BILL OFFERING TAX BREAKS FOR SPORTS, ENTERTAINMENT CENTERS FACES VOTE.

Byline: Harrison Sheppard and Billy Witz Staff Writers

A state bill that would help private developers get federal tax breaks to build sports stadiums and performance halls comes up for a key committee vote today.

SB 4, by Sen. Kevin Murray, D-Los Angeles, would create the California Public Performance Facilities Authority, which would have the power to finance, build and operate new major facilities for sports and entertainment - but not renovate existing venues like the Los Angeles Memorial Coliseum.

Murray said the bill is aimed at creating state partnerships with private developers, allowing them to use the state's tax-exempt status to avoid paying federal taxes on revenue - particularly from corporate naming rights and seat licenses - generated by the facility. That revenue, in turn, would be used to help finance construction.

``I think most people would like to live in a town where there are nice places to see a show,'' Murray said. ``Because the government has not been funding that, this bill essentially takes money that would otherwise be going to federal tax coffers and invests it directly in the facility.''

He said it would not involve the use of state funds. He also said it is not aimed at any one particular city, and noted that Los Angeles would likely not be affected because the Coliseum already has a commission that operates in a similar way.

Opposition to the bill is coming mostly from Republicans, who argue that the state should not be involved in what should be a local matter and should not be creating yet another board at a time when Gov. Arnold Schwarzenegger is trying to reduce the number of commissions.

``I just don't believe the state should be involved in that process,'' said state Sen. George Runner, R-Lancaster, who voted against the bill. ``To me those are local community decisions when it comes to the issue of construction of facilities.''

Schwarzenegger has not taken a position on the bill, his office said.

The National Football League is still evaluating it.

There are a handful of cities across the state that are considering new major sports arenas, including Oakland, San Francisco, Sacramento, San Diego, and, of course, Los Angeles, which is competing with Anaheim to lure an NFL team to Southern California.

The bill, which has already passed the Senate, will come up for a hearing today in the Assembly Arts, Entertainment, Sports, Tourism & Internet Media committee. After that it will go to the Appropriations committee and then the full Assembly floor.

Harrison Sheppard, [phone]

harrison.sheppard(at)dailynews.com