STRATEGIC PRIORITY: Economic Development
AGENDA DATE: May 22, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Economic Development
EXECUTIVE: Robin Bentley
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SUBJECT
Title
An ordinance (1) designating the City of Dallas as a media production development zone in accordance with Chapter 485A of the Texas Government Code; and (2) providing an effective date - Financing: No cost consideration to the City
Body
BACKGROUND
A Media Production Development Zone (MPDZ), which is authorized by Section 485A of the Texas Government Code and administered by the Texas Film Commission, is a state-based incentive program that allows for a sales and use tax exemption over a two-year period for the construction, maintenance, expansion, improvement, or renovation of a media production facility located in a qualified media production location (QMPL). The Media Production Development Zone Act (Act) outlines the parameters for the creation of an MPDZ within the state to strengthen Texas economy by maintaining and bolstering its media production industry.
Per the Act, an MPDZ is required to have adequate workforce, infrastructure, facilities, or resources to support the production and completion of moving image projects and will contain a QMPL within its geographical boundaries. Each MPDZ designation is effective for a maximum of five years after the date the last QMPL was designated within the zone. The sales and use exemption only applies to projects that have been designated as a QMPL, and each QMPL designation requires city council approval. Each MPDZ may contain up to three active QMPLs at one time, however, there is a limit of five total MPDZs per region and 10 total active MPDZs throughout the state.
As allowed under state law, this item is to be considered concurrently with an item authorizing the city’s nomination of the property located at 2901 Botham Jean Boulevard, Dallas, Texas 75215 for designation as a QMPL within MPDZ No. 1.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
Information about this item was provided to the Economic Development Committee on May 6, 2024.
FISCAL INFORMATION
No cost consideration to the City.