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A BILL TO BE ENTITLED
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AN ACT
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relating to incentives for media production facilities in this |
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state. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 485A.002(3), Government Code, is amended |
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to read as follows: |
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(3) "Moving image project" means a visual and sound |
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production, including a film, a television program, streaming |
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content, a national or multistate commercial, or a digital |
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interactive media production. The term does not include a |
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production that is obscene, as defined by Section 43.21, Penal |
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Code. |
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SECTION 2. Chapter 485A, Government Code, is amended by |
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adding Subchapter G to read as follows: |
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SUBCHAPTER G. MEDIA PRODUCTION FACILITY INCENTIVE PROGRAM |
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Sec. 485A.301. DEFINITIONS. In this subchapter: |
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(1) "In-state construction spending" means the amount |
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of money spent by a production company on the acquisition, |
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construction, renovation, or lease of a media production facility. |
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(2) "Production company" has the meaning assigned by |
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Section 485.021. |
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Sec. 485A.302. MEDIA PRODUCTION FACILITY INCENTIVE |
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PROGRAM. (a) Using gifts, grants, donations, and appropriations |
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made available to the office for that purpose, the office shall |
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administer a grant program for production companies that construct |
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media production facilities at a qualified media production |
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location. |
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(b) The office shall develop a procedure for the submission |
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of grant applications and the awarding of grants under this |
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subchapter. The procedure must include: |
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(1) requirements for the submission, before facility |
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construction begins, of an estimate of total in-state construction |
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spending; and |
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(2) provisions relating to the submission of other |
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information considered useful and necessary by the office for an |
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adequate and accurate analysis of a production company's |
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qualifications for a grant under this subchapter. |
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(c) A production company is not required to reapply for a |
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grant under this subchapter for each year of the 10-year period |
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described by Section 485A.303(2). |
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(d) The office may accept gifts, grants, and donations for |
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the purpose of implementing this subchapter. |
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Sec. 485A.303. QUALIFICATION. To qualify for a media |
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production facility grant under this subchapter, a production |
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company must: |
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(1) be a: |
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(A) limited liability company, partnership, or |
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corporation formed or organized under the laws of this state; or |
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(B) joint venture or other legal entity in which |
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at least one entity that holds at least a 30 percent ownership |
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interest is a limited liability company, partnership, or |
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corporation formed or organized under the laws of this state; and |
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(2) commit to constructing a media production facility |
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and producing moving image projects for a 10-year period. |
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Sec. 485A.304. GRANT. The amount of a media production |
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facility grant under this subchapter is determined as follows: |
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(1) if the production company spent at least $2 |
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million but less than $4 million on the facility, the amount of the |
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grant is equal to 10 percent of in-state construction spending on |
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the facility; or |
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(2) if the production company spent at least $4 |
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million on the facility, the amount of the grant is equal to 20 |
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percent of in-state construction spending on the facility. |
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Sec. 485A.305. ADDITIONAL GRANT FOR UNDERUTILIZED AND |
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ECONOMICALLY DISTRESSED AREAS. In addition to the grants |
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calculated under Sections 485A.304 and 485A.306, a production |
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company that constructs a media production facility in an |
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underutilized and economically distressed area is eligible for an |
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additional grant in an amount equal to 7.5 percent of the total |
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amount of the production company's in-state construction spending |
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for the facility. |
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Sec. 485A.306. ADDITIONAL GRANT FOR CERTAIN MEDIA |
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PRODUCTION FACILITIES. (a) In addition to the grants calculated |
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under Sections 485A.304 and 485A.305, a production company is |
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eligible for an additional grant in an amount equal to 7.5 percent |
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of the total amount of the company's in-state construction spending |
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for a media production facility if: |
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(1) the company constructs the facility to produce |
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projects with a focus on persons from diverse ethnic backgrounds; |
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and |
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(2) at least 35 percent of the persons employed at the |
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facility are women or are from diverse ethnic backgrounds. |
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(b) The office shall adopt rules prescribing the method by |
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which the office will determine whether a production company meets |
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the requirements for an additional grant under this section. |
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SECTION 3. This Act takes effect September 1, 2021. |