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A08559 Summary:

BILL NOA08559
 
SAME ASSAME AS S07091
 
SPONSORKavanagh
 
COSPNSRDinowitz, Jaffee, Lifton, Ortiz, Pretlow, Zebrowski, Colton, DenDekker, Glick, Hooper, Lentol, Perry, Rivera, Cahill, Aubry, Rosenthal L, Cook, Gunther
 
MLTSPNSRGalef, Gottfried, Hevesi, Jenne, Lupardo, Magee, Peoples-Stokes, Raia, Ramos, Thiele, Titone
 
Add Art 9 Title 3-B 2860, Pub Auth L
 
Enacts the "public benefits for professional facilities act"; defines terms; provides that any state or local authority that grants any benefit, for the purpose of construction, reconstruction, repair or rehabilitation of a professional sports facility, shall, as a condition of such benefit, require that at least seven percent of all tickets for each event be sold at prices affordable to residents of the host community.
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A08559 Actions:

BILL NOA08559
 
07/10/2017referred to ways and means
12/15/2017enacting clause stricken
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A08559 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A8559
 
SPONSOR: Kavanagh (MS)
  TITLE OF BILL: An act to amend the public authorities law, in relation to enacting the "public benefits for professional facilities act"   PURPOSE: The primary purpose of this bill is to provide an accounting of all benefits that any state or local authority has granted for the purpose of construction, reconstruction, repair, or rehabilitation of a profes- sional sports facility to the legislature, and to condition such bene- fits on an affordable ticket agreement.   SUMMARY OF PROVISIONS: Section one is the title of bill. Section two of the bill amends the public authorities law by adding a new title 3-B, Section 2860 which requires that the Empire state devel- opment corporation shall publish on its website and provide to the legislature an accounting of all benefits that any state or local authority has granted or obligated itself to grant for the purpose of construction, reconstruction, repair, or rehabilitation of a profes- sional sports facility and requires the Empire State development corpo- ration to publish on its website and provide to the legislature an update of such accounting by February fifteenth of each year. This section also requires state and local authorities to condition any such benefit on an affordable ticket agreement requiring the recipient of the benefit to offer seven percent of tickets sold to any sporting event at affordable prices and limits ticket price increases, in certain circum- stances, to no more than two percent annually for the next ten years. Affordable is defined by this section as being within the economic abil- ity of persons whose income is at or below sixty percent of the area median income for a four-person household. Section two also includes anti-scalping provisions to prevent the resale of tickets subject to t he agreement at prices above face value. Section three of the bill sets forth the effective date.   JUSTIFICATION: Public authorities often provide enormous subsidies for construction, reconstruction, repair, or renovation of sports facilities. In the past decade in New York City alone, public authorities have provided subsi- dies for the construction of Yankee Stadium, Citi Field, and the Barclays Center to the tune of hundreds of millions of dollars. The rationale for providing these subsidies is that the facilities thus created and maintained provide a benefit to the general public. While such benefit may take many forms, the basic purpose of these facili- ties--serving as a venue for spectator sporting events is often out of reach for New Yorkers with modest means. This bill would make affordable tickets a required part of the public benefit we expect when we subsi- dize these projects.   FISCAL IMPACT ON THE STATE: None.   FISCAL IMPACT ON LOCALITIES: None.   IMPACT ON REGULATION OF BUSINESSES AND INDIVIDUALS: Any professional sports facility that receives a public benefit shall require that at least seven percent of all tickets for each event be subject to an affordable ticket agreement. Further restrictions are placed on increases in ticket prices for events at such facilities under certain circumstances.   IMPACT ON FINES, IMPRISONMENT, FORFEITURE OF RIGHTS, OR OTHER PENAL SANCTIONS: None.   LEGISLATIVE HISTORY: 2016: A05611 (Kavanagh) Ways and Means 2015: A05611 (Kavanagh) Ways and Means 2014: A00295 (Kavanagh) Ways and Means 2013: A00295 (Kavanagh) Ways and Means 2012: A05987 (Kavanagh) Ways and Means 2011: A05987 (Kavanagh) Ways and Means 2010: A0508A (Kavanagh) Rules 2009: A0508A (Kavanagh) Ways and Means   EFFECTIVE DATE: This act shall take effect immediately.
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A08559 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          8559
 
                               2017-2018 Regular Sessions
 
                   IN ASSEMBLY
 
                                      July 10, 2017
                                       ___________
 
        Introduced  by M. of A. KAVANAGH, DINOWITZ, JAFFEE, LIFTON, ORTIZ, PRET-
          LOW, ZEBROWSKI,  COLTON,  DenDEKKER,  GLICK,  HOOPER,  LENTOL,  PERRY,
          RIVERA,  CAHILL, AUBRY, ROSENTHAL, COOK, GUNTHER -- Multi-Sponsored by
          -- M. of A. GALEF, GOTTFRIED, HEVESI, JENNE, LUPARDO, MAGEE,  PEOPLES-
          STOKES,  RAIA,  RAMOS, THIELE, TITONE -- read once and referred to the
          Committee on Ways and Means
 
        AN ACT to amend the public authorities law, in relation to enacting  the
          "public benefits for professional facilities act"
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Short title. This act shall be known and may  be  cited  as
     2  the "public benefits for professional facilities act".
     3    §  2.  Article  9 of the public authorities law is amended by adding a
     4  new title 3-B to read as follows:
     5                                   TITLE 3-B
     6                 PUBLIC BENEFITS FOR PROFESSIONAL FACILITIES
     7  Section 2860. Professional facilities.
     8     § 2860. Professional facilities.  1. No later than ninety days  after
     9  the  effective  date  of  this subdivision, the Empire state development
    10  corporation shall publish on its website and provide to the  legislature
    11  an  accounting  of  all  benefits  that any state or local authority has
    12  granted or obligated itself to grant for the  purpose  of  construction,
    13  reconstruction, repair or rehabilitation of a professional sports facil-
    14  ity.  Such  accounting  shall include all such benefits granted or obli-
    15  gated to be granted at any time on or after January first, two  thousand
    16  eleven.  Thereafter,  the  Empire  state  development  corporation shall
    17  publish on its website and provide to the legislature an update of  such
    18  accounting  by  February  fifteenth  of  each  year, covering the period
    19  ending December thirty-first of the preceding year. Any state  or  local
    20  authority that has granted or obligated itself to grant any such benefit
    21  shall  report  the terms of such benefit to the Empire state development
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01589-01-7

        A. 8559                             2
 
     1  corporation no later than the earlier of the date the benefit is granted
     2  or the date the benefit is obligated to be granted.
     3    2.  For  the  purposes of this section, the following terms shall have
     4  the following meanings:
     5    (a) "Benefit" shall mean any direct or indirect grant  of  funds,  tax
     6  reductions,  tax  preferences, subsidies, payments in lieu of any tax or
     7  tax obligation, or any other form of public support.
     8    (b) "Affordable" shall mean within the  economic  ability  of  persons
     9  whose  income is at or below sixty percent of the area median income for
    10  a four-person household to purchase tickets without economic hardship.
    11    (c) "Affordable ticket agreement" shall mean a binding agreement among
    12  the state or local authority granting a benefit, the recipient  of  such
    13  benefit,  and  any  other party necessary to give such agreement effect,
    14  the terms of which are publicly disclosed  not  less  than  thirty  days
    15  before the state or local authority grants any benefit or undertakes any
    16  obligation  to  grant  such  benefit.    Such  agreement  shall  include
    17  provisions to prevent resale of tickets  subject  to  the  agreement  at
    18  prices above face value.
    19    3.  Any  state  or  local  authority  that grants any benefit, for the
    20  purpose of construction, reconstruction, repair or rehabilitation  of  a
    21  professional  sports  facility,  shall,  as a condition of such benefit,
    22  require that at least seven percent of all tickets  for  each  event  be
    23  subject  to  an  affordable  ticket agreement. Furthermore, such benefit
    24  shall be conditioned upon a facility policy  that  limits  ticket  price
    25  increases  to  no more than two percent annually for the next ten years,
    26  if at any time in the last three years season or individual tickets have
    27  been offered for sale with cumulative price increases of more than thir-
    28  ty percent.
    29    § 3. This act shall take effect immediately.
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