California Music Festival Preservation Grant Program., the official text

An act to add Section 12098.9 to the Government Code, relating to music festivals.

LEGISLATIVE COUNSEL'S DIGEST

Existing law establishes the Office of Small Business Advocate within the Governor’s Office of Business and Economic Development, also known as “GO-Biz,” and provides for the appointment by the Governor of the Small Business Advocate, also known as the Director of the Office of Small Business Advocate, to, among other things, serve as the principal advocate in the state on behalf of small businesses.
This bill would establish the California Music Festival Preservation Grant Program within the office, under the direct authority of the director, to provide grants to eligible independent live music events promoters to preserve large-scale music festivals and to support their continued ability to provide equitable access to the arts for all Californians. The bill would specify requirements for eligibility and, subject to appropriation by the Legislature, would require the office to allocate the sum of $20,000,000 in grants to eligible independent live music events promoters that meet those requirements.

The people of the State of California do enact as follows:

SECTION 1.
Section 12098.9 is added to the Government Code, to read:
12098.9.
(a) The California Music Festival Preservation Grant Program is hereby established within the office.
(b) For purposes of this section, a “host jurisdiction” means a governmental entity or political subdivision of the state that owns or has an interest in the venue or region where the multiday music festival occurs. Region includes a physical or cultural region.
(c) The California Music Festival Preservation Grant Program shall be under the direct authority of the director, and the office shall administer grants to eligible independent live music events promoters in accordance with this section.
(d) The purpose of the California Music Festival Preservation Grant Program is to provide grants to eligible independent live music events promoters in order to support their continued ability to provide equitable access to the arts for all Californians, and to preserve large-scale music festivals that generate significant cultural, tourism, and economic benefits for the state and its local communities.
(e) To be eligible to receive a grant under the California Music Festival Preservation Grant Program, an independent live music festival promoter shall satisfy all of the following requirements:
(1) The entity is privately owned.
(2) The entity is organized as a sole proprietorship, limited liability company, partnership, limited partnership, or a nonprofit organization that is exempt from federal income taxation pursuant to Section 501(c)(3) of the Internal Revenue Code.
(3) The entity, as a principal business activity, organizes, promotes, produces, manages, or hosts at least one festival featuring persons or groups that perform live musical entertainment at a venue in California on publicly owned lands where all of the following are met:
(A) Admission to the festival performances requires a paid ticket or cover charge.
(B) Performing artists are compensated and do not perform without compensation or solely for tips.
(C) The festival occurs annually in a host jurisdiction.
(D) The festival features a minimum of 40 live music acts.
(E) The festival generates a minimum of 60,000 total paid admissions over its duration.
(4) The entity has entered into a multiyear agreement for the operation of a multiday music festival with the local tourism authority or the appropriate political subdivision of the host jurisdiction.
(5) The entity demonstrates support for local businesses, performers, and the host jurisdiction by doing all of the following at the festival:
(A) Serving no fewer than three different beers produced by a local brewery whose principal place of business is located within the host jurisdiction.
(B) Serving no fewer than two wines produced by a winery whose principal place of business is located within the host jurisdiction.
(C) Showcasing no fewer than three performances featuring live musical entertainment by performers who are local to, or based in, the host jurisdiction.
(D) Providing meaningful promotion of the host jurisdiction in coordination with the local tourism authority or the appropriate political subdivision of the host jurisdiction.
(f) Subject to appropriation by the Legislature:
(1) The office shall allocate grants to eligible independent live music events promoters that meet the requirements of this section.
(2) The amount of twenty million dollars ($20,000,000) shall be allocated in one or more rounds to eligible independent live music events promoters.