House Research Bill Summary

 

File Number: H.F. 1582

Date: January 9, 2004

Version: As Introduced

Status: Governmental Operations and Veterans Affairs Committee

Authors: Kahn and Others

Subject: Community Ownership of Minnesota Twins

Analyst: Mark Shepard, 651-296-5051

 

This publication can be made available in alternative formats upon request. Please call 651-296-6753 (voice); or the Minnesota State Relay Service at 1-800-627-3529 (TTY) for assistance. Summaries are also available on our website at: www.house.leg.state.mn.us/hrd/hrd.htm.

 

 

Overview

Proposes a process for establishing community ownership of the Minnesota Twins.

Section

 

1         

Purpose. States legislative findings and purpose for community ownership of a professional baseball franchise.

2         

Acquisition.

Subd. 1. Authority. Provides that the governor and the metropolitan sports facilities commission must attempt to provide for community ownership of the Minnesota Twins. Requires the governor and commission to attempt to work with the Twins and a community foundation or nonprofit corporation to transfer ownership of the Twins to the foundation or corporation by gift or sale. Requires development of a plan to offer shares of the franchise to the general public.

Subd. 2. Conditions. Requires the commission to attempt to conform with the following principles:

}     Within one year of transfer to the foundation or nonprofit corporation the foundation or corporation should offer the team for sale, as provided.

 

}     There should be two classes of shares. Class A shares will give owners full voting rights; Class B shares will give owners the right to vote only on relocation of the franchise.

}     A private managing partner must be selected to operate the franchise, and should own less than half the class A stock.

}     At least 50 percent of the class A stock should be dispersed in a manner such that no person or entity owns more than one percent.

}     The governing documents should provide that the franchise may not move outside of the state without approval of 80 percent of the shares of class A stock, and 80 percent of the shares of class B stock.

}     Within one year of transfer of ownership to the foundation or nonprofit corporation, the commission should determine if subscriptions for purchase of class A stock are sufficient to purchase 75 percent of the class A shares not owned by the managing partner. The community foundation or nonprofit corporation should have the right to sell its interest in the franchise if less than 75 percent of the class A stock not held by the managing partner is not sold within a year.

Subd. 3. Prohibition. Except as outlined by this section, prohibits a state agency from spending money from a state fund to generate revenue under this section or to provide operating support for a professional baseball franchise.

3         

Effective date. Effective the day following final enactment.