City of Laurel; extend repealer on authority for tax on hotels and motels to promote tourism.

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To: Local and Private
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Senator(s) Barnett

SENATE BILL NO. 3107

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