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Texas Information Technology Services - Office of the Governor ...

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Education Initiatives<br />

In 2005, <strong>the</strong> <strong>Texas</strong> Legislature established <strong>the</strong> <strong>Texas</strong><br />

Science, <strong>Technology</strong>, Engineering and Ma<strong>the</strong>matics<br />

(T-STEM) Initiative. Modeled on national STEM<br />

programs, T-STEM focuses on educating and graduating<br />

more <strong>Texas</strong> students in STEM fields critical for<br />

maintaining a skilled and competitive state workforce.<br />

T-STEM is part <strong>of</strong> <strong>the</strong> <strong>Texas</strong> High School Project and<br />

aims to more closely align high school curriculums<br />

with admission requirements for competitive colleges.<br />

Under <strong>the</strong> initiative, 51 T-STEM academies have been<br />

created, serving approximately 15,000 students<br />

annually. The Legislature most recently reauthorized<br />

<strong>the</strong> program in 2011.<br />

Electronic Arts Expands in Austin<br />

In January 2012, video game publisher Electronic<br />

Arts (EA) opened its new EA Sports division <strong>of</strong>fices<br />

in Austin, <strong>Texas</strong>. EA’s expansion<br />

was initially announced<br />

by Gov. Rick Perry in July 2011.<br />

EA already employed approximately<br />

450 in Austin at <strong>the</strong><br />

time <strong>of</strong> <strong>the</strong> announcement,<br />

and <strong>the</strong> expansion is expected<br />

to create an additional 300<br />

direct and contract positions.<br />

Based in California, EA is a<br />

leading interactive entertainment<br />

s<strong>of</strong>tware company that<br />

develops and distributes its<br />

products worldwide.<br />

Frank Gibeau, President <strong>of</strong> EA,<br />

praised <strong>Texas</strong> <strong>Governor</strong> Rick<br />

Perry's role in recruiting EA to<br />

<strong>the</strong> state, saying Perry "really<br />

understands our industry and<br />

wants it to be a key part <strong>of</strong> <strong>the</strong><br />

<strong>Texas</strong> economy."<br />

EA will seek financial incentives<br />

from <strong>the</strong> <strong>Texas</strong> Film<br />

Tax Legislation<br />

OVERVIEW<br />

In June 2011, Gov. Rick Perry signed <strong>Texas</strong> House<br />

Bill 1841, which improved <strong>the</strong> <strong>Texas</strong> business climate<br />

for hosting and data center companies. The bill<br />

states that an individual or business whose only<br />

activity in <strong>the</strong> state is Internet hosting is not “engaged<br />

in business” in <strong>the</strong> state and <strong>the</strong>refore does not have to<br />

collect <strong>Texas</strong> sales and use taxes from customers. The<br />

bill reversed a 2010 rule change made by <strong>the</strong> <strong>Texas</strong><br />

Comptroller <strong>of</strong> Public Accounts, which said that<br />

renting a space on a server in <strong>Texas</strong> effectively<br />

established a business presence in <strong>the</strong> state.<br />

Commission as part <strong>of</strong> its expansion deal.<br />

Separately, EA also operates a branch <strong>of</strong> its Bioware<br />

video game development division in Austin.<br />

<strong>Texas</strong> <strong>Governor</strong> Rick Perry, EA President Frank Gibeau, and EA Sports COO Daryl Holt<br />

at July 2011 announcement event in Austin<br />

5

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