.
(2) For the purposes of this act, the words "hotel" and "motel" shall mean a place of lodging that at any one time will accommodate transient guests on a daily or weekly basis and that are known to the trade as such, including hotels, motels, bed and breakfast inns, time-share condominiums, tourist courts, rooming houses or other places where sleeping accommodations are furnished or offered for pay if more than ten (10) rooms are available for transient guests, excluding nursing homes or institutions for the aged or infirm as defined in Section 43-11-1 and personal care homes. Hotels and motels with ten (10) or less rental units are exempt.
(3) Such tax shall be collected by and paid to the State Tax Commission on a form to be 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 the Mississippi Sales Tax Law shall apply as necessary for the implementation and administration of this act.
(4) On or before the fifteenth day of the month following the month in which collected, the proceeds of such tax, less three percent (3%) to be retained by the State Tax Commission to defray the costs of collection, shall be paid by the commission, as follows, for expenditure as authorized in this act:
(a) Until the date that the bonds issued by the board of supervisors after May 1, 1995, and prior to the effective date of House Bill No. 1823, 2004 Regular Session, for the purpose of defraying the cost of expanding the Mississippi Coast Coliseum and Convention Center are retired:
(i) Two-thirds (2/3) of the proceeds shall be paid to the Harrison County Tourism Commission.
(ii) One-third (1/3) of the proceeds shall be paid to the Board of Supervisors of Harrison County.
(b) From and after the date that the bonds issued by the board of supervisors after May 1, 1995, and prior to the effective date of House Bill No. 1823, 2004 Regular Session, for the purpose of defraying the cost of expanding the Mississippi Coast Coliseum and Convention Center, are retired:
(i) Two-thirds (2/3) of the proceeds shall be paid to the Harrison County Tourism Commission.
(ii) Twenty-five percent (25%) of the remaining one-third (1/3) of the proceeds shall be paid to the Harrison County Tourism Commission and seventy-five percent (75%) of the remaining one-third (1/3) of the proceeds shall be paid to the Board of Supervisors of Harrison County.
Section 3. The Harrison County Tourism Commission shall be composed of seven (7) members, appointed as hereinafter provided. The board of supervisors shall appoint two (2) members of the commission who are qualified electors of the City of Biloxi; two (2) members who are qualified electors of the City of Gulfport; one (1) member who is a qualified elector of the City of Pass Christian; one (1) member who is a qualified elector of the City of Long Beach; and one (1) member who is a qualified elector of the County of Harrison outside of the boundaries of the four (4) municipalities in the county. In the selection of commissioners, the board shall make every effort to select individuals who are knowledgeable of, or actively involved in, the tourism industry. The said commission shall be appointed within sixty (60) days of the effective date of this act, in the following manner:
(1) Two (2) members for one (1) year.
(2) Two (2) members for two (2) years.
(3) One (1) member for three (3) years.
(4) One (1) member for four (4) years.
(5) One (1) member for five (5) years.
The board shall draw lots to determine which of the seven (7) members of the commission shall be appointed for the various initial terms of office. Provided, however, that all subsequent appointments shall be made for five-year terms, except that the board shall appoint a member to fill a vacancy for the unexpired term only. Within sixty (60) days after the effective date of House Bill No. 1716, 1990 Regular Session, the board of supervisors shall appoint two (2) additional members to the Tourism Commission. The board of supervisors shall appoint one (1) member who is a qualified elector of the City of D'Iberville and one (1) member who is a qualified elector of the County of Harrison for a term of five (5) years. All subsequent appointments shall be for a term of five (5) years and an appointment to fill a vacancy shall be for the unexpired term only. Before entering on the duties of the office each appointed member of the Tourism Commission shall enter into and give bond to be approved by the Secretary of State of the State of Mississippi in the sum of Fifty Thousand Dollars ($50,000.00) conditioned on the satisfactory performance of his duties. This bond's premium shall be paid from the Tourism Commission Fund. Such bond shall be payable to Harrison County and in the event of a breach thereof, suit may be brought by the county for the benefit of the Tourism Commission. The commission may authorize the payment of per diem not to exceed the uniform per diem rate provided in Section 25-3-69, Mississippi Code of 1972, to commission members for each day in the discharge of their official duties. Such per diem expenditures shall be included in the annual budget of the commission and shall be subject to approval of the Harrison County Board of Supervisors. The commission shall elect officers and adopt rules and regulations; and shall fix a regular meeting date, but may provide for special meetings. The commission shall keep minutes of its proceedings, as are necessary to carry out its responsibilities under this act. It is the intent of this enactment to supersede the Advisory Commission and those duties performed by the board of supervisors pursuant to Chapter 820, Local and Private Laws of 1972, with the commission herein created, and to provide for the orderly transfer of all duties and powers heretofore exercised by those bodies to the Harrison County Tourism Commission, which shall have the sole authority to budget and contract for expenditures for the fiscal year beginning October 1, 1979, subject to the approval of the board of supervisors as herein provided.
Section 4. Before the expenditures of funds allocated to it by this act, the Tourism Commission shall annually adopt a budget that will reflect the anticipated expenditures for promotion, advertising and operation. Such budget shall be subject to the approval of the Harrison County Board of Supervisors and shall comply with all the requirements of the general laws of the State of Mississippi covering the advertisement for bids and the expenditure of funds.
Section 5. The Harrison County Tourism Commission established hereunder shall have the authority to promote tourism and in this regard the commission is empowered:
(a) To receive and expend revenues from any sources including, but not limited to, private enterprise;
(b) To own, lease or contract for the use, purchase or lease of any real or personal property, including, but not limited to, furnishings, fixtures and any equipment useful and necessary in the promotion of tourism and convention business;
(c) To sell, convey or otherwise dispose of all or any part of its property and assets in accordance with general laws of the State of Mississippi providing for such disposal;
(d) To have and exercise all powers necessary or convenient to effect any and all of the purposes for which the commission is organized, and further, to appoint and employ individuals and agencies acting in its behalf for any and all of the aforementioned powers and responsibilities;
(e) To have and exercise all powers necessary and convenient to conduct the business of promoting and managing conventions and to carry out the purposes of the convention staff of the Mississippi Coast Coliseum Commission by agreement between the two (2) commissions.
Section 6. The Advisory Commission, created and established under the provisions of Chapter 820, Local and Private Laws of 1972, shall be and the same is hereby abolished effective October 1, 1979, and the commissioners and all members, agents, representatives and employees of the said Advisory Commission and the Harrison County Board of Supervisors are required and directed to cooperate with the Harrison County Tourism Commission to effectuate an orderly transfer of its duties to that commission in accordance with this act, and to deliver to the Harrison County Tourism Commission all property, funds, money, accounts, records, etc., now in their possession, which were transferred to the board of supervisors pursuant to Chapter 820, Local and Private Laws of 1972, such delivery to be made not later than October 1, 1979, and where required, in such cases as real property, if any, the Chairman of the said Advisory Commission and the Secretary thereof or the President of the Harrison County Board of Supervisors are authorized, empowered and directed to make, execute and deliver in favor of the Harrison County Tourism Commission any bill of sale, deed or other document required to transfer title of any property transferred pursuant to Chapter 820, Local and Private Laws of 1972, which was held in the name of the County Advertising Commission. Nothing herein shall be construed to waive the rights of compelling such action by a writ of mandamus in accordance with the laws of Mississippi. Provided further, that on October 1, 1979, all rights of office of any of the commissioners of the Advisory Commission, its attorneys or agents, be and the same are hereby finally determined and ended, and its former employees shall serve at the pleasure of the Tourism Commission.
Section 7. (1) Until the date the bonds issued by the county after May 1, 1995, but prior to the effective date of House Bill No. 1823, 2004 Regular Session, to defray the costs of expanding the Mississippi Coast Coliseum and Convention Center have been retired, and the bonds issued under the provisions of Sections 1 through 12 of House Bill No. 1823, 2004 Regular Session, have been retired, the Board of Supervisors of Harrison County shall deposit the funds allocated to it by Section 2(4) * * * of this act into a special fund in the county treasury.
(2) Monies in the special fund shall be expended by the board of supervisors to:
(a) Pay the principal of and interest on up to Ten Million Dollars ($10,000,000.00) of general obligation bonds issued by the county after May 1, 1995, but prior to the effective date of House Bill No. 1823, 2004 Regular Session, to defray the costs of expanding the Mississippi Coast Coliseum and Convention Center, and/or
(b) Pay the principal of and interest on general obligation bonds issued by the county pursuant to Sections 1 through 12 of House Bill No. 1823, 2004 Regular Session.
SECTION 14. This act shall take effect and be in force from and after its passage.