Bill Text: AZ HB2370 | 2018 | Fifty-third Legislature 2nd Regular | Introduced
Bill Title: Taxpayer financing; sports stadiums; compact
Spectrum: Partisan Bill (Republican 5-0)
Status: (Introduced - Dead) 2018-01-18 - House read second time [HB2370 Detail]
Download: Arizona-2018-HB2370-Introduced.html
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REFERENCE TITLE: taxpayer financing; sports stadiums; compact |
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State of Arizona House of Representatives Fifty-third Legislature Second Regular Session 2018
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HB 2370 |
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Introduced by Representatives Mosley: Bowers, Payne, Stringer, Toma
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AN ACT
AMENDING Title 5, Arizona Revised Statutes, by adding chapter 10; relating to PROFESSIONAL SPORTS STADIUMS.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 5, Arizona Revised Statutes, is amended by adding chapter 10, to read:
CHAPTER 10
COMPACT AGAINST TAXPAYER FINANCING OF PROFESSIONAL SPORTS STADIUMS
ARTICLE 1. GENERAL PROVISIONS
5-1201. Adoption of compact; text of compact
The compact against taxpayer financing of professional sports stadiums is enacted into law as follows:
Article I
Definitions
As used in this chapter, unless the context otherwise requires:
1. "Professional sports" means any sporting event or competition featuring non-amateur athletes. High school or collegiate level athletics and competitions funded solely by 501(c)(3) nonprofit entities within their charitable purpose are excluded from this definition.
2. "Stadium" or "Professional Sports Stadium" means a venue that hosts two or more professional sports events in a calendar year, or two or more practices for any professional sports events. Stadium includes practice and development facilities, office space, merchandising facilities, restaurants or lodging for either major and minor league professional sports teams.
3. "Subsidy" means direct funding, tax credit, tax exemption, government bond, loan, loan guarantee or any other funding mechanism that comes from state or local government.
article II
Purpose of compact
The purpose of this compact is to prevent the use of taxpayer dollars for private professional sports stadiums and facilities by removing the ability of teams to use the threat of relocation to use taxpayer dollars to build their stadiums.
Article III
Effective date of compact
This compact becomes effective immediately when twenty‑four other states have ratified it and given consent thereto. The satisfaction of this requirement shall be determined by the Attorney General. The Attorney General shall notify the legislature when the requisite number of states has adopted a substantially similar measure.
Article IV
Prevention of state funds
Notwithstanding any other provisions of law to the contrary, no moneys held in the state's general revenue fund shall be expended or appropriated, nor shall a subsidy given for the construction, maintenance, promotion or operation of a professional sports stadium.
Article V
Prevention of local funds
Upon the effective date of this compact, no political subdivision of this state shall expend or appropriate public funds, nor provide a subsidy, for the construction, maintenance, promotion or operation of a professional sports stadium.
Article VI
Previous commitments
Nothing in this compact shall be interpreted to amend or breach any existing contract or inhibit bond financing and payment for any project approved prior to the effective date of this act.
Article VII
Infrastructure fees
Nothing in this compact shall prevent a state or political subdivision of the state from building and charging reasonable fees for infrastructure related to a professional sports stadium.
Sec. 2. Intent
1. Whereas, over the last few decades billions of dollars in public money has been spent on private professional sports stadiums and facilities.
2. Whereas, state and local governments should spend their financial resources on the core functions of government, such as public safety, education and roads.
3. Whereas, the funding of sports stadiums and venues often crowds out these core functions of government.
4. Whereas, the promises of economic development and increased economic activity from professional sports stadiums are often overstated or never materialize.
5. Whereas, the consumer spending on sports entertainment after stadiums are constructed often comes at the expense of consumer spending in other types of entertainment.
6. Whereas, the overwhelming evidence from the academic research on stadium subsidies shows they do not produce net positive returns for states and localities.
7. Whereas, subsidies are given to lure a professional sports team or to prevent a team from moving from one state to another state.
8. Whereas, teams force states and cities to bid against each other, costing residents hundreds of millions of dollars.
9. Therefore, the Legislature of the State of Arizona is opposed to government ownership, financing and spending of and for professional sports stadiums and adopts this interstate compact to prevent the public financing of professional sports stadiums and facilities.
