According to the Philadelphia Business Journal, a bill aiming to alleviate the financial impact that Covid-19 has been having on independent live music venues has been introduced in the Pennsylvania House of Representatives.
HB2894, dubbed the Pennsylvania “Save Our Stages” Act, looks to allocate $200 million of Cares Act funding for grants to be made available to independent venue operators, theaters and promoters that have had business interrupted by the pandemic.
The Bill was introduced by Rep. Jake Wheatley (D) from the Allegheny County area. As proposed, the Bill could impact approximately 225 independent live music venues.
Eligible recipients would include those that organize, promote, produce, manage or host ticketed live concerts, comedy shows, theatrical productions or other events by paid performing artists.
Selected businesses must have fewer than 500 full-time employees, not be publicly traded, and not operate venues in more than 10 states, among other criteria.
Grants would be no greater than 45% of gross revenue from 2019 or $2 million (whichever is less) and could be applied to expenses incurred from March 1 through Dec. 31. The funds could be applied to various costs including payroll, rent, utilities, mortgage interest payments, insurance, personal protective equipment and existing loans.
HB2894 is currently under review by the House Commerce committee.
Duane Morris has created a COVID-19 Strategy Team to help organizations plan, respond to and address this fast-moving situation. Contact your Duane Morris attorney for more information. Prior Alerts on the topic are available on the team’s webpage.
If you have any questions about this post, please contact Brad A. Molotsky, Elizabeth Mincer, Matthew LoBello or the attorney in the firm with whom you are regularly in contact.
Be well and stay safe.