Relating to economic development by establishing the Iowa major events and tourism program and fund, modifying the sports tourism and marketing infrastructure program, and making appropriations

The financial assistance includes payment or reimbursement of costs incurred by the entity to apply or bid for selection as the site event, to plan or conduct the event, and to pay or reimburse any related fees including hosting fees, sanctioning fees, participation fees, operational fees, and bid fees. The bill defines “entity” to mean an Iowa nonprofit organization established to promote economic development and tourism in an area. The bill defines “event” to mean a tourism-oriented athletic contest, convention, music festival, or art festival. The bill requires the authority to establish eligibility criteria for the program by rule. The eligibility criteria must include the requirement that the entity be currently involved in the bidding and selection process for the event the application is based upon; and that the entity must submit an economic analysis of the event with the entity’s application that includes but is not limited to projected hotel and motel room occupancies, and the projected number of attendees the event attracts from this state, other states, and other countries. An application is deemed to meet all eligibility criteria if the state is selected as the event site after a highly competitive bidding and selection process involving sites in other states, if this state serves as the sole site for the event, or if the sole site for the event involves a geographical region that includes this state and one or more contiguous states. If an entity’s application meets the eligibility criteria established in the bill, the staff of the authority must perform an evaluation of the application and forward the application and evaluation to the economic development authority board (board). In evaluating an application, the bill requires the authority to consider the impact on the economy, the potential to attract visitors, advertising and media coverage, public-to-private investment ratios, and the quality, size, and scope of the event. Upon review of the staff evaluation, the board may approve, deny, defer, or modify the application. The bill allows the board and the authority to negotiate with the entity regarding the details of the event and the amount and terms of the financial assistance. An application remains eligible for consideration by the board for up to two years from the date of receipt of the application by the board. The bill requires applicants to demonstrate the ability to provide matching funds equal to at least percent of the financial assistance awarded to the applicant. The bill requires the authority to establish a fund for the purposes of providing financial assistance under the program. The authority may administer the fund as a revolving fund. Moneys in the fund that remain unencumbered or unobligated at the close of the fiscal year do not revert and remain available until the close of the fiscal year following the succeeding fiscal year. Moneys in the fund that are encumbered or obligated pursuant to financial assistance awarded under the program shall be disbursed by the authority within five years of the date of encumbrance or obligation, or the moneys shall revert to the state treasury. Moneys in the fund are appropriated to the authority to provide financial assistance to an entity under the program. An entity that is awarded financial assistance pursuant to the bill is not eligible to receive financial assistance under the sports tourism infrastructure program. DIVISION II —— APPROPRIATIONS FROM SPORTS WAGERING RECEIPTS FUND. In FY 2024-2025, the bill appropriates $15 million from the sports receipts wagering fund to the Iowa major tourism events and tourism fund. DIVISION III —— SPORTS TOURISM MARKETING PROGRAM AND FUND —— REPEAL. The bill modifies the sports tourism marketing and infrastructure program by repealing the sports tourism marketing program and fund. The bill retains the sports tourism infrastructure program and fund. Upon the effective date of the division, the bill transfers the remaining moneys in the sports tourism marketing program fund to the Iowa major events and tourism program fund.