H-4270              _______________________________________________

                                          SUBSTITUTE HOUSE BILL NO. 2774

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By House Committee on Trade & Economic Development (originally sponsored by Representatives Rasmussen, Cantwell, Doty, Schoon, Rector, Jesernig, Moyer, Kirby, Wineberry, Raiter, G. Fisher, Tate, Youngsman, P. King, Ferguson, Winsley, Dorn, Betrozoff and Sayan)

Read first time 1/31/90.

AN ACT Relating to economic impact studies of sports events; adding new sections to chapter 43.63A RCW; creating new sections; and making an appropriation.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.     The legislature finds that sports events and sports-related capital facilities can be a source of economic benefit to host communities, and that hosting sports events can be a useful element in a community's economic development strategy.  The legislature also finds that accurate, reliable, and comparable information on the economic impact of sports events and sports-related capital facilities is necessary for the legislature to determine which sports events should be supported by the state.

NEW SECTION. Sec. 2.     (1) The department of community development shall consult with experts in the field of economic impact analyses at the University of Washington and in the private sector to design a model for measuring the economic impact of sports events and of sports-related capital facilities.  The studies shall estimate the direct and indirect economic impact of a sports event or a sports-related capital facility on the local host community, the respective county and region of the state, and the state.  The department shall also develop the capability to perform follow-up analyses after an event to verify the actual economic impact.

          (2) The department shall evaluate consistent definitions of terms and methodology that could be used in the economic impact studies, and that allow comparison between sports events.

NEW SECTION. Sec. 3.     The department shall recommend an application process or processes for requests for state funding for sports events and for sports-related capital facilities and consider the appropriate role of an advisory committee or board to evaluate and process the applications.

          The criteria to be considered in each application shall include, but not be limited to:  The expected direct and indirect economic impact, the types, sources, and duration of expected employment opportunities that will be created in the host area, the benefits that will accrue to the local host community, the respective county and region of the state, and the state, the probability of the financial success of the event, and the availability of other sources of funding.

          The department shall consult with the office of financial management, the legislature's fiscal committees, the house of representatives trade and economic development committee, the senate economic development and labor committee, the department of trade and economic development, the business community, promoters of major sports franchises, promoters of sports events, and local organizations involved in sports development regarding the economic impacts of sports events and sports-related capital facilities and the design of the application process.

NEW SECTION. Sec. 4.     The department, to the extent resources permit, shall:

          (1) Develop current information on sports development activities in Washington state and on the organizations, both public and private, that are involved in sports development;

          (2) Develop current information on sports development activities in the United States and the organizations, both public and private, that are involved in sports development; and

          (3) Survey and list the location, type, condition, and capacity of existing sports facilities in Washington state.

NEW SECTION. Sec. 5.     The department shall report on the economic impact model and present its recommendation for an application process or processes to the legislative fiscal committees, the trade and economic development committee in the house of representatives, and the economic development and labor committee in the senate, by January 1991.

NEW SECTION. Sec. 6.     The sum of eighty thousand dollars, or as much thereof as may be necessary, is appropriated for the biennium ending June 30, 1991, from the general fund to the department of community development for the purposes of this act.

NEW SECTION. Sec. 7.     Sections 2 through 4 of this act are each added to chapter 43.63A RCW.