Relating to the eligibility of the INDYCAR Grand Prix of Arlington for funding under the major events reimbursement program.

Contracts

• Statutory Naming: All vendor and sponsorship agreements must utilize the precise statutory nomenclature: "INDYCAR Grand Prix of Arlington." Invoices or contracts using generic terms (e.g., "Arlington Race" or "IndyCar Weekend") risk audit disqualification.
• Penske Entertainment Validation: Contracts involving rights fees or site selection must explicitly reference Penske Entertainment. The statute names this specific entity; the paper trail must flow to or through them.
• Contingency Clauses: Prime contractors with the LOC should negotiate payment schedules that account for the state reimbursement timeline (post-event true-up), which can take 10+ months.

Hiring/Training

• POS Configuration: Finance and IT teams for hospitality businesses within the Market Area must ensure Point-of-Sale systems accurately segregate and report State Sales Tax, Hotel Occupancy Tax, and Mixed Beverage Tax. The reimbursement is calculated on *incremental* gain; commingled tax data will result in lost revenue.

Reporting & Record-Keeping

• Causality Documentation: Vendors must maintain records proving expenditures are directly related to the event. General operational costs are ineligible; costs must be tied to the specific event window (typically 30 days pre- and post-event).
• Affidavits of Attendance: If required by the Comptroller for the post-event economic impact study, the LOC and major venues must retain data verifying out-of-state attendance.

Fees & Costs

• No New Fees: There are no new compliance fees.
• Cost Absorption: The state assumes the administrative cost; however, the LOC must fund the required Economic Impact Study prior to application submission.