Bill Text: AZ HB2652 | 2014 | Fifty-first Legislature 2nd Regular | Introduced
Bill Title: Arizona visitor industry development fund
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2014-02-19 - House COM Committee action: Discussed and Held [HB2652 Detail]
Download: Arizona-2014-HB2652-Introduced.html
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REFERENCE TITLE: Arizona visitor industry development fund |
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State of Arizona House of Representatives Fifty-first Legislature Second Regular Session 2014
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HB 2652 |
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Introduced by Representative Forese
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AN ACT
amending Title 5, Arizona Revised Statutes, by adding chapter 10; relating to the Arizona visitor industry development fund.
(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
ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND
ARTICLE 1. GENERAL PROVISIONS
5-1201. Definitions
in this chapter, unless the context otherwise requires:
1. "ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND" MEANS THE FUND ESTABLISHED BY SECTION 5-1202.
2. "ELIGIBLE EVENT" MEANS AN EVENT THAT MEETS THE REQUIREMENTS OF SECTION 5-1205.
3. "ELIGIBLE ORGANIZATION" MEANS AN ORGANIZATION THAT MEETS THE REQUIREMENTS OF SECTION 5-1204.
4. "ELIGIBLE PURPOSE" MEANS A PURPOSE PRESCRIBED IN SECTION 5-1203, SUBSECTION B.
5. "PRIVATE AND LOCAL SOURCES" MEANS ANY MONIES OTHER than MONIES provided by THis STATE.
5-1202. Arizona visitor industry development fund; purpose; fund operation
A. THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND IS ESTABLISHED CONSISTing OF MONIES APPROPRIATED BY LAW. The state treasurer shall administer the fund AND SHALL INVEST AND DIVEST MONIES IN THE FUND AS PROVIDED BY SECTION 35-313 AS NEEDED TO FACILITATE DISTRIBUTIONS FROM THE FUND. MONIES EARNED FROM INVESTMENT SHALL BE CREDITED TO THE FUND. Monies in the fund are CONTINUOUSLY appropriated.
B. The purpose of the fund is TO ENCOURAGE AND ENABLE ELIGIBLE ORGANIZATIONS TO ATTRACT, SECURE AND SUPPORT ELIGIBLE EVENTS that are ATTENDED PRIMARILY BY RESIDENTS OF OTHER STATES AND TO ENCOURAGE GROWTH AND EXPANSION OF THE VISITOR INDUSTRY IN THIS STATE.
C. If THE PROVISIONS OF SUBSECTION D OF THIS SECTION HAVE BEEN MET, THE STATE TREASURER SHALL DISTRIBUTE each month TO EACH ELIGIBLE ORGANIZATION THAT HAS FILED A CERTIFICATE OF AWARD THE AMOUNTS SPECIFIED IN THE CERTIFICATE OF AWARD FOR AN ELIGIBLE EVENT. THE AMOUNTS DISTRIBUTED from the fund FOR A SINGLE ELIGIBLE EVENT may not EXCEED TEN MILLION DOLLARS.
D. THE TRUSTEE FOR THE TRUST FUND ACCOUNTS ESTABLISHED by section 5‑1203 SHALL NOTIFY THE STATE TREASURER OF ALL DEPOSITS from private or local sources INTO THE TRUST FUND ACCOUNT ESTABLISHED PURSUANT TO section 5‑1203, subsection C, PaRAGRAPH 1, subdivision (b). THE TREASURER may NOT MAKE ANY DISTRIBUTIONS PURSUANT TO SUBSECTION C OF THIS SECTION if the CUMULATIVE DISTRIBUTIONS EXCEED THREE TIMES THE CUMULATIVE AMOUNT OF DEPOSITS from private or local sources INTO THE TRUST FUND ACCOUNT ESTABLISHED PURSUANT TO section 5‑1203, subsection C, PaRAGRAPH 1, subdivision (b).
E. AFTER THE DISTRIBUTIONS REQUIRED BY SUBSECTION C OF THIS SECTION, ANY MONIES REMAINING IN THE FUND IN EXCESS OF FIFTEEN MILLION dollars plus THE COMBINED TOTAL OF ANY FUTURE PAYMENTS REQUIRED BY A CERTIFICATE OF AWARD must BE TRANSFERRED TO THE STATE GENERAL FUND. IF NO CERTIFICATE OF AWARD HAS BEEN FILED PURSUANT TO SECTION 5-1207, this TRANSFER must OCCUR ON THE FIRST MONDAY IN JUNE.
5-1203. Use of fund monies; trust account
A. THE MONIES IN THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND SHALL BE USED ONLY FOR THE PURPOSES SPECIFIED IN THIS article.
B. THE MONIES IN THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND MAY BE USED ONLY IN CONNECTION WITH AN ELIGIBLE EVENT AND FOR THE FOLLOWING ELIGIBLE PURPOSES:
1. REIMBURSEMENT OF INCREMENTAL COSTS INCURRED BY PUBLIC AGENCIES that PROVIDe SAFETY AND SECURITY SERVICES IN CONNECTION WITH A QUALIFIED EVENT. THESE SERVICES MAY INCLUDE ACTIVITIES ASSOCIATED WITH THE DETERRENCE OF HUMAN TRAFFICKING IN THE PERIOD LEADING UP TO AND FOLLOWING A QUALIFIED EVENT.
2. REIMBURSEMENT OF OPERATIONAL COSTS INCURRED BY PUBLIC AGENCIES AT A PUBLICALLY OWNED FACILITY IN CONNECTION WITH A QUALIFIED EVENT.
3. REIMBURSEMENT OF INCREMENTAL COSTS INCURRED BY PUBLIC AGENCIES FOR ACTIVITIES AND EVENTS SPONSORED IN CONNECTION WITH A QUALIFIED EVENT THAT ARE OPEN TO THE GENERAL PUBLIC, REGARDLESS OF WHETHER ANY FEES ARE CHARGED FOR ADMISSION.
4. REIMBURSEMENT OF ANY AMOUNTS PLUS INTEREST ADVANCED BY AN ELIGIBLE ORGANIZATION FOR ELIGIBLE PURPOSES AS PROVIDED IN THIS subsection.
5. ANY OTHER COSTS NECESSARY TO EFFECTUATE THE USES AND PURPOSES SPECIFIED IN THIS ARTICLE.
C. AN ELIGIBLE ORGANIZATION THAT RECEIVES MONIES DISTRIBUTED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND shall:
1. FOR EACH ELIGIBLE EVENT, ESTABLISH TWO SEPARATE TRUST FUND ACCOUNTS AT the STATE TREASURER'S SERVICING BANK FOR THE RECEIPT AND DISBURSEMENT OF MONIES IN CONNECTION WITH THE ELIGIBLE EVENT as follows:
(a) ONE TRUST FUND ACCOUNT must BE USED EXCLUSIVELY FOR MONIES RECEIVED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND established PURSUANT TO THIS ARTICLE.
(b) THE SECOND TRUST FUND ACCOUNT must BE USED EXCLUSIVELY FOR MONIES RECEIVED FROM PRIVATE AND LOCAL SOURCES FOR EXPENSES IN SUPPORT OF THE ELIGIBLE EVENT. THE TRUSTEE SHALL NOTIFY THE STATE TREASURER Of ANY AMOUNTS DEPOSITED TO this trust fund ACCOUNT FROM PRIVATE OR LOCAL SOURCES.
2. SEGREGATE AND SEPARATELY ACCOUNT FOR THE MONIES AND may NOT COMMINGLE THE MONIES FROM THE FUND WITH MONIES FROM ANY OTHER SOURCE. THOSE MONIES must BE DESIGNATED AS A SPECIAL FUND OF THE ELIGIBLE ORGANIZATION that is SEPARATE FROM THE ORGANIZATION'S GENERAL FUND. ANY AMOUNT NOT IMMEDIATELY USED TO MEET SCHEDULED PAYMENTS OR CURRENT EXPENSES must REMAIN IN THE SPECIAL FUND, may NOT BE TRANSFERRED TO THE ORGANIZATION'S GENERAL FUND AND must BE USED ONLY FOR THE PERMITTED PURPOSES IN THE FUTURE. IF ANY AMOUNTS REMAIN AFTER THE COMPLETION OF THE ELIGIBLE EVENT, these AMOUNTS must BE RETURNED TO THE STATE TREASURER FOR DEPOSIT IN THE FUND.
D. AMOUNTS DISTRIBUTED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND ARE IN ADDITION TO ANY OTHER AMOUNTS DISTRIBUTED TO the ELIGIBLE ORGANIZATION PURSUANT TO ANY OTHER LAW.
5-1204. Eligible organizations
A. TO BE ELIGIBLE TO RECEIVE DISTRIBUTIONS FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND, AN ORGANIZATION MUST be:
1. ESTABLISHED PURSUANT TO THE LAWS OF this state.
2. THE SPONSOR of AN ELIGIBLE EVENT.
3. DESIGNATED BY THE GOVERNOR AS AN ELIGIBLE ORGANIZATION.
B. IN CONNECTION WITH THE DESIGNATION OF AN ELIGIBLE ORGANIZATION PURSUANT TO THIS SECTION, THE GOVERNOR MAY REQUEST, AND THE ORGANIZATION SHALL PROVIDE, ANY REASONABLE INFORMATION REGARDING THE ORGANIZATION'S OPERATIONS, LEGAL STRUCTURE, FINANCES, PAST PERFORMANCE AND ANY OTHER NECESSARY INFORMATION.
5-1205. Eligible events
A. AN ELIGIBLE ORGANIZATION MAY NOT SPEND MONIES FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND FOR USES OTHER THAN THOSE PERMITTED BY SECTION 5-1203 AND these monies may ONLY be spent IN CONNECTION WITH AN ELIGIBLE EVENT.
B. AN EVENT IS ELIGIBLE ONLY IF all of the following criteria are met:
1. MORE THAN sixty‑six per cent OF THE EXPECTED ATTENDEES AT THE EVENT WILL BE RESIDENTS OF OTHER STATES.
2. THE EVENT OCCURS ANNUALLY AND IS HELD IN DIFFERENT STATES IN EACH SUCCEEDING YEAR.
3. THE EVENT WILL RESULT IN TOTAL ECONOMIC ACTIVITY IN THis STATE OF AT LEAST TWO HUNDRED MILLION DOLLARS.
4. THE EVENT WILL RESULT IN AN INCREASE IN STATE GENERAL FUND REVENUES GREATER THAN THE TOTAL AMOUNT OF DISTRIBUTIONS FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND IN CONNECTION WITH THE EVENT.
5. THE GOVERNING BODY OF THE CITY OR TOWN IN WHICH THE EVENT IS TO OCCUR HAS APPROVED THE EVENT AND has approved ANY REQUIRED LOCAL EXPENDITURES FOR THE SUPPORT OF THE EVENT.
6. THE ELIGIBLE ORGANIZATION HAS SPECIFICALLY IDENTIFIED THE PRIVATE AND LOCAL GOVERNMENT SOURCES that HAVE BEEN DEDICATED TO PROVIDE FUNDING FOR THE COSTS ASSOCIATED WITH THE EVENT that are EQUAL TO ONE-THIRD OF ANY AMOUNTS TO BE REQUESTED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND. THE AMOUNT OF FUNDING FROM LOCAL GOVERNMENT SOURCES must be equivalent to at least ten per cent OF ANY AMOUNTS TO BE REQUESTED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND. THE AMOUNT OF FUNDING FROM PRIVATE SOURCES must be equivalent to AT LEAST ten per cent OF ANY AMOUNTS TO BE REQUESTED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND.
C. AN INDEPENDENT, PRIVATE ECONOMIC CONSULTING FIRM WITH AT LEAST TEN YEARS' EXPERIENCE IN THis STATE shall determine the economic activity associated with the event. the eligible organization shall pay for THE funding for the ESTIMATES OF THE ECONOMIC AND FISCAL IMPACT OF THE EVENT AND an accounting of these amounts must BE SUBMITTED TO THE GOVERNOR AND THE CHAIRMAN OF THE JOINT LEGISLATIVE BUDGET COMMITTEE.
5-1206. Authority to receive and spend distributions
IN ADDITION TO ANY OTHER POWERS CONFERRED BY LAW, AN ELIGIBLE ORGANIZATION MAY RECEIVE AND SPEND DISTRIBUTIONS FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND PURSUANT TO THIS article.
5-1207. Certification of award
A. WHEN AN ELIGIBLE EVENT HAS BEEN FINALLY AWARDED TO AN ELIGIBLE ORGANIZATION, THE CHIEF FINANCIAL OFFICER OF THE ELIGIBLE ORGANIZATION SHALL CERTIFY THE AWARD TO THE STATE TREASURER AND shall TRANSMIT A COPY OF THE CERTIFICATION TO THE AUDITOR GENERAL.
B. AS PART OF THE CERTIFICATION, THE CHIEF FINANCIAL OFFICER OF THE CITY SHALL do each of the following:
1. NOTIFY THE STATE TREASURER IF THE ORGANIZATION HAS ENTERED INTO ONE OR MORE AGREEMENTS THAT REQUIRE FUTURE SCHEDULED PAYMENTS IN CONNECTION WITH THE ELIGIBLE EVENT AND provide notification to the state treasurer of the AMOUNTS OF these PAYMENTS.
2. CERTIFY TO THE STATE TREASURER THAT THE ELIGIBLE EVENT MEETS ALL OF THE ELIGIBILITY REQUIREMENTS OF SECTION 5-1205 BEFORE ANY DISTRIBUTIONS FOR THE ELIGIBLE EVENT are made TO THE ELIGIBLE ORGANIZATION FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND.
3. CERTIFY TO THE STATE TREASURER THE TOTAL COST OF THE ELIGIBLE EVENT AND THE Portion OF THE TOTAL COST TO BE FUNDED FROM PRIVATE SOURCES AND the portion of the total cost to be funded from local SOURCES.
4. CERTIFY THAT THE COMBINEd AMOUNT OF PRIVATE AND local SOURCES EQUAL AT LEAST one‑third OF THE AMOUNT REQUESTED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND.
5-1208. Tax exemption
AN ELIGIBLE ORGANIZATION shall be considered to be PERFORMING A GOVERNMENTAL FUNCTION IN CARRYING OUT THE PURPOSES OF THIS article AND THE eligible PUBLIC FACILITY WHERE THE EVENT OCCURS shall be CONSIDERED TO BE MUNICIPAL PROPERTY FOR THE PURPOSES OF ARTICLE IX, SECTION 2, CONSTITUTION OF ARIZONA.
5-1209. Audit
WITHIN ONE YEAR after THE COMPLETION OF AN ELIGIBLE EVENT, THE AUDITOR GENERAL SHALL CONDUCT AN AUDIT OF THE USES OF ANY AMOUNTS DISTRIBUTED FROM THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND. the state treasurer shall pay THE COSTS OF THE AUDIT FROM AMOUNTS DEPOSITed IN THE ARIZONA VISITOR INDUSTRY DEVELOPMENT FUND.
