House Bill 1019 Summary

• McDowell County may levy an additional 1% room occupancy tax on top of existing 3% and 2% taxes, allowing up to 6% total occupancy tax on hotel and lodging rentals subject to state sales tax.

• McDowell County shall distribute net occupancy tax proceeds quarterly to the McDowell Tourism Development Authority, which must use at least two-thirds for travel and tourism promotion and remainder for tourism-related expenditures.

• Caswell County District C (all county areas except Town of Yanceyville) may levy a room occupancy tax of up to 3% on accommodations, with proceeds distributed to the Caswell County Tourism Development Authority for tourism promotion and related expenditures.

• Pender County District P (all county areas except Towns of Burgaw, Surf City, and Topsail Beach) may levy a room occupancy tax of up to 3% on accommodations, with proceeds distributed to the Pender County Tourism Development Authority for tourism promotion and related expenditures.

• Administration costs may not exceed 3% of the first $500,000 in gross annual proceeds and 1% of remaining proceeds; conforming changes made to G.S. 153A-155 to include the new county districts in occupancy tax provisions.