House Engrossed

 

 

 

 

State of Arizona

House of Representatives

Forty-ninth Legislature

Second Regular Session

2010

 

 

HOUSE BILL 2736

 

 

 

AN ACT

 

Amending section 5-808, Arizona Revised Statutes; amending title 5, chapter 8, article 2, Arizona Revised Statutes, by adding section 5‑837.01; amending title 42, Arizona Revised Statutes, by adding chapter 4; relating to surcharges for sports authorities.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 



Be it enacted by the Legislature of the State of Arizona:

Section 1.  Section 5-808, Arizona Revised Statutes, is amended to read:

START_STATUTE5-808.  Major league baseball spring training facilities; local financial participation

A.  From monies in the cactus league promotion account established by section 5‑837 and the cactus league development account established by section 5-837.01, the authority may:

1.  Acquire land or construct, finance, furnish, improve, market or promote the use of existing or proposed major league baseball spring training facilities that are located in the authority and other structures, utilities, roads, parking areas or buildings necessary for full use of the training facilities for sports and other purposes.

2.  Do all things necessary or convenient to accomplish those purposes.

B.  Monies in the cactus league promotion account:

1.  May be used for the purposes of:

(a)  Attracting major league baseball spring training operations to locations in the authority.

(b)  Retaining major league baseball spring training operations in their current locations in the authority.

2.  Shall not be used to facilitate the relocation of a major league baseball spring training operation from one location in this state to another location in this state unless either:

(a)  Another major league baseball team has made contractual commitments to assure the relocation of its spring training operations from a location outside this state to the vacated facility.

(b)  The relocation is to a facility located in the authority from another facility in this state that was shared with another major league baseball team.

C.  Except as provided by section 5-837.01, the board shall require that any project undertaken pursuant to this section include financial participation from the county or municipality in which the project is located, from a private party or from any combination of these entities that equals or exceeds one‑half of the amount to be spent or distributed by the authority.  Capital improvement monies spent by a county, municipality or private party for a purpose authorized by this section may be considered to be financial participation with respect to any project the authority may undertake.

D.  For purposes of financing, designing or constructing facilities or structures, the authority is not the agent of any other party participating in the funding of the facility or structure.

E.  Before undertaking the planning or construction of the first new facility under this section, the board may consider the costs of anticipated required renovations of existing facilities and shall consider such costs for subsequent new facilities. END_STATUTE

Sec. 2.  Title 5, chapter 8, article 2, Arizona Revised Statutes, is amended by adding section 5-837.01, to read:

START_STATUTE5-837.01.  Cactus league development account; definition

A.  The authority shall maintain a cactus league development account consisting of monies transmitted to the account pursuant to section 42-4001.

B.  The authority shall use the monies in the account in the following order of priority:

1.  For the purpose of acquiring land for and to construct, finance and develop new major league baseball spring training facilities, or renovate existing major league baseball spring training facilities, including parking, access and utility infrastructure as provided by section 5-808 in qualifying jurisdictions that have contract or extension agreements entered into after January 1, 2010 with major league baseball franchises for spring training operations in the order in which the contract renewal or extension negotiation has been authorized by the governing body of the jurisdiction.

2.  For payment, as provided by an intergovernmental agreement pursuant to title 11, chapter 7, article 3, of up to fifteen million dollars to another jurisdiction in this state from which a major league baseball spring training operation relocated to the authority for the sole purpose of debt service on outstanding obligations of that jurisdiction relating to the vacated spring training facility.

3.  For any other purpose authorized by section 5-808.

C.  The board shall require that any project that is financed with monies from the cactus league development account include financial participation from the qualifying jurisdiction in which the project is located, from a private party or from any combination of these entities that equals or exceeds the amount to be financed with monies from the account.  Capital improvement monies spent by a qualifying jurisdiction or private party for a purpose authorized by section 5-808 may be considered to be financial participation for the purposes of this subsection.

D.  The authority may pledge all or part of the monies in the account as necessary to secure bonds or other debt obligations issued by the authority for the purposes of providing monies for expenditure under this section.  As nearly as practicable, the bonds issued pursuant to this subsection shall be authorized and issued in a manner consistent with article 3 of this chapter, except that the proceeds of the bonds shall be spent solely for the purposes of section 5-808.

E.  For the purposes of this section, "qualifying jurisdiction" means any city, town or county in which a major league baseball franchise has established or seeks to establish a spring training operation. END_STATUTE

Sec. 3.  Title 42, Arizona Revised Statutes, is amended by adding chapter 4, to read:

CHAPTER 4

SURCHARGES

ARTICLE 1.  GENERAL PROVISIONS

START_STATUTE42-4001.  Surcharge on admission to cactus league spring training events

A.  There is levied and the department of revenue shall collect a surcharge on the price of admission to major league baseball spring training sporting events held in counties with a population of more than two million persons.

B.  The rate of the surcharge is __________ per cent of each paid admission to a major league baseball spring training event held in the county, and the surcharge shall be added to the cost of each paid admission.

C.  The surcharge is payable only to the department of revenue and shall not be included in the amount of revenues or receipts paid to or retained by any municipality, team or nonprofit organization.

D.  The surcharge is not taxable under section 42-5073.

E.  Unless the context otherwise requires, section 42-6102 governs the administration of a surcharge imposed under this section, which shall be reported on a form prescribed by the department of revenue.  The department of revenue shall require a report of the number of paid admissions to each major league baseball spring training event and the location of each event and shall transmit that information to the state treasurer.

F.  Monies collected pursuant to this section are received, held and managed in trust for the sole purposes described in this subsection.  The state treasurer shall not commingle these revenues with any state revenues. Each month the state treasurer shall pay the amount collected pursuant to this section to the tourism and sports authority established pursuant to title 5, chapter 8 for deposit in the Cactus league development account established by section 5-837.01. END_STATUTE