State Law: By the law of the State of Texas, the City of Pampa collects a Hotel Occupancy Tax (HOT) from hotels, bed & breakfasts, and other lodging facilities. Under state law, the revenue from the HOT may be used only to promote tourism and the hotel and convention industry directly. Chapter 351 of the Tax Code states that the use of HOT funds is limited to:
Convention Centers and Visitor Information Centers: The acquisition of sites for and the construction, improvement, enlarging, equipping, repairing, operation, and maintenance of convention center facilities or visitor information center, or both;
a) Registration of Convention Delegates: The furnishing of facilities, personnel, and materials for the registration of convention delegates or registrants;
b) Advertising, Solicitations, and Promotions that Directly Promote Tourism and the Hotel and Convention Industry: Advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or registrants to the municipality or its vicinity;
c) Promotions of the Arts that Directly Promote Tourism and the Hotel and Convention Industry: The encouragement, promotion, improvement, and application of the arts that can be shown to have some direct impact on tourism and the hotel/convention industry. The impact may be that the art facility or event can show hotel nights that are booked due to their events or that guests at the hotels attend the arts events. Eligible forms of art include instrumental and vocal music, dance, drama, folk art, creative writing, architecture, design and allied fields, painting, sculpture, photography, graphic and craft arts, motion picture, radio, television, tape and sound recording, and other arts related to the presentation, performance, execution, and exhibition of these major art forms.
d) Historical Restoration and Preservation Activities that Directly Promote Tourism and the Hotel and Convention Industry: Historic restoration and preservation projects or activities or advertising and conducting solicitation and promotional programs to encourage tourists and convention delegates to visit preserved historical sites or museums.
e) Sporting Event Expenses that Substantially Increase Economic Activity at Hotels: Expenses including promotional expenses, directly related to a sporting event in which the majority of participants are tourists. The event must substantially increase economic activity at hotels within the city of its vicinity.
f) Funding transportation systems for transporting tourists from hotels to and near the city to any of the following destinations:
1. The commercial center of the city;
2. A convention center in the city;
3. Other hotels in or near the city; or
4. Tourist attractions in or near the city.
The law specifically prohibited the use of the local hotel tax to cover the cost of general city transit costs to transport the general public.
City Policy: The Pampa Chamber of Commerce accepts applications from groups and businesses whose program fits into one or more of the above categories. All requests for funds should be submitted in writing, accompanied by the official application, at least 3 months prior to the event requesting funds. The application will be reviewed by the Pampa Chamber of Commerce Tourism Committee at the earliest possible regularly scheduled meeting. The applicant may be asked to be present at the meeting to answer any questions regarding the application. Applicants will be notified one week prior to the meeting of the time and place for the review.
Eligibility and Priority for Hotel Tax Funds: Priority will be given to those events and entities based on their ability to generate overnight visitors to Pampa. The amount that you are requesting should not exceed more than 25 percent of the gross amount of hotel night revenue that you predict will be created or sustained by your event. If an event will not generate any meaningful hotel night activity, it is not eligible for receipt of hotel occupancy tax funds. Events can prove this potential to generate overnight visitors by:
a) Historical information on the number of room nights used during previous years of the same events;
b) Current information on the size of a room block that has been reserved at area hotels to accommodate anticipated overnight guests attending the funded events;
c) Historical information on the number of guests at a hotel or other lodging facilities that attended the funded event (through surveys, guest directories, or other sources); and/or
d) Examples of the planned marketing of the programs and activities that will likely generate overnight visitors to local lodging properties from this event.
Use of Revenues from Event: A portion of the revenues from any event and/or project receiving any type of funding assistance from the HOT funds should be channeled back into the future costs of operating that same event or the continued operation of the project. No other outside event(s), project, charity, etc., sponsored by the host organization may profit from the Pampa Chamber of Commerce's funding of a particular event. No entity shall receive these funds for more than three (3) consecutive years.
Acceptance of funds comes with the condition that the Pampa Chamber of Commerce Tourism Committee has the right to take photos and videos of the event for the express purpose of Pampa Tourism promotional online and print advertisements. Furthermore, The Pampa Chamber of Commerce Tourism Committee will be given the same benefits as any other event sponsor giving equal funds to your event, including tickets, logos placement, and promotional consideration.
Supplemental Information Required with Application: Along with the application, please submit the following: