75R12430 DWS-F
By Hunter H.B. No. 365
Substitute the following for H.B. No. 365:
By Oliveira C.S.H.B. No. 365
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to loans to fund motion picture facilities.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Chapter 481, Government Code, is amended by
1-5 adding Subchapter K to read as follows:
1-6 SUBCHAPTER K. MOTION PICTURE FACILITIES
1-7 Sec. 481.163. DEFINITIONS. In this subchapter:
1-8 (1) "Account" means the motion picture facility
1-9 account created under this subchapter.
1-10 (2) "Motion picture facility" means land, equipment,
1-11 or a building, facility, or improvement and working capital
1-12 determined by the department to be required or suitable for
1-13 construction and operation of a motion picture soundstage, studio,
1-14 or other facility dedicated to the production of motion pictures in
1-15 this state.
1-16 (3) "Qualified application" means a completed
1-17 application, including all documents and information required by
1-18 the department and submitted by a borrower for a motion picture
1-19 facility.
1-20 Sec. 481.164. LOANS. (a) The department shall make loans,
1-21 from money in the account, to fund motion picture facilities. A
1-22 loan under this subchapter must be for a term of 20 years. The
1-23 department may not charge or collect interest on the loan.
1-24 (b) The department may make loans under this subchapter to
2-1 fund not more than two motion picture facilities.
2-2 (c) The department may not make a loan except on approval of
2-3 a qualified application submitted by a borrower for a motion
2-4 picture facility.
2-5 Sec. 481.165. DEPARTMENT CONSIDERATIONS. (a) For each loan
2-6 the department shall determine:
2-7 (1) the amount of the loan;
2-8 (2) the acceptable security for the loan; and
2-9 (3) any other terms or conditions relating to the
2-10 loan.
2-11 (b) The department may not make a loan unless the department
2-12 determines that:
2-13 (1) the borrower has the ability and intent to
2-14 construct and operate a motion picture facility; and
2-15 (2) the borrower has the financial resources to
2-16 provide at least half of the amount required for initial
2-17 construction of the motion picture facility and has made a firm
2-18 commitment to use those resources for that purpose.
2-19 Sec. 481.166. MOTION PICTURE FACILITY ACCOUNT. The motion
2-20 picture facility account is an account in the state treasury.
2-21 Appropriations for the implementation and administration of this
2-22 subchapter, investment earnings earned on money in the account, and
2-23 fees collected under this subchapter shall be deposited in the
2-24 account.
2-25 Sec. 481.167. PAYMENTS NOT TO BE MADE TO DEFAULTING
2-26 BORROWERS. (a) The department shall report to the comptroller the
2-27 name of any borrower who is in default on a loan made under this
3-1 subchapter. The comptroller may not issue a warrant or initiate an
3-2 electronic funds transfer to the borrower while the borrower is in
3-3 default. The comptroller may issue a warrant to the assignee of a
3-4 borrower who is in default only if the assignment became effective
3-5 before the borrower defaulted. This subsection does not prohibit
3-6 the comptroller from issuing a warrant or initiating an electronic
3-7 funds transfer to pay the compensation of a state officer or
3-8 employee.
3-9 (b) This subsection applies when a payment is made to a
3-10 borrower other than through the comptroller's issuance of a warrant
3-11 or the comptroller's use of an electronic funds transfer system. A
3-12 state agency may not use funds inside or outside the state treasury
3-13 to pay a borrower if the agency knows that the borrower is in
3-14 default on a loan made under this subchapter. This subsection does
3-15 not prohibit a state agency from paying the assignee of a borrower
3-16 who is in default if the assignment became effective before the
3-17 borrower defaulted or from paying the compensation of a state
3-18 officer or employee. The comptroller may not reimburse a state
3-19 agency for a payment that is made in violation of this subsection.
3-20 (c) In this section:
3-21 (1) "Compensation" includes wages, salaries, longevity
3-22 pay, hazardous duty pay, and emoluments that are provided in lieu
3-23 of wages or salaries. The term does not include expense
3-24 reimbursements.
3-25 (2) "State agency" means a board, commission, council,
3-26 committee, department, office, agency, or other governmental entity
3-27 in the executive, legislative, or judicial branch of state
4-1 government. The term includes an institution of higher education
4-2 as defined by Section 61.003, Education Code.
4-3 (3) "State officer or employee" means an officer or
4-4 employee of a state agency.
4-5 Sec. 481.168. PENALTY FOR FALSE INFORMATION ON APPLICATION.
4-6 An applicant who knowingly provides false information in an
4-7 application under this subchapter:
4-8 (1) may not submit an application under this
4-9 subchapter before the second anniversary of the date that the
4-10 application containing the false information was submitted; and
4-11 (2) is liable to the state for any expense incurred by
4-12 the state that would not have been incurred if the applicant had
4-13 not provided the false information.
4-14 Sec. 481.169. FEES; RULES. (a) The department may impose
4-15 fees, including loan fees, application fees, annual fees, and any
4-16 other costs associated with the loan, as necessary to fund the
4-17 administration of this subchapter.
4-18 (b) The policy board shall adopt rules to carry out this
4-19 subchapter.
4-20 SECTION 2. The Texas Department of Commerce shall make loans
4-21 under Subchapter K, Chapter 481, Government Code, as added by this
4-22 Act, to the extent of available appropriations.
4-23 SECTION 3. This Act takes effect September 1, 1997.
4-24 SECTION 4. The importance of this legislation and the
4-25 crowded condition of the calendars in both houses create an
4-26 emergency and an imperative public necessity that the
4-27 constitutional rule requiring bills to be read on three several
5-1 days in each house be suspended, and this rule is hereby suspended.