Bill > S1438

This bill establishes the Qualified Television Loan Fund (QTV Fund) within the Department of Economic Opportunity to provide loans for the production of qualified television content, aiming to boost the state's television production industry and workforce. The fund will be managed by a private sector "fund administrator" selected through a competitive bidding process, which will oversee loan disbursements and manage the fund as an "evergreen fund," meaning that repaid principal and interest will be reinvested for future loans. "Qualified television content" is defined as series or made-for-TV productions by a "qualified production company" that has a distribution contract with a "major broadcaster" (like TV networks, cable, or streaming services) under a standard license agreement, excluding obscene content. The fund administrator will be compensated through management fees and a share of the fund's net income, with specific criteria for selecting the administrator, including experience in managing entertainment funds and securing partnerships with "qualified lending partners" (financial institutions with significant experience in media financing). The bill also outlines loan structures, requiring collateral and subordination to senior loans from qualified lending partners, and sets criteria for what constitutes qualified content, such as production occurring in the state or a significant portion of the budget being spent there. Finally, the Auditor General will conduct an operational audit of the QTV Fund and its administrator, and the program is set to expire on December 31, 2024, with any remaining funds reverting to the General Revenue Fund.