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[Congressional Record Volume 141, Number 93 (Thursday, June 8, 1995)]
[Extensions of Remarks]
[Pages E1192-E1193]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      THE DISTRICT OF COLUMBIA SPORTS ARENA FINANCING ACT OF 1995

                                 ______

                       HON. ELEANOR HOLMES NORTON

                      of the district of columbia

                    in the house of representatives

                        Wednesday, June 7, 1995
  Ms. NORTON. Mr. Speaker, at the request of the District of Columbia, 
I introduced H.R. 1509 on April 7, 1995, in order to begin the 
necessary process that will enable the District to begin work on a new 
sports arena. Since then, the District has developed a different 
funding mechanism and has requested that a revised bill be introduced. 
Mayor Barry and the City Council have assigned a very high priority to 
the new arena because of its revenue-generating potential at a time 
when the city is in acute financial distress. The Council has given its 
wholesale support to the project and the Mayor has expedited the 
project in the District to free it from procedures that might otherwise 
delay it. We will try to do the same here in the Congress.
  I particularly appreciate that Representative Tom Davis, chairman of 
the subcommittee that must carry the legislation through the Congress, 
has agreed to become an original cosponsor and to expedite the bill.
                                H.R. --

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``District of Columbia Sports 
     Arena Financing Act of 1995''.

     SEC. 2. PERMITTING DESIGNATED AUTHORITY TO BORROW FUNDS FOR 
                   CONSTRUCTION OF SPORTS ARENA.

       (a) In General.--An agency or instrumentality may borrow 
     funds for purposes of developing and constructing a sports 
     arena in the District of Columbia if the agency or 
     instrumentality is granted the authority to borrow funds for 
     such purposes by the District of Columbia government.
       (b) Treatment of Debt Created.--Any debt created pursuant 
     to subsection (a) shall not--
       (1) be considered general obligation debt of the District 
     of Columbia for any purpose, including the limitation on the 
     annual aggregate limit on debt of the District of Columbia 
     under section 603(b) of the District of Columbia Self-
     Government and Governmental Reorganization Act (sec. 47-
     313(b), D.C. Code);
       (2) constitute the lending of the public credit for private 
     undertakings for purposes of section 602(a)(2) of such Act 
     (sec. 1-233(a)(2), D.C. Code); or
       (3) be a pledge of or involve the full faith and credit of 
     the District of Columbia.

     SEC. 3. PERMITTING CERTAIN DISTRICT REVENUES TO BE PLEDGED AS 
                   SECURITY FOR BORROWING.

       (a) In General.--The District of Columbia (including the 
     agency or instrumentality described in section 2(a)) may 
     pledge as security for any borrowing undertaken pursuant to 
     section 2(a) any revenues of the District of 
     [[Page E1193]] Columbia which are attributable to the sports 
     arena tax imposed as a result of the enactment of D.C. Law 
     10-315.
       (b) Exclusion of Pledged Revenues From Calculation of 
     Annual Aggregate Limit on Debt.--Any revenues pledged as 
     security by the District of Columbia pursuant to subsection 
     (a) shall be excluded from the determination of the dollar 
     amount equivalent to 14 percent of District revenues under 
     section 603(b)(3)(A) of the District of Columbia Self-
     Government and Governmental Reorganization Act (sec. 47-
     313(b)(3)(A), D.C. Code).
     SEC. 4. NO APPROPRIATION NECESSARY FOR ACTIVITIES RELATING TO 
                   BORROWING.

       The fourth sentence of section 446 of the District of 
     Columbia Self-Government and Governmental Reorganization Act 
     (sec. 47-403, D.C. Code) shall not apply with respect to any 
     of the following obligations or expenditures:
       (1) The proceeds of any borrowing conducted pursuant to 
     section 2(a).
       (2) The pledging of revenues as security for such borrowing 
     pursuant to section 3(a).
       (3) The payment of principal, interest, or other costs 
     associated with such borrowing.
     

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