Shelby County - Subject to local approval, changes the allocation of the revenue from the privilege tax on occupancy in a hotel. - Amends Chapter 131 of the Private Acts of 1969; as amended.

This Tennessee bill changes how hotel occupancy tax revenue is shared between Shelby County and the Convention and Visitors Bureau, requiring local approval to take effect. It establishes a specific funding amount for the Bureau through 2025 and creates a new allocation system starting in 2026 that directs a portion of the tax toward debt payments for a new sports arena and ticket shortfalls for the existing one. Under the new plan, the Bureau receives a set percentage of the tax revenue, while the County retains the rest for arena-related costs and other permitted uses, and the Bureau must provide two seats on its board to County-nominated individuals. The legislation also mandates that the Bureau refund any shortfall if the tax revenue does not meet the required amount for arena debt service.