PHOENIX — Republican lawmakers are working to sidestep a court challenge that has kept $15.3 million earmarked for improvements at the Prescott rodeo grounds locked up for more than two years.
They are wrangling with how to craft a plan to get the money to the rodeo despite differing opinions on how to legally do it.
The money included in the state budget that passed in 2023 has been sitting in the state treasurer’s bank account since a lawsuit was filed that year. The suit alleges the Legislature violated a provision in the state constitution forbidding the state from making a gift of public money to a private group — in this case, the nonprofit that runs the Prescott Frontier Days rodeo.
Prescott Frontier Days.
Maricopa County Superior Court Judge Scott Blaney heard arguments on the case March 3 and is expected to rule any day on whether the spending violates the constitution. If he finds the Legislature acted illegally, the money reverts to the state general fund under a provision included in last year’s budget.
Two Republican lawmakers who represent the Prescott area, Sen. Mark Finchem and Rep. Quang Nguyen, want to ensure the money gets to the rodeo — even if the court rules in favor of the two Prescott residents who sued.
But they and lawyers for the House and Senate disagree on just how to legally do that.
Finchem wants to simply redirect the money to the city of Prescott, which owns the rodeo grounds and has a $40 million plan to repair and renovate major parts of the facility that dates to 1913, with the grandstand built in 1933.
His plan passed the Senate on a 17-2 vote last month, garnering two votes from minority Democrats to counter the objections of two Republicans who opposed Senate Bill 1583. That sent the bill to the House for action.
On Monday, the House Appropriations Committee took up the bill, with Finchem imploring the panel to approve it without changes. He noted the Prescott Frontier Days Foundation has spent $250,000 on legal fees.
“What the underlying bill does is, No. 1, would make the case that’s currently before the court moot because it would eviscerate the whole argument that you can’t give money to a private entity,’’ Finchem said. “It would redirect the funds to the city of Prescott for management and improvements of the rodeo grounds themselves.’’
Instead, the committee replaced Finchem’s language with an amendment crafted by Nguyen.
His plan also sends the money to the city instead of the “nonprofit volunteer organization’’ that runs the rodeo. But it does so only if a court finds the 2023 appropriation that was meant for the Prescott Frontier Days to fix up the rodeo grounds was illegal.
Prescott Mayor Phil Goode and two council members who testified for the bill Monday were split on which version to support. But all three noted that the rodeo was a major economic driver that each year draws tens of thousands of people to the area who spend millions pf dollars.
And Goode noted that the rodeo grounds are used for many other events. “We have the county fair. We have an equine related event called Equifest. We have high school rodeos. We have concerts.’’
He said the grounds need major updating, including water and sewer lines and electrical service, grandstand repairs and renovations and changes to make the area accessible for disabled people.
Council member Cathey Rusing said performances during Prescott Frontier Days, known as the “World’s Oldest Rodeo,’’ are always sold out and draw about 80,000 people.
“This event supports hundreds of jobs, generating $13 million in labor income and $33.5 million in economic impact from goods and services,” Rusing said, plus $2.6 million in state and local taxes. “In total, approximately $50 million is generated annually in the economic impact by this one-week event.’’
For lawmakers, Monday’s committee debate on the Prescott funding bill — it passed on a 10-8 vote — triggered a reexamination of the earmarks used in the 2023 budget process. Members from both parties agreed it was not a good idea.
“We should not be passing bills that mitigate lawsuits, and that’s exactly what this would do,” said Rep. Nancy Gutierrez, who voted against the budget and giving lawmakers the chance to fund what she called “pet projects.’’
“I’m sure my city would love $15 million,’’ said the Tucson Democrat. “I would would much rather see this money go to feeding children; (developmentally disabled) services.”
