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How to pay for Chase Field repairs? Arizona bill would repurpose Diamondbacks income, sales tax revenue

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PHOENIX — The Arizona Diamondbacks could use redirected tax revenue to fix up Chase Field under a proposal state lawmakers are considering.

House Bill 2704 would repurpose existing sales tax revenue from Chase Field and income tax from baseball players to a fund to pay for ballpark repairs, upgrades and maintenance.

Lawmakers on the House panel amended and advanced the measure with bipartisan support Tuesday after hearing from supporters and opponents for nearly an hour.

The bill’s sponsor, Representative Jeff Weninger, a Republican who represents District 13, said during the House Commerce Committee hearing that the bill is an interesting solution to the longstanding dispute over how to maintain the ballpark.

“This just takes the existing tax revenue from the footprint of the stadium and reinvests it into this public asset that the public owns to make sure it’s kept up,” he said.

He also filed an 81-page amendment to the legislation, which adds a penalty if the Diamondbacks leave Arizona and requires Diamondback employees to abide by the state’s conflict-of-interest rules. Any money in the fund would also revert back to the state if the team leaves.

Revenue from non-baseball events, which Chase Field hosts more than 150 a year – goes into a reserve fund to pay for ballpark upkeep.

“But it is not enough for the $500 million worth of work that we have identified needs to be to Chase Field as soon as possible,” Amilyn Pierce, Diamondbacks vice president of government affairs, told the panel.

She said the team plans to put in $250 million to $300 million for those repairs. The Diamondbacks have already invested a separate $250 million in the ballpark, she said.

“We love our home in downtown Phoenix, and we want to remain there long after all of us are gone,” she said.

D-Backs legend Luis Gonzalez, who works for the team’s front office, told lawmakers the ballpark needs a new scoreboard and repairs to the roof, plumbing, pipes and air-conditioning.

Several groups spoke in opposition to HB 2704.

Margaret Schultz of Worker Power told committee members the bill is “a bad deal for taxpayers.”

“Let’s be clear about what is: It’s a request from the Diamondbacks’ billionaire owners for the team to capture millions of dollars in tax revenue that would otherwise go to public services,” she said.

Schultz and Joseph Palomino of the Arizona Center for Economic Progress also told lawmakers that research shows that sports stadium subsidies have limited economic impact.

Zach Shira, an assistant Maricopa County manager, said the county currently opposes the bill because of its effect on voter-approved taxes such as recently passed transportation tax, but is negotiating with lawmakers and legislative staff.

The city of Phoenix and the League of Arizona Cities and Towns also registered opposition to the measure but did not speak at the panel.

Supporters, including a local restaurant owner and business groups such as the Arizona Chamber of Commerce and Arizona Lodging and Tourism Association, said MLB games bring people downtown in the summer, when the heat melts most business.

“Those 81 regular-season home games come at a time when we see 40%, 50%, 60% decreases in business,” said Teddy Myers, the founder of restaurant group Pretty Decent Concepts.

He owns several eateries in the Warehouse District and has three under construction at the Arizona Center.

“None of this would be possible if Chase Field wasn’t downtown,” he said.

The House Commerce Committee passed HB 2704 on Tuesday with eight Republicans and Democrats voting for it, one Republican opposed and one Democrat voting “present.”

The measure now heads to the House Rules Committee.