A tax is hereby imposed on a person who under a lease, concession, permit, right of access, license, contract or agreement pays for the use or possession or for the right to the use or possession of a room that is in a hotel, costs two dollars ($2.00) or more each day and is ordinarily used for sleeping. The tax authorized is imposed at a rate of seven (7) percent of the price paid for a room in a hotel. The tax does not apply to a person who has the right to use or possess a room in a hotel for thirty (30) or more days.
(2002 Code, sec. 11.401)
As herein employed, the following words, terms and phrases are defined as follows:
Consideration.
The cost of the room in such hotel only if the room is one ordinarily used for sleeping, and shall not include the cost of any food served or personal services rendered to the occupant of such room not related to the cleaning and readying of such room for occupancy.
Hotel.
Any building or buildings in which the public may, for a consideration, obtain sleeping accommodations. The term shall include hotels, motels, tourist homes, houses or courts, lodging houses, inns, rooming houses or other buildings where rooms are furnished for a consideration, but "hotel" shall not be defined so as to include hospitals, sanitariums or nursing homes.
Occupancy.
The use or possession, or the right to the use or possession, of any room in a hotel if the room is one ordinarily used for sleeping and if the occupant's use, possession, or right to use or possession extends for a period of less than thirty (30) days.
Occupant.
Anyone who, for a consideration, uses, possesses or has a right to use or possess any room in a hotel if the room is one ordinarily used for sleeping.
(2002 Code, sec. 11.402)
Every person owning, operating, managing or controlling any hotel shall collect the tax imposed by this article for the city.
(2002 Code, sec. 11.403)
The taxes provided for herein shall be paid on a quarterly basis as follows, to wit: the regular calendar quarters of the year, the first quarter being composed of the months of January, February and March; the second quarter being the months of April, May and June; the third quarter being the months of July, August and September; and the fourth quarter being the months of October, November and December. On the last day of the month following each quarterly period, every person required by this article to collect the taxes imposed herein shall file a report with the finance director of the city showing the consideration paid for all room occupancies in the preceding quarter, the amount of taxes collected on such occupancies and such other information as the finance director may reasonably require. Such persons shall pay the taxes due on such occupancies at the time of filing of such report. Said report shall be a copy of the quarterly tax report filed with the state comptroller in connection with the state hotel occupancy tax.
(2002 Code, sec. 11.404)
The finance director of the city shall have the power to make such rules and regulations as are necessary to effectively collect the tax levied herein and shall, upon reasonable notice, have access to the books and records necessary to enable the finance director to determine the correctness of any report filed as required by this article and the amount of taxes due under the provisions of this article.
(2002 Code, sec. 11.405)
If the person who is required to pay to the finance director the tax imposed by this article fails to file a report or does not pay the tax when it is due, the person shall forfeit to the city a penalty of five (5) percent of the amount of tax due. If the person who is required to pay the tax to the finance director does not pay the tax within thirty (30) days after it is due, the person shall forfeit to the city a penalty of an additional five (5) percent of the amount of tax due. The minimum penalty under this section is one dollar ($1.00). The city attorney, acting for the city, may bring suit against the person who is required to collect the tax imposed by this article and pay the collections over to the city and who has failed to file a tax report or pay the tax when due, to enjoin the person from operating a hotel in the city until the tax is paid or the report filed, as applicable, as provided by the court's order.
(2002 Code, sec. 11.406)
All revenues received from any occupancy tax authorized under this article shall be used only for those purposes authorized under chapter 351 of the Texas Tax Code.
(2002 Code, sec. 11.407)
Pursuant to the provisions of chapter 351 of the Texas Tax Code, the city manager is hereby authorized to enter into a contract with the Lancaster Chamber of Commerce to administer revenues derived from the occupancy tax provided for herein, upon such terms and conditions as may be approved by the city council.
(2002 Code, sec. 11.408)