Bill Text: CA SB156 | 2011-2012 | Regular Session | Amended

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Bill Title: Professional sports teams and facilities.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2012-01-31 - Returned to Secretary of Senate pursuant to Joint Rule 56. [SB156 Detail]

Download: California-2011-SB156-Amended.html

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BILL NUMBER: SB 156	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JULY 14, 2011
	AMENDED IN SENATE  MARCH 29, 2011
	AMENDED IN SENATE  MARCH 15, 2011

INTRODUCED BY   Senator Emmerson
    (   Principal  
coauthors:   Assembly Members  
Cook    and Silva 
 ) 
    (   Coauthor:   Senator
  Cannella   ) 
    (   Coauthors: 
Assembly Members   Gorell, 
   Harkey,   
 Jeffries,     Nestande,
    and Wagner   )


                        FEBRUARY 2, 2011

    An act to repeal and amend Sections 17053.80 and 23623 of
the Revenue and Taxation Code, relating to taxation, to take effect
immediately, tax levy.   An act to add Section 53065.10
to the Government Code, relating to sports teams and faciliti 
 es. 



	LEGISLATIVE COUNSEL'S DIGEST


   SB 156, as amended, Emmerson.  Income tax: credits:
full-time employees: hires.   Professional sports teams
and facilities.  
   Existing law generally lists the powers common to cities,
counties, and other agencies. Existing law sets forth generally the
authority and duties of local agencies in the issuance and repayment
of revenue bonds with respect to public works within their
jurisdiction. Existing law grants local agencies various powers to
secure certain types of bond investments. 
   This bill would require a professional sports team that will
benefit from the issuance and sale of bonds by a public agency to
post a bond or other undertaking at the time of issuance of the bonds
in an amount adequate to ensure that all of the team's obligations
under a financial agreement will be satisfied in the event the
professional sports team subsequently relocates.  
   This bill would provide that the sale by a public agency of a
specified type of revenue bond affecting sports facilities may not
proceed until the California Debt and Investment Advisory Commission
has assessed and reported to the public agency on the future
financial risk imposed on the taxpayers by the sale.  
   The Personal Income Tax Law and the Corporation Tax Law authorize
various credits against the taxes imposed by those laws, including a
credit for taxable years beginning on or after January 1, 2009, in
the amount of $3,000 for each full-time employee hired by a qualified
employer. Those laws define "qualified employer" as a taxpayer that
employed 20 or fewer employees as of the last day of the preceding
taxable year.  
   This bill would, under both laws, for taxable years beginning on
or after January 1, 2012, expand the definition of "qualified
employer" to mean a taxpayer that employed 50 or fewer employees as
of the last day of the preceding taxable year.  
   This bill would require the Franchise Tax Board to report to the
Legislature, on or before January 1, 2013, the number of employers
that were allowed a credit, the amount of credits utilized and
carried over, and the average number of employees hired, in
connection with the above-described provisions.  
   This bill would include a change in state statute that would
result in a taxpayer paying a higher tax within the meaning of
Section 3 of Article XIII A of the California Constitution, and thus
would require for passage the approval of 2/3 of the membership of
each house of the Legislature.  
   This bill would take effect immediately as a tax levy. 
   Vote:  2/3   majority  . Appropriation:
no. Fiscal committee: yes. State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 53065.10 is added to the 
 Government Code  , to read:  
   53065.10.  (a) A professional sports team that will benefit from
the issuance and sale of bonds by a public agency shall, at the time
of issuance, post a bond or other undertaking in an amount adequate
to ensure that all of the team's obligations under a financial
agreement will be satisfied in the event the professional sports team
subsequently relocates.
   (b) If a public agency redeems existing revenue bonds that were
issued to finance improvements at a sports facility by executing a
new revenue bond issuance to finance improvements at a new sports
facility in which the debt would be secured by revenue generated by
the use of the new facility, and the revenue generated by the new
facility would also be used to retire the earlier indebtedness, the
bond sale may not proceed until the California Debt and Investment
Advisory Commission has assessed and reported to the public agency on
the future financial risk imposed on the taxpayers by the sale.
 All matter omitted in this version of the bill appears in the
bill as amended in the Senate, March 29, 2011. (JR11)