1 | 1 | | 81R5432 YDB-F |
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2 | 2 | | By: Dukes H.B. No. 873 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to incentives for the film, television, video, and digital |
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8 | 8 | | interactive media production industries. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. Section 485.021(2), Government Code, is amended |
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11 | 11 | | to read as follows: |
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12 | 12 | | (2) "Moving image project" means a visual and sound |
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13 | 13 | | production, including a film, television program, national or |
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14 | 14 | | multistate commercial, educational or instructional video, or |
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15 | 15 | | digital interactive media production. The term does not include a |
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16 | 16 | | production that is obscene, as defined by Section 43.21, Penal |
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17 | 17 | | Code. |
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18 | 18 | | SECTION 2. Section 485.023, Government Code, is amended to |
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19 | 19 | | read as follows: |
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20 | 20 | | Sec. 485.023. QUALIFICATION. To qualify for a grant under |
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21 | 21 | | this subchapter: |
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22 | 22 | | (1) a production company must have spent a minimum of: |
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23 | 23 | | (A) $250,000 [$1 million] in in-state spending |
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24 | 24 | | for a film or television program; or |
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25 | 25 | | (B) $100,000 in in-state spending for a |
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26 | 26 | | commercial or series of commercials, an educational or |
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27 | 27 | | instructional video or series of educational or instructional |
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28 | 28 | | videos, or a digital interactive media production; |
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29 | 29 | | (2) at least 70 percent of the production crew, |
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30 | 30 | | actors, and extras for a moving image project must be Texas |
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31 | 31 | | residents unless the office determines and certifies in writing |
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32 | 32 | | that a sufficient number of qualified crew, actors, and extras are |
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33 | 33 | | not available to the company at the time principal photography |
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34 | 34 | | begins; |
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35 | 35 | | (3) at least 60 [80] percent of the moving image |
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36 | 36 | | project must be filmed in Texas; and |
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37 | 37 | | (4) a production company must submit to the office an |
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38 | 38 | | expended budget, in a format prescribed by the office, that |
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39 | 39 | | reflects all in-state spending and includes all receipts, invoices, |
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40 | 40 | | pay orders, and other documentation considered necessary by the |
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41 | 41 | | office to accurately determine the amount of a production company's |
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42 | 42 | | in-state spending that has occurred. |
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43 | 43 | | SECTION 3. Sections 485.024 and 485.025, Government Code, |
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44 | 44 | | are amended to read as follows: |
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45 | 45 | | Sec. 485.024. GRANT. (a) Except as provided by Section |
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46 | 46 | | 485.025, a grant under this subchapter may not exceed the amount |
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47 | 47 | | established by office rule. The office shall adopt rules |
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48 | 48 | | prescribing the method the office will use to calculate the amount |
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49 | 49 | | of a grant under this subsection. The office shall publish a |
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50 | 50 | | written summary of the method for determining grants before |
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51 | 51 | | awarding a grant under this section. The method must consider at a |
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52 | 52 | | minimum: |
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53 | 53 | | (1) the current and likely future effect a moving |
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54 | 54 | | image project will have on employment, tourism, and economic |
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55 | 55 | | activity in this state; and |
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56 | 56 | | (2) the amount of a production company's in-state |
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57 | 57 | | spending for a moving image project [lesser of five percent of the |
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58 | 58 | | total amount of a production company's in-state spending for a |
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59 | 59 | | moving image project or: |
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60 | 60 | | [(1) $2 million for a film; |
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61 | 61 | | [(2) $2.5 million for a television program; |
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62 | 62 | | [(3) $200,000 for a commercial or series of |
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63 | 63 | | commercials; or |
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64 | 64 | | [(4) $250,000 for a digital interactive media |
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65 | 65 | | production]. |
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66 | 66 | | (b) In calculating a grant amount under Section 485.025 or |
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67 | 67 | | the amount of in-state spending for purposes of rules adopted under |
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68 | 68 | | Subsection (a), the office may not include wages of persons, |
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69 | 69 | | including an actor or director, employed in the production of a |
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70 | 70 | | moving image project that exceed $1 million [are: |
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71 | 71 | | [(1) a major part of the production costs of the |
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72 | 72 | | project, as determined by the office; and |
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73 | 73 | | [(2) negotiated or spent before production begins]. |
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74 | 74 | | Sec. 485.025. ADDITIONAL GRANT FOR UNDERUSED AREAS. In |
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75 | 75 | | addition to the grant calculated under Section 485.024, a |
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76 | 76 | | production company that spends at least 25 percent of a moving image |
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77 | 77 | | project's filming days in an underused area is eligible for an |
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78 | 78 | | additional grant in an amount equal to 2.5 [1.25] percent of the |
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79 | 79 | | total amount of the production company's in-state spending for the |
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80 | 80 | | moving image project. |
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81 | 81 | | SECTION 4. (a) The Music, Film, Television, and Multimedia |
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82 | 82 | | Office in the office of the governor shall adopt the rules required |
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83 | 83 | | by Section 485.024, Government Code, as amended by this Act, not |
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84 | 84 | | later than November 1, 2009. |
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85 | 85 | | (b) The Music, Film, Television, and Multimedia Office in |
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86 | 86 | | the office of the governor may not award a grant under Section |
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87 | 87 | | 485.024, Government Code, as amended by this Act, before the rules |
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88 | 88 | | described by Subsection (a) of this section are adopted. |
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89 | 89 | | SECTION 5. This Act takes effect immediately if it receives |
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90 | 90 | | a vote of two-thirds of all the members elected to each house, as |
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91 | 91 | | provided by Section 39, Article III, Texas Constitution. If this |
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92 | 92 | | Act does not receive the vote necessary for immediate effect, this |
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93 | 93 | | Act takes effect September 1, 2009. |
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