I 

116TH CONGRESS 

2D SESSION H. R. 7023 

To require the Secretary of the Treasury to implement a program that 

provides financial assistance to sports facilities, museums, and community 

theaters, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 27, 2020 

Mrs. TRAHAN (for herself, Mr. MCKINLEY, Ms. MATSUI, Mr. ROSE of New 

York, Mr. FITZPATRICK, Ms. HAALAND, Mr. RYAN, Mr. TRONE, Mr. 

SIMPSON, Mr. COURTNEY, Ms. SLOTKIN, Mr. THOMPSON of Pennsylvania, Mr. LOEBSACK, Mr. WELCH, Mr. MORELLE, Ms. ESCOBAR, Ms. 

FINKENAUER, Mr. HIGGINS of New York, Mr. WILSON of South Carolina, Mr. KING of New York, Mr. CUNNINGHAM, Mr. CARTER of Texas, 

Mr. BRINDISI, and Ms. MCCOLLUM) introduced the following bill; which 

was referred to the Committee on Financial Services 

A BILL 

To require the Secretary of the Treasury to implement a 

program that provides financial assistance to sports facilities, museums, and community theaters, and for other 

purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

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1 SECTION 1. ASSISTANCE FOR SPORTS FACILITIES, MUSE2 UMS, AND COMMUNITY THEATERS. 

3 Section 4003 of the CARES Act (15 U.S.C. 9042) 

4 is amended by adding at the end the following: 

5 ‘‘(i) ASSISTANCE FOR SPORTS FACILITIES, MUSE6 UMS, AND COMMUNITY THEATERS.— 

7 ‘‘(1) IN GENERAL.—The Secretary of the 

8 Treasury shall, using amounts made available under 

9 subsection (b)(4), implement a program that pro10 vides financing of not less than $1,000,000,000 for 

11 loans to community-owned or private businesses 

12 that— 

13 ‘‘(A) had revenue in 2019 of not more 

14 than $35,000,000; and 

15 ‘‘(B) have contractual obligations for mak16 ing lease, rent, or bond payments for publicly 

17 owned sports facilities, museums, and commu18 nity theaters. 

19 ‘‘(2) LOAN TERMS.—Any such loan shall have 

20 the following terms and such other terms as the Sec21 retary shall determine: 

22 ‘‘(A) A term of 15 years. 

23 ‘‘(B) An annualized interest rate of not 

24 higher than the London Inter-bank Offered 

25 Rate plus 200 basis points. 

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1 ‘‘(C) Not include a requirement to provide 

2 collateral or a guaranty of such loan. 

3 ‘‘(D) Not exceed $25,000,000 and shall be 

4 in an amount as determined between the recipi5 ent and the lender (but in no event shall the 

6 amount of such loan be determined based on 

7 the recipient’s earnings before interest, taxes, 

8 depreciation, and amortization). 

9 ‘‘(E) Interest and principal on each such 

10 loan shall be paid as follows: 

11 ‘‘(i) For the first 12 months after any 

12 such loan is made, or for such longer pe13 riod as the Secretary may determine in his 

14 discretion, no principal or interest shall be 

15 due and payable. 

16 ‘‘(ii) From year 2 through year 14 of 

17 the term of any such loan, interest on the 

18 principal amount of such loan shall be pay19 able monthly and 2.31 percent of the prin20 cipal amount of such loan shall be payable 

21 at the end of each such year. 

22 ‘‘(iii) In year 15 of the term of any 

23 such loan, interest shall be payable month24 ly and the remaining 70 percent of the 

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1 principal amount of such loan shall be paid 

2 at the end of such year. 

3 ‘‘(F) The recipient shall be permitted to 

4 prepay any such loan at any time without pre5 mium or penalty. 

6 ‘‘(3) ELIGIBLE BORROWERS.—Any eligible bor7 rower applying for a loan under this program shall 

8 make a good-faith certification that: 

9 ‘‘(A) The uncertainty of economic condi10 tions as of the date of the application makes 

11 necessary the loan request to support the ongo12 ing operations of the recipient. 

13 ‘‘(B) The recipient reasonably believes that 

14 the positive economic impact generated by the 

15 use of the funds it receives will exceed the loan 

16 amount. 

17 ‘‘(C) The recipient is an entity or business 

18 that is domiciled in the United States with sig19 nificant operations and employees located in the 

20 United States. 

21 ‘‘(D) The recipient is not a debtor in a 

22 bankruptcy proceeding. 

23 ‘‘(E) The recipient is created or organized 

24 in the United States or under the laws of the 

25 United States. 

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1 ‘‘(F) The recipient will use the proceeds of 

2 such loan for purposes directly connected to 

3 contracted services, including performances and 

4 sporting events, at such facility. These eligible 

5 purposes shall be: 

6 ‘‘(i) Rent, lease, or bond payments or 

7 other obligations (including property taxes) 

8 to the owner of the facility for use of the 

9 facility. 

10 ‘‘(ii) Utilities at the facility. 

11 ‘‘(iii) Employee compensation, includ12 ing benefits, for employees of the recipient 

13 whose employment is directly connected to 

14 services rendered at the facility; provided, 

15 no funds may be used for compensation of 

16 an officer or employee at a rate that would 

17 exceed $100,000 per annum. 

18 ‘‘(iv) Working capital, trade payables, 

19 insurance premiums, and refunds relating 

20 to the facility. 

21 ‘‘(v) Facility improvements agreed to 

22 by the recipient and, if applicable the enti23 ty with authority over the facility’s budget 

24 and operations. 

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1 ‘‘(vi) Other purposes which improve 

2 the infrastructure and/or project develop3 ment surrounding the facility.’’. 

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