Session of 2025
HOUSE BILL No. 2346
By Committee on Commerce, Labor and Economic Development
Requested by John Monroe on behalf of Top Gun Events and Visit OP
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AN ACT concerning economic development; establishing the Kansas
sports tourism grant program administered by the secretary of
commerce to provide grants to assist communities in developing and
continuing sporting events; creating the Kansas sports tourism grant
committee to review and determine grant awards; providing for funding
of such grants from the state economic development initiatives fund;
establishing the Kansas sports tourism program grant fund.
.
Be it enacted by the Legislature of the State of Kansas:
Section 1. There is hereby established the Kansas sports tourism grant
program, to be administered by the secretary of commerce and the sports
tourism grant committee, established by section 2, and amendments
thereto. The purpose of the Kansas sports tourism grant program shall be
to provide grants to tourism or sports-related organizations to support and
enhance sports tourism events held in Kansas, thereby assisting
communities to attract high quality sports events that generate significant
economic impact through out-of-state guest and participant spending.
Sec. 2. (a) There is hereby established the Kansas sports tourism
grant committee. The membership of the committee shall be as follows:
(1) The chairperson of the house of representatives committee on
commerce, labor and economic development;
(2) the chairperson of the senate committee on commerce;
(3) one member to be appointed by the governor;
(4) one member to be appointed by the president of the senate;
(5) one member to be appointed by the speaker of the house of
representatives;
(6) one member to be appointed by the minority leader of the senate;
and
(7) one member to be appointed by the minority leader of the house
of representatives.
(b) The chairperson of the house of representatives committee on
commerce, labor and economic development shall serve as the chairperson
of the committee in odd-numbered years. The chairperson of the senate
committee on commerce shall serve as chairperson in even-numbered
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years. Nonlegislative members shall serve terms of four years and may be
reappointed by the appointing authority. Members who are legislators shall
serve for the length of their term as a legislator and may be reappointed by
the appointing authority. Members may be replaced at any time by the
appointing authority. Any vacancy shall be filled in the same manner as the
original appointment. A quorum of the committee shall be four members.
All decisions of the committee shall be by majority vote when a quorum is
present. The secretary shall provide an employee of the department to act
as the secretary for the committee and keep record of the minutes of the
committee. Committee deliberations or portions thereof when considering
grant applications shall be closed and not open to the public at the
discretion of the chairperson. Such deliberations when closed shall be
considered discussions relating to financial affairs or trade secrets pursuant
to K.S.A. 75-4319(b)(4), and amendments thereto. Any vote by the
committee on a grant application shall be open to the public.
(c) The committee shall oversee the Kansas sport tourism grant
program in collaboration with the secretary of commerce. The committee
shall review grant applications for Kansas sport tourism grants and
determine recipients of such grants. The secretary shall award grants
approved by the committee as provided by this act.
(d) The committee shall meet at least monthly, at a time and place to
be determined by the chairperson upon consideration of convenience and
availability of the members. The secretary of commerce shall provide
meeting facilities and administrative support to the committee as
necessary. The secretary shall also provide or facilitate the provision of
information to the committee as necessary to enable the committee to
make informed decisions on grant awards.
(e) The committee shall allocate 60% of the total funds available for
grants in each year to sporting events within the state that the committee
determines will generate a minimum of $2.5 million in economic impact
and 3,000 consumed hotel room nights. The committee shall allocate 40%
of the total funds available for grants in each fiscal year to events that
generate a minimum of $250,000 in economic impact or a minimum of
500 consumed hotel room nights. To ensure that the impact of the sports
tourism grant program is realized statewide, 30% of the 40% allocated to
events generating a minimum of $250,000 or 500 hotel room nights
consumed shall be allocated to grant applicants for projects in counties
other than Johnson, Wyandotte and Sedgwick counties. The committee
shall not award grants to projects involving the national basketball
association, national football league, major league baseball, national
hockey league, major league soccer, professional women's soccer or
established Kansas residential professional sports entities.
(f) The committee shall determine and approve the amount of a grant
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and use of the grant funds for expenses listed in the grant application as
allowed by the committee. In reviewing and considering the award of
grants, the committee shall apply the application criteria set forth in
section 3, and amendments thereto.
(g) The committee shall award grants with the intent to ease the
financial burden sports destinations experience when bidding on and
hosting sports events and incentivize event owners to bring events that are
beneficial to the Kansas economy.
(h) The committee shall not routinely award grants for the purpose of
meeting operational expenses for an event that is repeated annually.
However, the committee shall give consideration to annual events that may
be moved out of Kansas because of a lack of financial support. When
considering grants for such events, the committee shall consider the
circumstances of any competitive bid process involving other out-of-state
locations.
Sec. 3. (a) Applicants for a Kansas sports tourism grant shall submit
applications to the secretary of commerce in the form and manner as
determined by the secretary. The secretary shall administer and coordinate
the grant program and communicate with grant applicants through the
application, grant award and post-award report process. The secretary shall
provide grant applications submitted to the secretary to the Kansas sports
tourism grant committee, established by section 2, and amendments
thereto, for review. Upon a decision by the committee to award a grant, the
secretary shall authorize and disburse the grant funds as awarded by the
committee to a successful applicant from the Kansas sports tourism
program grant fund, established by section 5, and amendments thereto, as
provided by this act.
(b) The committee shall consider the goals and purposes of the grant
program as provided in sections 1 and 2, and amendments thereto, when
reviewing and determining grant awards. The committee shall in addition
apply the requirements, factors and limitations applicable to grant
applications and use of grant funds set forth in this section. The secretary
shall assist the committee in determining whether an application meets
economic impact requirements as set forth in this section, including aiding
the committee in utilizing the destinations international event impact
calculator.
(c) The committee shall require that applicants obtain grant
sponsorship as further provided by this section. All events shall be held in
Kansas to be eligible for a grant. The event may be an existing recurring
event or a new planned event.
(d) For consideration by the committee, applications shall be
thorough and complete and include all necessary attachments as requested
by the secretary and the committee. Incomplete applications or an absence
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of required attachments shall not be reviewed. The committee may request
additional information prior to making a decision. Decisions by the
committee shall be final.
(e) Applications shall include a written explanation of the applicant's
purpose in applying for the grant and how grant funding would grow
sports tourism in the applicant's community, region or the state.
Applications accompanied by letters of support, especially from a grant
sponsor, may receive greater consideration by the committee.
(f) If the committee denies a grant to an applicant for an event, the
applicant shall not reapply for the same event in the same year.
(g) If the applicant is an event owner, the sports commission and
direct marketing organization in the community hosting the event shall be
required to serve as a grant sponsor. The grant sponsor shall prove tax-
exempt status by submitting a copy of the determination letter issued to the
grant sponsor's customer by the internal revenue service, officially
recognizing the customer corporation's tax-exempt status under 501(c)3 or
501(c)6 of the United States internal revenue code.
(h) Grant funds shall be used for expenses identified in the
application and approved by the committee.
(1) Expenses allowed by the committee may include:
(A) Officials' travel and housing;
(B) promotions and marketing;
(C) site fees, fees for use of rights and sanction fees;
(D) renting equipment or flooring that is required to produce the
event; and
(E) funds for supporting a bid effort, if the applicant is the bid winner.
(2) The committee shall not allow the use of grant funds for the
following expenses:
(A) Building, renovating, or remodeling a facility or purchasing
permanent equipment;
(B) debts incurred by the applicant prior to receipt of the grant;
(C) printed programs that solicit advertising;
(D) hospitality or social functions for events outside the sports event
venue that include alcohol; and
(E) expenses for travel outside of the county hosting the competition.
(i) The maximum grant award shall be limited to $150,000 per event
for a sporting event that the committee determines will generate at least $4
million in economic impact and a minimum of 4,500 consumed hotel room
nights in the local or regional Kansas market.
(j) The maximum grant award amount shall be limited to $100,000
per event for a sporting event that the committee determines will generate
at least $2.5 million in direct economic impact and a minimum of 3,000
consumed hotel room nights in the local or regional Kansas market.
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(k) The maximum grant award amount shall be limited to $50,000 per
event for a sporting event that the committee determines will generate at
least $250,000 in economic impact or generate a minimum of 500 room
nights consumed in the local or regional Kansas market.
Sec. 4. (a) As a condition of receiving a grant, an applicant shall agree
to provide a post-event report. Such report shall include:
(1) An economic impact report including:
(A) The event name;
(B) the location of the event;
(C) the start date of the event;
(D) the end date of the event;
(E) the event type;
(F) the sport or sports;
(G) information regarding an elimination tournament, if any;
(H) the number of overnight visitors;
(I) the number of day visitors, if available;
(J) the total number of hotel rooms consumed in the local or regional
Kansas market;
(K) the average nightly room rate;
(L) the average number of persons per room;
(M) the local sales tax rate; and
(N) the lodging tax rate;
(2) A report of expenses incurred by the organizer of the event,
including expenses for:
(A) Facility rental;
(B) internet web page, website or access;
(C) security;
(D) food and beverage;
(E) audio visual;
(F) referees;
(G) trainers; and
(H) any identified additional expenses.
(b) The expense report shall include proof of payment of expenses
equal to at least the amount of the grant. Accepted forms of proof of
payment shall include itemized credit card receipts, invoices with canceled
checks or credit card statements.
(c) With the assistance of a grant sponsor or the secretary of
commerce, the event owner shall provide an economic impact report
produced by the destinations international event impact calculator using
event data and attach it to the post event report.
(d) The applicant shall include a written explanation of the event
outcomes and any differences from the projected numbers, challenges and
successes, the impact on the community, and any future event plans with
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the community or any holder of rights.
Sec. 5. (a) There is hereby established in the state treasury the Kansas
sports tourism program grant fund to be administered by the secretary of
commerce. All moneys credited to the Kansas sports tourism program
grant fund shall be used by the Kansas department of commerce for
Kansas sports tourism program grants to applicants approved by the
Kansas sports tourism grant committee pursuant to the provisions of
sections 1 through 5, and amendments thereto. All expenditures from the
Kansas sports tourism program grant fund shall be made in accordance
with appropriation acts upon warrants of the director of accounts and
reports issued pursuant to vouchers approved by the secretary of
commerce or the secretary's designee.
(b) On July 1, 2025, and each July 1 thereafter, or when moneys are
available, the director of accounts and reports shall transfer $3,575,000
from the state economic development initiatives fund, established by
K.S.A. 79-4804, and amendments thereto, to the Kansas sports tourism
program grant fund.
(c) The aggregate total of grants awarded each fiscal year shall be
limited to $3,575,000.
Sec. 6. This act shall take effect and be in force from and after its
publication in the statute book.
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