City of Laurel; revise use of the proceeds from recreation and public improvement promotion tax.

H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~ L1/2
26/HR43/R2773
PAGE 1 (OM\KP)

To: Local and Private
Legislation
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Scott

HOUSE BILL NO. 4183

AN ACT TO AMEND CHAPTER 983, LOCAL AND PRIVATE LAWS OF 1996, 1
AS AMENDED BY CHAPTER 957, LOCAL AND PRIVATE LAWS OF 1998, TO 2
PROVIDE THAT THE GOVERNING AUTHORITIES OF THE CITY OF LAUREL, 3
MISSISSIPPI, SHALL CEASE THE USE OF A CERTAIN PORTION OF THE 4
PROCEEDS FROM THE RECREATION AND PUBLIC IMPROVEMENT PROMOTION TAX 5
AND THE PROCEEDS OF CERTAIN BONDS FROM BEING UTILIZED TO FUND THE 6
CONSTRUCTION AND EQUIPPING OF IMPROVEMENTS AT THE FAIRGROUND 7
COMPLEX; AND FOR RELATED PURPOSES. 8
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 9
SECTION 1. Chapter 983, Local and Private Laws of 1996, as 10
amended by Chapter 957, Local and Private Laws of 1998, is amended 11
as follows: 12
Section 1. As used in this act, the following words shall 13
have the meanings ascribed to them in this section unless 14
otherwise clearly indicated by the context in which they are used: 15
(a) "Act" shall mean this act. 16
(b) "City" shall mean the City of Laurel, Mississippi. 17
(c) "Fair Commission" shall mean the South Mississippi 18
Fair Commission created pursuant to Chapter 990, Local and Private 19
Laws of 1994. 20
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 2 (OM\KP)

(d) "Fairground complex" shall mean the land and 21
improvements thereon commonly known as the South Mississippi 22
Fairground, which land and improvements are subject to the 23
jurisdiction of the South Mississippi Fair Commission. 24
(e) "Governing * * * authorities" shall mean the mayor 25
and city council of the city. 26
(f) "Hotel" or "motel" shall mean a place of lodging 27
within the city that at any one time will accommodate transient 28
guests on a daily or weekly basis, excluding hotels or motels with 29
ten (10) or less overnight rental units. 30
(g) "Project" shall mean (i) land and improvements 31
thereon to be used for recreation facilities within or in close 32
proximity to the corporate limits of the city that are open and 33
available to the general public and used for general public 34
purposes that may be funded with the proceeds of the tax 35
authorized to be levied pursuant to this act, including the 36
operation and maintenance of such facilities, and (ii) the 37
construction and equipping of improvements at the fairground 38
complex. 39
(h) "Restaurant" shall mean and include all places 40
within the city where prepared foods and beverages are sold for 41
consumption, whether such foods are prepared or consumed on the 42
premises or not. "Restaurant" as defined herein does not include 43
any school, hospital, convalescent or nursing home, or any 44
restaurant-like facility operated by or in connection with a 45
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 3 (OM\KP)

school, hospital, medical clinic, convalescent or nursing home 46
providing food for students, patients, visitors and their 47
families, or any restaurant having annual gross sales of less than 48
One Hundred Thousand Dollars ($100,000,00). 49
(i) "Tax" shall mean the sales tax authorized by 50
Section 3 of this act. 51
Section 2. In addition to the power and authority granted 52
under this act, the governing * * * authorities shall have 53
jurisdiction and authority over all matters relating to the 54
promotion, establishment, development, construction, furnishing 55
and equipping of the project, including the authority to enter 56
into such contracts and agreements as may be necessary to carry 57
out the intent of this act. In carrying out the provisions of 58
this act, the governing * * * authorities shall adhere to the 59
provisions of the public purchasing laws, public works contracts 60
laws and public bid laws as provided by the laws of the State of 61
Mississippi, except as may be expressly otherwise provided for 62
herein. 63
The governing * * * authorities (a) may receive and expend, 64
subject to the provisions of this act, revenues from any source 65
for the purposes enumerated herein; and (b) shall make available 66
to the Fair Commission, for the purpose of constructing and 67
equipping public improvements and facilities at the fairground 68
complex, not less than one-third (1/3) of the proceeds from the 69
increased taxes as described in Section 4(2) of House Bill No. 70
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 4 (OM\KP)

1868, 1998 Regular Session, and not less than one-third (1/3) of 71
the proceeds from the issuance of any bonds under House Bill No. 72
1868, 1998 Regular Session, after the date that House Bill No. 73
1868, 1998 Regular Session, becomes effective. Provided, however, 74
from and after the effective date of House Bill No. , 2026 75
Regular Session, the governing authorities shall cease the 76
utilization of the proceeds from the taxes prescribed under 77
Section 4(2) of this act as well as the proceeds from the issuance 78
of any bonds as authorized under this act for projects as defined 79
under Section 1(g)(ii) of this act. 80
Section 3. (1) For the purpose of providing funds for the 81
promotion, establishment, development, construction, furnishing, 82
equipping, erection, operation and maintenance of the project, 83
there is hereby levied, assessed and shall be collected from every 84
person engaging in or doing business in the city, as provided in 85
subsection (2) of this section, a tax which may be cited as the 86
"recreation and public improvement promotion tax," which shall be 87
in addition to all other taxes now imposed. 88
(2) Such tax shall be in an amount not to exceed two percent 89
(2%) of the gross proceeds derived from hotel and motel room 90
rentals and retail sales of restaurants, including, but not 91
limited to, sales of beer and alcoholic beverages sold by an 92
on-premises Alcoholic Beverage Control permit holder. 93
(3) Persons, firms and corporations liable for the tax 94
imposed herein shall add the amount of tax to the sales price of 95
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 5 (OM\KP)

or gross income from the goods, products and services subject to 96
the tax and, in addition thereto, shall collect insofar as 97
practicable the amount of the tax due by them from the person 98
receiving the services or goods at the time of payment therefor. 99
(4) Such tax shall be collected as set forth in subsection 100
(3) above and paid to the * * * Department of Revenue, on a form 101
prescribed by the * * * Department of Revenue, in the same manner 102
that state sales taxes are computed, collected and paid; and the 103
full enforcement provisions of Chapter 65, Title 27, Mississippi 104
Code of 1972, shall apply as necessary to the implementation and 105
administration of this act. 106
(5) The proceeds of the tax, less three percent (3%) to be 107
retained by the * * * Department of Revenue to defray the cost of 108
collection, shall be paid to the city on or before the fifteenth 109
day of the month following the month in which they were collected. 110
(6) The proceeds of the tax shall not be considered by the 111
city as general fund revenues but shall be dedicated solely for 112
the purpose of constructing, operating and maintaining the project 113
as provided for under House Bill No. 1868, 1998 Regular Session. 114
However, from and after the effective date of House Bill No. , 115
2026 Regular Session, the proceeds of the tax shall not be used 116
for any project as defined under Section 1 (g)(ii) of this act. 117
(7) At such times as (a) all principal, interest, costs and 118
other expenses for all bonds, notes or other borrowings under this 119
act have been paid and are completely satisfied, or (b) there 120
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 6 (OM\KP)

exists in any special account established to retire such bonds, 121
notes or other borrowings an amount on deposit which, together 122
with any earnings on investments to accrue to the account, is 123
equal to or greater than the amount necessary to pay such 124
indebtedness, then the city may set the tax being levied hereunder 125
at a rate the avails of which will not exceed the amount necessary 126
to pay continuing operation and maintenance costs of the project 127
but in no event to exceed one-half (1/2) of the maximum tax 128
authorized and levied under Section 3(2) of this act. 129
Section 4. (1) Before the taxes authorized by Chapter 983, 130
Local and Private Laws of 1996, may be imposed, the 131
governing * * * authorities of the city shall adopt a resolution 132
declaring their intention to: 133
(a) Levy the tax, setting forth the amount of such tax 134
and establishing the date on which the tax initially shall be 135
levied and collected; and 136
(b) Issue bonds of the city to provide funds to defray 137
the cost of the project, setting forth the estimated amount of 138
bonds to be issued and a general description of the project, if 139
the governing * * * authorities elects to include provisions for 140
issuance of bonds in such resolution. 141
The resolution shall state the time, date and place upon 142
which the governing * * * authorities shall take action to 143
authorize and direct levying the tax and, if applicable, the 144
issuance of bonds. The resolution shall be published in a local 145
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 7 (OM\KP)

newspaper at least three (3) times over three (3) consecutive 146
weeks, with the last publication made no less than seven (7) days 147
prior to the date set forth in the resolution on which the 148
governing * * * authorities would proceed to levy the tax and, if 149
applicable, issue the bonds. 150
If, after giving notice, twenty percent (20%) or fifteen 151
hundred (1500), whichever is less, of the qualified electors of 152
the city shall file a written petition against the levy of such 153
tax or the issuance of the bonds, or both, at or prior to the time 154
and date set forth in the resolution, then such tax shall not be 155
levied and the bonds shall not be issued unless authorized by a 156
majority of the qualified electors of the city voting at an 157
election to be called and held for such purpose or purposes. The 158
election shall be conducted in the manner as other city elections, 159
and the governing * * * authorities shall direct the city election 160
commissioners to conduct such election. 161
The effective date of such tax levy shall not be sooner than 162
the first day of the second month from the date the 163
governing * * * authorities adjudicated no protest to levying the 164
tax or the date of a favorable election on the question of levying 165
the tax, as the case may be. If no protest or an insufficient 166
protest is presented, the bonds may be issued at any time within 167
two (2) years of the date the governing * * * authorities 168
adjudicates no protest or, in the alternative, within two (2) 169
years of a favorable election on the issuance of the bonds. 170
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 8 (OM\KP)

Before the effective date of tax levy approved under this 171
subsection (1), the governing * * * authorities shall furnish a 172
certified copy of the resolution evidencing such tax levy to the 173
Chairman of the State Tax Commission. 174
(2) Before any tax may be imposed under Section 3(2) of 175
House Bill No. 1868, 1998 Regular Session, that exceeds the amount 176
of such tax that was authorized to be imposed under Chapter 983, 177
Local and Private Laws of 1996, the governing * * * authorities of 178
the city shall adopt a resolution declaring its intention to levy 179
the tax, setting forth the amount of such tax to be imposed, the 180
date upon which such tax shall become effective and calling for a 181
referendum to be held on the question. The date of the election 182
shall be determined upon agreement of the governing * * * 183
authorities and the Board of Supervisors of Jones County. Notice 184
of such intention shall be published once each week for at least 185
three (3) consecutive weeks in a newspaper published or having a 186
general circulation in the county, with the first publication of 187
such notice to be made not less than twenty-one (21) days before 188
the date fixed in the resolution for the election and the last 189
publication to be made not more than seven (7) days before the 190
election. At the election, all county qualified electors 191
(including municipal qualified electors) may vote, and the ballots 192
used in such election shall have printed thereon a brief statement 193
of the amount and purposes of the proposed tax levy and the words 194
"FOR THE RECREATION AND PUBLIC IMPROVEMENT PROMOTION TAX" and, on 195
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 9 (OM\KP)

a separate line, "AGAINST THE RECREATION AND PUBLIC IMPROVEMENT 196
PROMOTION TAX," and the voters shall vote by placing a cross (X) 197
or check (_) opposite their choice on the proposition. When the 198
results of any such election shall have been canvassed by the 199
election commission of the county and certified, the city may levy 200
the tax if a majority of the qualified electors who vote in the 201
election vote in favor of the tax. 202
Section 5. The governing * * * authorities shall adopt its 203
first budget of receipts and expenditures to cover the period 204
beginning with the effective date of the tax and ending with the 205
end of the city's fiscal year; and, thereafter, the budget shall 206
be on the same fiscal basis as the budget of the city. 207
Section 6. Accounting for receipts and expenditures of the 208
funds herein described shall be made separate from the accounting 209
of receipts and expenditures of the general fund and any other 210
funds of the city. The records reflecting the receipts and 211
expenditures of the funds prescribed herein shall be audited 212
annually as a part of the annual audit of the city or by 213
independent audit if so determined by the governing * * * 214
authorities. Such audit shall be made and completed as soon as 215
practicable after the close of the fiscal year, and expenses of 216
such audit may be paid from the funds derived pursuant to Section 217
3 of this act. 218
Section 7. The governing * * * authorities of the city may 219
borrow money for the purposes set forth in this act in any one or 220
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 10 (OM\KP)

any combination of the following methods. The city is authorized 221
to issue, from time to time, negotiable bonds of the city for the 222
purposes set forth in Section 2 of this act and to pay for costs 223
of issuing the bonds (including bond insurance, credit 224
enhancements, rating agency fees and legal fees and expenses), 225
which bonds may be secured by all or any portion of the tax 226
revenue generated in Section 3 of this act, along with such other 227
security as may be provided by the city. The city is further 228
authorized to incur debt, borrow funds and/or issue bonds for the 229
purposes set forth in Section 2 herein pursuant to Section 31-25-1 230
et seq., Mississippi Code of 1972. Revenue bonds authorized to be 231
issued or debt incurred under this act shall not be included 232
within the limitation on indebtedness imposed in Section 233
21-33-303, Mississippi Code of 1972. 234
The city is hereby further authorized to issue general 235
obligation bonds of the city pursuant to Section 21-33-301, 236
Mississippi Code of 1972; provided, however, that upon compliance 237
with the public notice requirements set forth in Section 4 of this 238
act, compliance with Sections 21-33-307 through 21-33-329, 239
Mississippi Code of 1972, shall not be required. General 240
obligation bonds issued pursuant to this paragraph shall be exempt 241
from the debt limit imposed by Section 21-33-303, Mississippi Code 242
of 1972, to the extent that such debt is paid with the tax 243
revenues generated pursuant to Section 3 hereof and not with an ad 244
valorem tax levy. 245
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 11 (OM\KP)

Section 8. If the city elects to issue revenue bonds to 246
defray the cost of the project, such bonds may be serial or term; 247
redeemable, with or without premium, or nonredeemable and 248
registered with registration privileges as to principal and 249
interest; shall bear interest at a rate to be determined pursuant 250
to the sale of the bonds; and shall be payable at such time or 251
times as shall be prescribed in the ordinance authorizing them. 252
The bonds shall mature at such time or times, not exceeding the 253
estimated life of the improvements and in no event longer than 254
thirty (30) years from their date, and at such place or places as 255
shall be prescribed in the ordinance authorizing their issuance. 256
All bonds and interest thereon issued pursuant to the authority 257
granted in this act shall possess all the qualities of negotiable 258
instruments. The bonds shall be executed in such manner, and 259
shall be substantially in the form, prescribed in the authorizing 260
ordinance. In case any of the officers whose signatures or 261
countersignatures appear on the bonds shall cease to be such 262
officers before delivery of such bonds, such signatures or 263
countersignatures shall nevertheless be valid and sufficient for 264
all purposes the same as if they had remained in office until such 265
delivery. No bond shall bear more than one (1) rate of interest. 266
Each bond shall bear interest from its date to its stated maturity 267
date at the interest rate specified in the bid. All bonds of the 268
same maturity shall bear the same rate of interest from date to 269
maturity. All interest accruing on such bonds so issued shall be 270
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 12 (OM\KP)

payable semiannually or annually, except that the first interest 271
payment on any such bond may be for any period not exceeding two 272
(2) years. 273
No interest payment shall be evidenced by more than one (1) 274
rate of interest. The lowest interest rate specified for any 275
bonds issued shall not be less than seventy percent (70%) of the 276
highest interest rate specified for the same bond issue. Such 277
bonds shall be sold in such manner and upon such terms as the 278
governing * * * authorities of the city shall determine, provided 279
that such bonds shall not bear a greater overall maximum interest 280
rate to maturity than that allowed in Section 75-17-103, 281
Mississippi Code of 1972, and the interest rate on any one (1) 282
interest maturity shall not exceed the maximum interest rate 283
allowed on such bonds. Each interest rate specified in any bid 284
must be in multiples of one-eighth of one percent (1/8 of 1%) or 285
in multiples of one-tenth of one percent (1/10 of 1%). If the 286
bonds are serial bonds, such bonds shall mature annually, and the 287
first maturity date thereof shall not be more than two (2) years 288
from the date of such bonds. Such bonds shall be legal 289
investments for trustees and other fiduciaries, and for savings 290
banks, trust companies and insurance companies organized under the 291
laws of the State of Mississippi. The bonds and interest thereon 292
shall be exempt from all state, county, municipal and other 293
taxation under the laws of the State of Mississippi. The 294
principal of and interest on such bonds shall be payable solely 295
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 13 (OM\KP)

from the revenues derived from levying the tax described in 296
Section 3 of this act and such other security as may be provided 297
by the city. No bond issued pursuant to the authority granted in 298
this section shall constitute an indebtedness of a municipality 299
within the meaning of any statutory or charter restriction, 300
limitation or provision. It shall be plainly stated on the face 301
of each such bond in substance that the same has been issued 302
pursuant to the authority granted in this act and that the taxing 303
power of the city is not pledged to the payment of such bond or 304
interest thereon, and that such bond and the interest thereon are 305
payable solely from the revenues derived from levying the tax 306
described in Section 3 hereof and such other security as may be 307
provided by the city. 308
Such bonds shall be sold at public or private sale and, if 309
sold at public sale, shall be sold in the manner provided by 310
Section 31-19-25, Mississippi Code of 1972. 311
The city is hereby authorized to employ investment bankers, 312
underwriters, financial advisors, legal counsel, bond counsel and 313
such other required professionals and to pay the fees and expenses 314
incidental thereto. 315
Section 9. This act, without reference to any other statute 316
not referred to herein, shall be deemed to be full and complete 317
authority to carry out the activities set forth herein, including 318
levying the tax authorized pursuant to Section 3 hereof, borrowing 319
H. B. No. 4183 *HR43/R2773* ~ OFFICIAL ~
26/HR43/R2773
PAGE 14 (OM\KP)
ST: City of Laurel; revise use of the proceeds
from recreation and public improvement promotion
tax.
money and issuing bonds, and shall be construed as an additional 320
and alternate method therefor. 321
Section 10. Any bonds issued under the provisions of this 322
act may be validated in the manner provided by law. 323
Section 11. The governing * * * authorities of the city is 324
further authorized and empowered to adopt any and all lawful 325
resolutions, orders or ordinances; execute and deliver such 326
agreements, contracts, indentures and certificates; and do and 327
perform any and all other acts and things necessary and requisite 328
to levy the tax, issue the bonds and carry out the purposes of 329
this act. 330
* * * 331
Section 12. This act shall take effect and be in force from 332
and after its passage. 333
SECTION 2. This act shall take effect and be in force from 334
and after its passage. 335