HB 453 — Tourism; establish programs for certain assistance, designate "One Mississippi" as contemporary music genre official State Song.

Tourism Crawford, Turner COMMITTEE SUBSTITUTE FOR HOUSE BILL NO.

453 (As Sent to Governor) AN ACT TO DIRECTREQUIRE THE STATEDEPARTMENT FISCALOF OFFICERFINANCE AND ADMINISTRATION TO TRANSFERESTABLISH FUNDSA OUTPROGRAM OFFOR THE CORONAVIRUSPURPOSE STATEOF FISCALPROVIDING RECOVERYFUNDS FUNDTO DESTINATION MARKETING ORGANIZATIONS TO THEASSIST SPECIALIN FUNDPAYING CREATEDCOSTS BYOF THISCERTAIN ACT;MARKETING ACTIVITIES;

TO CREATE THE "MISSISSIPPI TOURISM RECOVERY FUND - ROUND 2" AS A SPECIAL FUND IN THE STATE TREASURY TO BE ADMINISTERED BY THE DEPARTMENT OF FINANCE AND ADMINISTRATION FOR THE PURPOSE OF PROVIDING FUNDS TO DESTINATION MARKETING ORGANIZATIONS TO ASSIST IN PAYING COSTS OF CERTAIN MARKETING ACTIVITIES;

TO PROVIDEREQUIRE THE DEPARTMENT OF FINANCE AND ADMINISTRATION TO ESTABLISH A PROGRAM FOR THE MANNERPURPOSE OF PROVIDING FUNDS TO CERTAIN NONPROFIT MUSEUMS TO ASSIST IN WHICHPAYING THECOSTS DEPARTMENTASSOCIATED WITH ADVERTISING AND OTHER FORMS OF FINANCEPROMOTING AND ADMINISTRATIONPUBLICIZING SHALLNONPROFIT DISTRIBUTEMUSEUMS FUNDSAND MUSEUM RELATED ACTIVITIES, AND REPAIRS AND RENOVATIONS OF AND UPGRADES AND IMPROVEMENTS TO DESTINATIONSUCH MARKETINGMUSEUMS ORGANIZATIONSFOR UNDERHEALTH THISAND ACT;SAFETY PURPOSES RELATED TO THE CORONAVIRUS DISEASE 19;

TO CREATEREQUIRE THE "MISSISSIPPIDEPARTMENT DESTINATIONOF DEVELOPMENTFINANCE FUND"AND ASADMINISTRATION ATO SPECIALESTABLISH FUNDA INPROGRAM FOR THE STATEPURPOSE TREASURYOF TOPROVIDING BEFUNDS ADMINISTEREDTO BYMISSISSIPPI THEMAIN DEPARTMENTSTREET OFASSOCIATION FINANCETO ANDBE ADMINISTRATIONUSED FOR THE PURPOSE OF PROVIDINGMAKING FUNDSREVITALIZATION GRANTS TO SUPPORTMISSISSIPPI INCREASEDCOMMUNITIES; TOURIST VISITATION;

TO DESIGNATE "ONE MISSISSIPPI," WRITTEN BY STEVE AZAR, AS THE CONTEMPORARY MUSIC GENRE OFFICIAL STATE SONG;

TO ESTABLISH THE MISSISSIPPI STATE SONGS STUDY COMMITTEE TO DEVELOP VARIOUS GENRES OF OFFICIAL SONGS FOR THE STATE OF MISSISSIPPI;

TO PRESCRIBE THE MEMBERSHIP OF THE COMMITTEE AND TO PROVIDE FOR ITS ORGANIZATION AND MEETINGS;

TO REQUIRE THE COMMITTEE TO SUBMIT A REPORT OF ITS FINDINGS TO THE LEGISLATURE NO LATER THAN DECEMBER 31, 2022;

TO REPEAL CHAPTER 654, LAWS OF 1962, WHICH DESIGNATED "GO MISSISSIPPI" AS THE OFFICIAL STATE SONG;

The COVID-19 public health emergency has had a significant negative impact on Mississippi's tourism industry.industry and its nonprofit museums.

American Rescue Plan Act funds are specificallyH. targeted toward assisting in the recovery of the tourism and hospitality sectors.

The funds provided in this act are necessary expenditures related to COVID-19, the purpose of which is to publicize the resumption of tourism activities and steps taken to ensure a safe tourism H.

453 *HR31/R440CS**HR31/R440SG* ~ OFFICIAL ~ G1/2 22/HR31/R440CS22/HR31/R440SG PAGE 1 (BS\JAB) experiencespecifically andtargeted totoward supportassisting in the travelrecovery andof hospitalitythe economytourism ofand Mississippi.hospitality sectors.

The funds provided in this act are necessary expenditures related to COVID-19, the purpose of which is to publicize the resumption of tourism activities and steps taken to ensure a safe tourism experience and to support the travel and hospitality economy of Mississippi.

Upon the effective date of this act, the State Fiscal Officer shall transfer the sum of Fifty-two Million Dollars ($52,000,000.00) from the Coronavirus State Fiscal Recovery Fund to the Mississippi Tourism Recovery Fund - Round 2 created by Section 3 of this act.

SECTION 3.

(b) "Marketing activities" means multimedia marketing and advertising, including digital media, broadcast media and printed media, including travel publications, production, travel market sector analysis, consumer travel sentiment, public relations, communication strategy, direct sales bookings, group tour bookings, tourism development and administrative costs to H.

453 *HR31/R440CS**HR31/R440SG* ~ OFFICIAL ~ 22/HR31/R440CS22/HR31/R440SG PAGE 2(BS\JAB) tour bookings, tourism development and administrative costs to execute marketing activities related to the business disruption effects of the Coronavirus Disease 2019 as expressed in Section 1 of this act.

(2) (a) ThereThe isDepartment herebyof createdFinance inand theAdministration Stateshall Treasuryestablish a specialprogram fundfor to be designated as the "Mississippipurpose Tourism Recovery Fund - Round 2," which shall consist of providing funds madeto availableassist bydestination themarketing Legislatureorganizations in anypaying mannercosts andfor fundsmarketing fromactivities anyas otherprovided sourcein designatedthis forsection. deposit into such fund.

TheMonies funddisbursed shallby bethe maintainedDepartment byof theFinance Stateand TreasurerAdministration asunder athis separatesection andshall specialbe fund,disbursed separatein andcompliance apartwith all requirements and/or conditions on funds appropriated from the GeneralCoronavirus State Fiscal Recovery Fund offor the state.program established under this section.

UnexpendedThe amountsDepartment remaining in the fund at the end of aFinance fiscaland yearAdministration shall notdetermine, lapsein intoconjunction with the Statedestination Generalmarketing Fund,organizations, andthe anyallocation investmentof earningsfunds orunder interestthis earnedsection onand amounts in the fund shall bedisburse depositedfunds toas thefollows: credit of the fund.

Monies(i) inNot themore fundthan Nine Million Four Hundred Twenty-seven Thousand Five Hundred Fifty-seven Dollars ($9,427,557.00) of such monies shall be usedallocated byto thedestination Departmentmarketing oforganizations Financein anda Administration,manner uponthat appropriationwill byprovide monies to a destination marketing organization in an amount equal to seventy-five percent (75%) of the Legislature,destination formarketing organization's marketing and advertising expenditures during the purposes2019 providedfiscal inyear, thisand section.(ii) Not more than Twenty Million Five Hundred Seventy-two Thousand Four Hundred Forty-three Dollars H.

Monies in the fund shall be disbursed in compliance with the guidelines, guidance, rules, regulations and/or other criteria, as may be amended from time to time, of the United States Department of the Treasury regarding the use of monies from the American Rescue Plan Act.

Monies in the fund shall be disbursed by the Department of Finance and Administration to assist destination marketing organizations in paying costs for marketing activities as provided in this section.

The Department of Finance and H.

453 *HR31/R440CS**HR31/R440SG* ~ OFFICIAL ~ 22/HR31/R440CS22/HR31/R440SG PAGE 3(BS\JAB) Administration($20,572,443.00) of such monies shall determine,be allocated to destination marketing organizations based on the proportion that a destination marketing organization's contribution toward total tourism visitors in conjunctionthe withstate according to the 2019 Fiscal Year Visit Mississippi Visitors Profile Report bears to all destination marketing organizations,organizations' contributions toward total tourism visitors in the allocationsstate ofaccording moniesto providedthe under2019 thisFiscal paragraphYear (a)Visit asMississippi follows:Visitors Profile Report.

(i)However, Not more than Nine Million Four Hundred Twenty-seven Thousand Five Hundred Fifty-seven Dollars ($9,427,557.00) of such monies shall be allocated to destination marketing organizations in a manner that will provide monies to a destination marketing organization inshall not receive an amount equalless to seventy-five percent (75%) of the destination marketing organization's marketing and advertising expenditures during the 2019 fiscal year, and (ii) Not more than Forty-twoTwo Million Five Hundred Seventy-twoFifty Thousand Four Hundred Forty-three Dollars ($42,572,443.00)($250,000.00) ofunder suchthis moniessubparagraph shall(ii). be allocated to destination marketing organizations based on the proportion that a destination marketing organization's contribution toward total tourism visitors in the state according to the 2019 Fiscal Year Visit Mississippi Visitors Profile Report bears to all destination marketing organizations' contributions toward total tourism visitors in the state according to the 2019 Fiscal Year Visit Mississippi Visitors Profile Report.

However,(b) aWithin destinationfifteen marketing(15) organizationdays shallafter notthe receiveeffective andate amountof lessthis thanact, Fourthe HundredDepartment Thousandof DollarsFinance ($400,000.00)and Administration shall distribute the funds allocated under paragraph (a) of this subparagraphsubsection (ii).(2) to eligible destination marketing organizations.

H.Before receiving funds under this subsection (2), a destination marketing organization must certify to the Department of Finance and Administration that:

(i) The funds will only be used for marketing activities, and (ii) The destination marketing organization will comply with applicable federal and state regulations and requirements related to American Rescue Plan Act funds, and H.

453 *HR31/R440CS**HR31/R440SG* ~ OFFICIAL ~ 22/HR31/R440CS22/HR31/R440SG PAGE 4(BS\JAB) (b)(iii) WithinThe fifteendestination (15)marketing daysorganization afterwill theobligate effectiveall datefunds ofby thisDecember act,31, the2024, Department of Finance and Administrationfully shallexpend distributeall the funds allocatedby underDecember paragraph31, (a)2026. of this subsection (2) to eligible destination marketing organizations.

Before receiving funds under this subsection (2), a destination marketing organization must certify to the Department of Finance and Administration that:

(i) The funds will only be used for marketing activities, and (ii) The destination marketing organization will comply with applicable federal and state regulations and requirements related to American Rescue Plan Act funds, and (iii) The destination marketing organization will obligate all funds by December 31, 2024 and fully expend all funds by December 31, 2026.

Such destination marketing organizations shall provide semi-annual reports on expenditures and economic impacts of their marketing activities to the Department of Finance and Administration, the H.Governor, the Lieutenant Governor, the Speaker of the House of Representatives and the Department of Audit.

B.

No.

453 *HR31/R440CS* ~ OFFICIAL ~ 22/HR31/R440CS PAGE 5(BS\JAB) Governor, the Lieutenant Governor, the Speaker of the House of Representatives and the Department of Audit.

(4)SECTION If3. the Office of Inspector General of the United States Department of the Treasury, or the Office of Inspector General of any other federal agency having oversight over the use of monies from the Coronavirus State and Local Fiscal Recovery Funds established by the American Rescue Plan Act determines that the Department of Finance and Administration or recipient has expended or otherwise used any of the funds appropriated to the Department of Finance and Administration under this act for any purpose that is not in compliance with the guidelines, guidance, rules, regulations and/or other criteria, as may be amended from time to time, by the United States Department of the Treasury regarding the use of monies from the Coronavirus State and Local Fiscal Recovery Funds established by the American Rescue Plan Act, and (b) the State of Mississippi is required to repay the federal government for any of those funds that the Office of the Inspector General determined were expended or otherwise used improperly by H.

(1) The Department of Finance and Administration shall establish a program for the purpose of providing assistance to Mississippi nonprofit museums as provided in this section.