[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 4012 Introduced in Senate (IS)]

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116th CONGRESS
  2d Session
                                S. 4012

   To establish a $120,000,000,000 Restaurant Revitalization Fund to 
 provide structured relief to food service or drinking establishments 
           through December 31, 2020, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 18, 2020

    Mr. Wicker (for himself, Ms. Sinema, Mr. Graham, and Mr. Coons) 
introduced the following bill; which was read twice and referred to the 
                          Committee on Finance

_______________________________________________________________________

                                 A BILL


 
   To establish a $120,000,000,000 Restaurant Revitalization Fund to 
 provide structured relief to food service or drinking establishments 
           through December 31, 2020, and for other purposes.

    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 ``Real Economic Support That 
Acknowledges Unique Restaurant Assistance Needed To Survive Act of 
2020'' or the ``RESTAURANTS Act of 2020''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Affiliated business.--The term ``affiliated business'' 
        means a business in which an eligible entity has an equity or 
        right to profit distributions of not less than 50 percent, or 
        in which an eligible entity has the contractual authority to 
        control the direction of the business, provided that such 
        affiliation shall be determined as of any arrangements or 
        agreements in existence as of March 13, 2020.
            (2) Covered period.--The term ``covered period'' means the 
        period beginning on February 15, 2020, and ending on December 
        31, 2020.
            (3) Eligible entity.--The term ``eligible entity''--
                    (A) means a restaurant, food stand, food truck, 
                food cart, caterer, saloon, inn, tavern, bar, lounge, 
                or other similar place of business in which the public 
                or patrons assemble for the primary purpose of being 
                served food or drink;
                    (B) includes an entity described in subparagraph 
                (A) that is located in an airport terminal; and
                    (C) does not include an entity described in 
                subparagraph (A) that--
                            (i) is part of a State or local government 
                        facility; or
                            (ii) as of March 13, 2020, owns or operates 
                        (together with any affiliated business) more 
                        than 20 locations, regardless of whether those 
                        locations do business under the same or 
                        multiple names.
            (4) Fund.--The term ``Fund'' means the Restaurant 
        Revitalization Fund established under section 3.
            (5) Payroll costs.--The term ``payroll costs'' has the 
        meaning given the term in section 7(a)(36)(A) of the Small 
        Business Act (15 U.S.C. 636(a)(36)(A)).
            (6) Secretary.--The term ``Secretary'' means the Secretary 
        of the Treasury.

SEC. 3. RESTAURANT REVITALIZATION FUND.

    (a) In General.--There is established in the Treasury of the United 
States a fund to be known as the Restaurant Revitalization Fund.
    (b) Appropriations.--
            (1) In general.--There is appropriated to the Fund, out of 
        amounts in the Treasury not otherwise appropriated, 
        $120,000,000,000, to remain available until December 31, 2020.
            (2) Remainder to treasury.--Any amounts remaining in the 
        Fund after December 31, 2020, shall be deposited in the general 
        fund of the Treasury.
    (c) Use of Funds.--The Secretary shall use amounts in the Fund to 
make grants described in section 4.

SEC. 4. RESTAURANT REVITALIZATION GRANTS.

    (a) In General.--The Secretary shall award grants to eligible 
entities in the order in which applications are received by the 
Secretary.
    (b) Registration.--The Secretary shall register each grant awarded 
under this section using the employer identification number of the 
eligible entity.
    (c) Application.--
            (1) In general.--An eligible entity desiring a grant under 
        this section shall submit to the Secretary an application at 
        such time, in such manner, and containing such information as 
        the Secretary may require.
            (2) Certification.--An eligible entity applying for a grant 
        under this section shall make a good faith certification--
                    (A) that the uncertainty of current economic 
                conditions makes necessary the grant request to support 
                the ongoing operations of the eligible entity;
                    (B) acknowledging that funds will be used to retain 
                workers and maintain payroll or for other allowable 
                expenses described in subsection (e);
                    (C) that the eligible entity does not have an 
                application pending for a grant under subsection 
                (a)(36) or (b)(2) of section 7 of the Small Business 
                Act (15 U.S.C. 636) for the same purpose and 
                duplicative of amounts applied for or received under 
                this section; and
                    (D) that, during the covered period, the eligible 
                entity has not received amounts under subsection 
                (a)(36) or (b)(2) of section 7 of the Small Business 
                Act (15 U.S.C. 636) for the same purpose and 
                duplicative of amounts applied for or received under 
                this section.
            (3) Hold harmless.--An eligible entity applying for a grant 
        under this section shall not be ineligible for a grant if the 
        eligible entity is able to document--
                    (A) an inability to rehire individuals who were 
                employees of the eligible entity on February 15, 2020; 
                and
                    (B) an inability to hire similarly qualified 
                employees for unfilled positions on or before December 
                31, 2020.
    (d) Priority in Awarding Grants.--During the initial 14-day period 
in which the Secretary awards grants under this section, the Secretary 
shall--
            (1) prioritize awarding grants to marginalized and 
        underrepresented communities, with a focus on women, veteran, 
        and minority-owned and operated eligible entities; and
            (2) only award grants to eligible entities with annual 
        revenues of less than $1,500,000.
    (e) Grant Amount.--
            (1) Aggregate maximum amount.--The aggregate amount of 
        grants made to an eligible entity and any affiliate businesses 
        of the eligible entity under this section shall not exceed 
        $10,000,000.
            (2) Determination of grant amount.--
                    (A) In general.--The amount of a grant made to an 
                eligible entity under this section shall be based on 
                the difference in revenues or estimated revenues of the 
                eligible entity during a calendar quarter in 2020 
                selected by the eligible entity as compared to 95 
                percent of the revenues of the eligible entity in the 
                same calendar quarter in 2019.
                    (B) Verification.--An eligible entity shall submit 
                to the Secretary such revenue verification 
                documentation as the Secretary may require to determine 
                the amount of a grant under subparagraph (A).
                    (C) Repayment.--Any amount of a grant made under 
                this section to an eligible entity based on estimated 
                revenues in a calendar quarter in 2020 that is above 
                the actual revenues of the eligible entity during that 
                calendar quarter shall be converted to a loan that 
                has--
                            (i) an interest rate of 1 percent; and
                            (ii) a maturity date of 10 years beginning 
                        on January 1, 2021.
            (3) No duplication of benefits.--An eligible entity that 
        received a loan under section 7(a)(36) of the Small Business 
        Act (15 U.S.C. 636(a)(36)) may not apply for or use grant 
        amounts under this section for the same expenses for which the 
        eligible entity received the loan.
            (4) Limitation.--An eligible entity may not receive more 
        than 1 grant under this section.
    (f) Use of Funds.--
            (1) In general.--During the covered period, an eligible 
        entity that receives a grant under this section may use the 
        grant funds for the following expenses incurred as a direct 
        result of the COVID-19 pandemic:
                    (A) Payroll costs.
                    (B) Payments of principal or interest on any 
                mortgage obligation.
                    (C) Rent payments, including rent under a lease 
                agreement.
                    (D) Utilities.
                    (E) Maintenance expenses, including--
                            (i) construction to accommodate outdoor 
                        seating; and
                            (ii) walls, floors, deck surfaces, 
                        furniture, fixtures, and equipment.
                    (F) Supplies, including protective equipment and 
                cleaning materials, as required by applicable public 
                health departments.
                    (G) Food and beverage expenses that are within the 
                scope of the normal business practice of the eligible 
                entity before the covered period.
                    (H) Debt obligations to suppliers that were 
                incurred before the covered period.
                    (I) Any other expenses that the Secretary 
                determines to be essential to maintaining the eligible 
                entity.
            (2) Returning funds.--If an eligible entity that receives a 
        grant under this section permanently ceases operations on or 
        before December 31, 2020, the eligible entity shall return to 
        the Treasury any funds that the eligible entity did not use for 
        the allowable expenses under paragraph (1).
            (3) Conversion to loan.--Any grant amounts received by an 
        eligible entity under this section that are unused after 
        December 31, 2020, shall be immediately converted to a loan 
        with--
                    (A) an interest rate of 1 percent; and
                    (B) a maturity date of 10 years.
    (g) Taxability.--For purposes of the Internal Revenue Code of 
1986--
            (1) the amount of a grant awarded to an eligible entity 
        under this section shall be excluded from the gross income of 
        the eligible entity;
            (2) no deduction shall be denied or reduced, no tax 
        attribute shall be reduced, and no basis increase shall be 
        denied, by reason of the exclusion from gross income provided 
        by subsection; and
            (3) an eligible entity that receives a grant under this 
        section shall not be eligible for the credit described in 
        section 2301 of the CARES Act (Public Law 116-136).
    (h) Regulations.--Not later than 15 days after the date of 
enactment of this Act, the Secretary shall issue regulations to carry 
out this section without regard to the notice and comment requirements 
under section 553 of title 5, United States Code.
    (i) Appropriations for Staffing and Administrative Expenses.--
            (1) In general.--There is appropriated to the Secretary, 
        out of amounts in the Treasury not otherwise appropriated, 
        $200,000,000, to remain available until December 31, 2020, for 
        staffing and administrative expenses related to administering 
        grants awarded under this section.
            (2) Set aside.--Of amounts appropriated under paragraph 
        (1), $60,000,000 shall be allocated for outreach to 
        traditionally marginalized and underrepresented communities, 
        with a focus on women, veteran, and minority-owned and operated 
        eligible entities, including the creation of a resource center 
        targeted toward these communities.

SEC. 5. EMERGENCY DESIGNATION.

    (a) In General.--The amounts provided by this Act are designated as 
an emergency requirement pursuant to section 4(g) of the Statutory Pay-
As-You-Go Act of 2010 (2 U.S.C. 933(g)).
    (b) Designation in Senate.--In the Senate, this Act is designated 
as an emergency requirement pursuant to section 4112(a) of H. Con. Res. 
71 (115th Congress), the concurrent resolution on the budget for fiscal 
year 2018.
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