88R13065 LRM-D
By: Miles S.B. No. 1459
A BILL TO BE ENTITLED
AN ACT
relating to benefits and incentives for media production in this
state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 485A.002(3), Government Code, is amended
to read as follows:
(3) "Moving image project" means a visual and sound
production, including a film, a television program, streaming
content, a national or multistate commercial, or a digital
interactive media production. The term does not include a
production that is obscene, as defined by Section 43.21, Penal
Code.
SECTION 2. Chapter 485A, Government Code, is amended by
adding Subchapter G to read as follows:
SUBCHAPTER G. MEDIA PRODUCTION FACILITY INCENTIVE PROGRAM
Sec. 485A.301. DEFINITIONS. In this subchapter:
(1) "In-state construction spending" means the amount
of money spent by a production company on the acquisition,
construction, conversion, renovation, or lease of a media
production facility.
(2) "Production company" has the meaning assigned by
Section 485.021.
Sec. 485A.302. MEDIA PRODUCTION FACILITY INCENTIVE
PROGRAM. (a) Using gifts, grants, donations, and appropriations
made available to the office for that purpose, the office shall
administer a grant program for production companies that:
(1) construct media production facilities at a
qualified media production location; or
(2) convert existing buildings or structures into
media production facilities at a qualified media production
location.
(b) The office shall develop a procedure for the submission
of grant applications and the awarding of grants under this
subchapter. The procedure must include:
(1) requirements for the submission, before facility
construction or conversion begins, of an estimate of total in-state
construction spending; and
(2) provisions relating to the submission of other
information considered useful and necessary by the office for an
adequate and accurate analysis of a production company's
qualifications for a grant under this subchapter.
(c) A production company is not required to reapply for a
grant under this subchapter for each year of the 10-year period
described by Section 485A.303(2).
(d) The office may accept gifts, grants, and donations for
the purpose of implementing this subchapter.
Sec. 485A.303. QUALIFICATION. To qualify for a media
production facility grant under this subchapter, a production
company must:
(1) be a:
(A) limited liability company, partnership, or
corporation formed or organized under the laws of this state; or
(B) joint venture or other legal entity in which
at least one entity that holds at least a 30 percent ownership
interest is a limited liability company, partnership, or
corporation formed or organized under the laws of this state; and
(2) commit to either constructing a media production
facility or converting an existing building or structure into a
media production facility and producing moving image projects for a
10-year period.
Sec. 485A.304. GRANT. The amount of a media production
facility grant under this subchapter is determined as follows:
(1) if the production company spent at least $2
million but less than $4 million on the facility, the amount of the
grant is equal to 10 percent of in-state construction spending on
the facility; or
(2) if the production company spent at least $4
million on the facility, the amount of the grant is equal to 20
percent of in-state construction spending on the facility.
Sec. 485A.305. ADDITIONAL GRANT FOR UNDERUTILIZED AND
ECONOMICALLY DISTRESSED AREAS. In addition to the grants
calculated under Sections 485A.304 and 485A.306, a production
company that constructs a media production facility or converts an
existing building or structure into a media production facility in
an underutilized and economically distressed area is eligible for
an additional grant in an amount equal to 7.5 percent of the total
amount of the production company's in-state construction spending
for the facility.
Sec. 485A.306. ADDITIONAL GRANT FOR CERTAIN MEDIA
PRODUCTION FACILITIES. (a) In addition to the grants calculated
under Sections 485A.304 and 485A.305, a production company is
eligible for an additional grant in an amount equal to 7.5 percent
of the total amount of the company's in-state construction spending
for a media production facility if:
(1) the company constructs the facility or converts
the building or structure to produce projects with a focus on
persons from diverse ethnic backgrounds; and
(2) at least 35 percent of the persons employed at the
facility are women or are from diverse ethnic backgrounds.
(b) The office shall adopt rules prescribing the method by
which the office will determine whether a production company meets
the requirements for an additional grant under this section.
SECTION 3. This Act takes effect September 1, 2023.