[Congressional Record Volume 149, Number 116 (Thursday, July 31, 2003)]
[Senate]
[Page S10648]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. SANTORUM (for himself, Mr. Allen, Mr. Bunning, Mrs. Dole, 
        and Mr. Kyl):
  S. 1524. A bill to amend the Internal Revenue Code of 1986 to allow a 
7-year applicable recovery period for depreciation of motorsports 
entertainment complexes; to the Committee on Finance.
  Mr. SANTORUM. Mr. President, today I am introducing the Motorsports 
Facilities Fairness Act. This bill would clarify the tax treatment of a 
large and growing industry that contributes to the economies of 
communities across the country.
  The Motorsports Facilities Fairness Act would provide certainty to 
track and speedway operators regarding the depreciation of their 
properties. The Internal Revenue Service has just recently raised 
questions regarding the depreciation treatment used by facility owners. 
For decades, motorsports facilities were classified as ``theme and 
amusement facilities'' for depreciation. This long-standing treatment 
was widely applied and accepted, until now. Over the years, relying on 
this understanding of the tax law, facility owners and operators 
invested hundreds of millions of dollars in building and upgrading 
these properties.
  Pennsylvania is home to many of these facilities, including Pocono 
Raceway, Nazareth Speedway, Lake Erie Speedway, Jennertown Speedway, 
Big Diamond Raceway and Motordrome Speedway. These tracks and others 
boost their local economies. Larger races can draw tens of thousands of 
fans, some from hundreds of miles away. These facilities are an 
important part of the fabric of our national economy. As motorsports 
continues to grow as a national pastime, we must ensure that Federal 
policy does not unnecessarily impede its contribution to the economy.
  To that end I have introduced the Motorsports Facilities Fairness 
Act. This legislation would simply codify the well-understood, long-
standing and widely-accepted treatment of motorsports facilities for 
depreciation purposes. While modest in scope, it will provide needed 
clarity to the hundreds of tracks throughout the United States.
  I urge my colleagues to join me in supporting the Motorsports 
Facilities Fairness Act.
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