HB 5440

relating to the moving image industry incentive program.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Section 485.023, Government Code, is amended to
Sec. 485.023.  QUALIFICATION.  To qualify for a grant under
(1)  a production company must have spent a minimum
[(A)  $250,000 in in-state spending for a film or
[(B)]  $100,000 in in-state spending for a moving
image project [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 [55] 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
(3)  at least 60 percent of the moving image project
(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 of a production company's
in-state spending that has occurred.
SECTION 2.  Section 485.024(a), Government Code, is amended
(a)  Except as provided by Section 485.025, a grant awarded
under this subchapter may not exceed an [the] amount equal to 30
percent of a production company's eligible in-state spending for
the moving image project [established by office rule].  The office
shall adopt rules prescribing the method the office will use to
calculate the amount of a grant awarded under this subsection.  The
office shall publish a written summary of the method for
determining grants before awarding a grant under this section.  The
method must consider at a minimum:
(1)  the current and likely future effect a moving
image project will have on employment, tourism, and economic
(2)  the amount of a production company's in-state
spending for a moving image project.
SECTION 3.  Section 485.027, Government Code, is amended by
adding Subsection (a-1) to read as follows:
(a-1)  A junior college or nonprofit organization
contracting with the office in accordance with Subsection (a) to
create a training program described by that subsection may accept:
(1)  money the legislature appropriates to the office
for purposes of this chapter; and
(2)  gifts, grants, or donations from any source.
SECTION 4.  This Act takes effect September 1, 2025.