HB4152 - 104th General Assembly
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| 1 | AN ACT concerning government. | |||||||||||||||||||||||||||
| 2 | Be it enacted by the People of the State of Illinois, | |||||||||||||||||||||||||||
| 3 | represented in the General Assembly: | |||||||||||||||||||||||||||
| 4 | Section 1. Short title. This Act may be cited as the | |||||||||||||||||||||||||||
| 5 | Stadium Transparency and Responsible Spending Act. | |||||||||||||||||||||||||||
| 6 | Section 5. Purpose. The purpose of this Act is to ensure | |||||||||||||||||||||||||||
| 7 | that any taxpayer-supported deal for a professional sports | |||||||||||||||||||||||||||
| 8 | stadium in Illinois is transparent, fiscally responsible, and | |||||||||||||||||||||||||||
| 9 | publicly vetted and to ensure that taxpayers, schools, and | |||||||||||||||||||||||||||
| 10 | local services are protected from hidden costs. | |||||||||||||||||||||||||||
| 11 | Section 10. Definitions. In this Act: | |||||||||||||||||||||||||||
| 12 | "Franchise" means a professional sports team or the owner | |||||||||||||||||||||||||||
| 13 | of a professional sports team. | |||||||||||||||||||||||||||
| 14 | "Professional sports stadium" means a stadium, arena, or | |||||||||||||||||||||||||||
| 15 | other structure or set of structures for the holding of (i) | |||||||||||||||||||||||||||
| 16 | athletic contests or events, including, without limitation, | |||||||||||||||||||||||||||
| 17 | baseball, football, hockey, or automobile racing; (ii) musical | |||||||||||||||||||||||||||
| 18 | events, dramatic events, or other artistic events; or (iii) | |||||||||||||||||||||||||||
| 19 | social events, public meetings, or other public events. | |||||||||||||||||||||||||||
| 20 | "Professional sports stadium" includes practice fields or | |||||||||||||||||||||||||||
| 21 | other areas where a professional sports team may practice or | |||||||||||||||||||||||||||
| 22 | perform. "Professional sports stadium" also includes the | |||||||||||||||||||||||||||
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| 1 | following types of property if that property is directly | ||||||
| 2 | related to a stadium, arena, or other structure or set of | ||||||
| 3 | structures for the holding of athletic contests or events, | ||||||
| 4 | musical events, dramatic events, other artistic events, social | ||||||
| 5 | events, public meetings, or other public events: (i) offices, | ||||||
| 6 | parking lots and garages, landscaping and open spaces, access | ||||||
| 7 | roads, transportation facilities, restaurants, and stores; | ||||||
| 8 | (ii) other recreation areas; (iii) other property or | ||||||
| 9 | structures, including all fixtures, furnishings, and | ||||||
| 10 | appurtenances normally associated with such facilities. | ||||||
| 11 | "Professional sports team" includes any National Football | ||||||
| 12 | League (NFL) team, any Major League Baseball (MLB) team, any | ||||||
| 13 | National Basketball Association (NBA) team, any National | ||||||
| 14 | Hockey League (NHL) team, any Major League Soccer (MLS) team, | ||||||
| 15 | or any other major league professional sports team. | ||||||
| 16 | "Professional sports team" does not include any Minor League | ||||||
| 17 | Baseball team, any American Association of Professional | ||||||
| 18 | Baseball team, any Frontier League Baseball team, any Prospect | ||||||
| 19 | League Baseball team, any American Hockey League team, any | ||||||
| 20 | Southern Professional Hockey League team, any National | ||||||
| 21 | Basketball Association G League (NBA G League) team, or any | ||||||
| 22 | other minor league or semiprofessional sports team. | ||||||
| 23 | "Stadium agreement" means an agreement that is between a | ||||||
| 24 | State or local authority and a franchise; that grants | ||||||
| 25 | subsidies, tax abatements, or financial incentives for the | ||||||
| 26 | construction, renovation, or operation of a professional | ||||||
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| 1 | sports stadium; that requires more than $25,000,000 in total | ||||||
| 2 | public cost; and that is executed after the effective date of | ||||||
| 3 | this Act. | ||||||
| 4 | "State or local authority" means the Illinois Sports | ||||||
| 5 | Facilities Authority, the Downstate Illinois Sports Facilities | ||||||
| 6 | Authority, a public building commission, a State agency, a | ||||||
| 7 | unit of local government, or a school district. "State or | ||||||
| 8 | local authority" includes a governmental owner as defined in | ||||||
| 9 | the Illinois Sports Facilities Authority Act. | ||||||
| 10 | "Unit of local government" has the meaning given to that | ||||||
| 11 | term in Section 1 of Article VII of the Illinois Constitution. | ||||||
| 12 | Section 15. Full agreement disclosure. No State or local | ||||||
| 13 | authority may enter into, amend, or renew a stadium agreement | ||||||
| 14 | unless the full text of the stadium agreement is posted on its | ||||||
| 15 | website for free public viewing for at least 30 days before the | ||||||
| 16 | stadium agreement is entered into, amended, or renewed by the | ||||||
| 17 | State or local authority. | ||||||
| 18 | Section 20. Independent economic analysis. At least 30 | ||||||
| 19 | days before a stadium agreement is entered into, amended, or | ||||||
| 20 | renewed, the Commission on Government Forecasting and | ||||||
| 21 | Accountability shall prepare and post on its website for free | ||||||
| 22 | public viewing a report containing a neutral cost-benefit | ||||||
| 23 | analysis of the stadium agreement. The cost of producing the | ||||||
| 24 | report shall be paid for by the franchise that is a party to | ||||||
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| 1 | the stadium agreement. The analysis contained within the | ||||||
| 2 | report must evaluate the 20-year fiscal impact of the stadium | ||||||
| 3 | agreement, including the impact of the stadium agreement on | ||||||
| 4 | tax revenues, infrastructure costs, and local service demands. | ||||||
| 5 | Section 25. Public hearings. | ||||||
| 6 | (a) A State or local authority shall hold no fewer than 2 | ||||||
| 7 | public hearings in the affected community at least 30 days | ||||||
| 8 | before the State or local authority enters into, amends, or | ||||||
| 9 | renews a stadium agreement. | ||||||
| 10 | (b) At the public hearings under this Section, school | ||||||
| 11 | districts, libraries, and public safety agencies must be | ||||||
| 12 | invited to testify regarding revenue impacts of the proposed | ||||||
| 13 | stadium agreement. | ||||||
| 14 | Section 30. No net loss for schools and services. If a | ||||||
| 15 | stadium agreement reduces property tax revenues through | ||||||
| 16 | abatements or assessment freezes, the franchise must reimburse | ||||||
| 17 | public schools, public libraries, or public fire, police, or | ||||||
| 18 | emergency services for any loss of funding that results from | ||||||
| 19 | the reduction of property tax revenue under the stadium | ||||||
| 20 | agreement. | ||||||
| 21 | Section 35. Clawback provisions. If a franchise relocates | ||||||
| 22 | or fails to meet community or economic commitments set forth | ||||||
| 23 | in a stadium agreement, the franchise must repay in full all | ||||||
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| 1 | subsidies awarded to the franchise under the stadium agreement | ||||||
| 2 | with the greater of (i) interest of 5% compounded annually | ||||||
| 3 | from the earliest of the date of breach of the stadium | ||||||
| 4 | agreement by the franchise, the date of relocation of the | ||||||
| 5 | franchise, or the date of failure by the franchise to meet | ||||||
| 6 | community or economic commitments set forth in the stadium | ||||||
| 7 | agreement or (ii) interest as set forth in the stadium | ||||||
| 8 | agreement. | ||||||
| 9 | Section 40. Annual public reporting. Any franchise | ||||||
| 10 | receiving subsidies under a stadium agreement must post on its | ||||||
| 11 | website annual reports on (i) the number of jobs created, | ||||||
| 12 | specifying any full-time or temporary jobs created; (ii) the | ||||||
| 13 | tax revenue generated; and (iii) the community benefits | ||||||
| 14 | delivered. The franchise shall post these reports on its | ||||||
| 15 | website for free public viewing. | ||||||
| 16 | Section 45. Enforcement. | ||||||
| 17 | (a) The Attorney General shall enforce the provisions of | ||||||
| 18 | this Act. | ||||||
| 19 | (b) The Commission on Government Forecasting and | ||||||
| 20 | Accountability may audit any State or local authority for | ||||||
| 21 | compliance with this Act. | ||||||
| 22 | Section 70. The Public Building Commission Act is amended | ||||||
| 23 | by adding Section 23.7 as follows: | ||||||
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| 1 | (50 ILCS 20/23.7 new) | ||||||
| 2 | Sec. 23.7. Conflicts with the Stadium Transparency and | ||||||
| 3 | Responsible Spending Act. In the event of a conflict between | ||||||
| 4 | any provision of this Act and the Stadium Transparency and | ||||||
| 5 | Responsible Spending Act, the Stadium Transparency and | ||||||
| 6 | Responsible Spending Act shall control notwithstanding any | ||||||
| 7 | other provisions of this Act. | ||||||
| 8 | Section 75. The Illinois Municipal Code is amended by | ||||||
| 9 | adding Section 11-68-8 as follows: | ||||||
| 10 | (65 ILCS 5/11-68-8 new) | ||||||
| 11 | Sec. 11-68-8. Conflicts with the Stadium Transparency and | ||||||
| 12 | Responsible Spending Act. In the event of a conflict between | ||||||
| 13 | any provision of this Act and the Stadium Transparency and | ||||||
| 14 | Responsible Spending Act, the Stadium Transparency and | ||||||
| 15 | Responsible Spending Act shall control notwithstanding any | ||||||
| 16 | other provisions of this Act. | ||||||
| 17 | Section 80. The Illinois Sports Facilities Authority Act | ||||||
| 18 | is amended by adding Section 23 as follows: | ||||||
| 19 | (70 ILCS 3205/23 new) | ||||||
| 20 | Sec. 23. Conflicts with the Stadium Transparency and | ||||||
| 21 | Responsible Spending Act. In the event of a conflict between | ||||||
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| 1 | any provision of this Act and the Stadium Transparency and | ||||||
| 2 | Responsible Spending Act, the Stadium Transparency and | ||||||
| 3 | Responsible Spending Act shall control notwithstanding any | ||||||
| 4 | other provisions of this Act. | ||||||
| 5 | Section 85. The Downstate Illinois Sports Facilities | ||||||
| 6 | Authority Act is amended by adding Section 110 as follows: | ||||||
| 7 | (70 ILCS 3210/110 new) | ||||||
| 8 | Sec. 110. Conflicts with the Stadium Transparency and | ||||||
| 9 | Responsible Spending Act. In the event of a conflict between | ||||||
| 10 | any provision of this Act and the Stadium Transparency and | ||||||
| 11 | Responsible Spending Act, the Stadium Transparency and | ||||||
| 12 | Responsible Spending Act shall control notwithstanding any | ||||||
| 13 | other provisions of this Act. | ||||||
