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          A BILL TO BE ENTITLED
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          AN ACT
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        relating to the establishment of the Texas State Music Museum and  | 
      
      
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        Texas Music Foundation; authorizing fees. | 
      
      
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               BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
      
      
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               SECTION 1.  Subtitle D, Title 4, Government Code, is amended  | 
      
      
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        by adding Chapter 446 to read as follows: | 
      
      
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        CHAPTER 446. TEXAS STATE MUSIC MUSEUM AND TEXAS MUSIC FOUNDATION | 
      
      
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               Sec. 446.001.  DEFINITIONS.  In this chapter: | 
      
      
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                     (1)  "Board" means the State Preservation Board. | 
      
      
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                     (2)  "Capitol Complex" has the meaning assigned by  | 
      
      
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        Section 443.0071. | 
      
      
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                     (3)  "Foundation" means the Texas Music Foundation. | 
      
      
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                     (4)  "Museum" means the Texas State Music Museum. | 
      
      
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                     (5)  "Presiding officer" means the presiding officer of  | 
      
      
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        the foundation. | 
      
      
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               Sec. 446.002.  ESTABLISHMENT OF MUSEUM.  (a)  The Texas State  | 
      
      
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        Music Museum is established to: | 
      
      
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                     (1)  educate and engage visitors in the rich and varied  | 
      
      
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        heritage of the music of this state; | 
      
      
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                     (2)  display objects and information relating to the  | 
      
      
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        heritage described by Subdivision (1); and | 
      
      
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                     (3)  honor musical artists and other persons who have  | 
      
      
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        contributed to the heritage described by Subdivision (1). | 
      
      
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               (b)  The museum shall provide exhibits, concerts, programs,  | 
      
      
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        and activities that support the musical education of the people of  | 
      
      
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        this state, including students. | 
      
      
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               (c)  The cost of operating the museum shall be paid from  | 
      
      
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        revenue generated or collected by the museum and the foundation.  | 
      
      
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               Sec. 446.003.  ESTABLISHMENT OF FOUNDATION.  The board shall  | 
      
      
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        establish and maintain the Texas Music Foundation as a Texas  | 
      
      
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        nonprofit corporation, exempt from federal income taxation under  | 
      
      
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        Section 501(a), Internal Revenue Code of 1986, as an organization  | 
      
      
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        described by Section 501(c)(3) of that code.  The foundation is a  | 
      
      
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        nonpolitical legal entity dedicated solely to supporting the  | 
      
      
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        mission and goals of the museum. | 
      
      
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               Sec. 446.004.  FOUNDATION DIRECTORS.  (a)  The foundation is  | 
      
      
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        governed by 13 directors, appointed by the governor, as chairman of  | 
      
      
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        the board, in consultation with the other board members. | 
      
      
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               (b)  The executive director of the board and a person  | 
      
      
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        designated by the governor's office serve as ex officio directors  | 
      
      
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        of the foundation, without voting privileges. | 
      
      
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               (c)  Each director serves at the will of the governor. | 
      
      
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               (d)  The governor shall designate a director to serve as the  | 
      
      
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        presiding officer of the foundation. | 
      
      
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               (e)  A director serves without compensation but is entitled  | 
      
      
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        to reimbursement for reasonable and necessary expenses incurred in  | 
      
      
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        the performance of duties as director. | 
      
      
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               (f)  A person who is required to register as a lobbyist under  | 
      
      
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        Chapter 305 may not serve as a director. | 
      
      
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               Sec. 446.005.  BOARD OVERSIGHT AND DESIGNATION OF MUSEUM  | 
      
      
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        SPACE.  (a)  The museum is under the jurisdiction of the board. | 
      
      
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               (b)  The board, with the assistance of the Texas Facilities  | 
      
      
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        Commission, shall designate sufficient space in a building in the  | 
      
      
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        Capitol Complex to house the museum.  The building is not subject to  | 
      
      
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        Section 2165.005. | 
      
      
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               (c)  The board shall name the building. | 
      
      
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               Sec. 446.006.  AGREEMENT BETWEEN BOARD AND FOUNDATION.  The  | 
      
      
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        board shall enter into an agreement with the foundation for the  | 
      
      
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        management, operation, and financial support of the museum.  The  | 
      
      
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        agreement must: | 
      
      
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                     (1)  detail the expectations and goals of the board and  | 
      
      
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        the foundation; | 
      
      
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                     (2)  outline the management and operation of the  | 
      
      
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        museum; | 
      
      
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                     (3)  establish management standards; | 
      
      
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                     (4)  provide for oversight by the board; | 
      
      
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                     (5)  address funding and payment of costs; | 
      
      
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                     (6)  address equipment needed for the museum; | 
      
      
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                     (7)  establish insurance coverage requirements; | 
      
      
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                     (8)  address construction, maintenance, and repair of  | 
      
      
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        the museum; | 
      
      
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                     (9)  establish the term of the agreement; | 
      
      
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                     (10)  require submission of financial information from  | 
      
      
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        the foundation to the board; | 
      
      
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                     (11)  establish the foundation as a trustee of the  | 
      
      
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        museum for the benefit of this state; | 
      
      
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                     (12)  address ownership by this state of the museum and  | 
      
      
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        museum contents; | 
      
      
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                     (13)  include a dispute resolution process; | 
      
      
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                     (14)  provide that the laws of this state govern the  | 
      
      
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        agreement; | 
      
      
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                     (15)  include notice requirements; | 
      
      
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                     (16)  establish a conflict of interest policy for  | 
      
      
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        foundation officers, directors, and employees; | 
      
      
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                     (17)  establish a budget for the operation of the  | 
      
      
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        foundation; and | 
      
      
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                     (18)  allow the board to provide personnel and office  | 
      
      
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        support to the foundation. | 
      
      
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               Sec. 446.007.  FOUNDATION PERSONNEL.  (a)  The foundation  | 
      
      
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        shall employ personnel necessary to operate the museum. | 
      
      
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               (b)  A foundation employee is not a state employee.  The  | 
      
      
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        foundation may set the salaries of foundation employees, subject to  | 
      
      
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        board oversight. | 
      
      
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               Sec. 446.008.  FOUNDATION POWERS AND DUTIES.  (a)  The  | 
      
      
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        foundation shall manage and operate the museum. | 
      
      
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               (b)  Any authority granted to the museum may be exercised by  | 
      
      
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        the foundation, except as otherwise directed by the board. | 
      
      
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               (c)  The foundation shall raise money to finance and support  | 
      
      
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        the museum. | 
      
      
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               (d)  With the approval of the board, the foundation may  | 
      
      
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        conduct concerts, programs, and fund-raising activities in the  | 
      
      
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        Capitol Complex outside the fence line of the Capitol grounds. | 
      
      
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               Sec. 446.009.  FUNDING AND FEES.  (a)  The foundation may  | 
      
      
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        solicit and accept gifts, grants, sponsorships, and donations from  | 
      
      
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        individuals and public or private foundations and organizations to  | 
      
      
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        further the foundation's mission, including a gift, grant,  | 
      
      
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        sponsorship, or donation made in the name of the museum. | 
      
      
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               (b)  Money raised by the foundation may be used to acquire  | 
      
      
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        personal property for or engage in construction activities related  | 
      
      
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        to the museum.  | 
      
      
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               (c)  The foundation may set and collect fees in amounts  | 
      
      
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        necessary to provide for the operation of the museum, including  | 
      
      
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        fees for: | 
      
      
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                     (1)  admission to exhibits, theaters, concerts,  | 
      
      
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        programs, and activities; | 
      
      
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                     (2)  parking and transportation; and  | 
      
      
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                     (3)  facility rental.  | 
      
      
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               (d)  The foundation may sell at the museum items manufactured  | 
      
      
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        or publications printed under contract with the museum. | 
      
      
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               (e)  The foundation may establish a museum membership  | 
      
      
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        program.  | 
      
      
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               Sec. 446.010.  TEXAS STATE MUSIC MUSEUM FUND.  (a)  Money and  | 
      
      
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        securities received by the foundation and museum shall be held in  | 
      
      
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        trust outside the state treasury by the comptroller in a special  | 
      
      
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        fund to be known as the Texas State Music Museum fund. | 
      
      
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               (b)  The foundation may spend money in the Texas State Music  | 
      
      
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        Museum fund for any lawful purpose connected with the museum. | 
      
      
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               (c)  Subtitle D, Title 10, does not apply to a purchase or  | 
      
      
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        lease made with money from the fund. | 
      
      
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               Sec. 446.011.  FACILITIES.  (a)  The foundation may operate  | 
      
      
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        in the museum: | 
      
      
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                     (1)  a theater or other venue for hosting a musical  | 
      
      
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        concert or performance; | 
      
      
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                     (2)  a gift shop; | 
      
      
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                     (3)  unmanned teller machines; | 
      
      
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                     (4)  food services; and | 
      
      
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                     (5)  other services and facilities convenient or  | 
      
      
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        necessary for visitors to the museum. | 
      
      
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               (b)  Chapter 355, Labor Code, does not apply to vending  | 
      
      
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        facilities operated by or approved for operation in the museum. | 
      
      
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               Sec. 446.012.  NAMING OF MUSEUM AREAS.  With the approval of  | 
      
      
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        the board, the foundation may name areas in the museum, including  | 
      
      
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        rooms and exhibition halls, in honor of donors or benefactors, or  | 
      
      
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        other persons who have contributed to the musical heritage of this  | 
      
      
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        state. | 
      
      
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               Sec. 446.013.  INTELLECTUAL PROPERTY RIGHTS.  The foundation  | 
      
      
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        may secure museum-related intellectual property rights for this  | 
      
      
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        state. | 
      
      
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               Sec. 446.014.  AUDIT.  The museum is subject to audit by the  | 
      
      
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        state auditor as provided by Chapter 321. | 
      
      
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               Sec. 446.015.  PARKING AND TRANSPORTATION.  The foundation  | 
      
      
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        may provide at the museum parking for visitors and, in cooperation  | 
      
      
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        with other public and private authorities, may participate in  | 
      
      
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        providing transportation for visitors between other musical and  | 
      
      
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        cultural sites. | 
      
      
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               Sec. 446.016.  PRIVATE EVENTS.  The foundation may rent all  | 
      
      
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        or part of the museum's facilities for private events and provide  | 
      
      
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        for the sale, gift, possession, and consumption of alcoholic  | 
      
      
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        beverages at a private event held in the facilities. | 
      
      
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               Sec. 446.017.  MARKETING AND PUBLIC RELATIONS.  The  | 
      
      
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        foundation may engage in marketing and public relations to  | 
      
      
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        publicize the museum and the museum's mission. | 
      
      
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               Sec. 446.018.  INSURANCE.  The foundation may purchase  | 
      
      
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        insurance policies to insure the museum's contents and other  | 
      
      
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        personal property against any insurable risk, including insurance  | 
      
      
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        covering historical artifacts, art, or other items on loan to the  | 
      
      
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        museum.  | 
      
      
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               Sec. 446.019.  CONTRACTS.  The foundation may contract with  | 
      
      
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        public or private entities to the extent necessary or convenient  | 
      
      
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        for the operation of the museum's exhibits, concerts, programs,  | 
      
      
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        activities, and facilities, including contracts for the  | 
      
      
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        acquisition by purchase or loan of items for exhibition. | 
      
      
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               Sec. 446.020.  AGREEMENT FOR UTILITIES AND OTHER SERVICES.   | 
      
      
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        The foundation may enter into an agreement with the Texas  | 
      
      
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        Facilities Commission to reimburse the commission for the costs of  | 
      
      
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        providing utilities and other necessary services for the museum. | 
      
      
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               Sec. 446.021.  ANNUAL REPORT.  Not later than the 60th day  | 
      
      
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        after the last day of each state fiscal year, the foundation shall  | 
      
      
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        submit to the board an electronic report itemizing all income and  | 
      
      
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        expenditures of the foundation and describing all activities of the  | 
      
      
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        foundation and museum during the preceding state fiscal year. | 
      
      
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               Sec. 446.022.  OPEN MEETINGS AND PUBLIC INFORMATION  | 
      
      
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        EXEMPTION.  The foundation is not subject to Chapter 551 or 552. | 
      
      
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               Sec. 446.023.  TAX EXEMPTION; FILING REQUIREMENT.  (a)  All  | 
      
      
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        income, property, and other assets of the foundation are exempt  | 
      
      
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        from taxation by this state and political subdivisions of this  | 
      
      
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        state. | 
      
      
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               (b)  The foundation shall comply with all filing  | 
      
      
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        requirements of the secretary of state and the Internal Revenue  | 
      
      
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        Service.  | 
      
      
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               Sec. 446.024.  PROHIBITED ACTIVITIES.  The foundation may  | 
      
      
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        not: | 
      
      
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                     (1)  donate funds to a political campaign or endorse a  | 
      
      
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        political candidate; | 
      
      
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                     (2)  lobby or otherwise attempt to influence a member  | 
      
      
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        of the legislature; or  | 
      
      
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                     (3)  directly or indirectly attempt to influence  | 
      
      
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        legislation. | 
      
      
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               SECTION 2.  As soon as practicable after the effective date  | 
      
      
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        of this Act: | 
      
      
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                     (1)  the State Preservation Board shall establish the  | 
      
      
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        Texas Music Foundation under Chapter 446, Government Code, as added  | 
      
      
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        by this Act; and | 
      
      
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                     (2)  the governor shall appoint directors to the Texas  | 
      
      
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        Music Foundation as provided by Section 446.004, Government Code,  | 
      
      
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        as added by this Act. | 
      
      
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               SECTION 3.  This Act takes effect immediately if it receives  | 
      
      
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        a vote of two-thirds of all the members elected to each house, as  | 
      
      
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        provided by Section 39, Article III, Texas Constitution.  If this  | 
      
      
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        Act does not receive the vote necessary for immediate effect, this  | 
      
      
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        Act takes effect September 1, 2017. |