City of Houston 2023Legislative Report

Big Events

Bill Sponsors / Authors:

Dennis Paul   Rep. Dennis Paul
  R - Spring

John Whitmire   Sen. John Whitmire
  D - Houston

 

Supporting Documents / Links:

Big Events GraphicSenate Bill 1158 - Major Events Funding

Created in 2003, the Major Events Reimbursement Program (MERP) helps communities offset the direct expense of hosting a major event.

After an event, the state accepts a prepared economic impact analysis, a portion of taxes from one or more sources can be sent back to the local community to cover related eligible expenses, such as infrastructure investments and enhanced event security.

  • Through this reimbursement system, local communities are better able to compete with other states to host national and international events that in turn help generate local and state revenue, create jobs, and that promote the overall state economy.

Texas has the good fortune of having both Dallas and Houston hosting soccer matches for the 2026 Men's World Cup tournament. When the World Cup was previously added to the list of eligible events under MERP, it was not written in a manner that would clarify how a MERP application would be processed wherein multiple cities would host soccer matches during the same tournament.

To ensure that sports tourism continues to be a major driver of positive economic impact for the state, it is necessary to clarify in statute that there can be more than one entity that can apply for reimbursement after hosting World Cup matches that are part of one tournament.

Senate Bill 1158 would clarify in statute that each series of World Cup soccer tournament games held in a market area would be considered as a separate, single event from a series held in another market area.

As reported by the Houston Chronicle on May 17th:

The measure, Senate Bill 1057, would essentially cut Houston in on a deal Dallas and Fort Worth have enjoyed since similar legislation was passed in 2013. It would allow the city and Houston First, the government corporation that operates Houston's convention venues, to receive certain downtown hotel taxes in excess of the amount collected this year for up to 30 years.

The bill was signed by Governor Abbott on May 19, 2023.