2093.E AAS 4/17/91
EHB 2093 - S COMM AMD
By Committee on Ways & Means
ADOPTED AS AMENDED 4/17/91 - Voice Vote
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 67.28.180 and 1987 c 483 s 1 are each amended to read as follows:
(1) Subject to the conditions set forth in subsections (2) and (3) of this section, the legislative body of any county or any city, is authorized to levy and collect a special excise tax of not to exceed two percent on the sale of or charge made for the furnishing of lodging by a hotel, rooming house, tourist court, motel, trailer camp, and the granting of any similar license to use real property, as distinguished from the renting or leasing of real property: PROVIDED, That it shall be presumed that the occupancy of real property for a continuous period of one month or more constitutes a rental or lease of real property and not a mere license to use or to enjoy the same.
(2) Any levy authorized by this section shall be subject to the following:
(a) Any county ordinance or resolution adopted pursuant to this section shall contain, in addition to all other provisions required to conform to this chapter, a provision allowing a credit against the county tax for the full amount of any city tax imposed pursuant to this section upon the same taxable event.
(b) In the event that any county has levied the tax authorized by this section and has, prior to June 26, 1975, either pledged the tax revenues for payment of principal and interest on city revenue or general obligation bonds authorized and issued pursuant to RCW 67.28.150 through 67.28.160 or has authorized and issued revenue or general obligation bonds pursuant to the provisions of RCW 67.28.150 through 67.28.160, such county shall be exempt from the provisions of subsection (a), to the extent that the tax revenues are pledged for payment of principal and interest on bonds issued at any time and, for class AA counties, maturing before January 1, 2013, pursuant to the provisions of RCW 67.28.150 through 67.28.160: PROVIDED, That so much of such pledged tax revenues, together with any investment earnings thereon, not immediately necessary for actual payment of principal and interest on such bonds may be used: (i) In class AA counties, for repayment either of limited tax levy general obligation bonds or of any county fund or account from which a loan was made, the proceeds from the bonds or loan being used to pay for constructing, installing, improving, and equipping stadium capital improvement projects, and to pay for any engineering, planning, financial, legal and professional services incident to the development of such stadium capital improvement projects, regardless of the date the debt for such capital improvement projects was or may be incurred; or (ii) in counties other than class AA counties, for county-owned facilities for agricultural promotion.
As used in this subsection (2)(b), "capital improvement projects" may include, but not be limited to a stadium restaurant facility, restroom facilities, artificial turf system, seating facilities, parking facilities and scoreboard and information system adjacent to or within a county owned stadium, together with equipment, utilities, accessories and appurtenances necessary thereto. The stadium restaurant authorized by this subsection (2)(b) shall be operated by a private concessionaire under a contract with the county.
(c) No city within a county exempt under subsection (2)(b) of this section may levy the tax authorized by this section so long as said county is so exempt: PROVIDED, That in the event that any city in such county has levied the tax authorized by this section and has, prior to June 26, 1975, authorized and issued revenue or general obligation bonds pursuant to the provisions of RCW 67.28.150 through 67.28.160, such city may levy the tax so long as and to the extent that the tax revenues are pledged for payment of principal and interest on bonds issued pursuant to the provisions of RCW 67.28.150 through 67.28.160.
(3) Any levy authorized by this section by a county that has levied the tax authorized by this section and has, prior to June 26, 1975, either pledged the tax revenues for payment of principal and interest on city revenue or general obligation bonds authorized and issued pursuant to RCW 67.28.150 through 67.28.160 or has authorized and issued revenue or general obligation bonds pursuant to the provisions of RCW 67.28.150 through 67.28.160 shall be subject to the following:
(a) Taxes collected under this section in any calendar year in excess of five million three hundred thousand dollars shall only be used as follows:
(i) For art museums, cultural museums, heritage
activities and projects, the arts, ((and/or)) and the
performing arts((.
(b))),
including performing arts facilities constructed by municipalities with
consideration to the proportional location of lodging facilities generating
revenues under this section: Seventy-five percent from January 1, 1991,
through December 31, 2000, and seventy percent from January 1, 2001, through
December 31, 2012;
(ii) For stadium capital improvement projects, as defined in subsection (2)(b) of this section: Nineteen percent from January 1, 1991, through December 31, 2000, and twenty-six and five-tenths percent from January 1, 2001, through December 31, 2012; and
(iii) For tourism promotion: Six percent from January 1, 1991, through December 31, 2000, and three and five-tenths percent from January 1, 2001, through December 31, 2012.
(b) At least seventy percent of moneys spent under (a)(i) of this subsection for the period January 1, 1991, through December 31, 2000, shall be used only for the purchase, design, construction, and remodeling of performing arts, visual arts, heritage, and cultural facilities, and for the purchase of fixed assets that will benefit art, heritage, and cultural organizations. For purposes of this subsection, fixed assets are tangible objects such as machinery and other equipment intended to be held or used for ten years or more. Qualifying organizations receiving moneys under this subsection must be financially stable and have at least the following:
(i) A legally constituted and working board of directors;
(ii) A record of artistic, heritage, or cultural accomplishments;
(iii) Been in existence and operating for at least two years;
(iv) Demonstrated ability to maintain net current liabilities at less than thirty percent of general operating expenses;
(v) Demonstrated ability to sustain operational capacity subsequent to completion of projects or purchase of machinery and equipment; and
(vi) Evidence that there has been independent financial review of the organization.
Only qualifying organizations under this subsection and general purpose local governments are eligible to receive the remaining moneys spent under (a)(i) of this subsection.
From the taxes distributed each year under (a)(ii) of this subsection, five hundred thousand dollars shall be used by the county to fund the capital and operating costs of youth sport facilities owned and operated by a local governmental entity. No youth sport facility is eligible for funding of capital costs under this subparagraph unless (A) the local governmental entity provides matching funds equal to twenty-five percent of the total amount of funding required and (B) the local governmental entity applies the funds to expanding the use of the facilities by persons under eighteen years of age. Funds received for operating costs may also be used to extend the hours in which the facilities are open for use and may be used to provide referees and umpires for youth sports activities. As used in this subparagraph, capital costs include the design, acquisition, construction, maintenance, and improvement of fields and facilities for youth sports activities.
(c) At least nineteen and five-tenths percent of the revenues distributed pursuant to (a)(i) of this subsection for the period January 1, 2001, through December 31, 2012, shall be deposited in an account and shall be used to establish an endowment. Principal in the account shall remain permanent and irreducible. The earnings from investments of balances in the account may only be used for the purposes of (a)(i) of this subsection.
(d) Moneys distributed to art museums, cultural museums, heritage activities and projects, the arts, and the performing arts, and moneys distributed for tourism promotion shall be in addition to and may not be used to replace or supplant any other funding by the legislative body of the county.
(e) As used in this section, "tourism promotion" includes activities intended to attract visitors for overnight stays, arts, heritage, and cultural events, and recreational, professional, and amateur sports events. Moneys allocated to tourism promotion shall be allocated to nonprofit organizations formed for the express purpose of tourism promotion in a class AA county. Such organizations shall use moneys from the taxes to promote events in all parts of the class AA county.
(f) No taxes collected under this section may be used for the operation or maintenance of a public stadium that is financed directly or indirectly by bonds to which the tax is pledged. Expenditures for operation or maintenance include all expenditures other than expenditures that directly result in new fixed assets or that directly increase the capacity, life span, or operating economy of existing fixed assets.
(((c))) (g) No ad valorem property taxes may be used
for debt service on bonds issued for a public stadium that is financed by bonds
to which the tax is pledged, unless the taxes collected under this section are
or are projected to be insufficient to meet debt service requirements on such
bonds.
(((d))) (h) If a substantial part of the operation
and management of a public stadium that is financed directly or indirectly by
bonds to which the tax is pledged is performed by a nonpublic entity or if a
public stadium is sold that is financed directly or indirectly by bonds to
which the tax is pledged, any bonds to which the tax is pledged shall be
retired.
(((e))) (i) The county shall not lease a public
stadium that is financed directly or indirectly by bonds to which the tax is
pledged to, or authorize the use of the public stadium by, a professional major
league sports franchise unless the sports franchise gives the right of first
refusal to purchase the sports franchise, upon its sale, to local government.
This subsection (3)(((e)))(i) does not apply to contracts in
existence on April 1, 1986.
If a court of competent jurisdiction declares any provision of this subsection (3) invalid, then that invalid provision shall be null and void and the remainder of this section is not affected."
"NEW SECTION. Sec. 2. This act shall take effect January 1, 1992."
EHB 2093 - S COMM AMD
By Committee on Ways & Means
ADOPTED 4/17/91 - Voice Vote
On page 1, line 4 of the title, after "facilities;" strike the remainder of the title and insert "amending RCW 67.28.180; and providing an effective date."