By: Longoria H.B. No. 3346
A BILL TO BE ENTITLED
AN ACT
relating to the music, film, television, and multimedia production
industry.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 485.003, Government Code, is amended to
read as follows:
Sec. 485.003. COMMISSIONER [DIRECTOR]; STAFF. The governor
may employ a commissioner [director] who may employ other employees
necessary to carry out the office's duties.
SECTION 2. Subchapter A, Chapter 485, Government Code, is
amended by adding Section 485.008 to read as follows:
Sec. 485.008. AUDITS OF MUSIC, FILM, TELEVISION, AND
MULTIMEDIA FUND. (a) The state auditor may conduct effectiveness,
compliance, and economy or efficiency audits of the music, film,
television, and multimedia fund. As part of the audits, the state
auditor may determine whether:
(1) money is disbursed in compliance with the
requirements and purpose of this chapter; and
(2) the office monitors grant recipients to determine
whether the recipients comply with the terms of any applicable
agreement and with the requirements of this chapter.
(b) The office shall cooperate with the state auditor and
provide the state auditor with access to all records, confidential
or nonconfidential, necessary to conduct the audits under this
section.
SECTION 3. Section 485.021, Government Code, is amended by
amending Subdivision (2) and adding Subdivision (6) to read as
follows:
(2) "Moving image project" means a visual and sound
production, including a film, television program, national or
multistate commercial, educational or instructional video, or
digital interactive media production. The term does not include a
production that:
(A) is obscene, as defined by Section 43.21, Penal Code; or
(B) the office determines will probably on completion meet
the qualifications for:
(i) an "R" or "NC-17" rating issued by the Motion Picture
Association of America, as those qualifications existed on
September 1, 2017; or
(ii) an "M" or "A" rating issued by the Entertainment
Software Rating Board, as those qualifications existed on September
1, 2017.
(6) “Day of production activity” includes any day during
which a production company incurs an expense that qualifies as
in-state spending.
SECTION 4. Section 485.023, Government Code, is amended to
read as follows:
Sec. 485.023. QUALIFICATION. To qualify for a grant under
this subchapter:
(1) a production company must have spent a minimum of:
(A) $250,000 in in-state spending for a film or
television program; or
(B) $100,000 in in-state spending for a
commercial or series of commercials, an educational or
instructional video or series of educational or instructional
videos, or a digital interactive media production;
(2) at least 70 percent of the production crew,
actors, and extras for a moving image project must be Texas
residents unless the office determines and certifies in writing
that a sufficient number of qualified crew, actors, and extras are
not available to the company at the time principal photography
begins;
(3) at least 60 percent of the moving image project
must be filmed in Texas; [and]
(4) a production company must submit to the office an
expended budget, in a format prescribed by the office, that
reflects all in-state spending and includes all receipts, invoices,
pay orders, and other documentation considered necessary by the
office to accurately determine the amount and duration of a
production company's in-state spending that has occurred; and
(5) a production company must have engaged in no fewer
than 120 days of production activity in Texas.
SECTION 5. The change in law made by SECTION 4 of this Act
applies only to an application for a grant under Section
485.022(b), Government Code, submitted on or after the effective
date of this Act. An application submitted before the effective
date of this Act is governed by the law in effect when the
application was submitted, and the former law is continued in
effect for that purpose.
SECTION 6. This Act takes effect September 1, 2017.