-Defines 'qualified local expenditure' as: "a payment made by a production company operating in Colorado to a business in Colorado in connection with the production of a film" (Sec. 1).
-Specifies that, for tax purposes, "qualified local expenditure" shall include among other things payments up to three million dollars per employee or contractor, made by a production company to pay the salaries of actors, management and crew who participated in the film production activities (Sec. 1).
-Repeals and replaces provision allowing production companies spending at least 75 percent of its production expenditures on qualified local expenditures, and 75 percent of its payroll expenditures on local payroll expenditures to claim a performance-based incentive with language specifying that any production company "employing a workforce for any in-state production made up of at least twenty-five percent Colorado residents shall be allowed to claim a performance-based incentive" (Sec. 2).
-Specifies that a production company that does not originate the film production in Colorado can claim a performance-based incentive in an amount equal to 10 percent of the total amount of the production company's qualified local expenditures if the total of such expenditures equals or exceeds two hundred fifty thousand dollars (Sec. 2).