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Victoria Council backs county bid for countywide hotel-occupancy tax to fund airport improvements

2864594 · April 3, 2025

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Summary

Victoria City Council unanimously passed a resolution supporting Victoria County's push for House Bill 4222 to allow a countywide hotel-occupancy tax of up to 2% and permit use for county airport improvements; the county pledged $100,000 annually of the revenue toward the city’s community center expansion if enacted.

Victoria City Council voted to support Victoria County’s legislative effort to authorize a countywide hotel-occupancy tax and to permit county use of the revenue for airport repairs and improvements.

Victoria County Judge Tim Zeller (presenting) and county officials told council the county currently can levy a hotel-occupancy tax outside city limits but needs special enabling legislation to collect and apply a uniform tax inside city limits. Judge Zeller described House Bill 4222 as the enabling legislation the county seeks and said it would authorize a countywide hotel-occupancy tax of up to 2% and add airport repairs and improvements as an eligible use.

“Victoria County currently has the ability to implement this outside the city limits, but to do so within the city limits would require special enabling legislation,” Judge Zeller told council. He said the county’s intent is to use the new revenue primarily for capital projects at Victoria Regional Airport to support tourism and business travel and to help sustain the airport’s economic impact.

The county also offered a community pledge: if the legislation passes and the county implements the tax, the county plans to contribute $100,000 per year from the hotel-occupancy-tax revenue toward the city’s community-center expansion project. Judge Zeller and county staff noted letters or resolutions of support from the Victoria Chamber of Commerce, the Victoria Economic Development Corporation and the Texas Hotel & Lodging Association.

Councilman Warren moved adoption of the city resolution supporting HB 4222; the motion received a second and passed on a voice vote with no public opposition. Mayor Duane Crocker and councilmembers voiced general support during the discussion.

Judge Zeller cited a county study estimating roughly $40 million in economic activity generated by the airport and reported recent record enplanements in March. County and city officials said the measure is intended to bolster airport infrastructure and help regional economic development if the Legislature approves the enabling bill this session.

The resolution directs the city to express support for the Legislature’s passage of HB 4222 and encourages local representatives to advance the measure in the Texas House and Senate.