The city may use the proceeds of the occupancy tax as follows:
(A) Not less than 1/2 of the proceeds from the first 3% of the tax and not less than 1/4 of the proceeds from the tax in excess of 3% shall be used only for advertising, publicizing and promoting tourist-related attractions, facilities and events. These proceeds shall be used within two years of the close of the fiscal year in which they were collected and shall not be accumulated beyond that date or used for any other purpose.
(B) The remainder of the proceeds of the occupancy tax not required to be used for the purposes specified in division (A) above may be used to defray the costs of:
(1) Collecting and otherwise administering the tax, including the performance of audits required by this subchapter pursuant to guidelines issued by the Department of Finance and Administration;
(2) Establishing, operating, purchasing, constructing, otherwise acquiring, reconstructing, extending, improving, equipping, furnishing or acquiring real property or any interest in real property for the site or grounds for tourist-related facilities, attractions or transportation systems of the city;
(3) The principal of an interest on any prior redemption premiums due in connection with and any other charges pertaining to revenue bonds authorized the provisions of NMSA §§ 3-38-23 or 3-38-24;
(4) Advertising, publicizing and promoting tourist-related attractions, facilities and events of the city or within the area;
(5) Providing police and fire protection and sanitation service for tourist-related events, facilities and attractions in the city; or
(6) Any combination of the foregoing purposes or transactions, but for no other municipal purpose.
(Ord. 151, passed 5-6-2015)