Texas 2019 - 86th Regular

Texas Senate Bill SB1832 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	86R1239 GRM-F
2	2	By: Alvarado S.B. No. 1832
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the creation of the Texas music incubator rebate
8	8	program to provide for rebates of a portion of the mixed beverage
9	9	gross receipts taxes collected from certain music venues.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Chapter 485, Government Code, is amended by
12	12	adding Subchapter C to read as follows:
13	13	SUBCHAPTER C. TEXAS MUSIC INCUBATOR REBATE PROGRAM
14	14	Sec. 485.041. DEFINITIONS. In this subchapter:
15	15	(1) "Mixed beverage gross receipts tax" means the tax
16	16	imposed by Subchapter B, Chapter 183, Tax Code.
17	17	(2) "Permittee" has the meaning assigned by Section
18	18	183.001(b), Tax Code.
19	19	(3) "Program" means the Texas music incubator rebate
20	20	program.
21	21	Sec. 485.042. TEXAS MUSIC INCUBATOR REBATE PROGRAM. (a)
22	22	The office shall administer the Texas music incubator rebate
23	23	program under which the office shall provide to eligible music
24	24	venues from money appropriated from the Texas music incubator
25	25	account a full or partial rebate of the mixed beverage gross
26	26	receipts taxes remitted annually by those venues and deposited into
27	27	that account as required by Section 183.023(c), Tax Code. The
28	28	rebates are to assist eligible music venues in their efforts to
29	29	support and continue to bring to the community live musical
30	30	performances, including the recruitment of musical performance
31	31	artists.
32	32	(b) The office may not provide a rebate under the program to
33	33	any music venue that exceeds the lesser of:
34	34	(1) the amount of mixed beverage gross receipts tax
35	35	remitted in the preceding fiscal year to the comptroller by the
36	36	music venue as a permittee; or
37	37	(2) $100,000.
38	38	Sec. 485.043. ELIGIBILITY FOR REBATE. To qualify for a
39	39	rebate under the program, a music venue, for at least the two years
40	40	preceding the date on which the music venue submits an application
41	41	under Section 485.044, must have:
42	42	(1) been a permittee subject to Subchapter B, Chapter
43	43	183, Tax Code;
44	44	(2) been a for-profit retail establishment with a
45	45	dedicated audience capacity of not more than 3,000;
46	46	(3) entered into a written contract with a musical
47	47	performance artist to conduct a live performance at the venue under
48	48	which the artist received as compensation a specified percentage of
49	49	ticket sales for or other sales during the performance, or a
50	50	guaranteed amount in advance of the performance; and
51	51	(4) met at least five of the following criteria, one of
52	52	which must be described by Paragraph (A) or (B):
53	53	(A) the marketing of live music performances
54	54	through listings in printed or electronic publications;
55	55	(B) the provision of live music performances five
56	56	or more nights per week;
57	57	(C) the employment of one or more people who are
58	58	tasked with two or more of the following positions:
59	59	(i) sound engineer;
60	60	(ii) booker;
61	61	(iii) promoter;
62	62	(iv) stage manager; or
63	63	(v) security personnel;
64	64	(D) having live performance and audience space;
65	65	(E) having a mixing desk, public address system,
66	66	and lighting rig;
67	67	(F) having a space dedicated to audio
68	68	amplification and the on-site storage of audio equipment or musical
69	69	instruments;
70	70	(G) the application of cover charges to one or
71	71	more live music performances through ticketing or the imposition of
72	72	a front door entrance fee; or
73	73	(H) the maintenance of hours of operation that
74	74	coincide with live music performance show times.
75	75	Sec. 485.044. REBATE APPLICATION. (a) The office shall:
76	76	(1) subject to Subsection (b), prescribe the
77	77	application form for obtaining a rebate under the program; and
78	78	(2) establish an online portal on the office's public
79	79	Internet website that allows a music venue to submit the
80	80	application to the office for consideration.
81	81	(b) The application must:
82	82	(1) state the amount of mixed beverage gross receipts
83	83	tax that was remitted to the comptroller by the music venue in the
84	84	preceding fiscal year;
85	85	(2) include sufficient evidence for the office to
86	86	determine that the music venue qualifies for a rebate; and
87	87	(3) any other information the office determines
88	88	necessary to administer the program.
89	89	(c) The office shall accept rebate applications beginning
90	90	September 1 of each year and may provide rebates until all the money
91	91	in the Texas music incubator account is exhausted.
92	92	Sec. 485.045. REVIEW OF APPLICATIONS; REBATES. (a) After
93	93	reviewing applications for a rebate under the program, the office
94	94	shall grant rebates to eligible music venue applicants that the
95	95	office determines provide or have committed to provide the most
96	96	economic benefit to the communities in which the music venues are
97	97	located and to the Texas music industry, including live music
98	98	performers.
99	99	(b) As directed by the office, the comptroller shall issue a
100	100	warrant for a rebate granted by the office under this section drawn
101	101	on the Texas music incubator account.
102	102	Sec. 485.046. TEXAS MUSIC INCUBATOR ACCOUNT. (a) The Texas
103	103	music incubator account is a dedicated account in the general
104	104	revenue fund. The account is composed of:
105	105	(1) money deposited to the credit of the account under
106	106	Section 183.023(c), Tax Code;
107	107	(2) gifts, grants, and other money received by the
108	108	office for the program; and
109	109	(3) other amounts deposited to the credit of the
110	110	account.
111	111	(b) Money in the account may be appropriated only to the
112	112	office for the purpose of paying rebates to music venues under the
113	113	program.
114	114	(c) Interest and other earnings from money in the account
115	115	shall be credited to the account.
116	116	Sec. 485.047. RULES. The office shall adopt rules
117	117	necessary to implement and administer this subchapter.
118	118	SECTION 2. Section 183.023, Tax Code, is amended by adding
119	119	Subsection (c) to read as follows:
120	120	(c) Notwithstanding Subsection (b), the comptroller shall
121	121	deposit four percent of the revenue received under this section to
122	122	the credit of the Texas music incubator account under Section
123	123	485.046, Government Code.
124	124	SECTION 3. (a) Not later than September 1, 2020, the Music,
125	125	Film, Television, and Multimedia Office within the office of the
126	126	governor shall establish the Texas music incubator rebate program
127	127	as required under Subchapter C, Chapter 485, Government Code, as
128	128	added by this Act.
129	129	(b) Notwithstanding Section 485.044(c), Government Code, as
130	130	added by this Act, the Music, Film, Television, and Multimedia
131	131	Office shall begin accepting rebate applications as authorized
132	132	under that section beginning September 1, 2020.
133	133	SECTION 4. This Act takes effect September 1, 2019.