87R10274 BEE-D
By: Burrows H.B. No. 3373
A BILL TO BE ENTITLED
AN ACT
relating to the certification of live music venues by and other
duties of the Texas Music Office.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 485, Government Code, is amended by
adding Subchapter C to read as follows:
SUBCHAPTER C. TEXAS MUSIC OFFICE
Sec. 485.051. DEFINITIONS. In this subchapter:
(1) "Certification holder" means an individual or
entity that holds a certification issued by the music office as an
independent live music venue, operator, producer, or promoter under
this subchapter.
(2) "Music office" means the Texas Music Office in the
office of the governor.
Sec. 485.052. DUTIES. The music office shall:
(1) administer and oversee federal programs in this
state supporting independent live music venues, operators,
producers, or promoters, including monitoring changes to those
programs to ensure efficient implementation;
(2) in accordance with Section 485.053, issue
certifications to independent live music venues, operators,
producers, and promoters for the purpose of administering and
overseeing programs described by Subdivision (1); and
(3) ensure each certification holder maintains
compliance with the requirements for certification under this
subchapter.
Sec. 485.053. CERTIFICATION ISSUANCE. (a) Subject to
Subsections (b) and (c), the music office shall issue a
certification as an independent live music venue, operator,
producer, or promoter, for purposes of any federal program
requiring such certification, to an individual or entity that:
(1) organizes, promotes, sells tickets, produces,
manages, or hosts live concerts;
(2) generates at least 60 percent of the individual's
or entity's primary business revenue from:
(A) entrance fees or ticket sales and fees;
(B) production reimbursements; and
(C) the sale of beverages, food, and merchandise
at events;
(3) has operated its primary business in this state
for at least one year preceding certification;
(4) pays artists fairly in an amount that is:
(A) based on:
(i) a percentage of sales;
(ii) a guarantee in writing or in a standard
contract; or
(iii) any other mutually beneficial formal
agreement; and
(B) not based solely on tips, unless the artist
is participating in a legitimate fundraiser or similar charitable
event; and
(5) meets at least five of the following criteria:
(A) markets live music performances through
listings in printed or electronic publications;
(B) provides live music performances four or more
nights of each week;
(C) employs or contracts the services of one or
more persons in two or more of the following positions or services:
(i) sound engineer;
(ii) booker;
(iii) promoter;
(iv) stage manager; or
(v) security personnel;
(D) has designated live performance and audience
space;
(E) provides technical sound and lighting,
either in-house or through a contract with a vendor;
(F) has a dedicated space for the storage of
audio equipment or musical instruments;
(G) charges for live music performances through
ticketing or imposing an entrance fee; or
(H) maintains hours of operation that coincide
with live music performance show times.
(b) The music office may not issue a certification as an
independent live music venue, operator, producer, or promoter to an
individual or entity that:
(1) presents live performances of a prurient sexual
nature, as determined by the music office; or
(2) derives directly or indirectly a more than de
minimis gross revenue, as determined by the music office, through:
(A) the sale of products or services of a
prurient sexual nature; or
(B) the presentation of any depictions or
displays of a prurient sexual nature.
(c) The music office may not issue a certification as an
independent live music venue, operator, producer, or promoter to an
individual or entity unless the individual or entity:
(1) employs as full-time equivalents 50 or more
employees or contractors;
(2) derives not less than 10 percent of the
individual's or entity's gross revenue from federal funding; or
(3) is majority-owned, controlled, or operated by an
individual or entity described by Subdivisions (1) and (2).
SECTION 2. This Act takes effect September 1, 2021.