(a) The net proceeds of the tax collected and remitted pursuant to this article shall be deposited into the General Revenue Fund for the City, and after appropriation thereof, shall be expended only for the purposes as hereinafter provided. ("Net proceeds" means the gross amount of tax collections less the amount of tax lawfully refunded).
(b) Required Expenditures: At least fifty percent (50%) of the net revenue receivable during the fiscal year by the City pursuant to this article shall be expended in the following manner for the promotion of conventions and tourism:
(1) If a convention and visitor's bureau is located within the City, Jackson County or this region, Council shall appropriate the percentage required by this subsection (b) to that bureau. If a convention and visitor's bureau is not located within the City, county or region, then the percentage appropriation required by this subsection (b) shall be appropriated as follows:
A. Any hotel located within the City, county or region may apply to the City for an appropriation to such hotel of a portion of the tax authorized by this article and collected by such hotel and remitted to the City for uses directly related to the promotion of tourism and travel, including advertising, salaries, travel, office expenses, publications and similar expenses. The portion of such tax allocable to such hotel shall not exceed seventy-five percent (75%) of that portion of such tax collected and remitted by such hotel which is required to be expended pursuant subsection (b) hereof: provided, that prior to appropriating any moneys to such hotel, the City shall require the submission of, and give approval to, a budget setting forth the proposed uses of such moneys. If a hotel does not apply for funds as aforesaid, such moneys shall be expended as provided for by state law.
B. The balance of net revenue required to be expended by subsection (b) hereof shall be appropriated to the regional travel council serving the area in which the City is located, or as provided by state law.
(2) The legislature has found that the support of visitor's bureau hotels and regional travel councils is a public purpose for which funds may be expended. Local convention and visitor's bureaus, hotels and regional travel councils receiving funds under this subsection (b) may expend such funds for the payment of administrative expenses, and for direct and indirect promotion of conventions and tourism and for such other uses and purposes authorized.
(c) Permissible: After making the appropriation required by subsection (b) hereof, the remaining portion of the net revenues receivable during the fiscal year by the City, pursuant to this article, may be expended for one or more of the purposes set forth in this subsection, but for not other purpose. The purposes for which expenditures may be made pursuant to this subsection are as follows:
(1) The planning, construction, reconstruction, establishment, acquisition, improvement, renovation, extension, enlargement, equipment, maintenance, repair and operation of publicly owned convention facilities including but not limited to, arenas, auditoriums, civic centers;
(2) The payment of principal or interest or both on revenue bonds issued to finance such convention facilities;
(3) The promotion of conventions;
(4) The construction, operation or maintenance of public parks, tourist information centers and recreation facilities (including land acquisition);
(5) The promotion of the arts;
(6) Historic sites; or
(7) Beautification projects.
(d) Definitions. For purposes of this section, the following terms are defined:
(1) "Convention and visitor's bureau" and "visitor's and convention bureau" are interchangeable, and either means a nonstock, nonprofit corporation with a full-time staff working exclusively to promote tourism and to attract conventions, conferences and visitors to the Municipality, county or region in which such convention and visitor's bureau or visitor's bureau or visitors and convention bureau is located or engaged in business within.
(2) "Convention center" means a convention facility owned by the State, a county, a municipality or other public entity or instrumentality and includes all facilities, including armories, commercial, office, community service and parking facilities and publicly owned facilities constructed or used for the accommodation and entertainment of tourist and visitors, constructed in conjunction with the convention center and forming reasonable appurtenances thereto.
(3) "Fiscal year" means the year beginning July 1 and ending June 30 of the next calendar year.
(4) "Promotion of the arts" means activity to promote public appreciation and interest in one or more of the arts. "Promotion of the arts" includes the promotion of music for all types, the dramatic arts, dancing, painting and the creative arts through shows, exhibits, festivals, concerts, musicals and plays.
(5) "Recreational facilities" means any public park, parkway, playground, public recreation center, athletic field, sports arena, stadium, skating rink or arena, golf course, tennis courts and other park and recreation facilities, whether of a like or different nature, that are owned by a county or municipality.
(6) "Region" means an area consisting of one or more counties that have agreed by contract to fund a convention and visitor's bureau to promote these counties.
(7) "Regional travel council" means a nonstock, nonprofit corporation, with a full-time staff working exclusively to promote tourism and to attract conventions, conferences and visitors to the region of this State served by the regional travel council.
(8) "Historic site" means any site listed on the United States National Register of Historic Places, or listed by a local historical landmarks commission, established under state law, when such sites are owned by the City, county or a nonprofit historical association, and are open from time to time to accommodate visitors.
(1960 Code 5-516)