Generated by tourism, HOT funds are designed to support a wide range of arts and heritage initiatives that foster community growth and preserve the city’s cultural identity.
The New Braunfels Art League, or NBAL, is one of the local organizations that relies on HOT funding to sustain its programs and outreach efforts.
NBAL President Mary Hammond said these funds play a critical role in helping the league promote events and attract artists and attendees from across the country.
“We worked very hard to be eligible for HOT funds, and I’m not sure we could survive without them,” Hammond said.
The two-minute impact
The Texas Tax Code allows municipalities to allocate a portion of HOT funds to organizations categorized as either arts or heritage groups, said Assistant City Secretary Matthew Schwarz. HOT funds are collected from all providers of temporary lodging in New Braunfels, such as hotels, motels and short-term rentals like Airbnb.
The city’s arts commission and heritage commission review applications to ensure that organizations and their proposed projects meet the qualifying criteria under the tax code. Arts organizations must promote programs that attract tourists and enhance the arts, including music, dance, drama, creative writing and visual arts, Schwarz said.
Heritage organizations must focus on historical restoration, preservation, or promotional efforts that encourage tourism to historic sites or museums, Schwarz said.
The overview
In 2025, $368,906 was distributed to arts organizations and $368,906 to heritage groups, Schwarz said.
Recipients include local theaters like the Brauntex Theatre, arts councils such as the Greater New Braunfels Arts Council, and museums like the Sophienburg Museum and Archives, Schwarz said.
Some projects, such as the historic facade repairs undertaken by the NBAL, qualify for funding under both the arts and heritage categories. Other notable public art projects include murals in downtown New Braunfels that highlight the city’s German heritage and sculptures in community parks celebrating local culture and natural beauty, Schwarz said. One example in the city is the Historic Outdoor Art Museum’s mural of Ferdinand Lindheimer behind Naegelin’s Bakery.
Who is it for
Beyond its financial impact, HOT funds enhance organizations’ ability to serve as a hub for visual arts, providing exhibits and classroom space for the community, Hammond said.
The Two Rivers Plein Air competition, a weeklong event where artists paint outdoor scenes of New Braunfels, followed by an exhibit and sale of their work, exemplifies the economic and cultural benefits of HOT-funded initiatives by driving tourism while celebrating the city’s vibrant arts scene, Hammond said.
Some of the funds allocated to the NBAL help support local artists, including Johnny Duncan, who has collaborated with the NBAL to spotlight contemporary art.
“I approached the New Braunfels Art League two years ago and asked if I could host a 52 Texas Artists Contemporary Art Exhibition, and I showcased work that had never been shown in the gallery,” Duncan said.
What's next
The city of New Braunfels issued a request for proposals for its Arts and Culture Master Plan on Jan. 16. The plan looks to enhance New Braunfels’ cultural identity and align with the city’s broader investment in the arts, Schwarz said.
Funded through the fiscal year 2024-25 budget, the plan seeks to engage local stakeholders and identify opportunities to expand support for arts and cultural initiatives. The plan ties directly to the city’s allocation of HOT funds, showcasing a cohesive strategy to bolster New Braunfels’ vibrant cultural landscape for both residents and visitors.
The master plan, though in its early stages, underscores the city’s long-term commitment to strengthening its arts and heritage sectors, Schwarz said.
