Relating to the use of municipal hotel occupancy tax revenue and certain tax revenue derived from a hotel and convention center project by certain municipalities.

SB 2298 amends Texas tax law to allow specific municipalities to use hotel occupancy tax revenue for tourism-related facilities. It permits cities with populations over 10,000 (or those near federal space centers in high-population counties) to fund convention centers, resorts, or multiuse venues owned by the city or its nonprofit partners. The bill explicitly prohibits using these funds for roads, streets, or water/sewer infrastructure. It targets 10 defined municipal categories, including cities in counties with over 1.5 million residents or those bordering Lake Palestine. This changes how certain Texas cities can allocate existing tourism tax revenue.