Hotel Occupancy Tax Funding

Texas Tax Code Chapter 351 allows the City of Marble Falls to collect Hotel Occupancy Tax (HOT from hotels, motels, bed & breakfasts and other lodging facilities.   Under State Law, the revenue from the HOT may be used only to directly promote tourism and the convention and hotel industry.

Events conducted by your organization may qualify for funding of HOT Funds if your event or events promote tourism and the convention and hotel industry. Each year, the Marble Falls City Council approves an amount of HOT Funds to be allocated to outside organizations for this purpose. Individual organizations are then awarded an amount based on the organization’s ability to draw tourism from the outside the area.

There is a two-part test for every expenditure of local Hotel Occupancy Taxes.

Criteria # 1 Every expenditure must DIRECTLY enhance and promote tourism

AND the convention and hotel industry.

Criteria # 2 Every expenditure MUST clearly fit into one of nine statutorily provided categories.

Applications for funding will be considered at each HOT Meeting.   To be considered for funding, applicants must complete an application, including the required attachments and deliver them to the City of Marble Falls 10 business days prior to the next scheduled HOT Meeting.   You will then have the opportunity to present your application to the HOT Advisory Committee before any funding decisions are made.  HOT Advisory Committee funding recommendations are forwarded to the City Council for approval.

Each applicant will be notified of his or her award following approval by the City Council at which time one-half of the approved funding may be requested from the applicant.  A post-event report is required in order to receive final payment.

For more information about HOT funding please contact the Finance Department at (830) 693-3615.