This bill would modify the tax code to specify that state and local bonds issued to finance professional sports stadiums aren’t tax exempt for tax purposes. Such bonds would be deemed to meet the private security or payment test, which means that they’d be considered private activity bonds.
- Not enactedThe President has not signed this bill
- The senate has not voted
- The house has not voted
Committee on Ways and MeansIntroducedFebruary 1st, 2017
- house Committees
What is House Bill H.R. 811?
Cost of House Bill H.R. 811
In-Depth: Sponsoring Rep. Steve Russell (R-OK) introduced this bill to end tax exemptions for municipal bonds issued to build stadiums:
“I have long contended that the funding of stadiums with tax free municipal bonds is not only unnecessary, but removes critical funding from cities looking to improve their infrastructure, which was the original purpose of the tax breaks. It’s time to stop stadium financiers from exploiting a tax code loophole that lets them use municipal bonds.”
This legislation has the support of seven bipartisan cosponsors in the House, including four Republicans and three Democrats. This legislation was included in the House-passed version of the Tax Cuts and Jobs Act.
Of Note: A report by the Brookings Institution found that $3.2 billion in federal taxpayer money, through tax-exempt municipal bonds, has been “used to fund 36 newly built or renovated sports stadiums since 2000.”
Summary by Eric Revell(Photo Credit: LeoPatrizi / iStock)