Bill Text: TX HB3182 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to changing eligibility requirements, limiting disbursements for eligible expenses and changing reporting requirements under the major events trust fund and events trust fund.
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2013-04-10 - Left pending in committee [HB3182 Detail]
Download: Texas-2013-HB3182-Introduced.html
By: Harper-Brown | H.B. No. 3182 |
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relating to changing eligibility requirements, limiting | ||
disbursements for eligible expenses and changing reporting | ||
requirements under the major events trust fund and events trust | ||
fund. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 5A, Chapter 1507 (S.B. 456), Acts of the | ||
76th Legislature, Regular Session, 1999 (Article 5190.14, Vernon's | ||
Texas Civil Statutes), is amended by amending Subsections (a-1), | ||
(b-1), (h), (i), (k) and (w) to read as follows: | ||
(a-1) An event included in Subsection (a)(4) of this section | ||
is eligible for funding under this section only if: | ||
(1) a site selection organization selects a site | ||
located in this state for the event after considering, through a | ||
highly competitive selection process, one or more sites that are | ||
not located in this state; | ||
(2) a site selection organization selects a site in | ||
this state as: | ||
(A) the sole site for the event; or [ |
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(B) the sole site for the event in a region | ||
composed of this state and one or more adjoining states; and | ||
(3) the event is held not more than one time in any | ||
year; and | ||
(4) the incremental increase in tax receipts | ||
determined under subsection (b) is at least $1 million. | ||
(b-1) A request for a determination of the amount of | ||
incremental increase in tax receipts specified by Subsection (b) of | ||
this section must be submitted to the comptroller not earlier than | ||
one year and not later than 45 days [ |
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the event begins. The comptroller shall base the determination | ||
specified by Subsection (b) of this section on information | ||
submitted by the local organizing committee, endorsing | ||
municipality, or endorsing county, and must make the determination | ||
not later than the 30th day after the date the comptroller receives | ||
the request and related information. | ||
(h) The funds in the Major Events trust fund may be used to | ||
pay the principal of and interest on notes issued by an endorsing | ||
municipality or endorsing county under Subsection (g) of this | ||
section and to fulfill obligations of the state or an endorsing | ||
municipality or endorsing county to a site selection organization | ||
under a game support contract or event support contract. Subject to | ||
subsection (k) of this section, the [ |
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include the payment of costs relating to the preparations strictly | ||
necessary [ |
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payment of costs of conducting the event, including strictly | ||
necessary improvements or renovations to existing facilities or | ||
other facilities and costs of acquisition or construction of new | ||
facilities or other facilities that are strictly necessary for the | ||
event. | ||
(i) A local organizing committee, endorsing municipality, | ||
or endorsing county shall provide information required by the | ||
comptroller to enable the comptroller to fulfill the comptroller's | ||
duties under this section, including annual audited statements of | ||
any financial records required by a site selection organization and | ||
data obtained by the local organizing committee, an endorsing | ||
municipality, or an endorsing county relating to attendance at the | ||
event, including estimated attendees from out of state, and to the | ||
economic impact of the event. A local organizing committee, | ||
endorsing municipality, or endorsing county must provide an annual | ||
audited financial statement required by the comptroller, if any, | ||
not later than the end of the fourth month after the date the period | ||
covered by the financial statement ends. After the conclusion of an | ||
event and on the comptroller's request, a local organizing | ||
committee, endorsing municipality, or endorsing county must | ||
provide information relating to the event, such as attendance | ||
figures, including estimated attendees from out of state, financial | ||
information, or other public information held by the local | ||
organizing committee, endorsing municipality, or endorsing county | ||
that the comptroller considers necessary. | ||
(k) The comptroller may make a disbursement from the Major | ||
Events trust fund on the prior approval of each contributing | ||
endorsing municipality or endorsing county for a purpose for which | ||
a local organizing committee, an endorsing municipality, or an | ||
endorsing county or the state is obligated under a game support | ||
contract or event support contract. If an obligation is incurred | ||
under a game support contract or event support contract to make a | ||
structural improvement to the site or to add a fixture to the site | ||
for purposes of an event and that improvement or fixture is expected | ||
to derive most of its value in subsequent uses of the site for | ||
future events, a disbursement from the trust fund made for purposes | ||
of that obligation is limited to five percent of the cost of the | ||
improvement or fixture and the remainder of the obligation is not | ||
eligible for a disbursement from the trust fund. A disbursement may | ||
not be made from the trust fund that the comptroller determines | ||
would be used for the purpose of soliciting the relocation of a | ||
professional sports franchise located in this state. | ||
(w) No [ |
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an event eligible for disbursements from the Major Events trust | ||
fund for costs associated with the event, the comptroller using | ||
existing resources shall: | ||
(1) complete a study in the market area of the event on | ||
the measurable economic impact directly attributable to the | ||
preparation for and presentation of the event and related | ||
activities; [ |
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(2) post on the comptroller's Internet website the | ||
results of the study conducted under Subdivision (1) of this | ||
subsection; and | ||
(3) not consider a subsequent request to participate | ||
in the major events trust fund program for the same event in the | ||
same endorsing municipality or endorsing county until a post event | ||
study is completed under this subsection for a preceding event. | ||
SECTION 2. Section 5C, Chapter 1507 (S.B. 456), Acts of the | ||
76th Legislature, Regular Session, 1999 (Article 5190.14, Vernon's | ||
Texas Civil Statutes) is amended by adding subsections (a-2) and | ||
(r) and amending subsections (h), (i) and (k) to read as follows: | ||
(a-2) An endorsing municipality or endorsing county may | ||
only submit one request for participation in the events trust fund | ||
program per calendar year, except for any additional event(s) that: | ||
(1) would result in a minimum of $375,000 in incremental tax | ||
gain; or | ||
(2) draw 25,000 or more out state visitors to an event. | ||
(h) The money in the Events trust fund may be used to pay the | ||
principal of and interest on notes issued by an endorsing | ||
municipality or endorsing county under Subsection (g) of this | ||
section and to fulfill obligations of the state or an endorsing | ||
municipality or endorsing county to a site selection organization | ||
under an event support contract. Subject to Subsection (k) of this | ||
section, the [ |
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relating to the preparations strictly necessary [ |
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the conduct of the event and the payment of costs of conducting the | ||
event, including strictly necessary improvements or renovations to | ||
existing facilities or other facilities and costs of acquisition or | ||
construction of new facilities or other facilities strictly | ||
necessary for the event. | ||
(i) A local organizing committee, endorsing municipality, | ||
or endorsing county shall provide information required by the | ||
comptroller to enable the comptroller to fulfill the comptroller's | ||
duties under this section, including annual audited statements of | ||
any financial records required by a site selection organization and | ||
data obtained by the local organizing committee, an endorsing | ||
municipality, or an endorsing county relating to attendance at the | ||
event, including estimated attendees from out of state, and to the | ||
economic impact of the event. A local organizing committee, | ||
endorsing municipality, or endorsing county must provide an annual | ||
audited financial statement required by the comptroller, if any, | ||
not later than the end of the fourth month after the date the period | ||
covered by the financial statement ends. After the conclusion of an | ||
event and on the comptroller's request, a local organizing | ||
committee, endorsing municipality, or endorsing county must | ||
provide information relating to the event, such as attendance | ||
figures, including estimated attendees from out of state, financial | ||
information, or other public information held by the local | ||
organizing committee, endorsing municipality, or endorsing county | ||
that the comptroller considers necessary. | ||
(k) The comptroller may make a disbursement from the Events | ||
trust fund on the prior approval of each contributing endorsing | ||
municipality or endorsing county for a purpose for which a local | ||
organizing committee, an endorsing municipality, or an endorsing | ||
county or this state is obligated under an event support contract. | ||
If an obligation is incurred under a game support contract or event | ||
support contract to make a structural improvement to the site or to | ||
add a fixture to the site for purposes of an event and that | ||
improvement or fixture is expected to derive most of its value in | ||
subsequent uses of the site for future events, a disbursement from | ||
the trust fund made for purposes of that obligation is limited to | ||
five percent of the cost of the improvement or fixture and the | ||
remainder of the obligation is not eligible for a disbursement from | ||
the trust fund. A disbursement may not be made from the trust fund | ||
that the comptroller determines would be used for the purpose of | ||
soliciting the relocation of a professional sports franchise | ||
located in this state. | ||
(r) After an event has concluded, the comptroller shall | ||
compare information submitted to the comptroller under subsection | ||
(i) relating to the actual attendance count at an event to the | ||
projected attendance count used to determine the incremental tax | ||
increase under subsection (b). If the comptroller determines that | ||
actual attendance count is significantly less than the projected | ||
attendance count, the comptroller may proportionately reduce the | ||
total amount that an endorsing municipality or endorsing county may | ||
be eligible to receive in total disbursement distributions from the | ||
trust fund. After the payment of all eligible disbursements, any | ||
excess amounts remaining in the trust fund may be refunded under | ||
subsection (m). | ||
SECTION 3. Subsections (r), (s), (t) and (u), Section 5A, | ||
Chapter 1507 (S.B. 456), Acts of the 76th Legislature, Regular | ||
Session, 1999 (Article 5190.14, Vernon's Texas Civil Statutes) are | ||
repealed. | ||
SECTION 4 The changes in law made by this Act apply only to a | ||
request submitted to the comptroller by an endorsing municipality | ||
or endorsing county under Sections 5A or 5C, Chapter 1507 (S.B. | ||
456), Acts of the 76th Legislature, Regular Session, 1999 (Article | ||
5190.14, Vernon's Texas Civil Statutes), on or after the effective | ||
date of this Act. A request submitted under Section 5A or 5C before | ||
that date is governed by the law in effect on the date the request is | ||
submitted, and that law is continued in effect for that purpose. | ||
SECTION 5. This Act takes effect September 1, 2013. |