§ 121.09  USE OF TAX REVENUE.
   (A)   Revenue from the tax imposed by this chapter may be used only to promote tourism and the convention and hotel industry, and that use is limited to the following:
      (1)   The acquisition of sites for and the construction, improvement, enlarging, equipping, repairing, operation, and maintenance of convention center facilities or visitor information centers, or both;
      (2)   The furnishing of facilities, personnel, and materials for the registration of convention delegates or registrants;
      (3)   Advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or registrants to the city or its vicinity;
      (4)   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
      (5)   Historical restoration and preservation projects or activities or advertising and conducting solicitations and promotional programs to encourage tourists and convention delegates to visit preserved historic sites or museums:
         (a)   At or in the immediate vicinity of convention center facilities or visitor information centers; or
         (b)   Located elsewhere in the city or its vicinity that would be frequented by tourists and convention delegates.
   (B)   Revenue derived from the tax imposed by this chapter shall be expended in a manner directly enhancing and promoting tourism and the convention and hotel industry as permitted by division (A).  That revenue may not be used for the general revenue purposes or general governmental operations of the city.
   (C)   Hotel occupancy tax revenue spent for a purpose authorized by this section may be spent for day-to-day operations, supplies, salaries, office rental, travel expenses, and other administrative costs only if those administrative costs are incurred directly in the promotion and servicing expenditures authorized under division (A).  If the city or other public or private entity that conducts an activity authorized under this section conducts other activities that are not authorized under this section, the portion of the total administrative costs of the entity for which hotel occupancy tax revenue may be used may not exceed the portion of those administrative costs actually incurred in conducting the authorized activities.
   (D)   Hotel occupancy tax revenue may not be spent for travel for a person to attend an event or conduct an activity the primary purpose of which is not directly related to the promotion of tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner.
   (E)   Nothing in this section shall prohibit any private entity, person, or organization from making subgrants by contract to any other person, entity, or private organization for expenditures under subdivision (A)(4).  A subgrantee shall:
      (1)   At least annually make periodic reports to the City Council of its expenditures from the tax imposed by this chapter; and
      (2)   Make records of these expenditures available for review to the City Council or other person.
(Ord. 98-46, passed 11-24-98)