9-626. Construction progress reports; auditor general performance measures
A. The eligible city shall report progress on the development of any eligible project to the joint committee on capital review twice annually during construction of the eligible project.
B. Within five years after the filing of the certificate of completion of construction of an eligible project pursuant to section 9-622, and after consultation with the eligible city, the auditor general shall conduct or contract for an economic and fiscal impact analysis of the eligible project in its fifth year of operation following the filing of the certificate of completion of construction. At a minimum, the analysis shall:
1. Estimate the effects of direct, indirect and induced economic activity in this state associated with:
(a) Regional and national conventions and trade shows held at the site of the eligible project, the total amount of state general fund revenues derived from that economic activity and the estimated average annual attendance at those events assuming:
(i) The eligible project had not been completed.
(ii) The eligible project has been completed.
(b) The construction of the eligible project and the total amount of state general fund revenues derived from the construction activity.
2. Compute the total cumulative amount of distributions pursuant to section 9-602 for the first through fifth years following the filing of the certificate of completion of construction for the eligible project pursuant to section 9-622 and from the first through each subsequent fifth year.
3. Compute the net cumulative distributions for the eligible project by subtracting the amount determined pursuant to paragraph 1, subdivision (b) of this subsection from either the amounts determined pursuant to paragraph 2 of this subsection or, if applicable, the amount of state monies paid under a lease purchase agreement pursuant to section 41-791.04.
4. Based on the analysis conducted pursuant to this subsection, estimate the minimum required attendance at the eligible project for the fifth year following the filing of the certificate of completion of construction of an eligible project pursuant to section 9-622 and each year thereafter. The estimates shall be computed as follows:
(a) Divide the total state general fund revenues estimated pursuant to paragraph 1, subdivision (a), item (ii) of this subsection by the attendance estimated pursuant to paragraph 1, subdivision (a), item (ii) of this subsection.
(b) Divide the net cumulative distribution amounts for the fifth year following the filing of the certificate of completion of construction of an eligible project pursuant to section 9-622 and each year thereafter computed pursuant to paragraph 3 of this subsection by the quotient computed pursuant to subdivision (a) of this paragraph.
(c) Add the average annual attendance estimated pursuant to paragraph 1, subdivision (a), item (i) of this subsection to each of the quotients determined pursuant to subdivision (b) of this paragraph. The resulting sums are the minimum required attendance amounts for each year.
C. Beginning in the fifth calendar year following the filing of the certificate of completion of construction of an eligible project pursuant to section 9-622 and each year thereafter, the auditor general shall:
1. Estimate the average annual attendance at regional and national conventions and trade shows held at the site of the eligible project using any appropriate method to estimate the attendance. The eligible city shall cooperate with and assist the auditor general in developing the estimates.
2. Compute the ratio of the cumulative sum of the estimated attendance amounts developed pursuant to paragraph 1 of this subsection for all years through the current year to the cumulative sum of the minimum required attendance amounts for those years computed pursuant to subsection B, paragraph 4, subdivision (c) of this section.
3. Notify the president of the senate, the speaker of the house of representatives and the governor of:
(a) The minimum required attendance amounts for those years computed pursuant to subsection B, paragraph 4, subdivision (c) of this section.
(b) The attendance estimate developed pursuant to paragraph 1 of this subsection.
(c) The ratio computed pursuant to paragraph 2 of this subsection.
D. Except as provided in paragraph 4 of this subsection, if the ratio computed pursuant to subsection C, paragraph 2 of this section is less than one:
1. The auditor general shall compute the difference between the estimated state general fund revenues and the net cumulative distributions by multiplying the net cumulative distributions computed pursuant to subsection B, paragraph 3 of this section by the difference between the ratio computed pursuant to subsection C, paragraph 2 of this section and one.
2. The auditor general shall notify the state treasurer of:
(a) The ratio computed pursuant to subsection C, paragraph 2 of this section.
(b) The difference computed pursuant to paragraph 1 of this subsection.
3. At the time of the next regularly scheduled distribution, the state treasurer shall withhold from the amount that would otherwise be distributed to the eligible city pursuant to section 42-5029 an amount equal to the amount stated in the notice received pursuant to paragraph 2 of this subsection. If the amount available for distribution is less than the amount to be withheld, the state treasurer shall continue withholding from subsequent distributions until the full amount stated in the notice has been withheld.
4. The eligible city may request and the auditor general shall conduct or contract for a complete economic and fiscal impact analysis of the eligible project. If an analysis is requested:
(a) The auditor general shall not notify the state treasurer pursuant to paragraph 2 of this subsection, and the state treasurer shall not withhold pursuant to paragraph 3 of this subsection, pending completion of the analysis.
(b) The analysis shall be similar to the analysis described in subsection B of this section, except that the analysis shall examine the operations of the eligible project in the year for which the ratio is less than one.
(c) The analysis, at a minimum, shall estimate the total cumulative incremental revenues to the state general fund resulting from the completion of the eligible project including the revenues resulting from the construction activity associated with the completion of the eligible project.
(d) And the analysis demonstrates that the total cumulative incremental revenues to the state general fund exceed the total cumulative amount of distributions pursuant to section 9-602 as computed in subsection B, paragraph 3 of this section, the auditor general shall not notify the state treasurer pursuant to paragraph 2 of this subsection and the state treasurer shall not withhold pursuant to paragraph 3 of this subsection.
(e) And the analysis demonstrates that the total cumulative incremental revenues to the state general fund are less than the total cumulative amount of distributions pursuant to section 9-602 as computed in subsection B, paragraph 3 of this section:
(i) The auditor general shall subtract the amount of the total cumulative incremental revenues to the state general fund from the amount of the total cumulative distributions.
(ii) The auditor general shall notify the state treasurer of the difference computed pursuant to item (i) of this subdivision.
(iii) At the time of the next regularly scheduled distribution, the state treasurer shall withhold from the amount that would otherwise be distributed to the eligible city pursuant to section 42-5029 an amount equal to the amount stated in the notice received pursuant to item (ii) of this subdivision. If the amount available for distribution is less than the amount to be withheld, the state treasurer shall continue withholding from subsequent distributions until the full amount stated in the notice has been withheld.
E. The eligible city shall reimburse the auditor general for any costs incurred in complying with the requirements of this section.
Section: Previous 9-604 9-605 9-621 9-622 9-623 9-624 9-625 9-626 9-801 9-802 9-803 9-804 9-805 9-806 9-807 NextLast modified: October 13, 2016