City of Laurel; extend repeal date on hotel and motel tax.

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To: Local and Private
Legislation
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Scoggin

HOUSE BILL NO. 1855

AN ACT TO AMEND CHAPTER 925, LOCAL AND PRIVATE LAWS OF 2022, 1
TO EXTEND THE DATE OF REPEAL FROM JULY 1, 2026, TO JULY 1, 2036, 2
ON THE PROVISION OF LAW THAT AUTHORIZES THE GOVERNING AUTHORITIES 3
OF THE CITY OF LAUREL, MISSISSIPPI, TO LEVY A TAX IN AN AMOUNT NOT 4
TO EXCEED THREE PERCENT UPON THE GROSS PROCEEDS OF SALES OF HOTELS 5
AND MOTELS DERIVED FROM ROOM RENTALS FOR THE PURPOSE OF GENERATING 6
REVENUE TO PROMOTE TOURISM; AND FOR RELATED PURPOSES. 7
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 8
SECTION 1. Chapter 925, Local and Private Laws of 2022, is 9
amended as follows: 10
Section 1. As used in this act, the following terms shall 11
have the following meanings unless a different meaning is clearly 12
indicated by the context: 13
(a) "Authority" means the Economic Development 14
Authority of Jones County created under Chapter 4, Laws of the 15
First Extraordinary Session of 1983, as amended. 16
(b) "City" means the City of Laurel, Mississippi. 17
(c) "Governing authorities" means the mayor and city 18
council of the city. 19
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(d) "Hotel" or "motel" means any establishment engaged 20
in the business of furnishing or providing rooms intended or 21
designed for dwelling, lodging or sleeping purposes to transient 22
guests on a daily, weekly or monthly basis and located within the 23
limits of the city. "Hotel" or "motel" includes Airbnb, Vacation 24
Rentals By Owner and similar establishments, but does not include 25
hospitals, nursing homes and assisted living facilities. 26
(e) "Person" means an individual, partnership, 27
corporation, limited liability company, trust or unincorporated 28
organization and a government or agency or political subdivision 29
thereof. 30
(f) "Tax" means the tax authorized by Section 2 of this 31
act. 32
Section 2. (1) For the purpose of providing funds to 33
promote tourism in the city, including, but not limited to, 34
staffing, leasing, purchasing, building, constructing, improving 35
and renovating facilities for tourism, providing public safety to 36
promote tourism, and funding advertising and marketing campaigns 37
to promote and enhance tourism, the governing authorities are 38
authorized, in their discretion, to levy, assess and collect from 39
every person or entity operating a hotel or motel, in addition to 40
all other taxes currently being levied, assessed and collected, a 41
tax not to exceed three percent (3%) of the gross proceeds of 42
sales of room rentals for each such hotel or motel. 43
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(2) Persons or entities liable for the tax shall add the 44
amount of the tax to the sales price and shall collect the amount 45
of the tax due by them from the person receiving the services at 46
the time of payment. 47
Section 3. (1) Before levying the tax, the governing 48
authorities shall adopt a resolution declaring their intention to 49
hold an election on the question of whether to levy the tax, 50
setting forth the amount of the tax to be imposed, the effective 51
date of the tax and the date of the election. Notice of such 52
intention and election shall be published once each week for three 53
(3) consecutive weeks in a newspaper published or having a general 54
circulation in the city, with the first publication of the notice 55
to be made not less than twenty-one (21) days before the date 56
fixed in the resolution for the election and the last publication 57
to be made not more than seven (7) days before the election. The 58
election shall be conducted in the same manner as other city 59
elections, and the governing authorities shall direct the city 60
election commissioners to conduct the election as such. All 61
qualified electors of the city may vote, and the ballots used in 62
the election shall have printed thereon a brief statement of the 63
amount and purposes of the proposed tax levy and the words "FOR 64
THE TOURISM PROMOTION TAX" and, on a separate line, "AGAINST THE 65
TOURISM PROMOTION TAX," and the voters shall vote by placing a 66
cross (X) or check (✓)opposite their choice on the proposition. 67
After the results of the election have been canvassed and 68
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certified, the city may levy the tax if a majority of the 69
qualified electors who vote in the election vote in favor of the 70
tax. 71
(2) At least thirty (30) days before the effective date of 72
the tax, the governing authorities shall furnish to the Department 73
of Revenue a certified copy of the resolution evidencing the tax. 74
Section 4. (1) The tax shall be collected by and paid to 75
the Mississippi Department of Revenue in the manner that state 76
sales taxes are computed, collected and paid, and the full 77
enforcement provisions and all other provisions of Title 27, 78
Chapter 65, Mississippi Code of 1972, shall apply as necessary to 79
the implementation and administration of this act. 80
(2) The proceeds of the tax, less three percent (3%) which 81
shall be retained by the Department of Revenue to cover the cost 82
of collection, shall be paid to the city on or before the 83
fifteenth day of the month following the month in which it was 84
collected. 85
(3) The proceeds of the tax shall not be considered by the 86
city as general fund revenues but shall be set aside and earmarked 87
by the city in a special account to be dedicated solely for the 88
purpose of promoting tourism in the city. 89
(4) The records reflecting the receipts and expenditures of 90
the revenue from the tax shall be audited annually by an 91
independent certified public accountant, and the accountant shall 92
make a written report of his audit to the governing authorities. 93
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The audit shall be made and completed as soon as practicable after 94
the close of the fiscal year, and expenses of the audit may be 95
paid from the funds derived from the tax authorized in this act. 96
Section 5. The city is granted the following authority, in 97
addition to all other authority conferred by law, to promote 98
tourism in the city and to effectuate the purposes of this act: 99
(a) To acquire, construct, lease, rent, furnish, equip, 100
repair, maintain, staff and operate facilities and equipment 101
necessary or useful in the promotion of tourism in the city; 102
(b) To receive and expend revenues from any sources, 103
including, but not limited to, revenues from private enterprises 104
and the revenues derived from the tax authorized in this act; 105
(c) To employ such personnel as deemed necessary by the 106
governing authorities to carry out this act; and 107
(d) To exercise activities related to promoting tourism 108
in the city, including, but not limited to, contracting with other 109
entities, preparing marketing and advertising campaigns and 110
marketing and staging events to promote tourism in the city. 111
Section 6. The city may pledge revenues derived from the tax 112
authorized in this act as security to repay any indebtedness of 113
the city which the city may otherwise be authorized to incur under 114
the laws of the state that is consistent with the purposes of this 115
act. 116
Section 7. Subject to the provisions of this act, and 117
provided there is no indebtedness or obligation outstanding under 118
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ST: City of Laurel; extend repeal date on hotel
and motel tax.
this act, the governing authorities are authorized to discontinue 119
the tax levied under this act by adopting a resolution to that 120
effect. The discontinuance of the tax shall be effective 121
beginning on the first day of the month designated in the 122
resolution, and the tax levy shall not apply to sales made on or 123
after that date. A certified copy of the resolution discontinuing 124
the tax shall be delivered to the Department of Revenue at least 125
seven (7) days before the date set in the resolution for the 126
discontinuance of the tax. 127
Section 8. This act shall be repealed from and after July 128
1, * * * 2036. 129
SECTION 2. This act shall take effect and be in force from 130
and after its passage. 131