HB2736 - 492R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 5-808, Arizona Revised Statutes, is amended to read:

START_STATUTE5-808. Major league baseball spring training facilities; local financial participation

A. From monies in the cactus league promotion account established by section 5‑837 and the cactus league development account established by section 5-837.01, the authority may:

1. Acquire land or construct, finance, furnish, improve, market or promote the use of existing or proposed major league baseball spring training facilities that are located in the authority and other structures, utilities, roads, parking areas or buildings necessary for full use of the training facilities for sports and other purposes.

2. Do all things necessary or convenient to accomplish those purposes.

B. Monies in the cactus league promotion account:

1. May be used for the purposes of:

(a) Attracting major league baseball spring training operations to locations in the authority.

(b) Retaining major league baseball spring training operations in their current locations in the authority.

2. Shall not be used to facilitate the relocation of a major league baseball spring training operation from one location in this state to another location in this state unless either:

(a) Another major league baseball team has made contractual commitments to assure the relocation of its spring training operations from a location outside this state to the vacated facility.

(b) The relocation is to a facility located in the authority from another facility in this state that was shared with another major league baseball team.

C. Except as provided by section 5-837.01, the board shall require that any project undertaken pursuant to this section include financial participation from the county or municipality in which the project is located, from a private party or from any combination of these entities that equals or exceeds one‑half of the amount to be spent or distributed by the authority. Capital improvement monies spent by a county, municipality or private party for a purpose authorized by this section may be considered to be financial participation with respect to any project the authority may undertake.

D. For purposes of financing, designing or constructing facilities or structures, the authority is not the agent of any other party participating in the funding of the facility or structure.

E. Before undertaking the planning or construction of the first new facility under this section, the board may consider the costs of anticipated required renovations of existing facilities and shall consider such costs for subsequent new facilities. END_STATUTE

Sec. 2. Title 5, chapter 8, article 2, Arizona Revised Statutes, is amended by adding section 5-837.01, to read:

START_STATUTE5-837.01. Cactus league development account; definition

A. The authority shall maintain a cactus league development account consisting of monies transmitted to the account pursuant to sections 42-4001 and 42-4002.

B. The authority shall use the monies in the account in the following order of priority:

1. For the purpose of acquiring land for and to construct, finance and develop new major league baseball spring training facilities, or renovate existing major league baseball spring training facilities, including parking, access and utility infrastructure as provided by section 5-808:

(a) In qualifying jurisdictions that have contract or extension agreements entered into after January 1, 2010 with major league baseball franchises for spring training operations in the order in which the contract renewal or extension negotiation has been authorized by the governing body of the jurisdiction.

(b) In all other qualifying jurisdictions.

2. For any other purpose authorized by section 5-808.

C. The board shall require that any project that is financed with monies from the cactus league development account include financial participation from the qualifying jurisdiction in which the project is located, from a private party or from any combination of these entities that equals or exceeds the amount to be financed with monies from the account. Capital improvement monies spent by a qualifying jurisdiction or private party for a purpose authorized by section 5-808 may be considered to be financial participation for the purposes of this subsection.

D. The authority may pledge all or part of the monies in the account as necessary to secure bonds or other debt obligations issued by the authority for the purposes of providing monies for expenditure under this section. As nearly as practicable, the bonds issued pursuant to this subsection shall be authorized and issued in a manner consistent with article 3 of this chapter, except that the proceeds of the bonds shall be spent solely for the purposes of section 5-808.

E. For the purposes of this section, "qualifying jurisdiction" means any city, town or county in which a major league baseball franchise has established or seeks to establish a spring training operation. END_STATUTE

Sec. 3. Title 42, Arizona Revised Statutes, is amended by adding chapter 4, to read:

CHAPTER 4

SURCHARGES

ARTICLE 1. GENERAL PROVISIONS

START_STATUTE42-4001. Car rental surcharge

A. There is levied and the department of revenue shall collect a car rental surcharge in counties with a population of more than two million persons. The surcharge is in addition to other surcharges imposed pursuant to sections 5-839 and 48-4234.

B. The rate of the surcharge is:

1. _________ on each lease or rental.

2. In the case of a person who leases or rents the motor vehicle as a temporary replacement motor vehicle, ___________ on each lease or rental. For the purposes of this paragraph, "temporary replacement motor vehicle" means a vehicle loaned by a motor vehicle repair facility or dealer or rented by a person temporarily to use while the vehicle that it is replacing is not in use because of breakdown, repair, service, damage or loss.

C. The surcharge applies to the business of leasing or renting for less than one year motor vehicles that are for hire without a driver, that are designed to operate on the streets and highways of this state and that are primarily intended to carry not more than fourteen passengers, regardless of whether the vehicle is registered or licensed in this state.

D. The surcharge does not apply to the lease or rental of a motor vehicle to an automobile dealership, a repair facility, an insurance company or any other person that provides that vehicle at no charge to a person whose own motor vehicle is being repaired, adjusted or serviced.

E. The surcharge is not taxable under section 42‑5071.

F. Unless the context otherwise requires, section 42‑6102 governs the administration of a surcharge imposed under this section, which shall be reported on a form prescribed by the department of revenue. The department of revenue shall require a report of the number of lease or rental transactions and the location of each transaction and shall transmit that information to the state treasurer.

G. Monies collected pursuant to this section are received, held and managed in trust for the sole purposes described in this subsection. The state treasurer shall not commingle these revenues with any state revenues. Each month the state treasurer shall pay the amount collected pursuant to this section to the tourism and sports authority established pursuant to title 5, chapter 8 for deposit in the Cactus league development account established by section 5-837.01. END_STATUTE

START_STATUTE42-4002. Surcharge on admission to cactus league spring training events

A. There is levied and the department of revenue shall collect a surcharge on the price of admission to major league baseball spring training sporting events held in counties with a population of more than two million persons.

B. The rate of the surcharge is _______________ per cent of each paid admission to a major league baseball spring training event held in the county.

C. The surcharge is not taxable under section 42-5073.

D. Unless the context otherwise requires, section 42-6102 governs the administration of a surcharge imposed under this section, which shall be reported on a form prescribed by the department of revenue. The department of revenue shall require a report of the number of paid admissions to each major league baseball spring training event and the location of each event and shall transmit that information to the state treasurer.

E. Monies collected pursuant to this section are received, held and managed in trust for the sole purposes described in this subsection. The state treasurer shall not commingle these revenues with any state revenues. Each month the state treasurer shall pay the amount collected pursuant to this section to the tourism and sports authority established pursuant to title 5, chapter 8 for deposit in the Cactus league development account established by section 5-837.01. END_STATUTE

Sec. 4. Conditional enactment; definition

A. Sections 1, 2 and 3 of this act do not become effective unless all of the following conditions are satisfied on or before December 31, 2011:

1. One or more qualifying jurisdictions have advised the tourism and sports authority, established by title 5, chapter 8, Arizona Revised Statutes, of their desire to obtain funding as described by section 5-837.01, subsection B, paragraph 1, subdivision (a), Arizona Revised Statutes, as added by this act.

2. The qualifying jurisdiction with the highest priority under section 5-837.01, subsection B, paragraph 1, subdivision (a), Arizona Revised Statutes, as added by this act, has:

(a) Obtained all necessary governing body and voter approvals for financial participation in the major league baseball spring training facility construction, financing and development.

(b) Executed a binding agreement with at least one major league baseball franchise to lease or use the new or replacement facility for major league baseball spring training operations for a term of at least twenty years from substantial completion of construction.

3. The city or town manager of the qualifying jurisdiction described in paragraph 2 of this subsection provides written notice to the director of legislative council that the conditions described in paragraphs 1 and 2 of this subsection have been accomplished.

B. For the purposes of this section, "qualifying jurisdiction" means any city, town or county in which a major league baseball franchise has established or seeks to establish a spring training operation.