HB 4098 – HOT Tax Subsidy

HB 4098 would allow the City of Taylor to keep millions in state hotel and sales tax revenue from a proposed hotel and convention center project for a 10-year period. This is another example of a special carve-out where the state subsidizes local development under the guise of economic growth. The program rewards certain municipalities with revenue streams that would otherwise support public services statewide. From a fiscally conservative perspective, this is a misallocation of tax dollars that should remain in the general fund or be returned to taxpayers—not handed to local governments for speculative development. HB 4098 continues the trend of government picking winners and losers rather than allowing projects to succeed based on market demand