In this article:
City manager.
The city manager of the City of Azle or the city manager’s designated agent.
Consideration.
The cost of the room, sleeping space, bed or dormitory space or other facilities in a hotel, but shall not include the cost of food served by the hotel or the cost of personal services performed by the hotel for the occupant, except for those services related to cleaning and readying the room for use or possession.
Hotel.
A building in which members of the public obtain sleeping accommodations for consideration. The term includes a hotel, motel, tourist home, tourist house, tourist court, lodging house, inn or rooming house, but does not include a hospital, sanitarium, or nursing home.
Occupancy.
The use or possession, or right to the use or possession, of any room, space, or sleeping facility in a hotel for any purpose, if that room or space is ordinarily used for sleeping.
Occupant.
Anyone who, for consideration, uses, possesses or has a right to use or possess any room or rooms or sleeping space or facility in a hotel under any lease, concession, permit, right of access, license, contract or agreement.
Permanent resident.
Any occupant who has or shall have the right to occupancy of any room or rooms, sleeping space or facility in a hotel for at least thirty consecutive days, so long as there is no interruption of payment for the period.
Person.
Any individual, company, corporation or association owning, operating, managing or controlling a hotel.
Quarterly period.
The regular calendar quarters of the year. The first quarter is composed of the months of January, February and March; the second quarter is composed of the months of April, May and June; the third quarter is composed of the months of July, August and September; and the fourth quarter is composed of the months of October, November and December.
(2001 Code, sec. 11.401)
(a) 
Tax levy.
There is levied a tax upon the cost of occupancy of any room or space furnished by a hotel where the cost of occupancy is at the rate of two dollars or more per day, the tax to be equal to seven percent of the consideration paid by the occupant of the room, space, or facility. This tax is in addition to other occupancy taxes imposed by other government agencies.
(b) 
Exemptions.
The tax levied by this section does not apply to and shall not be imposed upon:
(1) 
A permanent resident of a hotel;
(2) 
A corporation or association that is organized and operated exclusively for a religious, charitable or educational purpose if no part of the net earnings of the corporation or association inure to the benefit of a private share holder or individual;
(3) 
The United States, the State of Texas, or an agency, institution, board or commission of the state other than an institution of higher education, or upon an officer or employee of one of these governmental entities when that officer or employee is traveling on or otherwise engaged in the course of official duties for the governmental entity. In this section, “institution of higher education” has the meaning assigned by section 61.003, Education Code.
(2001 Code, sec. 11.402)
(a) 
Restrictions.
(1) 
Revenue from this hotel occupancy tax may be used only to promote tourism and the convention and hotel industry as provided in section 351.101, Tax Code, as amended. Expenditures which can be made to achieve these purposes include:
(A) 
Provision of convention centers, visitors’ bureaus and convention registration services;
(B) 
Advertising and conducting solicitations and promotional programs to attract tourists and convention delegates;
(C) 
Promotion of the arts; and
(D) 
Historical restoration and preservation.
(2) 
Revenue derived from the tax established by this article may not be used for general revenue purposes or general governmental operations of the city.
(b) 
Required expenditure.
Not less than the amount of revenue received by the city from the tax at a rate of one percent of the cost of a room shall be allocated for the purpose of advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or registrants to the city or its vicinity.
(c) 
Administrative costs.
Revenues from the hotel occupancy tax may be spent for day-to-day operations, supplies, salaries, office rental, travel expenses and other administrative costs only if and to the extent expenses are incurred directly on the purposes described in subsection (a) of this section. The portion of the total administrative costs for activities for which the hotel occupancy tax may be used may not exceed the administrative costs actually incurred in conducting the authorized activities.
(2001 Code, sec. 11.403)
Every person owning, operating, managing or controlling any hotel within the city shall collect the tax imposed by this article for the city on or before the last day of the month following each quarterly period. Every person required to collect the tax shall file a report with the city manager showing the consideration paid for all room occupancies in the preceding quarter, and any other information the city manager may reasonably require. Such person shall also file a copy of the quarterly report filed in conjunction with the state hotel occupancy tax. The person shall pay the tax due on such occupancies at the time of filing the report.
(2001 Code, sec. 11.404)
The city manager shall have the power to make such rules and regulations as are necessary to effectively collect the tax levied in this article and shall, upon reasonable notice, have access to books and records necessary to enable him or her to determine the correctness of any report filed or required by this article, and the amount of taxes due.
(2001 Code, sec. 11.405)