PRINTER'S NO. 265
No. 268 Session of 1999
INTRODUCED BY CALTAGIRONE, GIGLIOTTI, M. N. WRIGHT, McILHINNEY,
STEELMAN AND ROBINSON, FEBRUARY 2, 1999
REFERRED TO COMMITTEE ON TOURISM AND RECREATIONAL DEVELOPMENT,
FEBRUARY 2, 1999
AN ACT
1 Providing for repayment of loans for construction of sports
2 facilities.
3 The General Assembly of the Commonwealth of Pennsylvania
4 hereby enacts as follows:
5 Section 1. Short title.
6 This act shall be known and may be cited as the Repayment of
7 Sports Facility Loans Act.
8 Section 2. Declaration of policy.
9 The General Assembly finds and declares that expenditure of
10 Commonwealth funds for construction of a sports facility is a
11 loan by the Commonwealth to the sports organization which will
12 use the facility and must be repaid within a reasonable time.
13 Section 3. Definitions.
14 The following words and phrases when used in this act shall
15 have the meanings given to them in this section unless the
16 context clearly indicates otherwise:
17 "Department." The Department of Community and Economic
1 Development of the Commonwealth.
2 "Facility." A place where a professional sporting event is
3 conducted by a sports organization.
4 "Franchise." The right to field a team in a professional
5 sports league and to participate as a team owner in the
6 operation of the league.
7 Section 4. Repayment of loan.
8 Prior to lending Commonwealth funds to a sports organization
9 for construction of a facility, the sports organization must
10 enter into a contract with the department agreeing to repay the
11 funds on the following terms:
12 (1) Interest on the loan will be at the rate of 3% per
13 annum.
14 (2) The loan will be repaid in full within 20 years.
15 (3) The loan will be secured by a lien against the
16 facility, the franchise and such other things of value owned
17 by the sports organization as the department shall determine.
18 Section 5. Effective date.
19 This act shall take effect immediately.
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