Bill Text: HI HB1532 | 2022 | Regular Session | Introduced
Bill Title: Relating To The Stadium Authority.
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2022-01-26 - Referred to ECD, JHA, FIN, referral sheet 1 [HB1532 Detail]
Download: Hawaii-2022-HB1532-Introduced.html
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
1532 |
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THIRTY-FIRST LEGISLATURE, 2022 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to the stadium authority.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that due to the extreme budget deficits resulting from the COVID-19 pandemic, the burden placed on the tax payer through the use of general obligation bonds to fund the new stadium, and the expectation of over half the state's investment into the stadium to be paid back directly by stadium revenues, additional forms of revenue generation must be considered. Granting the stadium authority the ability to sell the naming rights to Aloha Stadium provides an opportunity to generate such revenue without placing burden on the taxpayer, as the estimated cost for constructing a new stadium district is expected to exceed $350 million.
The legislature further finds that naming rights have the potential to be a significant source of income for the stadium authority. This method of revenue generation has been successfully utilized by many stadiums such as the Staples Center selling their naming rights to Crypto.com for $700 million and the city of Atlanta selling their naming rights to Philips Technology for $8.5 million. This method has also been utilized locally, the University of Hawaii at Manoa athletics department received a 10 year $5 million sponsorship for the naming rights of the Stan Sheriff Arena, renaming it to the SimpliFi Arena by Bank of Hawaii.
The legislature further finds that the revenue generated by the sale of Aloha Stadium naming rights would assist in the repayment of the current $350 million worth of tax payer dollars loaned through general obligation bonds, incentivize the completion of construction for stadium, and be one step closer in getting Hawaii back to normal.
SECTION 2. Section 109-2, Hawaii Revised Statutes, is amended to read as follows:
"§109-2 Stadium authority; powers and duties. The powers and duties of the stadium authority shall be as follows:
(1) To maintain, operate, and manage the stadium and related facilities;
(2) To prescribe and collect rents, fees, and charges for the use or enjoyment of the stadium or any of its facilities;
(3) To make and execute contracts and other instruments necessary or convenient to exercise its powers under this chapter and subject to any limitations in this chapter, to exercise all powers necessary, incidental, or convenient to carry out and effectuate the purposes and provisions of this chapter;
(4) To adopt, amend, and repeal in accordance with chapter 91 rules it may deem necessary to effectuate this chapter and in connection with its projects, operations, and facilities;
(5) To appoint a manager and a deputy manager who shall have qualifications as the authority deems necessary and who shall hold their respective offices at the pleasure of the authority. The manager and deputy manager shall be exempt from the requirements of chapters 76 and 89. Effective July 1, 2005, the manager shall be paid a salary not to exceed eighty-seven per cent of the salary of the director of human resources development. Effective July 1, 2005, the deputy manager shall be paid a salary not to exceed eighty-five per cent of the manager's salary. The manager shall have full power to administer the affairs of the stadium and related facilities, subject to the direction and approval of the authority. The manager shall, subject to the approval of the authority, have power to appoint, suspend, and discharge a secretary who shall be exempt from the requirements of chapters 76 and 89, and other employees, subordinates, and assistants as may be necessary for the proper conduct of the business of the authority. Except for persons hired on contract or otherwise as provided in section 109-3 and except for the manager, deputy manager, and secretary, all appointments, suspensions, or discharges shall be made in conformity with the applicable provisions of chapter 76; and
(6) To plan, promote, and market the stadium and related facilities.
(7) The authority may seek entities to purchase the right to name the stadium and its facilities. "
SECTION 3. New statutory material is underscored.
SECTION 4. This Act shall take effect upon its approval
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INTRODUCED BY: |
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Report Title:
Stadium, naming rights, economic recovery
Description:
Grants the Stadium Authority the ability to sell naming rights to Aloha Stadium and its facilities.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
