Amends TCA Title 7, Chapter 4.

Present law authorizes Davidson County to impose an additional 1 percent tax on the 3 percent tourist accommodation tax. Under present law, the distribution from the 3 percent tax, or the higher amount if an increase is approved, includes a distribution of 1/3 of the total proceeds being used for the direct promotion of tourism. This bill defines "direct promotion of tourism" for purposes of the above-described present law provisions as tourism promotion activities exclusively by and through a competitively bid contract of the metropolitan government to an entity whose primary purpose and activities are the direct promotion of tourism for the county. This bill prohibits the use of such proceeds to fund a general government function or activity of the metropolitan government, including, but not limited to, the payment of debt service.