(a) There is hereby levied a tax upon the occupant of any room that:
(1) is in a hotel;
(2) is ordinarily used for sleeping; and
(3) the cost of occupancy of which is $2 or more each day.
(b) The tax is equal to seven percent of the consideration paid by the occupant of the room to the hotel.
(c) Disposition of revenues collected from the seven percent tax must be as follows:
(1) 4.718 percent must be paid prior to any other dispositions of revenue to:
(A) the acquisition of sites for and the constructing, improving, enlarging, equipping, repairing, operating, and maintaining of the convention center complex or visitor centers, or both; or
(B) pledging payment of bonds as authorized by Chapter 1504 of the Texas Government Code, as amended.
(2) 2.037 percent in 2020; 1.932 percent in 2021; 1.757 percent in 2022; 1.582 percent in 2023; and 1.407 percent in 2024 to advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or registrants to the city;
(3) 0.245 percent in 2020; 0.35 percent in 2021; 0.525 percent in 2022; 0.7 percent in 2023; and 0.875 percent in 2024 to:
(A) the encouragement, promotion, improvement, and application of the arts, including instrumental and vocal music, dance, drama, folk art, creative writing, architecture, design and allied fields, painting, sculpture, photography, graphic and craft arts, motion pictures, radio, television, tape and sound recording, and other arts related to the presentation, performance, execution, and exhibition of these major art forms; and
(B) historical restoration and preservation projects to encourage tourists and convention delegates to visit preserved historic sites or museums:
(1) at or in the immediate vicinity of convention center facilities or visitor information centers; or
(2) located elsewhere in the municipality or its vicinity that would be frequented by tourists and convention delegates.